Australia Edition 4
Create successful ePaper yourself
Turn your PDF publications into a flip-book with our unique Google optimized e-Paper software.
THE MARKET<br />
The home entertainment market in <strong>Australia</strong> is big<br />
business and that business is being driven by the<br />
DVD format. <strong>Australia</strong>ns embraced the DVD format<br />
faster than any other technological or entettainment<br />
format in history. Since hitting the market in 1998,<br />
the DVD format has grown to over 5 I per cent<br />
penetration into households.<br />
The entertainment product now available on<br />
DVD is widely varied with movies representing 72<br />
per cent of all sales. The movie category isn't just<br />
driven by the big ticket new release films like 'X<br />
Men 2' and 'Daredevil', the real growth area has<br />
been catalogue product or films in home<br />
entertainment release for four months or longer.<br />
Catalogue product at the end of 2003 represented a<br />
69 per cent growth in shipped units year on year<br />
proving that <strong>Australia</strong>ns are avid collectors as well<br />
as renters. 20th Century Fox Home Entertainment<br />
has a very strong back catalogue of films from the<br />
classics like 'The Sound of Music' to new famil y<br />
favourites like 'Ice Age' .<br />
Other product categories showing excellent<br />
growth are Music and Television programming. 20th<br />
Centmy Fox Home Entettainment is the market leader<br />
in the rapidly growing television DVD sub categ01y.<br />
Key brands include Buffy the Vampire Slayer, Angel,<br />
The Simpsons, Futurama and 24.<br />
In addition to the rapid growth in the retai l area,<br />
the rental market remains very strong with<br />
<strong>Australia</strong>ns still the world' s biggest renters of video<br />
and DVD per capita. Rental outlets still number<br />
over 2000 nationwide with a large number of outlets<br />
both selling and renting product to a dedicated<br />
consumer base.<br />
At the end of 2003 the total rental market was<br />
valued at $236.5 million while the retail market had<br />
grown to over $800 million. Fox's revenue has<br />
grown in that period by more than 40 per cent across<br />
the market with an average market share in rental of<br />
16.34 per cent placing it in the top three of software<br />
distributors and at the top of retail sales with an<br />
average 15.9 per cent market share.<br />
ACHIEVEMENTS<br />
The growth of Fox Home Entertainment has been<br />
spectacular. Sales in fiscal 1995 were $28 million<br />
with sales in fiscal2003 forecast at over $ 140 million.<br />
Fox has been listed by BRW as one of <strong>Australia</strong>'s<br />
I 00 fastest growing companies and also as one of<br />
the top employers listed in the 'Best Companies To<br />
Work For In <strong>Australia</strong>' as published by Allen &<br />
Unwin. As prut of an international organisation,<br />
the <strong>Australia</strong>n Fox subsidiary has tended to grow<br />
faster than many others around the world and now<br />
ranks 5th in Fox Home Entettainment internationally.<br />
Fox Home Entettainment has fostered lucrative<br />
distribution partnerships with other major<br />
international studios such as MGM and Regency<br />
Films, as well as high-profile <strong>Australia</strong>n<br />
independents like Palace Films. These prutnerships<br />
have allowed Fox to distribute some of the most<br />
highly regru·ded and commercial films outside of its<br />
own studio's production facilities.<br />
As a company born out of the development of<br />
new technologies, Fox continually embraces their<br />
use to become more competitive and cost effective<br />
in its trading environment. Fox has adopted a<br />
flexible approach to sales, marketing and distribution<br />
that has made it an agent of change in a highly<br />
competitive environment.<br />
The greatest strength Fox has is its relationship<br />
with the major retailers in both the rental and retail<br />
channels. This is partly due to the focus Fox<br />
maintains on achieving profitable and sustainable<br />
gains for all its business partners. Relationship<br />
marketing is a key strategy and, as a result, trading<br />
relationships are robust and co-operative.<br />
Fox mru·keting sets standards both at home and<br />
internationally earning multiple awards and<br />
industry recognition for innovative and effective<br />
campaigns within both the rental and retai l<br />
channels.<br />
The competitive advantage Fox enjoys is due<br />
not only to a well-developed understanding of<br />
these channels but also to the implementation of<br />
sophisticated Electronic Data Interchange (EDI)<br />
processes. Retail inventory management at Fox is<br />
handled by the VISION system, and world's best<br />
practice supply chain processes are being<br />
introduced with leading retailers. The use of EDI,<br />
POS scan data and scan picking and production of<br />
shipping cattons enables error-free and paperless<br />
supply.<br />
HISTORY<br />
20th Century Fox Home Entertainment has a long<br />
hi story of successful distribution in <strong>Australia</strong>,<br />
beginning before 1983 when Magnetic Video<br />
evolved into an international joint<br />
'Jiiii~;:::;;,j:=;-::;;jiiiiiil<br />
venture between CBS-<br />
~ Fox and the studio.<br />
The studio took<br />
complete control in<br />
1991 and, as a result,<br />
the relationship was<br />
strengthened further.<br />
Fox became a retail<br />
channel distributor in<br />
1996 and has since<br />
gained market<br />
leadership through<br />
the use of superior<br />
technology, experienced<br />
sales and<br />
mru·keting personnel<br />
and the development<br />
df close retai ler<br />
relationships.<br />
In 1999, the<br />
122
<strong>Australia</strong>n offices of 20th Century Fox Home<br />
Entettainment relocated to the Fox Studio at the<br />
site of the old Sydney Show ground.<br />
THE PRODUCT<br />
Over 70 per cent of the DVDs sold in <strong>Australia</strong> ru·e<br />
live action movies, and Fox has established mru·ket<br />
leadership in the mru·keting, promotion, sales and<br />
distribution of feature films.<br />
Fox has adopted a p01tfolio management style<br />
to platform each ru·ea of its product offering. From<br />
new release films for the rental market to a catalogue<br />
of over 400 films on both formats to the retail mru·ket,<br />
Fox has enjoyed outstanding distribution<br />
successes and many record breaking results.<br />
With a mix of outstanding 'evergreen' films such<br />
as 'Braveherut', 'Titanic', 'The Sound of Music',<br />
'Fight Club', and 'X-Men' to mention only a few,<br />
Fox has one of the strongest video and DVD<br />
catalogues available. Complementing the individual<br />
films are the strong film and television franchises<br />
including the TV hits The Simpsons, X-Files, Buffy<br />
The Vampire Slayer and Angel as well as many<br />
others.<br />
In addition to an outstanding new release lineup,<br />
Fox will continue to drive category growth via<br />
the extensive catalogue.<br />
RECENT DEVELOPMENTS<br />
New release highlights in 2004<br />
include Peter Weir's epic<br />
masterpiece ' Master and<br />
Commander' (nominated for l 0 '<br />
Academy Awards and winner of<br />
two Oscars plus the BAFTA<br />
Awmd for BestDirector), 'The Day<br />
After Tomorrow', a special-effects<br />
packed mega-event picture from<br />
the director of 'Independence<br />
Day' (Roland Emmerich), the sci-fi<br />
thriller 'I, Robot' starring Will<br />
Srnith, the action packed 'Alien vs<br />
Predator' (whoever wins, we lose!),<br />
and Bill Murray brings the frunous<br />
crutoon-strip fat cat to life on the<br />
big screen in 'Garfield'! The most<br />
requested DVD ever will also be<br />
released in September 2004 when<br />
the Star Wars Trilogy comes to<br />
D VD for the fu·st time'<br />
The development and ;,?---------------<br />
consumer acceptance of DVD has<br />
created enormous growth in both<br />
the rental and retail channels.<br />
What was old is new and exciting<br />
again with DVD Special <strong>Edition</strong><br />
releases of films as diverse as<br />
'Independence Day' and 'The ~<br />
Sound of Music'. The excitement<br />
of this new format is growing at ~<br />
an unbelievable rate with DVD ~<br />
driving the consumer to rent and !I<br />
purchase with new enthusiasm. ~<br />
20th Century Fox will continue ~<br />
to invest in the growth of the Ill<br />
Home Entertainment category by<br />
working closely with rental and "<br />
retail prutners. The goal is to make<br />
DVD easily accessible to every<br />
<strong>Australia</strong>n via gold standmd in-<br />
..<br />
store execution and a marketing<br />
activity plan that will include<br />
heavy above-the-line media<br />
investment and long<br />
promotional partnerships.<br />
PRO MonON<br />
Fox spends both strategically<br />
and aggressively on mru·keting,<br />
specifically in the areas of<br />
consumer advertising, point of<br />
sale, retail execution, publicity<br />
and promotions and retailer<br />
specific promotions.<br />
Consumer advertising is<br />
targeted to reach the individual<br />
product's main demographic<br />
segment. The primmy choice for<br />
new release and re-promoted<br />
product is terrestrial television,<br />
Pay TV, specialist press and radio<br />
advertising, supplemented<br />
by other forms of media<br />
such as database mailers<br />
and in-store point of<br />
purchase materials.<br />
The Fox publicity and<br />
promotions team works<br />
with both rental and retail<br />
product to create a<br />
competlttve edge,<br />
concentrating on several<br />
!!!.---key strategies to position<br />
Fox product for both the<br />
industry and consumers.<br />
Fox has driven<br />
RENEE ZELLWEGER EWAN McGREGOR enormous market growth<br />
with seasonal catalogue<br />
Dowfi WiT"tt l.PVE campaigns such as X<br />
tremeDVD, Father's Day<br />
and Best of the Best.<br />
These promotions have<br />
generated mru·ket leading<br />
sales results. Fox will<br />
continue to drive these<br />
campaigns using a broadbased<br />
media strategy and<br />
catalogue marketing<br />
expertise to attract<br />
promotional prutners and<br />
drive category growth.<br />
The team maximises<br />
sales potential through<br />
cross promotions,<br />
product tie-ins and public<br />
relations; develops longterm<br />
third party partner<br />
relationships; and<br />
engineers and implements<br />
strong relationships with<br />
key members of the press.<br />
The team also plans and<br />
implements talent tours,<br />
interviews and press<br />
opportunities; creates<br />
event marketing plans<br />
including PR events and<br />
trade and retail specific<br />
launches; and develops<br />
retail campaigns to drive<br />
sales and increase retail<br />
presence.<br />
As a News Corp<br />
company, 20t" Centwy Fox<br />
Home Entertainment has<br />
formed unprecedented<br />
alliances with Fox<br />
theatrical, television,<br />
Foxtel cable television and<br />
News Corp publications.<br />
This has created a strong<br />
corporate synergy which<br />
gives all the organisations<br />
involved a competitive<br />
edge in their respective<br />
markets. Promotional<br />
partnerships with News<br />
publications, entertainment<br />
affil iates and<br />
allied firms like Harper<br />
Collins in publishing ru·e<br />
especially effective.<br />
BRAND VALUES<br />
Fox Home Entettainment<br />
carries the name and<br />
iconography of its parent<br />
20th Century Fox, one of the oldest and most<br />
recognised film studios in the world. As a distributor<br />
of entertainment and some of the best-loved films<br />
of all time Fox represents memoties, laughter, drama,<br />
songs and emotion to every generation. Fox is<br />
committed to delivering high quality replication of<br />
these films on VHS and DVD, which conform to the<br />
high standru·ds expected by the consumer.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
201H CENTURV FOX HOME ENTERI'AINMENT<br />
0 The 20t" Century Fox Home<br />
Entettainment team is relatively small,<br />
witl1 only 39 full time members.<br />
0 The blockbuster hit film, 'Titanic', has<br />
sold neru·ly I million units into the<br />
<strong>Australia</strong>n mru·ketplace across the<br />
video and DVD formats ... that's I in 6<br />
households.<br />
0 The production line which assembles<br />
Fox videos automatically opens tl1e<br />
video box, inserts the slick, drops in the<br />
cassette, closes tl1e box and adds a<br />
price label at the rate of 1700 boxes per<br />
hour.<br />
123
ABC<br />
THE MARKET<br />
One of <strong>Australia</strong>'s most valued and<br />
trusted brands, the ABC operates<br />
across a range of platforms, ensuring<br />
that as many people as possible are<br />
able to access the ABC content and<br />
services available nationally and<br />
internationally.<br />
In an average week an estimated<br />
75 per cent of <strong>Australia</strong>ns use ABC<br />
services.<br />
ACHIEVEMENTS<br />
ABC Television is <strong>Australia</strong>'s only<br />
national, commercial-free public<br />
television broadcaster. Innovative<br />
and quality programming has always<br />
been the hallmark of ABC TV On<br />
average, more than eighty new<br />
programs are launched each year<br />
providing the viewer with a rich mix<br />
of locally produced and overseas<br />
material. The emphasis continues to<br />
be on <strong>Australia</strong>n productions with<br />
60 per cent <strong>Australia</strong>n content in<br />
prime time- 6 pm to midnight.<br />
ABC Radio reaches <strong>Australia</strong>ns<br />
through five tenestrial networks and<br />
Internet radio, and listeners in the Asia Pacific<br />
region through its international network Radio<br />
<strong>Australia</strong>.<br />
ABC New Media and Digital Services<br />
coordinates all the ABC's online activities and<br />
websites as well as developing content for<br />
new and emerging platforms and initiatives '<br />
such as broadband, digital TV, interactive<br />
TV (iTV) SMS, wireless and datacasting.<br />
ABC Online consistently rates as one of<br />
the fifteen most popular sites in<br />
<strong>Australia</strong>. In 2003, ABC Online had an<br />
average monthly reach of 1.2 million<br />
<strong>Australia</strong>ns, representing an<br />
average of 13.2 percentoftheactive<br />
<strong>Australia</strong>n Internet population.<br />
ABC News and Cunent Affairs<br />
provides the most comprehensive<br />
news and cunent affairs coverage<br />
of any <strong>Australia</strong>n media<br />
organisation. More than 24,000<br />
hours of news and current affairs are<br />
broadcast annually across radio,<br />
television and online.<br />
ABC Enterprises creates, licenses,<br />
markets and retails quality consumer<br />
products which reflect and extend the scope of ABC<br />
programs and services. ABC Enterprises operates<br />
37 ABC Shops and 85 ABC Centres, the net revenue<br />
from which goes directly into further ABC<br />
programming initiatives. In 2002-2003, ABC<br />
Enterprises provided $9.83 million to the<br />
Corporation.<br />
HISTORY<br />
The ABC was inaugurated in 1932 by<br />
then Prime Minister Joseph Lyons.<br />
Twelve radio stations were brought<br />
together under the banner of the<br />
<strong>Australia</strong>n Broadcasting<br />
Commission.<br />
Until 1935 all programs<br />
went to air live. Over half the<br />
early programs were music<br />
and in 1936 the ABC began<br />
establishing studio<br />
broadcasting orchestras in all<br />
States. These provided the<br />
foundation for the state<br />
symphony orchestras which<br />
m the late 1990s<br />
progressively became<br />
independent subsidiary companies<br />
of the ABC.<br />
In 1947 the ABC established its<br />
own independent news service and<br />
in 1950 Radio <strong>Australia</strong> finally came<br />
under full control of the ABC. In 1956<br />
ABC Television began transmission<br />
in Sydney and Melbourne. In 1965<br />
the ABC logo came into use, in 197 4<br />
the first ABC shop opened and in<br />
1983 the ABC became a Corporation.<br />
From 1985 ABC Television could<br />
transmit programs nationally via the<br />
Aussat satellite and in 1995 the<br />
ABC's Multi Media (now New<br />
Media and Digital Services) division<br />
was established.<br />
THE PRODUCT<br />
ABC TV programs continue to win<br />
viewer and critical acclaim with the<br />
highest ever free-to-air audience<br />
share. Programs of all geru·es are also<br />
winning major peer-voted national<br />
and international awards. Free to air<br />
commercial channels vie to acquire<br />
concepts, programs and<br />
personalities pioneered by ABC TV<br />
Stories broken by programs such as Four<br />
Corners, <strong>Australia</strong>n Story and Andrew Denton's<br />
Enough Rope regularly receive major press<br />
exposure. Characters from some ABC TV programs<br />
such as Mother and Son, SeaChange, Bananas in<br />
Pyjamas and Kath & Kim have become <strong>Australia</strong>n<br />
icons. Three generations of <strong>Australia</strong>ns know the<br />
words to the Play School song.<br />
ABC Radio National plays a unique role in the<br />
<strong>Australia</strong>n radio market, with specialist information<br />
programs that touch on every aspect of life<br />
including health, politics, religion, science and the<br />
arts - giving a breadth of ideas and analysis. A<br />
10
number of the network's programs including The<br />
Science Show and Singers of Renown have enjoyed<br />
record-breaking longevity, maintaining audience<br />
interest over many years.<br />
ABC Classic FM, <strong>Australia</strong>'s only national<br />
classical music station offers an eclectic mix of<br />
music and music information. The network plays a<br />
key role in fostering the work of <strong>Australia</strong>n<br />
composers and performers as well as bringing<br />
<strong>Australia</strong>ns conceit pe1formances from around the<br />
world.<br />
The ABC's youth network triple j targets an<br />
audience of 18-24 year olds. The network gives<br />
significant support to new <strong>Australia</strong>n music with a<br />
play list that is more than 40 per cent <strong>Australia</strong>n. Its<br />
programs explore issues of interest and concern to<br />
young <strong>Australia</strong>ns.<br />
ABC NewsRadio provides a continuous news<br />
and information service and can be heard in all<br />
capital cities plus Northern Tasmania, Newcastle,<br />
the Gold Coast and Gosford. When Federal<br />
Parliament is in session NewsRadio crosses to<br />
Canberra for live coverage while the regular<br />
programming continues to be streamed on the<br />
Internet.<br />
ABC Local Radio provides an outlet for local<br />
information, news and views through a network of<br />
nine metropolitan and 51 regional stations. It offers<br />
a mix of news, cun·ent affairs, talkback, sport music<br />
and rural matters.<br />
dig is an Internet radio station offering a diverse<br />
range of non-stop music, as well as music news,<br />
reviews, concerts and interviews, for a 30-plus<br />
audience. Its non-stop music stream is also<br />
broadcast as an audio service on digital television.<br />
ABC News and Cun·entAffairs provides the most<br />
comprehensive news and current affairs coverage<br />
of any <strong>Australia</strong>n media organisation. It includes<br />
analytical and investigative reporting of the<br />
nation's business, community and political affairs<br />
with award-winning programs such as the 7.30<br />
Report, 4 Corners, Lateline and <strong>Australia</strong>n Story as<br />
well as Insiders and Landline on TV and AM and<br />
PM on radio.<br />
ABC New Media and Digital Services is a leader<br />
in developing and creating high quality, innovative<br />
content across multiple platforms as well as<br />
extending and enhancing the prograrruning of ABC<br />
Radio and Television. It provides a distinctly<br />
<strong>Australia</strong>n perspective on local, national and<br />
international activities to online and new media<br />
users throughout <strong>Australia</strong> and internationally.<br />
The four business units of ABC Enterprises-<br />
ABC Consumer Publishing, ABC Retail, ABC<br />
Content Sales and ABC Resource Hire - are<br />
responsible for selling and distributing<br />
programming and content, the hiring of resources<br />
and developing and retailing \<br />
products relating to ABC<br />
programming or Charter roles.<br />
RECENT<br />
DEVELOPMENTS<br />
ABC New Media and Digital<br />
Services' innovative broadband<br />
service was established in 2001 and<br />
enables audiences to interact with<br />
high quality rich media content ~ 1 •<br />
on demand. The ABC 121 p ~ 1<br />
Broadband service offers several r-'1 :..J<br />
channels including News, Kids,<br />
cooking, comedy and music.<br />
As the digital environment evolves NM&DS is<br />
at the forefront of developments, producing<br />
content for emerging platforms including wireless<br />
and some of <strong>Australia</strong>'s first iTV programs, helping<br />
to shape the format of this new platform. NM&DS<br />
is also actively involved in datacasting and digital<br />
radio trials.<br />
Launched on December 31, 2001 ABC Asia<br />
Pacific is the ABC's free-to-air international satellite<br />
television service catering to the Asia-Pacific region.<br />
Drawing on the expertise of the ABC's network of<br />
reporters, programs take a daily look at issues and<br />
events across the region as well as considering<br />
global issues from a regional standpoint<br />
dig, the ABC's first Internet radio station, was<br />
launched in 2002.<br />
At the end of 2003, ABC Radio began<br />
broadcasting digital radio trials in Sydney and<br />
Melbourne.<br />
PROMOTION<br />
Press coverage and cross promotion in its own<br />
output provide most of the promotion of ABC<br />
programs and publications. Cross promotion varies<br />
from on-air mentions to scripted promos and TV<br />
voiceovers.<br />
A recent high-profile advertising campaign<br />
'enemy of average' aimed to reposition the youth<br />
radio network triple j in the 18-24 year market.<br />
ABC TV's station identification campaign<br />
'everyone's ABC', launched in 2003, was designed<br />
to give a feeling of involvement among viewers<br />
and show faces and images that reflect <strong>Australia</strong>'s<br />
diversity.<br />
Involvement in community activities is an important<br />
way of keeping the ABC brand in the public eye and<br />
giving a 'human face' to the national brooclcaster. The<br />
ABC's exhibition trailer travels around the country to<br />
local events. It offers the <strong>Australia</strong>n public an<br />
interactive hands-on experience of ABC programs,<br />
personalities and services.<br />
BRAND VALUES<br />
The vision for the ABC is to be both valued and<br />
integral to <strong>Australia</strong>'s culture, and its mission is to<br />
engage its audiences with an independent,<br />
distinctive and appealing mix of prograrruning<br />
and content, delivered via multi-platform<br />
services.<br />
The ABC is guided by these values:<br />
Editorial Excellence - aspiring to the<br />
highest standards of accuracy, impartiality<br />
and independence, in reflecting a balanced<br />
and broad range of views and interests<br />
through adherence to editorial policies and<br />
guidelines.<br />
Innovation and Creativity - striving for<br />
excellence in the development and<br />
presentation of distinctive information and<br />
cultural programming content.<br />
Universal Access- ensuring that all <strong>Australia</strong>ns<br />
can access services that provide the knowledge<br />
required in a modern information-based society.<br />
Our People - providing opportunities for the<br />
ABC's people to grow, personally and<br />
professionally, during their time with the<br />
Corporation.<br />
Good Governance - demonstrating accountability<br />
for the efficient and effective use of public<br />
resources.<br />
Shared Commitment - accepting the shared<br />
obligation to act responsibly and with a commitment<br />
to fairness and justice.<br />
Courage - encouraging the leadership and<br />
vision to adapt to change with flexibility, integrity<br />
and decisiveness.<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
THE ABC<br />
The ABC is <strong>Australia</strong>'s largest radio<br />
and television network, covering 98 per<br />
cent of the <strong>Australia</strong>n continent.<br />
99 out of the top l 00 children's (0-12)<br />
programs on <strong>Australia</strong>n TV, in 2003<br />
were broadcast on ABC TV.<br />
More than 190 countJies buy ABC<br />
Television programs from ABC Content<br />
Sales; the revenue earned is fed back<br />
into program making.<br />
You would have to stay awake for over<br />
250 days to hear the more than 500,000<br />
news stmies that ABC NewsRadio<br />
broadcasts every year.<br />
triple j is AustJ·alia' s greatest suppmter<br />
of home grown music. Grinspoon,<br />
Killing Heidi and Endorphin were<br />
'unearthed' on the National Youth<br />
Network that keeps AustJ·alian music<br />
alive.<br />
When ABC Online was first launched<br />
in July 1995, it was a collection of6<br />
websites. Today, ABC Online carries<br />
more than 1.5 million individual web<br />
pages and the site consistently ranks<br />
in the top fifteen websites accessed by<br />
<strong>Australia</strong>ns.<br />
More than 1 million <strong>Australia</strong>ns visit<br />
ABC Online each month and around<br />
2.5 1nillion visit over a quarterly period.<br />
ABC Asia Pacific satellite coverage<br />
extends from Bangladesh in the west,<br />
Korea in the north ar1d as far· east as<br />
the Cook Islands.<br />
11
THE MARKET<br />
The <strong>Australia</strong>n Gas Light<br />
Company (AGL) is the largest<br />
retail energy supplier in<br />
<strong>Australia</strong>, offering gas and<br />
electricity services to around 3<br />
million customers. The<br />
company 's interests are<br />
concentrated in the populous<br />
south-eastern corner of<br />
<strong>Australia</strong>, where AGL has been<br />
operating since 1837 when it<br />
was establ ished to light the<br />
streets of Sydney with town gas.<br />
From these humble<br />
beginnings, AGL has exp
In 1976, AGL introduced natural gas, and growth<br />
continued through the 1990s. In recent yeru·s, the<br />
privatisation of the Victorian and South <strong>Australia</strong>n<br />
energy industries has enabled AGL to expand its<br />
business for the first time into electricity through<br />
the addition of new customers and network<br />
infrastructure. Retail competition in SA, Victoria and<br />
NSW has also added a new element of challenge<br />
for AGL which will define the company' s future as<br />
it moves into thi s new century.<br />
THE PRODUCT<br />
Customers' changing energy requirements continue<br />
to define AGL, which has developed a full suite of<br />
competitive gas and electricity products, tailored<br />
to suit customer needs. As well as having the<br />
capability to offer customers the convenience of<br />
electricity and gas from one provider, AGL also is<br />
now catering for those customers with a green<br />
preference. AGL has introduced a suite of green<br />
products under the banner of AGLGreen Choice,<br />
including AGL Green Balance which is the first<br />
<strong>Australia</strong>n Greenhouse Friendly product to be<br />
officially certified by the <strong>Australia</strong>n Greenhouse<br />
Office.<br />
Beyond the supply of gas and electricity AGL<br />
also provides a range of additional services to meet<br />
the needs of consumers. AGL's Energy Shop<br />
franchises have been established in South <strong>Australia</strong><br />
and New South Wales to provide value and advice<br />
on energy efficient appliances. AGL also offers<br />
commercial and residential gas appliance repair,<br />
electrical repairs and maintenance, and hot water<br />
repair or replacement services tlu·ough AGL Assist<br />
in New South Wales, Victoria and South <strong>Australia</strong>.<br />
AG L infrastructure and services compru1y,<br />
Agility, provides operational and maintenance<br />
services to AGL Gas Networks for both natural gas<br />
and electricity di stribution. It also provides the<br />
diverse ski lls of its personnel to other asset owners<br />
and developers. Services include project<br />
commercialisation; design, construction and<br />
commissioning; commercial and technical asset<br />
management and regulatory support; and a<br />
comprehensive range of field operating services<br />
including maintenance, communications and<br />
business systems.<br />
RECENT DEVELOPMENTS<br />
The largest single change in <strong>Australia</strong>'s energy<br />
mmket came with the move to deregulation. This<br />
began in 1994 when Professor Fred Hilmer's report<br />
suggested that major economic benefits could<br />
arise from the creation of a free and<br />
deregulated energy mru·ket.<br />
Energy mru·ket reform began in August<br />
1997 with deregulation of the natural gas<br />
industry in New South Wales.<br />
The deregulation of the electricity<br />
market in New South Wales, Victoria and<br />
South <strong>Australia</strong> occurred in parallel with the<br />
corporatisation of state-owned utilities. In<br />
1995, AGL acquired 50 per cent of one of<br />
the Victorian electricity distribution and<br />
retailing companies, Solaris Power. In<br />
Jmmru·y 1998, AGL acquired the remaining<br />
half share in Solmis Power, which is now<br />
branded as AGL.<br />
Similru·Iy, AGL acq uired the retail ru-m of<br />
The Electricity Trust of South <strong>Australia</strong>,<br />
ETSA Power, in Jm1uru·y 2000 and Pulse<br />
Energy, a Victorian gas and e lectricity<br />
retailer, in 2002.<br />
These acquisitions have led to AGL's<br />
emergence as the nation's largest combined<br />
energy transmission, distribution, energy<br />
retailing and marketing company with $4.5<br />
billion worth of assets in <strong>Australia</strong> and New<br />
Zealand.<br />
AGL is now focused on further growing the<br />
business both organically and through appropriate<br />
investments in power generation and renewable<br />
energy. AGL is specifically seeking investments<br />
which will deliver appropriate returns and fmther<br />
diversify the company's portfolio of downstreaiTI<br />
energy assets.<br />
PROMOTION<br />
In 1974 AGL transformed its linage in prepru·ation<br />
for the new fuel, natural gas. The company adopted<br />
a new logo symbolising the change to<br />
environmentally friendly natural gas. The 'Living<br />
Flame' advertising caiTipaign in 1979 signalled a new<br />
beginning as AGL set out to recapture its historic<br />
position of dominance in the energy mmket.<br />
A number of other campaigns, including the<br />
highly-recognised Mimi the Mouse campaign, were<br />
introduced during the next decade. More recently,<br />
AGL launched a new campaign to better reflect the<br />
needs and aspirations of <strong>Australia</strong>ns. This cmnpaign<br />
shows slices of everyday life- capturing some true<br />
moments in life that everyone can relate to - and<br />
demonstrates how AGL' s range of energy products<br />
and services me an integral part of that.<br />
All of these campaigns have been successful in<br />
making AGL one of the most recognised gas and<br />
electricity companies in <strong>Australia</strong>.<br />
BRAND VALUES<br />
In all that it does, AGL helps people to get<br />
on with their lives. Every day, the<br />
company strives to provide customers<br />
with value, expertise ru1d friendly service.<br />
The brand values, including being<br />
<strong>Australia</strong>n, dependable and expe1t, reflect<br />
AGL's long hi story while propelling the<br />
company into the future. AGL is uniquely<br />
<strong>Australia</strong>n because the company was there<br />
more than 165 yew-s ago when <strong>Australia</strong><br />
was beginning to take its present shape.<br />
Its presence made an enormous difference<br />
to the everyday I i ves of people and<br />
business. AGL is dependable because it<br />
knows what to do when the going gets<br />
tough - people can depend on AGL<br />
whether it's fixing a gas hot water heater or<br />
helping them during a crisis.<br />
And the company uses its wide-ranging<br />
expertise to solve the really hru-d problems<br />
AGL believes in energy know-how as a<br />
strength in all of its people.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
AGL<br />
0 AGL provided the engineering<br />
expe1tise that designed and built the<br />
burner for the Olympic flame at the<br />
Sydney 2000 grunes.<br />
0 In 1959,AGLbecruneoneofthefirst<br />
compm1ies in <strong>Australia</strong> to employ<br />
computerised record-keeping systems.<br />
0 In 1871 ,AGLwasoneofthefirst<br />
companies listed on the Sydney (now<br />
the Australim1) Stock Exchange.<br />
0 AGL is the second-oldest company in<br />
<strong>Australia</strong> still trading under its 01iginal<br />
name.<br />
0 AGL was the first gas and electricity<br />
retailer to offer a greenhouse-friendly<br />
product, Green Balance TM, approved<br />
by the Austra1im1 Greenhouse Office.<br />
13
The Official Card of the <strong>Australia</strong>n Open.<br />
THE MARKET<br />
American Express International is a world leader in<br />
travel and financial services including charge and<br />
credit cards, Travellers Cheques, financial planning,<br />
investment products, insurance and international<br />
banking.<br />
Through its family of Corporate Card and<br />
business travel services, American Express helps<br />
companies manage their travel, entertainment and<br />
purchasing expenses.<br />
As the world's largest travel agency, American<br />
Express offers travel and related consulting services<br />
to individuals and corporations around the world.<br />
In <strong>Australia</strong>, American Express competes in a<br />
highly competitive and dynamic industry. The<br />
company dominates the Corporate Card market with<br />
58 per cent; 85 per cent of charge Cardmembers<br />
and 45 per cent of credit Cardmembers are enrolled<br />
in its Membership Rewards TM loyalty program.<br />
ACHIEVEMENTS<br />
American Express was the first company to offer a<br />
loyalty program and the company recently<br />
reaffirmed its commitment to the program by<br />
launching in the <strong>Australia</strong>n market, Rewards<br />
Maximiser , a new credit card designed for<br />
consumers who want to accumulate and redeem<br />
more rewards points - faster.<br />
All Ame1ican Express Credit Cards- including<br />
American Express Gold Credit Card, American<br />
Express Blue Credit Card and the various cobranded<br />
credit cards - rated by CANNEX, an<br />
independent retail financial research company, have<br />
been awarded 'five stars' in its benchmarking of<br />
225 credit card products from over 70 financial<br />
institutions in <strong>Australia</strong>. Sta.J· ratings are not only<br />
used as an independent indicator of value but are<br />
recommended by the <strong>Australia</strong>n Consumers<br />
Association to consumers as a measure of product<br />
performance.<br />
CANNEX also rated American Express as the<br />
number one Credit Card for both high and moderate<br />
users.<br />
American Express was named the 2002 Credit<br />
Card Provider of the Year in the Personal Investor<br />
Magazine Awards.<br />
American Express received a ' 2003 Best<br />
Employer to Work for in <strong>Australia</strong>' award, published<br />
in the Financial Review's Boss Magazine in March<br />
2003.<br />
The Corporate Research Foundation chose<br />
American Express as one of only 29 organisations<br />
to be cited as the Best Companies to Work for in<br />
<strong>Australia</strong>. American Express was also once again<br />
one of the companies to receive the Employer of<br />
Choice for Women title. This is awarded to<br />
companies with a proven track record of advancing<br />
the status of women in the workforce.<br />
HISTORY<br />
The express and freight forwarding business upon<br />
which American Express was founded was an<br />
essential service, and its stagecoach, express<br />
wagon and railway car staff were rugged individuals<br />
whose duties were romanticised by the public.<br />
During the latter half of the 19' 11 Century, as<br />
Americans developed an intense appetite for travel,<br />
the company expanded its freight forwarding<br />
services into Europe. Americans abroad began to<br />
rely on the company for travel advice, and American<br />
Express increasingly became a travel services<br />
company.<br />
With World War I, American Express'<br />
international growth plans were quashed. When<br />
the United States entered the war in 1917, the<br />
railroads were commandeered for government<br />
purposes and the express and freight companies<br />
were consolidated into a single entity, known as<br />
the American Railway Express Company.<br />
However, with its strong money order sales<br />
and the introduction of the Travellers Cheque in<br />
1891, American Express had diversified its<br />
businesses enough to separate its growing travel<br />
and financial operations from the freight and<br />
express businesses and the company thrived<br />
despite the loss of its core business. In time the<br />
travel business flourished, and the company's<br />
14
financial businesses also performed well.<br />
By the early 1950s, American Express had<br />
solidified its position as one of the world's<br />
premier travel companies. Its offices around<br />
the globe - like the famous I I, rue Scribe<br />
site in Paris-were every American traveller's<br />
"home away from home." The company's<br />
travellers cheques became the best-selling<br />
product of their kind in the world, a position<br />
they still hold. American Express'<br />
international banking business expanded,<br />
and the company' s contracts with the U.S.<br />
government to provide banking services to<br />
military personnel and their families stationed<br />
outside the United States following World<br />
War II helped build a broader customer base<br />
for the company.<br />
But the 1950s also brought about another<br />
dramatic transformation of American<br />
Express, including the beginning of a<br />
continued presence in <strong>Australia</strong>. In 1954, the<br />
company opened a travel office located in a<br />
department store in Sydney. In the US in<br />
1958, American Express launched the<br />
American Express Card, which became the<br />
touchstone for the company's next<br />
transformation. The Card business, which<br />
had been viewed as a supplemental business<br />
unit, quickly became the company's core<br />
business.<br />
In 1974, <strong>Australia</strong>'s dollar became only<br />
the 16' 11 currency to have its own<br />
denominated card. In the 1970s and early 1980s,<br />
American Express diversified its holdings through<br />
acquisitions and became what the business press<br />
dubbed a 'financial supermarket'.<br />
During the early 1990s, American Express<br />
reinvented itself and focused almost singlemindedly<br />
on the brand and its application to<br />
those businesses. The company's U.S. financial<br />
planning unit was rebranded in 1995 as American<br />
Express Financial Advisors. In the late 1990s as<br />
the company experienced a period of market<br />
share gains across several of its businesses,<br />
American Express launched the world's first card<br />
rewards program, Membership Miles (later called<br />
Membership RewardsTM), which has spawned a<br />
host of followers.<br />
The company also began the process of<br />
extending its brand through<br />
a broad range of<br />
partnerships with companies<br />
sharing its core brand<br />
attributes of Quality,<br />
Customer Commitment,<br />
Security, Trust and Integrity<br />
which has seen American<br />
Express enter the new<br />
millennium with a strong and<br />
visible brand that is<br />
meaningful and respected by people a.J·ound the<br />
world.<br />
THE PRODUCT<br />
American Express values diversity and its products<br />
and services a.J·e as diverse as the company itself.<br />
The company's principal lines of business are<br />
organised into four groups: The Global Financial<br />
Services Group (which includes American Express<br />
Financial Advisors and American Express Bank);<br />
americanexpress.com.au<br />
CARL W VOLCKMANN<br />
29 NURSERY RD<br />
HUNTINGTON STAN<br />
the U.S. Consumer and Small Business Services<br />
Group (which includes its Credit and Charge Card<br />
businesses); the Global Corporate Services Group<br />
(which includes the company's Corporate Card and<br />
Corporate Travel businesses); and the Global<br />
Establishment Services and Travellers Cheque<br />
Group.<br />
Through these four groups, American Express<br />
serves the broad needs of its global customer base.<br />
Whether you are a student booking a tour through<br />
a travel service office, a small business owner or a<br />
multinational corporation, American Express'<br />
commitment to delivering a superior Customer<br />
Experience means customised service designed to<br />
meet your unique needs.<br />
RECENT DEVELOPMENTS<br />
In 2003, American Express<br />
acquired Rosenbluth<br />
International, a leading<br />
global travel management<br />
company with corporate<br />
travel operations in 15<br />
counu·ies and 2002 global<br />
business travel volume of<br />
more than $US3 billion. The<br />
combined 2002 volume of<br />
the two firms, $US 18.5<br />
billion, builds on American Express' global<br />
leadership position in corporate travel management.<br />
Also in 2003, Ame1ican Express and Travelscene<br />
announced a lead franchise agreement that will<br />
create one of the largest travel networks in Ausu·a!ia<br />
with more than 650 offices across every state and<br />
territory. Travel scene is a wholly owned <strong>Australia</strong>n<br />
travel franchise.<br />
Travelscene took on the day-to-day<br />
management of the American Express Travel Service<br />
network, while American Express continues<br />
to provide strategic direction, marketing and<br />
training support. The deal is intended to<br />
improve services for members of both<br />
networks, and to allow Travelscene to<br />
continue its outstanding growth.<br />
American Express also recently<br />
purchased the AMP credit card portfolio<br />
in <strong>Australia</strong> and New Zealand, adding<br />
some 160,000 new Cardmembers.<br />
PROMOTION<br />
American Express has long been known<br />
for its inventive advertising. From 'Mr<br />
Wong' and 'Don' t leave home without it'<br />
to the 'Membership Has Its Privileges'<br />
campaign of the 1980s or the highly visible<br />
participation of Jeny Seinfeld and Tiger<br />
Woods as American Express spokesmen<br />
in the 1990s and beyond, advertising has<br />
long played a role in American Express'<br />
sustained recognition.<br />
American Express takes an holistic and<br />
strategic view of its brand positioning and<br />
today's ' Long Live Dreams' brand<br />
campaign which was launched in 2002 in<br />
<strong>Australia</strong> reflects the company' s wide<br />
range of products and business solutions<br />
and the company's commitment to help its<br />
customers achieve their dreams by making<br />
the most oflife's possibilities.<br />
BRAND VALUES<br />
American Express has set itself the vision of<br />
becoming the world's most respected service brand.<br />
American Express is committed to making a<br />
positive difference in its clients' lives. No matter<br />
how they choose to define 'success,' whatever their<br />
aspirations, whatever they choose to accomplish,<br />
wherever their dreams take them, the company's<br />
will to win and sense of personal accountability<br />
will ensure that American Express is there to help.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
AMERICAN EXPRESS<br />
American Express has an outstanding tradition<br />
of assisting customers, but few people know<br />
just how outstanding!<br />
0 While on board a cruise ship in<br />
<strong>Australia</strong>, a Cardmember found that<br />
someone had removed the last ten<br />
pages of a novel she was reading. The<br />
Cardmember contacted Ame1ican<br />
Express, who faxed her a copy of the<br />
missing pages.<br />
0 A Platinum Cardmember wanted to buy<br />
two Siamese kittens. American Express<br />
found them after searching va.Jious<br />
breeders throughout <strong>Australia</strong> and<br />
delivered them straight to their new home.<br />
0 During a mission in the First Gulf Wa.J·,<br />
a Royal Air Force (RAF) pilot needed<br />
to make an unscheduled landing in<br />
Saudi Arabia to refuel. The petrol<br />
station attendant happily cha.J·ged the<br />
14,000 liu·es of fuel to the pilot's<br />
America.J1 Express Card.<br />
15
nse<br />
THE MARKET<br />
Ansell Limited is principally engaged in the<br />
worldwide manufacture and marketing of latexdipped<br />
and other natural and synthetic rubber<br />
products. Ansell operates in tlu·ee broad market<br />
segments, being Professional healthcare (surgical<br />
and examination gloves), Occupational healthcare<br />
(industrial hand protection) and Consumer<br />
healthcare (condoms, personal lubricants and<br />
household I DIY gloves). Ansell is recognised<br />
across the Americas, Europe, Middle East, Africa<br />
and the Asia Pacific region.<br />
Ansell<br />
chekmate<br />
12 ~UBR I CATED CONDOMO<br />
Extra Se nsitive<br />
with the community values of the day.<br />
Eric Ansell, (born in London in 1878) was at the<br />
time employed in the engineering section of the<br />
Dunlop factory. Under his direction, the condom<br />
plant was di sassembled. Eric Ansell purchased the<br />
machine and resigned from Dunlop to begin hi s<br />
own production of condoms in a small rented<br />
house in Richmond, Melbourne.<br />
In 1919, Ansell decided to expand into the<br />
production of rubber goods other than condoms.<br />
He leased bigger factory<br />
ACHIEVEMENTS<br />
In 2005, Ansell will be celebrating its centenary.<br />
From humble origins as a small, one-man operation<br />
in Richmond, Melbourne, Ansell has become one<br />
ofthe world's largest manufacturers and marketers<br />
of natural and synthetic latex gloves and natural<br />
latex condoms. Ansell cunently employs over 12,000<br />
people in more than 20 countries and is still<br />
growing. In I 00 years Ansell has become a truly<br />
global organisation, positioned as an innovative<br />
leader of latex technologies and able to move<br />
successfully into the twenty-first century.<br />
During the early 1960s, Ansell launched the<br />
Chekmate condom which has become an <strong>Australia</strong>n<br />
icon. In the 1980s, Ansell began selling the extensive<br />
LifeStyles condom range. Of all current condom<br />
users, 97 per cent 1 are aware of at least one of the<br />
Ansell Chekmate and LifeStyles brands. In 2003,<br />
Ansell's share of the total <strong>Australia</strong>n condom market<br />
was approximately 70 per cent. 2<br />
Ansell's household gloves have been an<br />
ongoing force in the marketplace since 1925.<br />
and the patriotic 'green & gold' Ansell Super Glove,<br />
together hold an approximate 28 per cent mar·ket<br />
share 4 in the regular glove segment, where there<br />
are six competing 'super' brands, plus private<br />
labels - totalling over l 00 different gloves.<br />
HISTORY<br />
In 1905, the Dunlop factory ceased the manufacture<br />
of condoms, a decision perhaps made in keeping<br />
In 2003, Ansell was the --~~~~"'=""'-~~~~'so;;:::--::-.:~~~<br />
market leader of gloves in<br />
grocery with an<br />
approximate 42 per cent3<br />
market share. The iconic<br />
Ansell 'Pink' Silverlined<br />
premises in Richmond to produce toy balloons.<br />
By 1925, the smalJ company was producing surgical,<br />
household and work gloves.<br />
ln the USA, interest in Ansell 's products had<br />
increased to such a degree that a local company<br />
was formed to service clients, and in 1967, Ansell<br />
won the <strong>Australia</strong>n Government's Export Award.<br />
On 6 June, 1969, Ansell was acquired by Pacific<br />
Dunlop (then called Dunlop <strong>Australia</strong>), with the<br />
company's assets being valued at $ 12.5 million. The<br />
acquisition by Dunlop provided Ansell with both<br />
the finance and expertise to expand its global<br />
activities. The first major breakthrough was the<br />
successful establishment of a glove factory in<br />
Melaka, Malaysia in 1975, based on the efficiencies<br />
of building a factory near to the source of the basic<br />
raw material - natural rubber.<br />
Since then, Ansell has continued<br />
to grow and develop in both the<br />
<strong>Australia</strong>n market, and in markets<br />
in the Americas, Europe, the<br />
Middle East, Africa and Asia<br />
Pacific, through acquisitions,<br />
factory establishment and<br />
innovative product development<br />
and marketing.<br />
16
THE PRODUCT<br />
Ansell focuses on providing high quality healthcare<br />
barrier protection against injury, infection and<br />
contamination. Ansell's products are used by<br />
millions of people in the healthcare industry,<br />
the home and other special environments,<br />
such as food preparation and<br />
microelectronics.<br />
In the consumer market segment,<br />
Ansell offers 22 branded<br />
household glove variants in the<br />
range of regular, disposable and Do It<br />
Yourself gardening gloves. Ansell also<br />
produces an extensive range of over four<br />
brands of condoms with eight flavours, four<br />
fragrances, seven colours, three textures and five<br />
different shapes to provide comfott and variety for<br />
the users of the product.<br />
RECENT DEVELOPMENTS<br />
Ansell continues to explore and develop<br />
new ways of providing the best<br />
possible healthcare barrier<br />
protection, and strives to raise<br />
market awareness of its<br />
products and services.<br />
Newly launched<br />
glove products<br />
contain<br />
moisturisers<br />
which<br />
actively<br />
benefit the<br />
wearer's skin quality<br />
during use. The new Ansell<br />
'Handy Care' disposable glove<br />
combines proven moisturising agents -<br />
chamomile and glycerine - to help improve the<br />
condition of the wearer's hands, while the soothing<br />
qualities nourish the wearer's skin through a<br />
specially formulated dry lining. In 2000, Ansell<br />
launched its innovative 'Fresh 'n' Dry' glove which<br />
is a general use, foamlined household glove<br />
providing enhanced perspiration absorption and<br />
comfmt. With the increase in popularity ofD IY jobs,<br />
Ansell supplies a range of DIY garden gloves, which<br />
provide strength, durability, comfmt and protection<br />
for the wearer.<br />
Technological innovations have allowed Ansell<br />
to create a number of different condom shapes, to<br />
make them easier to put on and for extra comfort<br />
during use. The Xtra Pleasure condoms have a<br />
generous oversized tip, to intensify stimulation for<br />
both partners. All Ansell condoms in <strong>Australia</strong> have<br />
been endorsed by "Sexual Health and Family<br />
Planning <strong>Australia</strong>" - one of the leading bodies<br />
promoting safe sex and STI prevention.<br />
PROMGnON<br />
In addition to above-the-line advertising, Ansell<br />
promotes its range of condoms and household<br />
gloves tluuugh its active participation in trade show<br />
exhibitions as well as direct representative contact<br />
with retail<br />
trade channels<br />
across <strong>Australia</strong>.<br />
One of Ansell's<br />
priorlttes is to offer<br />
educational, promotional<br />
a n d<br />
condom<br />
product<br />
support to the<br />
public healthcare<br />
community. Ansell has developed close<br />
relationships with the Sexual Health and Farnily<br />
Planning Association, Sex Worker Organisations<br />
and Sexual Health Education Providers, AIDS<br />
Councils, and is the longest standing suppmter of<br />
the AIDS Trust <strong>Australia</strong>. Ansell's partners in the<br />
public healthcar·e community provide important<br />
feedback which assists Ansell in producing the best<br />
products for its customers.<br />
In March each year Ansell suppmts the 'Clean<br />
Up <strong>Australia</strong>' campaign by supplying 30,000 pairs<br />
of gloves and cash for contribution.<br />
Ansell sponsors the website free-condomstuff.corri<br />
which has constantly updated<br />
competitions, free downloads, games, news and<br />
interesting information to help people select the<br />
right product. The site encourages people to take a<br />
responsible approach to sex while being at the same<br />
time fun and non-judgmental.<br />
Ansell sponsors a number of youth oriented<br />
events including surfing and snow boar·ding. It also<br />
actively promotes the proper use of condoms<br />
through targeting activity to relevant risk groups<br />
and by suppmting the work of important sexual<br />
health organisations.<br />
BRAND VALUES<br />
Ansell's vision is to<br />
be a global leader in<br />
broad-based healthcare protection, providing<br />
exceptional solutions, products and value to its<br />
customers. It already has the support and<br />
commitment of leading customers in over 100<br />
countries, and continues to expand its business.<br />
In the Professional Healthcar·e mmket (Medical<br />
Gloves), Ansell is recognised as a premium-quality<br />
manufacturer and product innovator, with leadingedge<br />
science and technology. In addition, Ansell is<br />
the recognised global leader in Occupational Health<br />
and Safety gloves, and its Consumer Healthcme<br />
division is recognised for bringing unique and<br />
innovative household gloves and condom products<br />
tommket.<br />
www.ansell.com<br />
1<br />
Roy Morgan. July 2003<br />
~Co mbin ed Aztec & Ansell data Ju ly 2003<br />
·'Ansell MAT 26/ 10/03<br />
'Ansell MAT 26/ I 0/03<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ANSELL<br />
0 In the late '40s Ansell produced latex<br />
castrating tings for sheep.<br />
0 Ansell produces custom-made medical<br />
gloves for surgeons with special hand<br />
requirements.<br />
0 The old factory far;:ade in Richmond,<br />
Melbourne is still star1ding and is now<br />
occupied by a grocety wholesaler.<br />
0 Ansell broke the world record for the<br />
single biggest shipment of condoms,<br />
with 213,600,000 sent to Brazil in 2003.<br />
0 Ansell was an official provider at the<br />
2000 Sydney Olympics and<br />
approximately 100,000 condoms were<br />
supplied to the athletes' village.<br />
0 Ansell was a sponsor of the Gay<br />
Garnes in Sydney 2002.<br />
0 Ansell's household gloves are<br />
mar·keted throughout the world under<br />
a long-standing relationship with<br />
Freudenberg & Co, a leading<br />
European consumer products<br />
company.<br />
17
THERE IS NO SuBSTITUTE<br />
FOR QUAliTY<br />
THE MARKET<br />
Biscuits and snacks are two oflife's little<br />
pleasures. We offer them to our<br />
friends when they pop in for<br />
a visit, or we treat ourselves<br />
to a nibble on a quiet night<br />
in.<br />
For over 135 years,<br />
Arnott' s has been making<br />
great food that everyone loves,<br />
every day, and will continue<br />
to do so for generations to<br />
come.<br />
Arnott's is the market leader of the<br />
<strong>Australia</strong>n biscuit category and the number<br />
two player in the <strong>Australia</strong>n snack foods category.<br />
Arnott' s grows the biscuit category through<br />
product and flavour innovation, and by offering<br />
consumers great-tasting foods that suit any<br />
occasion.<br />
As the palate of the <strong>Australia</strong>n population<br />
evolves, Arnott's has anticipated emerging trends<br />
and created a range of biscuits and snack foods<br />
that cater to consumer tastes.<br />
Two trends currently affecting the biscuit market<br />
are the demand for snacks that are 'better for you',<br />
and can be eaten on-the-go.<br />
Trends cun·ently affecting the snack food market<br />
are the demand for more 'exotic' flavour<br />
combinations and the demand for snacks with a<br />
distinct 'flavour hit'.<br />
Anticipating and responding to trends is<br />
Arnott's strength. With its product and<br />
flavour innovation, and commitment to<br />
making delicious foods, Arnott's has<br />
been one of <strong>Australia</strong>'s favourite food<br />
companies for more than a century.<br />
ACHIEVEMENTS<br />
Millions of <strong>Australia</strong>ns have<br />
grown up with Arnott' s<br />
over the past 135<br />
years. For them,<br />
Arnott's is more<br />
than a biscuit<br />
company - it's a<br />
piece of <strong>Australia</strong>' s<br />
history and a<br />
national icon. The<br />
famous parrot<br />
trademark has a<br />
place in 97 per cent<br />
of <strong>Australia</strong>n<br />
households, and the<br />
leading<br />
Arnott's chocolate<br />
biscuit brand, Tim Tam,<br />
is a particular favourite<br />
with 27 million packs<br />
bought each year.<br />
In 2002, Arnott's<br />
acquired Snack Brands<br />
<strong>Australia</strong>, and added a<br />
number of <strong>Australia</strong>'s<br />
favourite snack brands<br />
to its portfolio -<br />
Cheezels, Thins<br />
andCC's.<br />
William Arnott began selling pies<br />
to ships docking in Newcastle<br />
in 1865, Arnott's has grown<br />
steadily, with more than<br />
50,000 <strong>Australia</strong>ns<br />
working<br />
for Arnott's<br />
over the past<br />
century. Today,<br />
Arnott's<br />
employs more<br />
than 3,300<br />
people <strong>Australia</strong>-wide,<br />
operates six<br />
bakeries and<br />
kitchens in<br />
<strong>Australia</strong> and<br />
invests more than $145 million per year on locally<br />
produced ingredients to make its biscuits and snack<br />
foods.<br />
With additional bakeries at Lae and Port Moresby<br />
in Papua New Guinea, and in Bekasi in<br />
Indonesia, Arnott's ranks among the<br />
world's largest food companies.<br />
HISTORY<br />
In 1865, WilliamArnottopened<br />
a biscuit bakery in Hunter<br />
Street, Newcastle, baking pies<br />
and biscuits to sell to coal<br />
ships that docked at the port.<br />
In 1877, the bakery moved to<br />
new premises and within three<br />
years employed 50 people and<br />
produced 1.5 tonnes of biscuits daily.<br />
By the following decade, Arnott' s was<br />
distributing to Sydney. In 1892 it began its first<br />
major advertising campaign, inviting parents to<br />
submit photographs of healthy children fed on<br />
Arnott's biscuits. The<br />
campaign, ' Living<br />
Pictures' , ran for more<br />
than 60 years.<br />
Demand for Arnott's<br />
biscuits grew rapidly,<br />
and in 1908 the<br />
company opened a new<br />
bakery on a two-hectare<br />
site at Homebush in<br />
Sydney, part of which is<br />
still occupied by<br />
Arnott's Asia Pacific<br />
regional headquarters.<br />
During World War ll, Arnott's helped feed the<br />
armed forces of both <strong>Australia</strong> and the United<br />
States, producing a range of sweet, energy-giving<br />
biscuits for the army and thick, dry biscuits for the<br />
navy that would keep for months at sea. Production<br />
of biscuits for civilian consumption was severely<br />
restricted, with just 19 varieties offered.<br />
In 1997,Arnott's becameapartoftheCampbell<br />
Soup Company family.<br />
With the 2002 acquisition of Snack Brands<br />
<strong>Australia</strong>, the number two player in the savoury<br />
snacks market, Arnott's added a diverse range of<br />
snack foods to its portfolio. The products span a<br />
number of segments in the snack food category<br />
including Adult Indulgence, Family Favourites and<br />
Better for You.<br />
18
THE PRODUCT<br />
Arnott's offers consumers greater choice than ever<br />
before, with a range of more than 120 varieties of<br />
sweet and savoury biscuits and crackers, and more<br />
than 60 varieties of savoury snack foods. Many of<br />
these great Arnott' s products are exported to more<br />
than 25 countries, including Canada and the UK.<br />
In <strong>Australia</strong>, the Arnott's name is synonymous<br />
with quality. Its best-selling chocolate biscuit<br />
varieties, Tim Tam and Mint Slice biscuits, are<br />
market leaders in the adult indulgence segment of<br />
the biscuit category, while Scotch Finger biscuits,<br />
Jatz and Savoy crackers and many others remain<br />
firm family favourites.<br />
Arnott's Shapes is the biggest Arnott's brand,<br />
with annual sales of almost $100 million- that's<br />
almost 60 million packs of Shapes sold a year!<br />
Arnott's Thins are market leaders of the thinsliced<br />
chip segment, and Cheezels is an <strong>Australia</strong>n<br />
favourite, joining Tim Tam biscuits in many 'care<br />
packs' sent to relatives overseas.<br />
All Arnott' s products are made using the finest<br />
ingredients. Wherever possible, Arnott's<br />
supports local growers, buying potatoes from<br />
various locations around the eastern seaboard of<br />
<strong>Australia</strong>, wheat from south-eastern New South<br />
Wales and northern Victoria, and sugar from the<br />
central coast of Queensland.<br />
Arnott's is the largest user of 'soft' flour in<br />
<strong>Australia</strong> and has supported the wheat<br />
industry by assisting to develop<br />
strains of wheat which produce high<br />
yields and are resistant to drought and<br />
disease.<br />
RECENT DEVELOPMENTS<br />
During 2003, Arnott's launched<br />
exciting new products into the biscuit<br />
and snack food categories.<br />
In December 2002, the Snack Right<br />
range was relaunched with new pack<br />
designs and delicious new flavours.<br />
The range of fruity flavours is<br />
available in Fruit Rolls, Fruit Bars, Fruit<br />
Slices and Fruit Bites, and all contain<br />
more than 35 per cent real fruit.<br />
Arnott's Emporio Cafe Selection,<br />
launched in 2001 , has grown the premium sweet<br />
biscuit category. In May 2003, Emporio went one<br />
step further with the Emporio Savoury Selection, a<br />
premium range of savoury biscuits perfect for any<br />
entertaining occasion.<br />
Continuing with savoury innovation, Tiny<br />
Teddy Savoury hit supermarket shelves in<br />
November 2003. The range, designed specifically<br />
for kids, is available in three mild but tasty flavours<br />
-Cheese, Pizza, and Cheese & Bacon.<br />
Not only is Tiny Teddy pioneering the kids'<br />
biscuit market with its savoury range, but the brand<br />
is exploring a new world of licensing. Four Tiny<br />
Teddy books are now available<br />
in Woolworths and newsagents<br />
around <strong>Australia</strong>, and a range of<br />
six Tiny Teddy plush toys was<br />
launched into stores in early<br />
2004.<br />
In July 2003, Arnott's Dippers<br />
were launched in Victoria and<br />
Tasmania, and are now available<br />
nationally. The range of eight<br />
products combines favourite<br />
Arnott' s biscuits with delicious<br />
cheese and salsa dips. Arnott's<br />
Dippers are great snacks to have<br />
on the go, anytime.<br />
Arnott' s recently<br />
relaunched two key<br />
snack food brands -<br />
Arnott's Thins and<br />
CC's. The Arnott's<br />
Thins relaunch<br />
introduced three new<br />
flavours into the range - Honey &<br />
Soy,SweetChilli&SourCream,andHoney 'n' Ham,<br />
giving chip lovers an exotic new flavour hit.<br />
CC' s were launched over 20 years ago, and<br />
remain an <strong>Australia</strong>n favourite. In September 2003,<br />
the packaging was given a facelift and now includes<br />
recipes on pack, making this a sociable, entertaining<br />
and versatile product.<br />
PROMOTION<br />
Innovation underpins Arnott's products and<br />
marketing. Arnott's invests in advertising not only<br />
new products but old favourites as well, a tradition<br />
that started with the long running advertising<br />
campaign,<br />
'L iving<br />
Pictures'.<br />
New products<br />
are promoted<br />
through<br />
an integrated<br />
combination of<br />
advertising,<br />
public relations<br />
and sampling, to name but a few<br />
channels of communication.<br />
This allows consumers to hear<br />
about products in a number of<br />
different ways, and to try before<br />
they buy!<br />
During 2003, Arnott's two<br />
biggest biscuit brands ran major<br />
consumer promotions. During<br />
March, Shapes launched the<br />
Tongue Test promotion, where<br />
consumers could win prizes from<br />
a prize pool worth more than $2<br />
million.<br />
In May 2003, the Tim Tam<br />
Win a Wish promotion hit the<br />
supermarket shelves, where<br />
consumers had the chance to win<br />
one of hundreds of prizes<br />
instantly, including everyone's<br />
favourite wish - a $5000<br />
holiday!<br />
A favourite with consumers are<br />
Arnott's Christmas tins. Few companies<br />
can create a market specifically for their<br />
own brand packaging, but Arnott's has<br />
done exactly that each Christmas for the<br />
past 100 years by releasing a range of<br />
special commemorative biscuit tins. The<br />
company's instantly identifiable parrot<br />
logo and characteristic bright red<br />
coloming lift brand recall, and its elegant<br />
packaging adds weight to the company's<br />
famous motto, "There is No Substitute<br />
for Quality".<br />
BRAND VALUES<br />
Arnott's continues to live by the motto<br />
introduced by William Arnott in 1906, "There is No<br />
Substitute for Quality". The biscuits are made from<br />
high quality ingredients and Arnott's employs some<br />
of the best bakers and food experts in the country.<br />
Arnott's offers its people the opportunity to work<br />
in a company that is vibrant, exciting and committed<br />
to continued growth in <strong>Australia</strong> and overseas.<br />
But most of all, Arnott's is committed to<br />
continuing to provide <strong>Australia</strong>ns with delicious<br />
food that will be enjoyed every day.<br />
www.arnotts.com<br />
I<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ARNOn'S<br />
0 Arnott's famous Milk Arrowroot was<br />
first baked in 1888.<br />
0 In the <strong>Australia</strong>n War Memorial,<br />
Canberra, there is an Arnott's biscuit<br />
tin on which is a handwritten message<br />
from a World War I soldier to his loved<br />
ones.<br />
0 How did the SAO get its name? Some<br />
believe it's the name of a ship that<br />
sailed into Newcastle, others that it<br />
stands for 'Salvation Army Officer' -a<br />
reference to William Amott's son,<br />
Arthur, who was a committed Salvo.<br />
0 More than 900 million Tiny Teddy<br />
biscuits are eaten every year!<br />
19
THE MARKET<br />
<strong>Australia</strong>'s messaging and delivery marketplace has<br />
changed dramatically over the last decade, creating<br />
a range of competitive pressures and new busi ness<br />
challenges for <strong>Australia</strong> Post in its core markets.<br />
In essence, <strong>Australia</strong> Post is focused on tlu·ee<br />
main markets:<br />
•<br />
•<br />
•<br />
delivering letters<br />
handling parcels<br />
retailing (including financial services).<br />
The corporation's business strategy remains<br />
relatively straightforward - it is to defend its position<br />
in these core markets and extend into<br />
complementary or substitute business areas where<br />
there is the potential for growth and profits.<br />
<strong>Australia</strong> Post's main challenge has come from<br />
new electronic messaging and distribution<br />
technologies, such as email and the Internet. The<br />
corporation is responding to this challenge by<br />
establishing a leadership position in substitute<br />
markets (such as electronic bill presentment and<br />
payment, through Postbillpay) and by leveraging<br />
its core competencies in new business areas (such<br />
as the establishment of an integrated logistics<br />
service, called Post Logistics).<br />
ACHIEVEMENTS<br />
Over the last I 5 years, <strong>Australia</strong> Post has<br />
transformed its image, corporate culture and<br />
operati ons to emerge as one of <strong>Australia</strong>' s most<br />
successful and reputable businesses. The modern<br />
transformation of <strong>Australia</strong> Post effectively began<br />
in 1989 when <strong>Australia</strong> Post became a Government<br />
Business Enterprise (GBE).<br />
As a GBE, the newly formed corporation began<br />
to implement an intensive program to streamline<br />
and upgrade all aspects of operations and to<br />
strengthen the <strong>Australia</strong> Post brand. As a result,<br />
profitability has increased more than seven times<br />
since 1989 and the corporation's productivity<br />
improvements have been double the national<br />
average over the same period.<br />
<strong>Australia</strong> Post's improved commercial and<br />
customer focus is most clearly evident in its<br />
nationwide network of post offices. The<br />
corporation's post offices have been transformed<br />
over the last decade into modern, profitable, salesoriented<br />
retail outlets.<br />
Significantly, the commercial transformation of<br />
<strong>Australia</strong> Post has been achieved without<br />
sacrificing the corporation's reputation as a trusted<br />
and reliable provider of community services. Today,<br />
the corporation is regularly rated among the most<br />
reputable organisations in the country. In the Good<br />
Reputation Index, published in Fairfax newspapers,<br />
<strong>Australia</strong> Post has been rated first (in 200 I) and<br />
second (in 2002) out of <strong>Australia</strong>'s top I 00<br />
corporations.<br />
Internationally, <strong>Australia</strong> Post is among the<br />
western world's best pe1forming postal enterprises,<br />
providing the highest level of service while<br />
maintaining one of the lowest basic letter rates in<br />
the world.<br />
HISTORY<br />
The Post Office is the oldest surviving conunercial<br />
organisation in <strong>Australia</strong>. Its origins can be traced<br />
back to 1809 when former convict Isaac Nichols<br />
was appointed as the fu·st Postmaster and opened<br />
a post office in his home in George Sb·eet, Sydney.<br />
Ausb·alia Post's formal conunercial origins lie in<br />
the first postal act of 1825, which enabled the New<br />
South Wales governor to fix postage rates and<br />
appoint postmasters outside of Sydney.<br />
With the Federation of <strong>Australia</strong>n colonies in<br />
1901 , a nationally integrated Postmaster General's<br />
Department (the PMG) was establi shed, with<br />
responsibility for the nation's mail and telephone<br />
services. <strong>Australia</strong> Post itself was established in<br />
1975 out of the PMGto provide the nation's postal<br />
service.<br />
It was the <strong>Australia</strong>n Postal Corporation Act of<br />
1989 d1at made Post a GBE, with a board of directors<br />
and a cha.Jter to operate conunercially while meeting<br />
a range of Community Service Obligations (CSOs).<br />
Under the CSOs, <strong>Australia</strong> Post is conunitted to<br />
providing a standard letter service to all <strong>Australia</strong>ns<br />
at a uniform price. To ensure that these obligations<br />
are met, the corporation is required to achieve a<br />
number of petformance standards relating to public<br />
access to the postal service and the frequency and<br />
reliabi li ty of delivery. In 2002-03, the costs<br />
associated with meeting the CSOs are estimated to<br />
have been $90.5 1nillion.<br />
THE PRODUCT<br />
<strong>Australia</strong> Post provides a full range of letter and<br />
parcel services to all pa.Jts of the nation, including<br />
rural and remote 3.1·eas. It also provides a range of<br />
related services, including electronic bulk mail<br />
handling, bill payment, financial services, office<br />
products, Internet fulfilment services, express<br />
delivery services, and philatelic products and<br />
services.<br />
20
<strong>Australia</strong> Post handles an average of 19 million<br />
mail articles every working day and sets the<br />
international benchmark for reliable letter deli very<br />
petformance. In 2002-03, Post delivered 96.5 per<br />
cent of letters early or on time.<br />
Post also runs the nation's most extensive retail<br />
network, serving an average 1.09 million customers<br />
every business day. Tlu·ough this retail network,<br />
the corporation handles more than 170 million billpayment<br />
transactions and 33 million banking<br />
transactions each year.<br />
RECENT DEVELOPMENTS<br />
The face of <strong>Australia</strong> Post has changed significantly<br />
over recent years with many of its nea.J·Iy 4,500 postal<br />
outlets relocated, reconfigured and re-equipped<br />
with purpose-built electronic counter technology.<br />
The introduction of Post's new counter technology,<br />
netPOS, is increasing real-time, on-line transaction<br />
processing capabi li ty and opening up new<br />
business opportunities.<br />
The corporation has adapted its bill-pay ment<br />
service, Postbillpay, by adopting new payment<br />
methods, such as telephone and Internet-based<br />
payment. Thirty-five new bill pay principals joined<br />
the Postbillpay system in 2002--03, taki ng the total<br />
number of principals to 5 II. During the yea.J·, the<br />
corporati on processed over 170 million bills worth<br />
a staggering $73 billion.<br />
Banking is another imp01tant aspect of <strong>Australia</strong><br />
Post's complementary services business. Post is<br />
not a bank, but through its giro Post banking service<br />
Post handles deposits, withdrawals, credit card<br />
payments, account balance inquiries and new<br />
account applications for 76 participating financial<br />
institutions. In 2002--03 alone, more than 33 tnillion<br />
giroPost transactions were handled nationwide.<br />
With mail volumes plateauing over recent yea.J·s,<br />
<strong>Australia</strong> Post has invested heavily in overhauling<br />
its mail processing equipment to reduce costs,<br />
improve productivity and ensure that physical mail<br />
remains a price-competitive option in the messaging<br />
ma.J·ket.<br />
In the mid-1990s, the corporation emba.J·ked on<br />
its FuturePost program to equip its mail centres<br />
with machinery that automated the address reading,<br />
sorting and handling of small letters. In 2003, Post<br />
completed the in stallation of world-leading<br />
machinery that automates the processing of la.J·ge<br />
letters. The progra.Jn to completely overhaul Post's<br />
mail-processing equipment will be completed in<br />
2004, with the installation of three new parcelhandling<br />
machines in Melbourne, Sydney and<br />
Brisbane.<br />
PROMOTION<br />
Over the last two years,<br />
Post has focused on<br />
segment and marketspecific<br />
promotion,<br />
pa.Jticu!a.J·!y in relation to<br />
key products and subbrands,<br />
such as<br />
Express Post, Postpak<br />
and Postbillpay.<br />
A hi gh level of<br />
awareness of <strong>Australia</strong><br />
Post's offering<br />
continues to be<br />
reinforced through<br />
corporate and productspecific<br />
television<br />
campaigns, as well as<br />
customer-focused campaigns using all forms of<br />
media.<br />
In conjunction with its brand image campaign,<br />
Post also runs specific campaigns, usually in the<br />
press, to provide the conununity with information<br />
on its delivery record, financial pe1formance and<br />
compliance with the Customer Service Cha.Jter.<br />
BRAND VALUES<br />
The <strong>Australia</strong> Post logo remains one of the nation's<br />
most pervasive and widely recognised corporate<br />
brands. It was designed in 1975 when the<br />
Postmaster General's Depa.Jtment was split to create<br />
Telecom and <strong>Australia</strong> Post. The logo shows a<br />
postal horn, once used by European 'posties' to<br />
announce mail delivery, and a circle illustrating the<br />
global reach of the postal service. The colour red<br />
has long been associated with postal services in<br />
Commonwealth countries.<br />
It is a brand that represents trust, convenience,<br />
integrity, responsibility and value. It is also seen as<br />
a quintessentially <strong>Australia</strong>n brand. It is perceived<br />
as quiet, reliable, honest and conununity-minded.<br />
Leveraging these very pos iti ve brand<br />
characteristics and building on its core<br />
competencies, <strong>Australia</strong> Post aims to continue to<br />
create new products and services that meet the<br />
needs of all <strong>Australia</strong>n consumers, conununities and<br />
business customers.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
AUSTRALIA POST<br />
0 Post's annual tmnover in 2002--03 of<br />
$3.97 billion generated an operating<br />
profit before tax of$462 million.<br />
0 Post delivered 5.26 billion mail atticles<br />
in 2002--03 to 9.4 million Ausb·alian<br />
addresses.<br />
0 Post delivered 96.5% of letters on time<br />
orea.J·ly.<br />
0 Post's cumulative labour productivity<br />
improvement over the last five years<br />
has been 23.3 per cent, which is double<br />
the national average.<br />
0 Over two-thirds of Post's profit comes<br />
from its non-reserved services<br />
(products and services outside of the<br />
monopoly on letters).<br />
0 Post employs 35,427 full -time and pa.Jttime<br />
staff.<br />
2 1
THE MARKET<br />
Tourism contributes approx $31.8 billion<br />
(4.5 per cent) to the economy each year<br />
and provides over 549,000 jobs ( 6 per cent<br />
of total employment and more than any<br />
other sector, except manufacturing).<br />
In the last few years the industry has<br />
suffered from the effects of terrorism,<br />
bushfires, droughts, the collapse of<br />
Ansett, the threat of SARS and more. Best<br />
Western <strong>Australia</strong> was well positioned to<br />
weather these times because domestic<br />
travel increased and people rediscovered<br />
the traditional driving holiday - a key<br />
market, with the majority of Best Western<br />
<strong>Australia</strong> properties located on popular<br />
driving routes.<br />
Great <strong>Australia</strong>n Drives was<br />
developed along with other special<br />
interest products to cater to the diverse<br />
interests of guests.<br />
While traditionally the corporate market<br />
represented over half of Best Western <strong>Australia</strong><br />
guests, the leisure market has recently grown<br />
strongly.<br />
ACHIEVEMENTS<br />
In 46 years, the organisation has grown from 11 to<br />
more than 260 prope1ties and now Best Western is<br />
the most recalled accommodation brand in<br />
<strong>Australia</strong>.*<br />
Almost 90 per cent of guests were "very<br />
satisfied" or "satisfied" with their guest room on<br />
their last visit to a Best Western <strong>Australia</strong> property,<br />
compared to the AEC <strong>Australia</strong>n accommodation<br />
benchmark of 77 per cent.* Meanwhile, the brand<br />
equity of Best Western for 2002/03 increased 20.7<br />
per cent compared to the previous year':' and<br />
combined revenue generated by marketing<br />
programs for Best Western properties increased 50<br />
per cent.<br />
Compared to competitor establishments, both<br />
business and leisure travellers indicated that Best<br />
Western <strong>Australia</strong> establishments were of a higher<br />
standard of quality and provided better service. In<br />
addition, Best Western <strong>Australia</strong> was rated to have<br />
a better appearance and to be less expensive.*<br />
Since 2002, all Best Western properties around<br />
the globe offer BestRequests - frequently<br />
requested guest amenities and services in addition<br />
to the already stringent global Quality Assurance<br />
program which involves over 200 quality checks.<br />
Best Western launched the hotel industry's most<br />
extensive and complete listing of properties on the<br />
Internet in 1995, making it the largest hotel brand<br />
represented on the global computer network. Today,<br />
more than 35 per cent of the company's total<br />
bookings are made via the Best Western website.<br />
Best Western <strong>Australia</strong> pioneered swipe<br />
technology in the hotel sector in 1998, providing<br />
the benchmark for all competitors.<br />
In 2002 Best Western was voted as the "Best<br />
Hotel Chain" by UK travel agents at the Travel<br />
Weekly awards in London and by Europe's<br />
Recommend magazine readers choice awards.<br />
HISTORY<br />
In 1957, eleven moteliers formed a standards<br />
organisation called the Motel Federation of<br />
<strong>Australia</strong> (MFA). Foundation President, Lou<br />
Pimblett stated that it was "only the forerunner of<br />
very big things in motels". This vision was more<br />
prophetic then they could ever have imagined.<br />
In 1975, the name "MFA Homestead" was<br />
introduced and The Travel Club, Best Western's<br />
first loyalty program, was launched.<br />
In the same year a proposal was<br />
received from Best Western in the USA<br />
as it took the first step toward global<br />
expansion. In 1981, Homestead Motor Inn<br />
formally affiliated with Best Western. The<br />
name change from Homestead to Best<br />
Western was gradual. First came<br />
"Homestead- Best Western", then "Best<br />
Western Homestead" and finally Best<br />
Western <strong>Australia</strong> was born on 15'h March<br />
1989. This put the 'International' into 'Best<br />
Western International' and began the<br />
process that would eventually make Best<br />
Western one of the pre-eminent names in<br />
global hospitality.<br />
Best Western remains a unique<br />
association owned by its members. As a<br />
co-operative, revenue is spent on<br />
developing and enhancing the Best<br />
Western brand and promoting properties<br />
as well as offering increased services to members,<br />
rather than generating profit for external<br />
shareholders.<br />
THE PRODUCT<br />
Best Western is the world's largest hotel company<br />
operating under a single brand with more than 4000<br />
independently owned and operated hotels. It offers<br />
309,562 quality guestrooms in over 80 countries.<br />
Through Best Western, independent operators<br />
have access to benefits such as branding, sales<br />
...,<br />
We mnke you £ee l lik e Aus trnlinn royn lty .<br />
.... - ...-_.. ~ ....... ~""' ' 1
and marketing, suppo1t services and government<br />
and industry lobbying.<br />
In <strong>Australia</strong>, Best Western offers approximately<br />
260 three- to four-and-a-half star hotels, motels,<br />
resorts and apartments. Every Best Western<br />
property is unique, which provides a range of<br />
packages to meet all tastes.<br />
Best Western <strong>Australia</strong> participates in the Qantas<br />
Frequent Flyer program, is the only hotel chain to<br />
offer Fly Buys points and provides guests with its<br />
own program (Gold Crown Club International)<br />
offering rewards at any Best Western property<br />
worldwide.<br />
All Best Western properties undergo a stringent<br />
quality assurance program and<br />
are required to offer<br />
BestRequests. Through<br />
research, Best Western identified<br />
the most frequently requested<br />
amenities and services. The<br />
standard is designed to provide<br />
reassurance that guests will<br />
receive the same amenities without changing the<br />
character of individual properties.<br />
RECENT DEVELOPMENTS<br />
Best Western <strong>Australia</strong> launched the 'Gold Crown<br />
Club International' loyalty program in 2003. This is<br />
a global frequent guest program designed to reward<br />
business and leisure guests for their loyalty. It<br />
comprises three tiers - Gold, Platinum and<br />
Diamond.<br />
Best Western <strong>Australia</strong> unveiled a new look<br />
website in late 2003. Features include a clean fresh<br />
new look, easier navigation, a newsroom and a<br />
career opportunities section, plus the presentation<br />
of new properties to the Best Western chain in<br />
<strong>Australia</strong> on the homepage.<br />
In April 2003, Best Western <strong>Australia</strong><br />
announced sponsorship of See <strong>Australia</strong>. The<br />
core objective is "to stimulate growth in domestic<br />
tourism and in particular regional tourism". Only<br />
60 per cent of <strong>Australia</strong>ns took a holiday in 1991.<br />
The campaign helped to increase this to 70 per<br />
cent in 2002. An impressive 80 per cent of<br />
<strong>Australia</strong>ns recall its brand and message - "Go<br />
on. Get out there. See <strong>Australia</strong>.".<br />
All But Western accom modation must<br />
Juu ~ a ll<br />
go through ZOO qu alit y checks.<br />
Ill 779 o r Yh lt .. ·ww.bu twu urn.com.au<br />
Wi: 'll tMk e cart o f )·o u<br />
Best Western <strong>Australia</strong> launched Wine<br />
Discovery, which offered cellar door specials at over<br />
100 wineries, followed by the Kids Discovery Club<br />
to make those family road trips less stressful. The<br />
most recent addition is Golf Discovery.<br />
In 2002, Best Western rolled out MemberWeb<br />
globally - an internet based reservation system so<br />
property owners and managers could adjust rates<br />
and inventory at anytime from anywhere. Another<br />
component of this was BestCheque, a global<br />
guaranteed travel agent commission payment<br />
system which strengthens ties with the travel<br />
industry and grows business from this sector.<br />
PROMOTION<br />
Anyone driving across<br />
<strong>Australia</strong>, watching a movie,<br />
doing the weekly shopping,<br />
going to the beach, reading a<br />
paper or just staying at home in<br />
front of the television is bound<br />
to come across a Best Western<br />
<strong>Australia</strong> promotion. As a co-operative<br />
organisation, Best Western <strong>Australia</strong> is committed<br />
to promoting the brand and prope1ties to all market<br />
segments including consumers, travel agents,<br />
wholesalers and operators.<br />
Regional radio campaigns, cinema ads and<br />
newspaper advertising promote products and<br />
services to consumers. Best Western <strong>Australia</strong> is<br />
the prefen·ed accommodation partner of <strong>Australia</strong>'s<br />
most watched television travel program 'Getaway'.<br />
Partnerships with organisations such as the<br />
Great <strong>Australia</strong>n Gazetteer and Avis Car Rentals<br />
ensure Best Western promotions reach a range of<br />
markets. Valuable brand exposure and revenue is<br />
achieved through strategic sponsorships such as<br />
NSW Country Rugby Union and Victorian Country<br />
Football League.<br />
Best Western <strong>Australia</strong> also conducts<br />
promotions through loyalty programs, and<br />
individual properties promote specials through<br />
targeted direct mailings to Best Western Gold Crown<br />
Club International cardholders.<br />
Best Western <strong>Australia</strong> often participates in joint<br />
promotions with other brands such as American<br />
Express and Bushells. The chain is the preferred<br />
accommodation partner of Travelmate and utilises<br />
this successful website to showcase its products<br />
and services. The Best Western <strong>Australia</strong> website<br />
includes mini websites for each property so they<br />
can promote their own special 'Hot Deals'.<br />
Participating in the 'World's Largest Thank<br />
You', a global Best Western initiative in which staff<br />
visit and thank local business who suppmt them,<br />
Best Western works closely with travel agents,<br />
wholesalers and operators. Advertising in trade<br />
publications, a presence at trade shows and<br />
brochure suppmt ensure exposure.<br />
An ongoing PR campaign targeted at<br />
newspapers and travel media ensures Best Western<br />
is mentioned in a range of publications.<br />
Best Western for a Better World is an annual<br />
global event. Best Western staff and properties give<br />
something back to the communities in which they<br />
do business by doing things like helping to build a<br />
playground for local children in Alice Springs or<br />
donating Kids Discovery packs to children's<br />
hospitals across the country at Christmas. Best<br />
Western <strong>Australia</strong> also supports charities like the<br />
CanTeen LifeCycle, Flight for Sight, Leukaemia<br />
Foundation and Cure our Kids.<br />
Adve1tising and PR Toolkits ar-e provided to all Best<br />
Western properties to assist them with their own<br />
individual promotional activities, saving time and money<br />
while allowing them to leverage national efforts and<br />
deliver the brand in a consistent and cohesive<br />
fashion.<br />
BRAND VALUES<br />
Globally Best Western is known as the World's<br />
Lar·gest Hotel Chain, but in <strong>Australia</strong> the brand<br />
represents the essence of <strong>Australia</strong>n hospitality.<br />
Nurhlred locally on the goodwill, local knowledge,<br />
humour and tenacity of the group's har·dworking<br />
independent owner/operators, Best Western<br />
<strong>Australia</strong> is an ongoing success story.<br />
Its history and the member culture drive Best<br />
Western <strong>Australia</strong> brar1d values. Best Western<br />
<strong>Australia</strong> strives to create engaging relationships<br />
(with guests, members, staff, business partners).<br />
This is reflected by a global quality assurance<br />
program, loyalty programs and above all genuine,<br />
warm hospitality. It is these values that differentiate<br />
Best Western <strong>Australia</strong> from competitors and these<br />
values are used for marketing and strategic<br />
planning.<br />
The 2002 Best Western <strong>Australia</strong> tagline "We' II<br />
take care of you" encompasses Best Western<br />
<strong>Australia</strong>'s core values.<br />
., AEC Market Research 2002 & 2003.<br />
Thanks to Life Members Trevor Anderson and Jim White (<strong>Australia</strong>n Hospitality<br />
Digest) for contributing much of the hi s10rical informmion.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
BEST WESTERN<br />
0 An average of 4,166 page impressions<br />
ar·e viewed on the Best Western<br />
<strong>Australia</strong> website<br />
(www.bestwestern.com.au) every hour.<br />
0 To visit every Best Western prope1ty<br />
in the world for one night would take<br />
over 11 years, and to stay at least one<br />
night in every Best Western room in<br />
<strong>Australia</strong> would take 24.66 year·s.<br />
0 There ar·e 120 recognised wine regions<br />
in <strong>Australia</strong>; Best Western has<br />
prope1ties in 102 of them.<br />
0 There are over 16,000 companies in<br />
<strong>Australia</strong> using the Best Westem Gold<br />
Crown Club International program.<br />
0 Best Western guests use 78,840<br />
kilograrns (78.84 tonnes) of soap each<br />
year· at Best Western prope1ties in<br />
<strong>Australia</strong>.<br />
0 Each night 1.23 million pillows, 1.29<br />
million towels and 315,000 televisions<br />
are at the disposal of Best Western<br />
guests.<br />
23
THE MARKET<br />
<strong>Australia</strong>ns read as many<br />
magazines per capita as any other<br />
nation in the world. Since 1990<br />
alone, more than 350 new titles<br />
have appeared in newsagents and<br />
supermarkets. As almost nine in<br />
every I 0 <strong>Australia</strong>ns regularly read<br />
one or more titles, it's not surprising<br />
that sales of magazines climbed<br />
steadily over the past decade, with<br />
magazine publishing one of the<br />
country's boom retail<br />
industries.<br />
Better Homes and Gardens<br />
has been leader of the<br />
homemaker magazine pack<br />
since launching in <strong>Australia</strong> in<br />
1978. Successfully transfening<br />
the homemaker ingredients<br />
which made it a publishing star<br />
in the US, Better Homes and<br />
Gardens is today part of the<br />
<strong>Australia</strong>n landscape.<br />
ACHIEVEMENIS<br />
Better Homes and Gardens<br />
enjoyed success with<br />
<strong>Australia</strong>ns from its inception,<br />
ranking among <strong>Australia</strong>' s top<br />
I 0 selling magazines since<br />
-" --'""""0........ .... """""" ......._<br />
~J- o l>ry""":>o4"'r<br />
~=- ::s=;.:...--,:<br />
""""'...,""""""'..,..aboot•cw,..,.o!.._.,_.,.<br />
.......,....,..._......._"""<br />
...... p_,. ....... 11,,,..,.. .....,._<br />
~=~~~~~~IJ!S;---'IIIlB••making its Down Under debut. In February 1995,<br />
j.l<br />
the magazine made worldwide news when it<br />
launched its own national 30-minute show on<br />
prime-time television. Astonishingly, the show was<br />
produced by a magazine publishing company with<br />
no previous experience in television production!<br />
The credibility of the magazine content<br />
translated well to the small screen. Viewers tuned<br />
in to watch original hosts John Jarratt and Noni<br />
Hazlehurst show and tell how they got the most<br />
out of hearth and home. More recently, Noni<br />
Hazlehurst has held the hosting role and is joined<br />
by various expe1ts who present specific specialist<br />
segments.<br />
The show, which first aired on commercial<br />
television on Tuesday nights at<br />
7.30pm, was an<br />
instant success,<br />
enjoying the kind of<br />
ratings that make<br />
network executives<br />
preen. It was no<br />
surprise, therefore,<br />
when the show<br />
walked off with<br />
the Logie Award<br />
for Best Lifestyle<br />
Program of 1995,<br />
1996, 1997, 1998<br />
and again in<br />
1999. From<br />
2000-2003 the<br />
continued<br />
its<br />
popular run<br />
and in 2004 the TV show has been given a onehour<br />
spot, every Saturday night at 7.30pm. This is<br />
further testament to the strength of the program, as<br />
it becomes a weekend staple for more than a million<br />
viewers.<br />
Sales of the magazine initially soared by nearly<br />
60 per cent as Better Homes and Gardens went<br />
down in history as the most successful mastheadpublishing<br />
venture in the world.<br />
Today, more than 1.2 million <strong>Australia</strong>ns<br />
participate in the Better Homes and Gardens<br />
experience every week by watching the television<br />
show, 300,000 purchase the magazine monthly and<br />
186,000 visit the website each month, making it the<br />
world's most successful multimedia brand per<br />
capita.<br />
The magazine and television staff continue to<br />
sit side by side in their cross-media teams. In every<br />
sense, the Better Homes and Gardens multimedia<br />
experience has been a watershed event in television,<br />
both locally and worldwide. "Having a top-rating<br />
television show is evidence of how hot Better<br />
Homes and Gardens is," declared Murdoch<br />
Magazines' m
In <strong>Australia</strong>, Better Homes and Gardens has<br />
enjoyed 25 years of successful operation with an<br />
unstinting focus on home, gardening, decorating,<br />
food, DIY and crafts.<br />
In 1991 , after witnessing the success of service<br />
journalism in the United States, Matt Handbury<br />
bought the <strong>Australia</strong>n publishing rights to two of<br />
the most successful publications of this ilk, namely<br />
Better Homes and Gardens and family circle, from<br />
Rupert Murdoch.<br />
By the early '90s-as word of 'cyberspace' and<br />
'information technology' began to spread - the<br />
company's multimedia dream for its successful<br />
homemaker titles began to take shape. "<strong>Australia</strong>ns<br />
throughout the '90s focused on the home, and<br />
service providers like Better Homes and Gardens<br />
have never been more relevant," noted Handbury.<br />
Most importantly, publishers on both sides of<br />
the Pacific have never underestimated the<br />
intelligence of Better Homes and Gardens readers,<br />
aiming rather to enhance the audience's spirit of<br />
home and family. The result is a we!Hoved brand<br />
that continues to grow in popularity and nmture<br />
<strong>Australia</strong>ns' involvement in their home life.<br />
THE PRODUCT<br />
Abundant, involving, personal, affordable,<br />
achievable, empowering- these are the magazine's<br />
and television show's core brand values. Experts<br />
in their field share their passion for gardening,<br />
decorating, cooking, DIY and crafts with an<br />
inexhaustible enthusiasm and attention to readers'<br />
and viewers' needs. Armed with ideas, information<br />
and inspiration, people thus turn to the home for<br />
self-expression, creativity and harmony. With its<br />
clear manifesto to provide better ideas, and<br />
inspiration, Better Homes and Gardens encourages<br />
and empowers people to revel in their home and<br />
homelife.<br />
At the core of the magazine and television<br />
show' s editorial strength is a commitment to service<br />
journalism. This is a way of providing readers with<br />
ideas and information that will inspire them to action.<br />
Magazine and readers enjoy a two-way relationship<br />
based on reliability and trust.<br />
Handbury emphasises the impmtance of every<br />
editorial and television-show staffer aligning his or<br />
her creativity and know-how with this purpose, to<br />
support the high in volvement positioning of Better<br />
Homes and Gardens.<br />
RECENT DEVELOPMENIS<br />
In 2000 the magazine launched its<br />
own website to fmther enhance the<br />
Better Homes and Gardens<br />
experience with monthly hits<br />
peaking at more than 186,000 unique<br />
visitors per month in 2003, and well<br />
over a million page impressions.<br />
The magazine has also led the<br />
way with its contribution to the<br />
community. In 1995,theHandburys,<br />
together with Meredith<br />
Corporation, bought a 100-hectare<br />
farm south of Sydney with a mission<br />
to get street kids off the street.<br />
Better Homes F
e BIACK&DECKER®<br />
THE MARKET<br />
Many factors affect the health of the DIY<br />
(Do-It-Yourself) market; from the state<br />
of the housing market and the<br />
performance of the economy, to<br />
weather conditions and the media. The<br />
buying and selling of houses has<br />
significantly helped to sustain the DIY and<br />
decorating market and encouraged more activity<br />
within the sector.<br />
Gardening andDIYare now among the nation's<br />
favourite leisure activities. This upsurge in fortunes<br />
has been aided by media coverage of DIY programs<br />
such as The Block, Changing Rooms, Burke' s<br />
Backyard, Better Homes & Gardens, DIY Rescue<br />
and Hot Auctions.<br />
In 2002, the <strong>Australia</strong>n power hand tool market<br />
enjoyed $535 million in retail sales, a 4 per cent<br />
increase on 2001. Power garden tools were not far<br />
behind this with retail sales of $335 million, also up<br />
4 per cent. Four key segments accounted for 87 per<br />
cent of these sales; Saws with 27 per cent and<br />
Cordless Tools, Corded Drills and Grinders with 20<br />
per cent each 1 •<br />
Continuing trends within the market primarily<br />
relate to developments in technology and<br />
minimising the number of brands and stock keeping<br />
units (SKUs) by retailers. Women are an increasing<br />
growth segment of the power tool industry in<br />
<strong>Australia</strong> and indeed throughout the world.<br />
Research commissioned by Black & Decker in 2003<br />
shows that 77 per cent of women surveyed had<br />
purchased a power tool or garden tool within the<br />
last 12 months and of these purchases, 28 per cent<br />
were items for their own use. Forty-five per cent of<br />
too Is<br />
purchased by<br />
women were drills 2 •<br />
ACHIEVEMENTS<br />
Black & Decker is the biggest<br />
manufacturer of power tools in the<br />
world with an unsurpassed global<br />
distribution network. It is also one<br />
of the leading manufacturers of<br />
power tool accessories and<br />
handheld vacuum<br />
cleaners.<br />
The brand<br />
continues to<br />
place emphasis<br />
on the<br />
importance<br />
of design,<br />
innovation,<br />
research and<br />
development. As<br />
well as introducing<br />
new tools to the market place, old favourites from<br />
its range are updated to meet ever-increasing<br />
consumer demand.<br />
Black & Decker was the frrst company to develop<br />
cordless tools and the classic Workmate®<br />
Workbench in 1975.<br />
In 1971 Black & Decker founded the famous<br />
hand-held vacuum Dustbuster® and has since<br />
expanded its cleaning range to include 13<br />
competitive products.<br />
These ground-breaking products set new<br />
industry standards and helped build the brand's<br />
health. Research indicates that Black & Decker is<br />
the number one power tool brand in awareness<br />
with 48 per cent unaided recall. It was the only<br />
brand to register 100 per cent recall when compared<br />
to other brands 3 .<br />
HISTORY<br />
Black & Decker began life in 1910 when two young<br />
Americans, Duncan Black and Alonzo Decker,<br />
formed their own manufacturing company. To raise<br />
the initial capital, Duncan Black sold his treasured<br />
Maxwell-Briscoe car and Alonzo<br />
Decker borrowed an equal sum.<br />
With their US$1200<br />
investment they leased<br />
premises in Baltimore and<br />
began contract machine work.<br />
Early Black & Decker<br />
products ranged from equipment<br />
for the US Mint to bottle capping<br />
machinery. In 1914 they patented the frrst handheld<br />
power drill with a pistol grip, trigger switch<br />
and universal motor. Black & Decker had now<br />
begun to produce the goods for which it would<br />
become world-renowned.<br />
The outbreak of World War II proved a<br />
testing time for the business. The scarcity of<br />
metals forced a rethink in the design of tools<br />
and products were soon being manufactured<br />
with plastic housings.<br />
In 1946, the possibility of creating a<br />
home tools market came to Black &<br />
Decker's attention. The company<br />
decided to make tools specifically aimed<br />
at this market including the world's first<br />
popularly priced drills as well as<br />
accessories such as drill bits - a major<br />
decision that was to change the face of<br />
the company and create what is now<br />
known as the DIY market.<br />
In 2004, Black & Decker celebrates its<br />
75'h Anniversary in <strong>Australia</strong>. Black & Decker<br />
(Australasia) was established in 1929 in Sydney.<br />
The subsidiary was a wholly owned assembly,<br />
motor winding, sales, service and warehousing<br />
operation. In 1955 the corporation built a plant in<br />
Victoria and three<br />
years later Black<br />
1929·2004<br />
fl BlACK&DECKER®<br />
26
& Decker New Zealand opened in Auckland. The<br />
1960s were also exciting times for Black & Decker<br />
with the opening of new branches in Scandinavia<br />
and UK and also the introduction of the world's<br />
first cordless electric drill and cordless Hedge<br />
Trimmec<br />
At the end of the 1960s, Black & Decker<br />
turned to 'space development' in association<br />
with the National Aeronautical and Space<br />
Agency (NASA). Black & Decker devised a<br />
cordless zero-torque space tool, used on the<br />
Gemini project, and in the early 1970s, a Black<br />
& Decker moon drill was used to remove core<br />
samples from the lunar surface.<br />
The focus for the company in<br />
2004 will be to build on the<br />
past 75 years of power and<br />
innovation.<br />
THE PRODUCT<br />
As well as power tools, Black & Decker's<br />
product range includes power garden and<br />
cleaning tools and accessories.<br />
The power tool range targets three key<br />
groups of consumers. The Jade coloured<br />
range is the entry price point range -<br />
affordable but well specified. The Intense<br />
Orange range is the premium range of tools<br />
with more product innovation,<br />
specifications and features. The third<br />
category is a sub-brand known as<br />
Firestorm which targets the more<br />
serious DIYer. Firestorm products are<br />
the highest quality and highest spec<br />
products of the Black & Decker range.<br />
Innovative products developed<br />
over recent years include the award<br />
-winning Mouse® in 1998. This is<br />
a compact tool which sands<br />
surfaces like paint and varnish<br />
and cleans and polishes metal<br />
and plastic surfaces. It can also<br />
be used for rust removal.<br />
In <strong>Australia</strong> in 2001, Black &<br />
Decker launched the Scorpion®<br />
powered hand saw making a<br />
traditionally hard working tool into a<br />
safe and efficient one with three blades for different<br />
sawing needs.<br />
Black &Decker's garden range includes hedge<br />
trimmers, line trimmers, chainsaws, shredders and<br />
blower vacs. Black & Decker owns the term<br />
Whipper Snipper typically used to describe line<br />
trirruners and released its latest range of 400, 500<br />
and 600 Watt units in August 2003.<br />
For the home, Black & Decker<br />
produces a range of Dustbuster®<br />
hand held vacuum cleaners.<br />
Double filtration and extending<br />
hose and brush make the<br />
Dustbuster® perfect for<br />
cleaning jobs around the<br />
home. Over 50 million<br />
Dustbusters® are sold<br />
worldwide each year,<br />
and the range<br />
continues to find new<br />
audiences with<br />
consistent<br />
improvements<br />
in power, attachments and colour.<br />
Another Black & Decker<br />
innovation is the new submersible<br />
Scumbuster with versatile<br />
accessories making it easy to clean<br />
surfaces such as the bath and<br />
shower, tiles, glass and other<br />
surfaces typically hard to reach or<br />
clean.<br />
Black &Decker's extensive accessory<br />
range has over 250 products including drill<br />
bits, saw blades, screw driving sets, battery<br />
packs, sanding discs and much more.<br />
RECENT DEVELOPMENTS<br />
Product innovation and development is at the heart<br />
of the Black & Decker brand. New products include<br />
The Bullseye laser level I stud finder and the<br />
MegaMouse.<br />
Research indicates that consumers want to feel<br />
more comfortable when using power tools and less<br />
fatigued after using them for a long time. They also<br />
want better grip to help maintain control over<br />
the product and allow them to<br />
concentrate on the job at hand. To<br />
address these concerns Black &<br />
Decker has been the first power tool<br />
company to introduce GEL TECH ®<br />
grip technology. Gel pods on the<br />
handle and grip of the tool provide<br />
greater comfort, lessen user fatigue<br />
and provide shock absorption.<br />
PROMGnON<br />
Black & Decker began product<br />
promotion as far back as 1928. A specially<br />
made six-person monoplane was used as<br />
a flying showroom to<br />
demonstrate how Black &<br />
Decker power tools could be used in<br />
the reconditioning of aircraft<br />
engines.<br />
The company's US television<br />
advertising began in 1955 with a<br />
series of ads for power tools.<br />
Black & Decker <strong>Australia</strong> has used<br />
a combination of television advertising,<br />
in-store promotions, publicity campaigns, product<br />
catalogues, point-of-sale material, female<br />
information evenings and in-store "How to Do"<br />
clinics and information videos. This is backed up<br />
with extensive public relations and media efforts<br />
such as sponsorship of major sports on the<br />
Austereo network. Key times in Black & Decker's<br />
promotional strategy include the lead up to<br />
Fathers' Day and Christmas.<br />
The most recent promotional highlight for Black<br />
& Decker was in the form of product endorsement<br />
with theNineNetwork's renovating program 'The<br />
Block'. This was filmed at Bondi Beach in Sydney,<br />
featuring four couples competing to renovate one<br />
of four identical apmtments in hope of achieving<br />
the best resale price for their apartment. The Block<br />
was the number one TV show nationally with<br />
outstanding ratings of 2 million viewers on<br />
average each week and over 1.1 million<br />
visitors to its website within the first 3<br />
weeks. The show created extensive<br />
national exposure and excitement<br />
for Black & Decker in a vm·iety of<br />
media inc! uding national<br />
newspapers, industry magazines,<br />
life style magazines, radio, TV talk<br />
shows and websites.<br />
Of the show's nine sponsors, Black &<br />
Decker was the third most recalled of the<br />
nine brands with a total 71 per cent brand<br />
recall 4 .<br />
BRAND VALUES<br />
Black & Decker prides itself on being able<br />
to offer innovative products and value for<br />
money, while maintaining high quality.<br />
As well as offering quality and innovation, Black<br />
& Decker reassures uncettain customers by offering<br />
an unprecedented 4 Yem· WmTanty on all cordless<br />
products with the exception of Dustbuster®. This<br />
is an industry frrst. The warranty demonstrates the<br />
confidence Black & Decker has in its products and<br />
the quality it provides to customers, giving them<br />
peace of mind. The remainder of the range is covered<br />
by a full2 yem· warranty.<br />
Being a visionary, customer focused brand, Black<br />
& Decker aims to ensure that its products are both<br />
exciting and challenging, but remain the best tools for<br />
the job. Black & Decker stands for the values of<br />
integrity, lea::lership, teamwork and results.<br />
www.blackanddeckei:com.au<br />
!.Archer Market Research: 2003. 2.Millward Brown: 2002. 3.Mill ward Brown:<br />
2002. 4. Roy Morgan: 2003. 5.Millward Brown: 2002.<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
BLACK & DECKER<br />
TheNineNetwork'sDIY reality<br />
program, The Block, achieved record<br />
ratings of 4.4 million viewers for its<br />
final episode which was the highest<br />
progrmn rating since the 2000 Sydney<br />
Olympic Games.<br />
Resem·ch shows that 60 per cent of<br />
both males and females use some sort<br />
of power tool at least once a week 5 .<br />
27
designed to make a difference<br />
THE MARKET<br />
Braun GmbH is a world-wide manufacturer of small<br />
electric appliances based in Kronberg, near<br />
Frankfurt (Main), Germany. Braun products are<br />
universally recognised for the quality of their design<br />
and manufacture, as well as their high level of<br />
innovation.<br />
The brand's worldwide range includes over 200<br />
products in eleven sectors. Braun is the worldwide<br />
leader in five of these sectors: electric razors,<br />
epilators, electric toothbrushes, blenders and<br />
thermometers. The company is also the European<br />
leader in hair driers.<br />
In <strong>Australia</strong> Braun dominates the electric<br />
toothbrush and electric toothbrush refill markets.<br />
Braun also has a strong presence with high-quality<br />
products in other market segments including electric<br />
shavers, epilators and kitchen appliances.<br />
ACHIEVEMENTS<br />
From Braun's early days, success has come<br />
through innovation, supported by the quality and<br />
the design of the products. The company has led<br />
its various industries in a variety of ways and has<br />
frequently introduced revolutionary appliances. In<br />
1929, for example, Braun was first to include the<br />
receiver and speaker in a single radio device to<br />
create the radio receiver as we know it today. In<br />
1932, Braun came up with another innovative idea<br />
and combined a radio and a phonograph to create<br />
the first radiogram.<br />
The company also kept looking to<br />
new and interesting industries, and<br />
in fact created more than one<br />
product category all by itself. In<br />
19SO, Braun launched the first<br />
electric razor, the 'S SO ' . This<br />
employed a set of oscillating blades<br />
and a very fine steel grate- a major<br />
innovation which resulted in vastly<br />
improved precision. The principle is<br />
still used today, although it has<br />
evolved tremendously since Braun<br />
created it.<br />
In 19S6, in quite a different<br />
industry, Braun launched the first<br />
totally automatic 3S mm slide<br />
projector. This was the 'PA I'. In<br />
1963, the company created the<br />
electric toothbrush, 'Mayadent',<br />
and in 1971 Braun launched the<br />
first pocket lighter. In the year<br />
2000 it was the turn of the first<br />
in-car electric razor.<br />
The razor<br />
'Activator' and<br />
the electric<br />
toothbrush '3D<br />
Excel' are other<br />
examples of the<br />
many innovative<br />
technical designs<br />
Braun has created<br />
and produced. The<br />
reputation of the<br />
brand and its<br />
products has been<br />
suitably enhanced by<br />
a long series of<br />
international<br />
exhibitions,<br />
including one at<br />
the Museum of<br />
Modern Art<br />
(New York) and<br />
another at the<br />
Center Pompidou<br />
(Paris).<br />
Braun has<br />
never stopped<br />
innovating and<br />
creating<br />
products in<br />
response to<br />
the needs of<br />
the consumers.<br />
HISTORY<br />
Braun has come a long way from designer of<br />
radio transmitters in an out-of-the-way part of<br />
Europe to global leader in the manufacture<br />
of small appliances. In 1921 , the engineer<br />
Max Braun (born in 1890 in the east of<br />
what was then Prussia) established his<br />
business to build radio<br />
transmitters.<br />
Two years later, Braun<br />
began making components to<br />
supply the radio industry,<br />
then in its infancy. In 192S,<br />
the company began to<br />
specialise in the large-scale<br />
production of items like dial<br />
faces and buttons, thanks<br />
to Braun's invention of<br />
effective and efficient<br />
plastic presses. By 1929,<br />
that production had grown<br />
to include complete radios. Braun soon became the<br />
leading German radio manufacturer.<br />
The Braun brand itself was finally born in l93S<br />
and a year later, Max Braun conceived hi s first<br />
portable, battery-powered radio. Its principal<br />
characteristics were convenience, utility, simplicity<br />
and the functional form of the case.<br />
It did not take long for international recognition<br />
to atTive. Braun received the prize 'Pour realization<br />
exceptionnelle en Phonographie' for thi s<br />
innovation at the time of the Universal<br />
Exposition of Paris in 1937.<br />
In 1947, Braun initially focused<br />
production efforts on the<br />
company's principal products: the<br />
radio sets and pocket lamps<br />
'Manulux'.<br />
But Braun could not sit still,<br />
and began to diversify again.<br />
The company made a major<br />
breakthrough with the<br />
development of the first electric<br />
razor under the direction of Max<br />
Braun, assisted by his son<br />
Artur. In l9SO, Braun launched<br />
mass production of the electric<br />
razor 'S SO ' as well as<br />
developing a line of kitchen<br />
appliances<br />
under the<br />
brand name of<br />
'Multimix'.<br />
Max Braun's<br />
sons, Artur and<br />
Erwin, succeeded<br />
him at his death in<br />
19S ! .. Faithful to the<br />
innovative spirit of<br />
their father, they<br />
launched into<br />
photographic<br />
electronics in<br />
19S2. Theirfirst<br />
new product<br />
was the<br />
electronic<br />
camera flash<br />
'Hobby'.<br />
A key time<br />
for Braun<br />
BRAUn<br />
()<br />
!<br />
olf<br />
28
was to begin in 19S3. Artur and Erwin Braun<br />
demonstrated timeliness in the market where they<br />
were already the leader - radios. To distinguish<br />
the brand from its competitors, they presented<br />
'devices more inexpensive, more different and more<br />
functional', vastly improved over the conventional<br />
radios of the time with their gilded edges and high<br />
speakers.<br />
Product improvements in this and other<br />
categories continued, and eventually, in December<br />
1967, The Gillette Company became the majority<br />
shareholder in Braun.<br />
In 1988, Braun's epilator division purchased<br />
the French Silk-epil. The launch of the electric<br />
toothbrush 'Piak ContTol' with a circular oscillating<br />
head revolutionised the market in 1991. More<br />
diversification came in 1996 when<br />
Braun bought the American<br />
business ThermoScan, then the<br />
market leader in infrared<br />
thermometers.<br />
THE PRODUCT<br />
Today, Braun markets 200<br />
products in eleven<br />
categories: dental hygiene,<br />
electric razors, epilators,<br />
blenders, coffee makers,<br />
irons, citrus fruit juicers,<br />
hair driers and curling irons,<br />
thermometers, alarms and ~-·······<br />
calculators.<br />
Outstanding products include the Syncro with<br />
its Clean and Charge unit which cleans the shaver<br />
in alcohol, dries it and<br />
charges it ready for<br />
use. The Syncro also<br />
offers a Smart Logic<br />
battery management<br />
system. The Braun<br />
Independent Steam<br />
Cordless Straightner<br />
makes salon quality<br />
straight hair possible<br />
anywhere, and the<br />
ThermoScan ear thermometer<br />
makes it easy<br />
to take children's<br />
temperatures without<br />
waking the child.<br />
Ten factories in<br />
sRRun<br />
release of a protective lotion. This innovative<br />
concept was developed in pa1tnership with Gillette.<br />
In 2003 Braun launched a new range with the<br />
'Silk-epil SoftPe1fection ... the softest and most<br />
effective of the epi lators', to the three million users<br />
of electric epilators.<br />
Always aware of domestic products, Braun also<br />
launched the 'Multiquick Advantage', a poweJful<br />
high-performance blender, in 2003. The brand 's<br />
success with blenders in a maturing market has<br />
been outstanding, with Braun developing and<br />
growing the market in the premium category through<br />
increases in power and design.<br />
PROMGnON<br />
Braun promotes its brand and products in a wide<br />
variety of ways. Strategic television campaigns<br />
generally focus on the brand, using premium<br />
products to convey the brand slogan 'Better by<br />
Design' .<br />
Seasonal promotions feature premium-branded<br />
gifts with purchases, and recently during a shaver<br />
promotion Braun offered buyers the opp01tunity<br />
to put in some 'Hot Laps' with the companysponsored<br />
Team Braun Porsche, which<br />
competes in the high-profile Carrera Cup.<br />
Subsequently Braun even gave away a<br />
Porsche Boxster to a lucky purchaser<br />
in a popular Clu·istmas promotion.<br />
In quite a different element,<br />
superstat· swimmer Michael Klim is the<br />
face of electric shaving for Braun. Klim<br />
has held world records and has won<br />
gold medals at an international level,<br />
and personally recommends Braun<br />
electric shavers.<br />
A recent Father's Day promotion offered<br />
buyers up to five free EA grunes.<br />
BRAND VALUES<br />
Braun believes that brand image is a major<br />
factor in the company's success. This is based<br />
on the principal values that innovation, design,<br />
and quality give rise to demand.<br />
"We strive to fulfil the consumer's true needs<br />
with products that distinguish themselves through<br />
meaningful innovative features and benefits, high<br />
quality standards in pe1forniance and durability and<br />
ergonomic, distinctive and aesthetic design", said<br />
Bernhru·d Wild, President of Braun.<br />
Braun refuses any compromise on quality. Severe<br />
tests ru·e carried out on a lru·ge scale in the Braun<br />
laboratories in order to guarantee that all products<br />
attain the highest standards of security, solidity<br />
and longevity. The key to Braun's success has been<br />
the strict demand for a functional design of the<br />
highest quality.<br />
Braun's design elements are originality,<br />
functionality, ergonomic simplicity, integrity,<br />
aesthetics and durability. For Braun, design is a<br />
philosophy that penetrates all aspects of life.<br />
www.braun.com<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
BRAUN<br />
network allows Braun to supply<br />
mru·kets right ru·ound the world with<br />
its many products.<br />
RECENT DEVELOPMENTS<br />
In 2000, Braun launched the<br />
'Syncro System', the world's first<br />
self-cleaning electric razor<br />
followed by 'FreeGlider' in<br />
2002, which includes the<br />
0 Today's shavers use the srune basic<br />
foil and cutter technology as the first<br />
electric shaver ever invented, by Max<br />
Braun in 19SO.<br />
0 In I 929, Braun was first to include the<br />
receiver and speaker in a single radio<br />
device.<br />
0 Braun is the worldwide leader in five<br />
product sectors: electric razors,<br />
epilators, electric toothbrushes,<br />
blenders and thermometers.<br />
0 Braun created the radiogram by<br />
combining radio and phonograph in<br />
1932.<br />
0 Braun employs close to 9,000 people<br />
ru·otmd the world.<br />
29
THE MARKET<br />
<strong>Australia</strong>ns love confectionery.<br />
They annually consume 5.7kg<br />
per person, making confectionery<br />
the most popular snack<br />
food in <strong>Australia</strong>.<br />
Chocolate accounts for more<br />
than 7 5 per cent of all<br />
confectionery sales in <strong>Australia</strong><br />
with a retail value of over $1.3<br />
billion every year. Cadbury is the<br />
biggest player in chocolate<br />
confectionery, with market<br />
leadership across all major<br />
product segments.<br />
Forty-seven percent of<br />
confectionery is purchased on<br />
impulse, and almost 50 per cent<br />
of all chocolate buyers are within<br />
the 25 - 49 year age group.<br />
Women generally buy more<br />
chocolate than men, but in most<br />
cases they are buying for their<br />
families. In fact men in the 35-49 year<br />
age group are the highest buyers of chocolate bars<br />
and blocks, usually for themselves.<br />
The <strong>Australia</strong>n confectionery market continues<br />
to grow year on year with volume increasing by<br />
double digits over the past five years.<br />
ACHIEVEMENTS<br />
Cadbury is one of the largest chocolate producers<br />
in the world. Since the merger with Schweppes in<br />
1969, Cadbury Schweppes has become a major<br />
force in international markets. This<br />
position has more recently been<br />
fortified by the acquisition of<br />
Adams Confectionery and The<br />
Natural Confectionery<br />
Company.<br />
Cadbury spans the<br />
globe from its British<br />
base, and operates<br />
factories in <strong>Australia</strong>, New<br />
Zealand, Malaysia,<br />
Indonesia, India, China,<br />
Poland and several patts of Africa.<br />
It owns subsidiary companies in<br />
France, Germany, Spain, Argentina and<br />
Holland and has franchise agreements in the US<br />
and Canada.<br />
In <strong>Australia</strong>, Cadbury brands lead the<br />
confectionery mat·ket with Cad bury's flagship Dairy<br />
Milk wo1th over $95 million annually. Cadbury Nut<br />
Break represents the most<br />
successful block chocolate<br />
launch in the last year, selling<br />
more than $13 million worth in<br />
the first 12 months. Three<br />
generations of <strong>Australia</strong>ns have<br />
grown up with the Cadbury<br />
range.<br />
HISTORY<br />
The Cadbury story started in a<br />
small grocery shop 111<br />
Birmingham, England, opened in<br />
1824 by John Cadbury, a Quaker.<br />
The shop's most popular<br />
product was cocoa and this led<br />
John Cadbury to move into<br />
chocolate manufacturing.<br />
Realising the potential of his<br />
business, John Cadbury and his<br />
brother Benjamin formed a<br />
company, Cadbmy Brothers. In<br />
1853, they received the Royal<br />
WatTant as manufacturers to Queen<br />
Victoria. The company has continued to hold Royal<br />
Warrants of Appointment to this day.<br />
John Cadbury's sons George and Richard took<br />
control of the business in 1861 and in 1866,<br />
introduced a new method for pressing the cocoa<br />
butter from cocoa beans to form cocoa essence,<br />
which was advertised as 'Absolutely pure -<br />
therefore best'. They produced<br />
many new kinds of<br />
chocolates, including<br />
the first assortments<br />
sold in<br />
boxes.<br />
Richard Cadbury introduced ambitious and<br />
attractive designs from his own paintings for his<br />
gift boxes. He used children as models and<br />
sometimes depicted flowers or scenes from holiday<br />
journeys.<br />
In 1905 came the launch of Cadbury's Dairy<br />
Milk, now the company's flagship brand. It was<br />
manufactured by a unique process which used fresh<br />
milk in greater quantities than previously. Of the<br />
three names considered for this new brand -<br />
'Jersey' , 'Highland Milk' and 'Dairy Maid'- the<br />
last two were amalgamated to form 'Dairy Milk'.<br />
The Cadbury purple and gold house colours were<br />
introduced at the beginning of the century and are<br />
now firmly established as Cadbury's corporate<br />
colours.<br />
In 1918, Cadbury merged with<br />
the well-known confectionery ftrm<br />
of J.S. Fry. The alliance was an<br />
outstanding success, and the new<br />
company expanded internationally.<br />
In the 1920s, Cadbury and<br />
Fry decided to build a factory in<br />
<strong>Australia</strong> and were joined by<br />
Pascal!, another well-known<br />
confectionery maker. This new<br />
<strong>Australia</strong>n company was called 'Cadbury<br />
Fry and Pascali'. Claremont in Tasmania was<br />
chosen for the company' s <strong>Australia</strong>n factory,<br />
because it was close to Hobart and to the finest<br />
30
market at Easter.<br />
Cadbmy also licenses its brands to dedicated<br />
producers of ice creams, dairy desserts, cream<br />
liqueur, biscuits and baking products.<br />
dairy pasture in <strong>Australia</strong>, and enjoyed<br />
pure air and moderate temperatures.<br />
Cadbmy became the official supplier<br />
of chocolate to the <strong>Australia</strong>n Armed<br />
Forces in World War II. The supply of<br />
chocolate to the troops and civilians<br />
required a tremendous effort from<br />
Cad bury's workers. The Claremont<br />
factory worked throughout the day and<br />
well into the night, but the civilian<br />
population still suffered from chocolate<br />
shmtages, and stores sometimes went<br />
without chocolate for months at a time.<br />
In 1967 Cadbury acquired<br />
MacRobertsons, a respected <strong>Australia</strong>n<br />
confectionery manufacturer founded in<br />
1880. This move gave Cadbury a major<br />
manufacturing base at Ringwood,<br />
Victoria and a range of unique brands including<br />
Cherry Ripe and Freddo Frog, which have become<br />
household names.<br />
In 1969, Cad bury merged with Schweppes<br />
<strong>Australia</strong> to create Cadbury Schweppes. Since then,<br />
Cad bury has acquired the Red Tulip confectionery<br />
company, founded in Melbomne in 1942, and has<br />
expanded its range of fine products including the<br />
Europe range of health bars, the enormous atTay of<br />
Red Tulip Easter lines, and famous confectionery<br />
brands including After Dinner Mints.<br />
THE PRODUCT<br />
Cadbury's core product is top quality chocolate.<br />
The Cadbmy Dairy Milk block is the company's<br />
flagship brand, but there are many other favourites<br />
including Fruit & Nut, Hazel Nut, Snack and Nut<br />
Break, as well as Old Gold in dark chocolate and<br />
Dream in white. Cadbury produces a variety of<br />
boxed chocolate assortments, most notably Roses<br />
and Favourites.<br />
Children's lines include<br />
<strong>Australia</strong>'s long time favourites<br />
Freddo Frog, Caramello Koala<br />
and Yowie. Famous Cadbury<br />
bar lines such as CheiTY Ripe,<br />
Picnic, Crunchie, Flake and<br />
Turkish Delight meet the<br />
demand for impulse purchases.<br />
New products such as Flake<br />
Noir and rotational Picnic<br />
variants such as Picnic<br />
Honeycomb keep the market<br />
stimulated each year.<br />
Cadbury produces a vast<br />
array of seasonal lines, with<br />
Christmas and Easter being the<br />
two largest selling occasions<br />
for the year. Cadbury leads both<br />
seasons with Magical Elves<br />
being key in the market at<br />
Christmas and Cadbury Creme<br />
Eggs and Mini Eggs driving the<br />
RECENT DEVELOPMENTS<br />
Cadbmy Chocettes, first launched in 2003, have<br />
taken <strong>Australia</strong> by storm. The concept of<br />
"mindless munching" came to the fore<br />
in recent times and necessitated a bitesized<br />
offering that could meet the needs<br />
of varied eating occasions. Chocettes<br />
can be shared amongst family and friends<br />
or be a 'portion controlled' option for<br />
one.<br />
Chocettes capitalise on some of<br />
Cadbury's most successful bar and<br />
moulded chocolate brands including<br />
Cherry Ripe, Cmnchie, Picnic, Dream, Top<br />
Deck and Dairy Milk. Over $13 million<br />
worth of Chocettes were sold in the first<br />
six months. New variants being<br />
introduced in the second half of 2004<br />
promise to add even more excitement to<br />
the segment and give consumers the<br />
opportunity to enjoy their favourite<br />
brands in a novel and convenient format.<br />
Dark chocolate appeals to the mature and more<br />
discerning consumer. Though this consumer group<br />
had become more<br />
prevalent, dark block<br />
chocolate sales had<br />
waned.<br />
Cadbury Old Gold<br />
was re-launched in April<br />
2003 and has created a<br />
resurgence 1!1 dark<br />
chocolate. Prior to therelaunch,<br />
the dark chocolate segment was relatively<br />
stagnant with growth levels at around 15 per cent<br />
and generating $28 million a year. Post-launch, dark<br />
chocolate is growing at 67 per cent and sold more<br />
than $44 million in 2003.<br />
PROMOTION<br />
The taste of Cadbury's chocolate has long been<br />
the focus of Cad bury's advertising in <strong>Australia</strong> and<br />
New Zealand. This has been supported by the<br />
slogan 'a glass and a half of full<br />
cream milk in every 200grams',<br />
accompanied by a picture of<br />
milk pouring into a block of<br />
Cadbury Dairy Milk<br />
chocolate. This was a<br />
tremendous advertising coup<br />
and served the brand well for<br />
more than 50 years.<br />
The "Masterbrand" corporate<br />
umbrella advertising campaign<br />
"Choose happiness ...<br />
choose Cadbury" takes<br />
chocolate consumption to a<br />
'permissibility' platform in the<br />
consumer's mind that will<br />
unlock growth for the future.<br />
Building on this, the<br />
"Wouldn't it be nice"<br />
campaign which fust aired in<br />
2002 with its 'Surfte', 'Soccer'<br />
and ' Postie' clay-mation<br />
commercials explored different motivations for<br />
consuming chocolate such as enjoyment, fun,<br />
sharing and family quality time. This was fmther<br />
fostered in 2003 with 'Car Trip' . All advertisements<br />
were hugely popular and deemed a great success<br />
in conveying the core Cadbury values.<br />
BRAND VALUES<br />
Cadbury's mission statement says simply<br />
'Cadbury means quality'; this is the promise. The<br />
company's reputation is built upon quality; a<br />
commitment to continuous improvement will ensme<br />
that this promise is delivered.<br />
Cadbury has established itself as a company of<br />
fairness and integrity, which always<br />
'::~d~~~~~i55;::;0i\:iii~socially<br />
responsible<br />
business. This commitment to consmners has been<br />
encompassed by involvement with vatious chatities,<br />
with a signiftcant commitment made to the children's<br />
charity 'The Clown Doctors' inearly2004.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
CAD BURY<br />
0 <strong>Australia</strong>ns give more chocolate Easter<br />
Eggs than anyone else in the world -<br />
they give eggs valued at more than<br />
$178 million.<br />
0 <strong>Australia</strong> holds the world record for the<br />
lmgest Easter Egg ever produced. In<br />
1992 Red Tulip produced at1 egg<br />
weighing 4,755kg and measming 7.1<br />
metres in height.<br />
0 Dental resemchers have discovered<br />
that tannin, found in all cocoa<br />
products, inhibits the key enzyme in<br />
the formation of plaque.<br />
0 Over I 00 million Ft·eddo Frogs m·e<br />
produced annually.<br />
0 Chocolate is the only word of Aztec<br />
origin used regularly in English.<br />
Xocoatl was a 'bitterwater' drink made<br />
from the cocoa bean by the Aztecs.<br />
0 Cocoa butter, the fat of which<br />
chocolate is composed, melts<br />
completely at temperatures between 32<br />
at1d 35C and begins to soften at<br />
between 25 and 27C. So keep your<br />
chocolate cool!<br />
31
THE MARKET<br />
Everyone has fond memories of growing<br />
up with cordial. <strong>Australia</strong>n cordial<br />
consumption in 2003 was 6.8 litres per<br />
capita. This translates to every <strong>Australia</strong>n<br />
drinking more than 27 litres of diluted<br />
cordial each year. More than 75 per cent of<br />
households regularly purchase cordial,<br />
which is viewed as refreshment to be<br />
enjoyed mostly in the afternoon or after<br />
school.<br />
Cordial is a product that is primarily<br />
consumed by families with two or more<br />
children aged 5-12 years. Cottee's is<br />
<strong>Australia</strong>'s clear market leader in the $191<br />
million Cordial market, and has<br />
demonstrated the value of having a strong<br />
brand name and market position by the 2<br />
per cent growth it experienced in 2003.<br />
The jam industry is valued at $115 million, and<br />
Cottee's is a m~or player. While the category<br />
continues to be loved especially by older target<br />
markets, around 80 per cent of households buy jam<br />
at least once a year.<br />
The $37.4 million topping category is enjoying<br />
both value and volume growth, and<br />
together Cottee's and Cadbury lead<br />
the category. Topping is complementary<br />
to Ice Cream and bought by<br />
the average household every 12 weeks<br />
as a pantry filler. This mature category<br />
is driven by innovation and the launch<br />
of new products.<br />
Jelly is a fun dessert that is simple<br />
to make and easy to always have on<br />
hand. ln 2003 Cottee' s experienced<br />
the largest market growth in value<br />
terms of all competitors in this $23<br />
million category. Cot tee's was<br />
able to achieve this growth by<br />
capitalising on successful<br />
promotional strategies.<br />
ACHIEVEMENIS<br />
Since being acquired by Cadbury<br />
Schweppes in 1984, Cottee' s has<br />
grown to become one of<br />
<strong>Australia</strong>'s top 25 food umbrella<br />
brands (AC Nielson).<br />
The success of the Cottee's<br />
brand is based on a focus on the<br />
quality of each product, achieved<br />
by improving the fruit credentials<br />
of jam, jellies and cordials.<br />
Cottee' s massive participation in the cordial<br />
category in <strong>Australia</strong> is largely credited to the unique<br />
Coola flavoured cordial that firmly occupies the<br />
top spot as '<strong>Australia</strong>'s favourite' with sales of more<br />
than 64 million litres every year. In addition, Cottee' s<br />
is market leader in toppings and holds a strong<br />
position in both the jam and jelly categories.<br />
HISTORY<br />
Cottee's began making qual ity food<br />
products in <strong>Australia</strong> in 1910. To this day<br />
the Cottee's brand remains an <strong>Australia</strong>n<br />
icon and the range can be found in almost<br />
every supermarket. The company was<br />
started by Spencer Cottee, a dairyman.<br />
When faced with hard times in dairying in<br />
the early 1900s, he began to grow and<br />
process passionfruit. Along the way he<br />
developed the now famous 'Passiona' soft<br />
drink brand. The instant success of<br />
Passiona prompted Spencer to expand the<br />
business <strong>Australia</strong>-wide and create a host<br />
of other beverages under the Cottee' s<br />
brand. So came the bilth of Cottee's fruit<br />
mixes and cordial products in the 1920s.<br />
A growing demand for Cottee' s<br />
products led to the establishment of Cottee' s<br />
second factmy i11 Leichhardt (Sydney), which paved<br />
the way for Spencer Cottee to launch into yet more<br />
categories of jams, jellies and even peanut butter.<br />
During WWII, Cottee's was commissioned to<br />
produce jams, juices and concentrates for the army<br />
and some of these contracts are still in place today.<br />
After the war the company diversified further into<br />
soft drinks, toppings and frozen foods. Increasing<br />
demand for pre-prepared desserts in the 1950s<br />
inspiJ·ed Cottee' s to develop its mnovative instant<br />
pudding in 1958.<br />
In I 970, General Foods Corp USA<br />
and Cottee's Ltd merged to form<br />
Cottee' s General Foods Limited.<br />
Cadbury Schweppes Pty Ltd<br />
then acquired Cottee's Foods<br />
in 1984, undertaking a massive<br />
expansion of business and<br />
facilities at Liverpool, NSW,<br />
with new product<br />
development and the<br />
acquisition of a number of<br />
major food brands. Cottee' s<br />
now expmts its products to<br />
numerous countries around<br />
the world including New<br />
Zealand, the USA, Egypt,<br />
Chile, India and Sri Lanka<br />
as well as South East Asia<br />
and the Pacific Islands. The<br />
current export range<br />
includes jams and<br />
marmalades, fmit cordials,<br />
fruit and other flavoured<br />
toppings, maple syrup,<br />
32
hazelnut spread, j e ll y crystals and in stant<br />
puddings.<br />
The major relaunch oftheCottee's brand in2002<br />
has ensured Cottee' s success as one of <strong>Australia</strong>'s<br />
favourite family brands. To ensure Cottee's<br />
continued movement with the times a new logo,<br />
new pack designs and a new advertising campaign<br />
were launched. The new-look range has greater<br />
consistency, a more contemporary im age and<br />
improved shelf stand-out.<br />
THE PRODUCT<br />
There are a number of contributing reasons why<br />
Cottee's is a leader in <strong>Australia</strong> 's food industry.<br />
The most important is the quality of the products<br />
the company manufactures. The Cottee's range of<br />
products is produced at state-of-the-art<br />
manufacturing facilities at Liverpool,<br />
NSW and Tullamarine, Victoria.<br />
Cottee's has an extensive range of<br />
products in both retail and food<br />
service pack sizes. The range<br />
includes jams and marmalades, 19<br />
flavours of fruit cordial, fruit<br />
sauces, fruit syrups, fruit and<br />
flavoured toppi ngs, maple<br />
syrup, spreads, bellywashers,<br />
soft drinks, jell y crystals and<br />
instant pudd ings. Each of<br />
these products varies in<br />
size, and composition.<br />
Some ranges include<br />
Cottee' s Diet products,<br />
which are distinguished<br />
by a light blue label and<br />
li d which clearly<br />
differentiate them from<br />
the Cottee' s regu lar<br />
range.<br />
T he Cottee' s All<br />
Natural range, including<br />
cordials, fruit juice syrup,<br />
and jelly, offers consumers<br />
high frui t content with no<br />
artificial flavours, colours or preservatives.<br />
RECENT DEVELOPMENTS<br />
The new millennium has brought significant change<br />
to the Cottee' s brand. In 200 I Cottee' s<br />
fruit sauces were launched to<br />
complement the ever-popular<br />
topping range. While<br />
traditional toppings were still<br />
perfect for pouring over ice<br />
creams, the new fruit sauces<br />
were developed to make<br />
Cottee's topping stretch<br />
across a wider variety of<br />
uses; smothering over<br />
cheesecake, adding real<br />
flavour to pavlova or adding<br />
a touch of flavour to pancakes.<br />
In 2002, Cottee's<br />
introduced its new soft drink<br />
range - a natural extension of<br />
the existing range of cordials.<br />
'Cottee's now has bubbles ' was<br />
the message for families .<br />
Cottee' s jam has been<br />
reinvigorated by the launch of<br />
Cottee's Be Organic, a new range of organic<br />
jams to appeal to a more modern consumer.<br />
Cottee' s packaging has undergone a<br />
complete reinvention with the introduction<br />
of a new jam jar, squeeze topping bottle<br />
and a revolutionary user-friendly<br />
cordial jug pack. Building on the jug<br />
pack's success, Cottee's launched<br />
refills, encouraging more<br />
consumer cordial flavour<br />
rotation.<br />
Adding to the<br />
makeover was the<br />
replacement of the old<br />
rigid, square Cottee' s logo<br />
by a more fluid and fun<br />
redesign ready for the<br />
relaunch of the entire<br />
product range in 2002<br />
under the banner of the<br />
'That I Like Best' advettising<br />
campaign.<br />
PROMOTION<br />
Cottee's recognised early in its hi story that<br />
adverti sing and promotion were essential to<br />
remaining a competitive market<br />
leader.<br />
Through the '50s, 'See the<br />
fruit in it', 'Everyday is a<br />
Cottee'skindofday', 'Cottee's<br />
festival of fun ' and 'Always<br />
keenly priced' touted the<br />
virtues of the extensive<br />
Cottee's product portfolio.<br />
But no Cottee's adverti sing<br />
slogan or promotion ever<br />
made such an impact as the<br />
' My Dad picks the fruit'<br />
television commercial of the<br />
early to mid 1980s. It remail1s<br />
a mil estone in Cottee's<br />
marketing history, because it<br />
encapsulated the values that<br />
defined the company since its<br />
beginnings - fun, fam il y,<br />
quality and trust.<br />
In 2002 all Cottee' s brands<br />
were promoted through the master brand and the<br />
emotional connection that consumers had with the<br />
'My Dad' TVC, in the 'That I Like Best' campaign.<br />
BRAND VALUES<br />
Cottee' s success has been built on hard work,<br />
integrity and the ability to anticipate the<br />
changing needs of <strong>Australia</strong>n families. These<br />
cornerstones continue to form the foundation<br />
of Cottee's today. Cottee's loyal consumer<br />
base has grown fro m the company's<br />
commitment to quality products that meet<br />
the needs of <strong>Australia</strong>n families. This<br />
achievement was made possible by the<br />
continuous evoluti on of the product<br />
range and an ability to connect with the<br />
<strong>Australia</strong>n culture.<br />
In everything Cottee's does going<br />
forward, it will be clear that regardless<br />
of the product category, it is one brand<br />
with one promise. That promise is that<br />
Cottee's foods are of a high, trusted<br />
quality, with a great taste. In most<br />
categories they are also market leaders -<br />
which clearly makes them the products 'that I like<br />
best' .<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
conEE'S<br />
0 Cottee' s founder, Spencer Cottee,<br />
originally beg
CRJICKET AUSTRALIA<br />
Over the past five years, Cricket <strong>Australia</strong> has<br />
generated a 95 per cent increase in revenue. This<br />
has largely come from increases in sponsorship<br />
and media rights income, but the other core revenue<br />
stream, gate receipts, has also grown strongly.<br />
In the 2002-2003 season, Cricket <strong>Australia</strong><br />
generated total revenue of $87.1 million.<br />
THE MARKET<br />
Summer means cricket for <strong>Australia</strong>ns all around<br />
the nation. Players, officials, venue managers,<br />
volunteers, local councils, media, families, suppliers<br />
and fans gear up for their respective roles in what<br />
is <strong>Australia</strong>'s biggest genuine national sport.<br />
At an elite level, <strong>Australia</strong>'s summer features<br />
Tests and one-day games for the men's and<br />
women's teams. Elsewhere, the world's strongest<br />
domestic fu·st-class cricket competition, the Pura<br />
Cup, one-day interstate INGCup and the Women's<br />
National Cricket League, build on their traditions.<br />
And across the nation,<br />
hundreds of thousands of<br />
men and women, boys and<br />
girls, are taking to the field<br />
at all levels of international,<br />
interstate, local, community<br />
and school cricket.<br />
Countless more will roll their<br />
arm over in the backyard or<br />
on the beach.<br />
Cricket has a distinct<br />
place in <strong>Australia</strong>n society<br />
and history. The game has<br />
played a significant role as<br />
an element in <strong>Australia</strong>'s<br />
national identity.<br />
<strong>Australia</strong>ns pride<br />
themselves on playing the<br />
game hard but fair, and<br />
<strong>Australia</strong> is currently and<br />
also historically the world's<br />
most successful cricketing nation.<br />
Embracing the spirit of the game means<br />
participating fairly, either as a player or as an official,<br />
and exhibiting respect for other players and officials<br />
and the game's traditional values such as<br />
graciousness in defeat and humility in victory.<br />
ACHIEVEMENTS<br />
During the 2002-2003 season, independent market<br />
research confirmed that cricket is <strong>Australia</strong>'s<br />
favourite team sport.<br />
Cricket <strong>Australia</strong>'s revenue continues to grow.<br />
HISTORY<br />
The first central administrative body for cricket in<br />
<strong>Australia</strong> was estab]jshed in March 1892, when<br />
delegates from the state associations of New South<br />
Wales, South <strong>Australia</strong> and Victoria complemented<br />
growing federalist fervour by establishing the<br />
Australasian Cricket Council.<br />
The Council disbanded only seven ye3.1·s later,<br />
but the void was filled when the <strong>Australia</strong>n Board<br />
of Control for International Cricket was formed in<br />
1905 with two representatives from New South<br />
Wales and Victoria. A delegate from Queensland<br />
joined later the same year; and in 1906 another<br />
representative from New South Wales and Victoria<br />
attended, along with three from SA.<br />
Tasmania was permitted one representative from<br />
1907, while Western <strong>Australia</strong>n representation<br />
became a reality from 1913. The only other changes<br />
to the number of delegates provided by the states<br />
were made in 1914 and 1974 respectively, when<br />
Queensland and Western <strong>Australia</strong>n representation<br />
increased to two each.<br />
The organisation again changed its title in 1973<br />
- this time to the <strong>Australia</strong>n Cricket Bolli·d.<br />
Arguably the biggest period of transition in its<br />
operations occurred in the<br />
late 1970s, when the advent<br />
of World Series Cricket<br />
prompted a number of<br />
important changes in the<br />
areas of marketing,<br />
commercial affairs and media<br />
involvement in cricket.<br />
In 2001 Bob Merriman<br />
became the 34th person to<br />
oversee the Board's<br />
activities as its Chairman<br />
when he replaced Denis<br />
Rogers.<br />
Among tl1e wide range of<br />
developments to which<br />
these men have been forced<br />
to respond in their roles as<br />
the Board's figureheads,<br />
some of the more notable<br />
have been: the 1912 dispute<br />
34
etween officials and a group of the<br />
country's senior players; the outrage<br />
prompted by the 'Body line' series of<br />
1932-33; the onset of World Series<br />
Cricket in the late 1970s; the staging<br />
of rebel tours to South Africa during<br />
the 1980s; and the threat of strike<br />
action launched by the nation's<br />
players in 1997.<br />
The longest serving Chairmen<br />
were Allen Robertson (1930-33, 1936-<br />
45, l948-5l)andAubrey0xlaie(l927-<br />
30, 1933-36, 1945-48, 1952-52), while<br />
arguably the best-known was Sir<br />
Donald Bradman ( 1960-63, 1969-72).<br />
James Sutherland became the<br />
organisation's 12th Secretary/Chief<br />
Executive Officer in 2001 when he<br />
succeeded Malcolm Speed.<br />
THE PRODUCT<br />
Through growth, development and promotion,<br />
Cricket <strong>Australia</strong> brings the game of cricket to the<br />
people of <strong>Australia</strong>.<br />
It is Cricket <strong>Australia</strong>'s role to attract, develop<br />
and keep people in the game by building skills,<br />
p3.!ticipation levels and cricket pathways such as<br />
the MILO development programs that introduce<br />
young children to the basic skills of cricket through<br />
a modified version of the game.<br />
At the elite level, Cricket <strong>Australia</strong> provides high<br />
quality traini ng facilities and development<br />
programs to ensure the future success of the<br />
<strong>Australia</strong>n men 's and women's cricket teams and<br />
various representative sides.<br />
Cricket <strong>Australia</strong> takes a leadership role in<br />
actively promoting the codes and policies of the<br />
game, both locally and internationally.<br />
consolidates revenueraising<br />
and new<br />
business activities for r-!~"'-~<br />
<strong>Australia</strong>n cricket.<br />
Cricket Operations<br />
manages <strong>Australia</strong>n<br />
teams at international<br />
level, administers the<br />
country's premier<br />
domestic competitions,<br />
the Pura Cup and the<br />
lNG Cup and the<br />
Women's National<br />
Cricket League, and<br />
oversees all first-class<br />
umpiring.<br />
Finance and Administration<br />
manages<br />
<strong>Australia</strong>n cricket's finances and administers its<br />
internal operations.<br />
Game Development is responsible for<br />
overseeing all cricket development activity<br />
from the g3.1ne' s highest level through to its<br />
grass roots.<br />
Legal and Business Affairs<br />
provides in-house legal counsel, and<br />
ensures that the organisation adheres<br />
to sound legal practice.<br />
Public Affairs plans and implements<br />
RECENT DEVELOPMENTS<br />
In 2002, the <strong>Australia</strong>n Cricket Bolli·d published<br />
a strategic plan for <strong>Australia</strong>n cricket called<br />
'From Backyard to Baggy Green', identifying<br />
four strategic priorities: to strengthen and<br />
protect the spirit of cricket; to thrive at<br />
the elite level; to attract, develop and<br />
keep people in the game; and to ensure<br />
that cricket has a strong and<br />
sustainable financial base.<br />
On 1 July 2003, theAustra]jan Cricket the organisation's strategic<br />
Board changed its name to Cricket<br />
communications programs, ensuring that<br />
<strong>Australia</strong>, in order to build a more<br />
cricket's stakeholders are kept informed<br />
coordinated approach to branding<br />
about the game.<br />
throughout <strong>Australia</strong>n cricket. A range of new<br />
Cricket <strong>Australia</strong> became fully integrated<br />
<strong>Australia</strong>n cricket logos has been developed with Women's Cricket in 2003. The integration<br />
along a sinul3.1· shape to make them instantly<br />
will help develop clear pathways for female<br />
recognisable as part of <strong>Australia</strong>n cricket ~~==~ players from junior programs like CricHit<br />
branding. This move was designed to<br />
through to <strong>Australia</strong>n representation.<br />
ensure an integrated look and voice<br />
Today, <strong>Australia</strong>'s national women's<br />
across all levels of the game, and to<br />
team, the Commonwealth bank<br />
enhance the strength of the brand<br />
Southern St3.!·s, serve as role<br />
val ue.<br />
models for thousands of<br />
Cricket <strong>Australia</strong> administers the<br />
young girls taking up the game<br />
game of cricket usi ng a wide range of<br />
each year.<br />
resources. In addition to the Executive<br />
depmtment, which manages the day-today<br />
PROMOTION<br />
operations of the Chief Executive<br />
Cricket<strong>Australia</strong>'s 'GoAussieGo'<br />
Officer and Directors, Cricket <strong>Australia</strong><br />
brand campaign conveys the message that<br />
operates six other departments.<br />
cricket is a sport for all <strong>Australia</strong>ns reg3.1·dless<br />
Commercial Operations drives and of age, gender, race or occupation. It is about the<br />
traditions of the game and recognises<br />
past and present heroes. The<br />
'GoAussieGo' campaign has been<br />
running for some six years, and<br />
follows the success of the previous<br />
campaign, 'C'mon Aussie C ' mon',<br />
which was first introduced in the<br />
1978179 season during the World<br />
Series Cricket era.<br />
The highly successful MILO<br />
Cricket programs see nelli·ly half a<br />
million primary and second3.1·y school<br />
students experience the game every<br />
year by means of tailored matches,<br />
clinics and other activities. MILO<br />
Kanga Cricket, Have-A-Go and Super<br />
8s all aim to raise aw3.1·eness 3.!1d draw<br />
p3.!ticipants to the game.<br />
Of course cricket is self-promoting to a large<br />
extent. On television both Test and one-day<br />
international cricket consistently rate higher than<br />
any other sport. Market research has also<br />
confirmed that cricket is <strong>Australia</strong>'s favourite sport<br />
to listen to on radio and to read about in<br />
newspapers.<br />
BRAND VALUES<br />
Cricket <strong>Australia</strong>'s mission statement is to advance<br />
cricket as <strong>Australia</strong>'s national sport by growing<br />
pmticipation and interest in the game; fostering<br />
the success of <strong>Australia</strong>n teams; and striving for<br />
commercial excellence, in a manner that upholds<br />
the tradition, integrity and spirit of cricket.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
CRICKET AUSTRALIA<br />
0 There 3.1·e 436,000 registered c1icket<br />
pmticipants in <strong>Australia</strong>.<br />
0 Women's cricket at intemationallevel has<br />
adopted the same baggy green cap as<br />
men's Ciicket with a slightly different logo.<br />
0 In Ap1il 2004, the Ciicket Centre of<br />
Excellence opened in Btisb3.!1e.<br />
0 In the 2002-2003 season, Cricket<br />
<strong>Australia</strong> generated total revenue of<br />
$87.1 million.<br />
0 The first recorded women's cricket<br />
match in <strong>Australia</strong> took place in 1874.<br />
35
THE MARKET<br />
It will be no surprise to readers of th is<br />
book to learn that the a lcohol<br />
beverage market has changed<br />
almost beyond recognition over the<br />
past ten years. Historically our<br />
alcohol consumption patterns were<br />
pretty well set. We had a beverage of<br />
choice and stuck to it. It is a different<br />
story today with consumers broadening<br />
their repettoire of alcohol beverages and regularly<br />
shifting between beer, wine, spirits and pre-mixed<br />
drinks.<br />
Believe it or not, that's aU good news for premium<br />
beer because people choose their drinks based on<br />
their mood and the occasion and, since they have<br />
more spending money in their pockets, they are<br />
not averse to paying a little bit more for something<br />
that represents quality and status.<br />
In the past five years alone, around 52 new<br />
premium beers have been launched into the<br />
<strong>Australia</strong>n market. Of the total beer market,<br />
premium beer accounts for 6.2 per cent- and it<br />
is growing at around I 0 per cent per year.<br />
ACHIEVEMENTS<br />
One premium beer that has been around a lot<br />
longer than any other- fifty years to be precise <br />
is Crown Lager.<br />
Crown Lager has held onto the number one<br />
premium beer spot for five glorious decades and<br />
in spite of competition from a whole range of<br />
imported and new domestic bra1ids, Crown keeps<br />
growing its share of the premium beer market and<br />
proving itself to be the epitome of <strong>Australia</strong>'s Finest.<br />
Over the years Crown has been rewarded with many<br />
accolades including Premium Beer of the Year at<br />
the 2002 <strong>Australia</strong>n Liquor Industry Awards.<br />
HISTORY<br />
Without a doubt, Crown Lager is one of <strong>Australia</strong>'s<br />
most iconic brands. It is the country's original<br />
premium beer and continues to outsell any other<br />
premium beer on the market.<br />
Crown Lager had an auspicious start. It was<br />
launched to the <strong>Australia</strong>n consumer in June 1953<br />
to celebrate the coronation of Queen Elizabeth II.<br />
Prior to that it was available only to an exclusive<br />
group of individuals made up of diplomats and<br />
visiting dignitaries.<br />
But once in the hands of the public, the brand<br />
took off and has never looked back. Fifty years<br />
on, people with something to celebrate - no<br />
matter how big or small the occasion - still<br />
mark the moment with a Crown Lager.<br />
Crown's signature cone-shaped<br />
bottle and foil label have changed little<br />
in the 50 years. Only four times over<br />
five decades has the packaging been<br />
altered- a testament to the enduring<br />
strength of the brand. The last change<br />
was the development of a full gold<br />
foil neck label to commemorate tl1e 50' 11<br />
anniversary in 2003.<br />
Exactly how does an iconic brand li ke Crown<br />
Lager, a brand which symbolises celebration in the<br />
hearts and minds of <strong>Australia</strong>n beer consumers<br />
everywhere, honour its own<br />
golden anniversary? By hosting<br />
the party of the year at another<br />
A u stra li an<br />
icon - the Sydney Opera House.<br />
On July 3R 1 2003, Crown's 50' 11 anniversary was<br />
celebrated in style in the fashionable Sydney<br />
Opera House restaurant, Guillaume at<br />
Bennelong. The venue was bathed in golden<br />
light, the glow from which could be seen from<br />
the long approach along Circular Quay. Guests<br />
included the who's who from the worlds of<br />
fashion , art, media, te levision, sport,<br />
hospitality and, of course, the Carlton &<br />
United Breweries staff who helped make<br />
Crown Lager the success it is today. A<br />
spectacular stage show featuring music and<br />
dance from Crown's five glorious decades<br />
entertained more than 500 guests who<br />
managed to pruty on until the eru·Jy hours<br />
of the follow ing morning. It was a fitting<br />
tribute to commemorate Crown' s five<br />
decades as <strong>Australia</strong>'s Finest premium<br />
beer.<br />
THE PRODUCT<br />
Crown Lager is renowned for its creamy<br />
fruitiness and rich, malty mid palate. It is<br />
brewed pure ly to deliver premium<br />
enjoyment ·and is crafted from the<br />
choicest <strong>Australia</strong>n malt and the season's<br />
best 'Pride of Ringwood' hops.<br />
Coincidentally, 'Pride of Ringwood'<br />
also celebrates 50 great yeru·s in 2003. It<br />
was developed by a CUB research team<br />
and by the end of the 1950s, this hardy<br />
36
and hi gh yielding hop<br />
variety had transformed<br />
the <strong>Australia</strong>n<br />
brewing industry. For<br />
a whi le it featured in<br />
every CUB beer and<br />
remains the c lassic<br />
bittering hop in<br />
Crown Lager.<br />
RECENT<br />
DEVELOPMENTS<br />
One of Crown Lager's<br />
success factors is consistency. Over the decades<br />
very little has changed. Cettainly the recipe, a closely<br />
·TJu·: Hf'l"t' :-.~'!"\I 'd al pn·ci ~t ·l: lilt' t ·i~!Jt l c•Jl ljlt'I'HIIIIT.<br />
So \HTt' tlw o:·stcr)"o:·<br />
guarded secret, is the same now as it was back in<br />
1953.<br />
Where Crown has changed is in its mru·keting.<br />
Going back to our struting point about the fickle<br />
alcohol consumption habits oftoday's consumers,<br />
the people behind the brand have recognised the<br />
importance of Crown being seen in the right hands<br />
and ri ght places outs ide of mainstream advertising<br />
and promotion.<br />
Crown Lager is the first choice of a number of<br />
<strong>Australia</strong>'s elite sp01ting personalities who celebrate<br />
their victories with Crown. Such is the association<br />
with cricket a11d <strong>Australia</strong>11 Rules footbal l in<br />
pruticular, that Crown Lager<br />
now has a formal<br />
re lationship w ith Cricket<br />
Austra li a and the AFL<br />
through its s upport and<br />
sponsorship of the Allan<br />
Border and Brownlow<br />
medals. Underpinning all<br />
this activity is ongoing<br />
support for smaller but<br />
equally exclu sive and<br />
influential events in the<br />
world of art, fashion,<br />
sport and entertainment.<br />
While Crown's<br />
packaging has been<br />
altered only four times in<br />
50 years again<br />
maintaining<br />
consistency over a<br />
long period - prut of<br />
the 50' 11 anni versru·y<br />
celebrations was a<br />
national competition<br />
among Austra lia's<br />
leading tertiary<br />
design colleges to<br />
design a special 50' 11<br />
anniversary Crown<br />
Lager label.<br />
Hundreds of<br />
students from all over the country vied for the prize<br />
-an Apple i-book computer plus a pallet of Crown<br />
Lager, packaged in their own design, for them to<br />
shru·e with their college mates. The project attracted<br />
a huge amount of interest and, importantly for the<br />
brand, Crown Lager benefited from having a high<br />
profile among the key influencers of tomorrow.<br />
PROMGnON<br />
As the Crown Lager bottle and the packaging have<br />
evolved over time, so has the advertisi ng. One<br />
reason for this is the fact that only one agency has<br />
ever been responsible for developing adverti sing<br />
for the brand. George Patterson Bates has been<br />
responsible for devising the creative content of<br />
Crown's advettising for most of the brand's 50<br />
yeru·s. And whi le CUB has been careful to maintain<br />
the brand's consistency, the agency has worked<br />
hru·d to make sure the
THE MARKET<br />
<strong>Australia</strong>'s growing appetite for pizza is<br />
fuelling a $1.4 billion industry. More than<br />
133 million pizzas are sold in <strong>Australia</strong><br />
every year - that's more than seven for<br />
every <strong>Australia</strong>n man, woman and child.<br />
At least four in five <strong>Australia</strong>ns buy<br />
and eat a pizza in any tlu·ee-month period,<br />
with the majority of pizza consumers aged<br />
between 25 and 44 years. Couples with<br />
children at home consume the most pizza,<br />
while young single males are the most<br />
frequent purchasers. In <strong>Australia</strong>,<br />
Domino's Pizza sells about 34 million<br />
pizzas each year making it one of the<br />
country's top pizza makers.<br />
Founded in 1960, Domino's is the<br />
recognised world leader in pizza delivery,<br />
operating a network of more than 7,300<br />
stores in more than 50 countries.<br />
Domino' s Pizza <strong>Australia</strong>, a 100 per cent<br />
<strong>Australia</strong>n-owned company with the <strong>Australia</strong>n and<br />
New Zealand master franchise for the brand,<br />
operates more than 280 company-owned and<br />
franchised stores. Domino's Pizza <strong>Australia</strong> leads<br />
in the majority of its markets around <strong>Australia</strong>.<br />
ACHIEVEMENTS<br />
Since its inception, Domino's Pizza <strong>Australia</strong> has<br />
delivered a series of products and innovations<br />
which have revolutionised the <strong>Australia</strong>n pizza<br />
industry.<br />
In 1980 Domino's Pizza <strong>Australia</strong>, then trading<br />
as Silvio's Dial-A-Pizza, was the fu·stin Aust:ralia to<br />
introduce home pizza delivery. This<br />
concept proved extremely popular,<br />
prompting competitors to follow<br />
suit. Today, Domino's delivers ten<br />
million pizzas to <strong>Australia</strong>n<br />
households each year.<br />
Introduced in 2000, Hot Cell is<br />
<strong>Australia</strong>'s first electronic hot bag<br />
for pizza delivery. Using a patented<br />
state-of-the-art heating element and<br />
special insulation material, Domino' s<br />
Hot Cell works like a portable oven<br />
ensuring pizza is delivered up to 20<br />
per cent hotter.<br />
Designed to fill the gap between<br />
Deep Pan and Thin 'n' Crispy bases,<br />
the Classic Crust is a pizzeria-style<br />
crust which now accounts for almost<br />
half of all Domino's Pizza <strong>Australia</strong><br />
sales. Introduced in 2002, the<br />
Classic Crust dough was originally developed by<br />
Domino's Pizza <strong>Australia</strong> CEO Don Meij for use in<br />
an apple turnover product. He cooked the dough<br />
in a pan to create a baked crust and the Classic<br />
Crust was born.<br />
All Domino' s staff receive proper t:raining from<br />
the minute they set foot inside a Domino' s store.<br />
This covers customer service, product quality and<br />
occupational health and safety. Domino's Pizza<br />
College is the company's management training<br />
program, helping to transform today' s pizza delivery<br />
drivers into tomorrow' s management team. It gives<br />
employees a qualification which is recognised<br />
internationally and helps young guns launch a<br />
career in the industry.<br />
The Partners Foundation is a nonprofit,<br />
non-compulsory fund to which all<br />
employees are encouraged to donate.<br />
The purpose of the foundation is to<br />
provide financial assistance to employees<br />
and their families who have fallen on hard<br />
times. The foundation has helped over<br />
100 people at a cost of approximately<br />
$96,000 since its inception on 30th June<br />
1997.<br />
HISTORY<br />
Domino's Pizza <strong>Australia</strong> began in the<br />
Brisbane suburb of Red Hill in 1978 as<br />
Silvio's Dial-A-Pizza. Founded by two<br />
enterprising brothers, Silvio and Fe!<br />
Bevacqua, Silvio's embarked on a rapid<br />
expansion throughout <strong>Australia</strong> and by<br />
1993 had more than 70 stores in<br />
Queensland, New South Wales, Western <strong>Australia</strong>,<br />
Tasmania and the Northern Territory.<br />
In 1993, Silvio's Dial-A-Pizza bought the<br />
<strong>Australia</strong>n and New Zealand master franchise for<br />
the international Domino's brand. Between 1995<br />
and 1996, theDomino's and Silvio's groups merged<br />
and all stores were branded as Domino's.<br />
With almost 30 years of local experience and a<br />
new, aligned, fighting, entrepreneurial spirit,<br />
Domino's Pizza <strong>Australia</strong> began heading for market<br />
leadership.<br />
In Apri I 2001 , Don and Esme Meij and Grant and<br />
Sandy Bourke, two of <strong>Australia</strong>' s largest<br />
franchisees, merged their 25 franchised stores into<br />
the master franchise and purchased<br />
23 per cent of Domino' s Pizza<br />
<strong>Australia</strong>. They remain the operating<br />
shareholders of the company.<br />
Today, Domino's Pizza <strong>Australia</strong><br />
employs more than 8,000<br />
<strong>Australia</strong>ns, operates more than 280<br />
stores and sells more than 34 million<br />
pizzas each year.<br />
IttookDomino's Pizza<strong>Australia</strong><br />
23 years to achieve a turnover of<br />
$ 150 million. Two years later the<br />
company broke through the $200<br />
million mark and during the next 18<br />
months it expects to pass $250<br />
million.<br />
THE PRODUCT<br />
When it comes to pizza, Domino's<br />
Pizza <strong>Australia</strong> has proven that<br />
38
choice is supreme.<br />
Domino's continually researches new<br />
topping combinations and new pizza bases.<br />
It develops about 10 pizza concepts a week,<br />
but only about one in 30 ends up on the<br />
menu.<br />
Every few months, a range of new tastes<br />
is introduced for a limited time to cater to<br />
the ever-evolving tastebuds of <strong>Australia</strong>n<br />
pizza-lovers. No pizza topping is left<br />
untasted, with the recent Double Bacon<br />
Cheeseburger pizza the first in <strong>Australia</strong> to<br />
feature mayonnaise. It quickly proved<br />
popular and won a permanent place on the<br />
Domino's pizza menu.<br />
Domino's also conducts regular taste<br />
test focus groups to trial the new pizza<br />
toppings and bases. New pi zzas have to<br />
succeed here if they are to make it into the stores.<br />
With the company's move into New Zealand in<br />
mid 2003, Domino's realised that different<br />
nationalities have their own tastes. The Kiwi Kev<br />
is the frrst in a planned series of pizzas specifically<br />
designed for New Zealand taste buds.<br />
Sourcing fresh products is one of the keys to<br />
Domino' s continued success. It is one of the few<br />
<strong>Australia</strong>n pizza-makers to use vine-ripened instead<br />
of gas-ripened tomatoes, along with sun-dried<br />
tomatoes to enhance the flavour of the pizza.<br />
More than 94 per cent of Domino's Pizza<br />
<strong>Australia</strong>' s expenditure is spent on sourcing<br />
<strong>Australia</strong>n products. It spends $61 million each<br />
year on <strong>Australia</strong>n ingredients like yeast, plain flour,<br />
chicken, pizza sauce, cheese, beef, ham, pepperoni,<br />
bacon, mushrooms, capsicums, tomatoes and<br />
OniOnS.<br />
RECENT DEVELOPMENTS<br />
In the 2002/03 financial year, Domino' s increased<br />
store numbers by almost a qmuter to 245. Soon<br />
after that, Domino's opened its 250'" <strong>Australia</strong>n store<br />
in the Sydney suburb of N01th Strathfield. By the<br />
end of2003, Domino's had more than 280 <strong>Australia</strong>n<br />
stores- well on its way to achieving its long-term<br />
goal of having 500 stores by 2008. The company<br />
had also launched its first stores in Victoria,<br />
previously the only <strong>Australia</strong>n state without a<br />
Domino's presence.<br />
Following strong domestic growth, Domino's<br />
Pizza <strong>Australia</strong> moved into its first international<br />
market in 2003. In July, Domino's opened in New<br />
Zealand and by the end of 2003 had more than I 0<br />
stores operating in the country. The first New<br />
Zealand store in Johnsonville, Wellington, sold<br />
5, 134 pizzas in its first week - believed to be the<br />
fowth highest number of pizzas ever sold in the<br />
opening week of any of Domino's stores worldwide.<br />
At its busiest times the store was making up to four<br />
pizzas a minute.<br />
PROMOTION<br />
Domino's Pizza <strong>Australia</strong> is one of the most<br />
recognised brands in <strong>Australia</strong>. Its catchy tagline<br />
"I've got the hots for what's in the box with the<br />
dots" is also frrmly etched in the minds of <strong>Australia</strong>n<br />
pizza-lovers thanks to a series of television<br />
advertisements.<br />
Other pizza companies operating in <strong>Australia</strong><br />
have used their advertising to criticise their<br />
competition. But capturing the fun and youthorientated<br />
nature of the company, Domino's<br />
advertisements focus simply on the company 's<br />
expe1tise in making and delivering the freshest and<br />
best-tasting pizza on the market.<br />
Domino's also has regular adve1tisements aimed<br />
at informing <strong>Australia</strong>ns about its latest products,<br />
such as the Classic Crust and new menu items.<br />
Another way Domino's Pizza <strong>Australia</strong> has<br />
helped promote its fun approach to life is by<br />
launching a range of research measuring the social<br />
pulse of <strong>Australia</strong>. In 2003 Domino' s customers<br />
predicted the 2003 Gold Logie winner, Rove<br />
McManus, and the Big Brother Series 3<br />
winner, Reggie.<br />
BRAND VALUES<br />
Twenty-five years ago, Domino's Pizza<br />
<strong>Australia</strong> began delivering fresh, hot and<br />
great-tasting pizza. While times may have<br />
changed, this core mission has remained<br />
the same. More than ever, Domino's<br />
remains the pizza making and delivery expert.<br />
Willie Domino's offers customers pizza<br />
accompaniments like soft drinks and garlic<br />
bread, its focus remains finnJy on pe1fecting<br />
the perfect pizza.<br />
Domino's Pizza <strong>Australia</strong> is also<br />
committed to creating a fun team culture<br />
and helping youth develop a career with<br />
Domino's. This has been achieved tlu·ough<br />
Pizza College and a range of other initiatives which<br />
help young team members to become store<br />
managers, store owners and more.<br />
Through its products, innovations and staff<br />
incentives, Domino's PizzaAust:ralia is etched firmly<br />
in <strong>Australia</strong>n minds as a company that is committed<br />
to delivering the best-quality pizzas and playing a<br />
pivotal role in the development of the local pizza<br />
industry.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
DOMINO'S PIUA AUSTRALIA<br />
0 Each year Domino's uses more than<br />
3,720 tonnes of pizza sauce and 5,600<br />
tonnes of cheese to cook about 40<br />
million pizzas.<br />
0 The NRL State of Origin, September<br />
school holidays, Easter and the<br />
Christmas-New Year period are the<br />
busiest times of the year for Domino's<br />
pizza delive1ies.<br />
0 Any Domino's team member who<br />
nominates a new pizza topping<br />
combination that makes it onto the<br />
menu earns a$ 1,000 bonus.<br />
0 CtllTentDomino's Pizza <strong>Australia</strong> CEO<br />
Don Meij began working as a<br />
Domino's pizza delivery d1iverin 1987<br />
while st11dying to be a high school<br />
teacher. Fifteen years later, after being<br />
a store manager and franchisee, Don<br />
became the CEO of tl1e company.<br />
0 Domino's drivers make more than<br />
92,000 pizza deliveries each week.<br />
0 Residents of the regional New South<br />
Wales city of P01t Macquarie lay clain1<br />
to eating the most Domino's pizzas in<br />
one day. On December 6, 2003,<br />
Domino's Port Macquarie sold 4,890<br />
pizzas - more pizzas than the average<br />
Domino's store sells in one week !<br />
0 Adelaide is home to <strong>Australia</strong>'s fastest<br />
pizza makers. A team of four Adelaide<br />
Domino's team members won the 2002<br />
National Pizza Make Off after making<br />
six pe1fect pizzas in just 77.58 seconds.<br />
0 Domino's bi-annual World Wide Rally,<br />
held in Las Vegas, attracts over 5,000<br />
pizza franchisees and managers from<br />
around the world.<br />
39
Dulux®<br />
;·<br />
'-·· . . -· ·.. ·. ·- .<br />
THE MARKET<br />
Painting and home decorating have become<br />
increasingly popular in <strong>Australia</strong>. Global<br />
unce1tainty has channeled people's energy into<br />
areas where they feel relaxed and comfmtable,<br />
with a greater sense of control: areas such as<br />
the family home. Boosted by the phenomenal<br />
success of DIY television shows, people are<br />
using colour and effect to express who they<br />
are and to transform their homes.<br />
Since 2001 , boosted by the introduction of<br />
the GST, strong residential construction<br />
combined with the emergence of a strong DIY<br />
sector has resulted in above average growth in<br />
both Retail and Trade markets. The continued<br />
increase in DIY consumer confidence and a<br />
strong local economy will keep demand<br />
growing.<br />
The paint season tends to be between<br />
September and Easter to coincide with warmer<br />
weather and holidays. Weather conditions have<br />
a significant impact on the paint market,<br />
pmticularly the demand for exterior paints. The<br />
paint market is also affected by trends in<br />
housing construction and renovation, as well<br />
as consumer confidence in the economy.<br />
ACHIEVEMENTS<br />
When <strong>Australia</strong>ns think paint, they think Dulux.<br />
The Dulux name is recognised by more than 80 per<br />
cent of <strong>Australia</strong>ns. Dulux has em·ned its reputation<br />
through its commitment to research and<br />
development and its emphasis on high quality<br />
products. Dulux employs more than 70 scientists<br />
and specialists who work on developing the next<br />
generation in Slllface coatings.<br />
Recent exciting developments in paints include<br />
Dulux Mouldshield®, a revolutionary polymer latex<br />
that was able to provide superior performance with<br />
high levels of mould-inhibiting zinc oxide, and Dulux<br />
Aquanamel, a water-based enamel paint that uses<br />
new polymer technology developed by the Dulux<br />
R&D team. This technology enabled a significant<br />
reduction in the usage of volatile organic<br />
compounds.<br />
HISTORY<br />
Dulux is an entirely <strong>Australia</strong>n-owned and<br />
manufactured brand. In July 1997, ICI <strong>Australia</strong><br />
Limited became an independent company when its<br />
British parent divested itself of its majority<br />
shareholding interest in its <strong>Australia</strong>n operations.<br />
To recognise the new independence the company<br />
name, ICI <strong>Australia</strong> Ltd, was changed to Orica Ltd<br />
in February 1998.<br />
Orica is the largest chemical company in the<br />
region, employing I 0,000 people around the world.<br />
Orica manufactures and markets industrial and<br />
specialty chemicals, agricultural chemicals and<br />
fe1tilisers, explosives and mining chemicals, plastics<br />
and paints. Through its Consumer Products<br />
Division, based in <strong>Australia</strong>, Orica manufactures a<br />
comprehensive range of paints and is <strong>Australia</strong> ' s<br />
Jm·gest manufacturer and supplier of surface<br />
coatings. With manufacturing sites and a worldclass<br />
paint technology centre in Am;tral ia (plus<br />
sites in New Zealand, Fiji and Papua New<br />
Guinea), Dulux is recognised as the cornerstone<br />
of Orica's paint business and the number one<br />
brand in the industry.<br />
THE PRODUCT<br />
Over the past 40 yem·s, Dulu x has made some<br />
of the most significant contributions to the paint<br />
industry. For example, in the 1960s Dulux<br />
launched the first water-based paints. This new<br />
type of paint was much easier to apply than<br />
solvent paint and is, in pm·t, credited with the<br />
continuing strength of the Do-It-Yourself paint<br />
mm·ket in <strong>Australia</strong>.<br />
In the 1970s, Dulux improved its water-based<br />
paints to meet consumer demand for durability<br />
and stain resistance. This led to the introduction<br />
of WeathershieJd® X I 0 with its I 0-year<br />
guarantee and Wash & Wear I 0 I® with its<br />
patented stain-resistant properties.<br />
Wash & Wem I 0 I is regarded as one of the<br />
most successful product launches in <strong>Australia</strong>.<br />
In-depth understanding ofthe mm·ket, a strong<br />
communication package and an outstanding,<br />
differentiated proposition that addressed a key<br />
consumer need resulted in substantially<br />
increased market share. Wash & Wem I 0 I also set<br />
the standard for all other interior topcoat paints.<br />
Dulux is renowned for its outstanding customer<br />
service. This has been recogni sed within the<br />
industry and by customers. In 2003, the Paint<br />
Specialist Association of <strong>Australia</strong> awarded Dulux<br />
with the 2003 Best Customer Service Depm·tment.<br />
In the same year, Du lu x was recognised by one of<br />
the leading hmdwme chains in <strong>Australia</strong>, being<br />
40
named Mitre lONational Supplier of the Year.<br />
Dulux offers a comprehensive range of high<br />
quality prepcoats, interior topcoats, exterior<br />
topcoats and specialty paint products at the<br />
premium end of the market.<br />
RECENT DEVELOPMENTS<br />
Dulux has consistently offered the widest range of<br />
colours suitable for both interior and exterior<br />
applications. Easy to use colour tools and the<br />
outstanding Dulux Customer Service help line have<br />
given the consumer confidence when using Dulux<br />
products.<br />
Choosing the right colour and deciding on a<br />
suitable colour scheme can be one of the most<br />
difficult parts of the painting<br />
process. Dulux has a number<br />
of excellent tools available<br />
for customers to make<br />
this choice easier.<br />
The Dulux Colour<br />
Consultancy is a service<br />
avai lable for clients<br />
wishing to have<br />
professional Colour<br />
Consultant come into their<br />
home and develop a unique<br />
colour scheme for their<br />
house.<br />
The recent upgrade of<br />
the Dulux Mycolour system<br />
enables users to input their<br />
own digital image and<br />
develop new colour<br />
schemes with confidence. This<br />
system is available on CD ROM and<br />
through an Internet site, www.dulux.com.au .<br />
The use of bold colour, texture and effect<br />
continues to grow in <strong>Australia</strong>. The ongoing<br />
strength of Dulux Suede and more recently Dulux<br />
Metallic, Glimmer, Pem·Justre and Sands wept Effects<br />
is evidence of increased consumer confidence and<br />
a sense of fun when it comes to decoration.<br />
There is also a strong trend towm·ds creating<br />
li ving spaces outdoors. Outdoor colour finishes<br />
such as Dulux Weathershield Garden Shades and<br />
Tuscan Effects are being used on traditional<br />
outdoor smfaces but also increasingly on feature<br />
walls, gmden furniture and pots.<br />
Helping the environment and its customers,<br />
Dulux have launched a water-based enamel, Dulux<br />
Aquanamel. New polymer technology developed<br />
by Dulux <strong>Australia</strong> R&D delivers unique application<br />
and flow out properties that provide the gloss and<br />
flow of an enamel with water wash-out, and non<br />
yellowing properties much liked in water-based<br />
products. Growth of this low YOC product will<br />
supp01t safer working conditions for users and see<br />
a net decrease in the amount of greenhouse gas<br />
emissions from paint.<br />
The difficulty associated with painting ceilings<br />
has recently been addressed by Dulux "Never<br />
Miss" One Coat Ceiling White. This innovative<br />
paint applies pink and dries white enabling users<br />
to see where they have been as they are painting<br />
so they don't notice (after they've finished) that<br />
they missed a spot.<br />
For customers looking for a luxurious finish to<br />
their home, Dulux recently launched a new premium<br />
paint, Designer Silk'flvl . Designer SilkTM offers<br />
customers a smooth luxurious low sheen finish.<br />
From the most delicate of whites to the boldest of<br />
colours, the Dulux Designer SiLkHvl range has been<br />
designed to reflect a customer's sense of style and<br />
taste.<br />
PROMOTION<br />
As mmket leader, Dulux always aims to dominate<br />
shm·e-of-voice in the paint category. The consistent<br />
use of television adverti sing has contributed to<br />
Dul ux' s sustained share-of-mind.<br />
The recent Pe1fect Reel & Pe1fect Blue campaigns<br />
and the Dulux Nevermiss advertisements<br />
reinforced brand dominance in the mm·ket place.<br />
The strong DIY trend is also reflected in the<br />
immense popularity of home<br />
decorating television<br />
programs (and their spin-off<br />
magazines and web sites).<br />
Backyard Blitz, Hot<br />
Property and Ground<br />
Force have rated among<br />
the Top 10 regular<br />
programs offered on<br />
commercial television stations<br />
in2003.<br />
The Channel 9 series,<br />
"The Block" which is a reality<br />
TV show about four couples<br />
who were each given the task<br />
of renovating an apartment in<br />
a block of flats, was the<br />
highest rating show in<br />
<strong>Australia</strong> in 2003.<br />
In addition, Dulux spends<br />
millions of dollars every year providing<br />
colour chips and colour cards to consumers via<br />
hm·dware stores and paint specialists. More than<br />
two-thirds of paint buyers use colour cm·ds or chips<br />
to make their selection. About one-third of DIY<br />
painters use sample pots. Dulux was the first brand<br />
to introduce and promote sample pots on a national<br />
basis.<br />
BRAND VALUES<br />
Brand tracking consistently confirms that Dulux is<br />
regarded by <strong>Australia</strong>n DIY painters as the most<br />
innovative paint company offering a quality range<br />
of paints, including the most washable and<br />
scrubbable interior paint. Consumers also regm·d<br />
Dulux as the leading brand of paint. The brand has<br />
strong family values and is a respected and trusted<br />
brand.<br />
In October of 2003, a brand new television<br />
campaign designed to build a strong association<br />
for the Dulux brand with colour was launched<br />
nationally. The new Dulux Colour Perfection<br />
campaign is based on the idea of what inspires us<br />
to have a favourite colour. The campaign consisted<br />
of two advertisements. Both are a celebration of<br />
colour and the role it plays in our lives. The public's<br />
NeverMiss· ceiling paint.<br />
G oes on pink, dries white.<br />
response to these advertisements was extremely<br />
positive with brand awareness jumping to just over<br />
85 percent.<br />
The recent Dulux Never Miss and Dulux Suede<br />
Effects television adverti sements m·e a fun but very<br />
effective way of promoting product with the muchloved<br />
'Dulux Dog' taking centre stage. The 'Dulux<br />
Dog' is an Old Engli sh sheepdog, and has been<br />
associated with the brand since the 1960s.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
DULUX<br />
0 The well-knownDulux tagline, Worth<br />
doing, Wmth Dulux 0 was first<br />
introduced in the 1970s.<br />
0 The Old English sheepdog is so solidly<br />
entrenched as a branding device that<br />
many people refer to the breed as<br />
"Dulux clogs". All but one of the dogs<br />
featured in the advertising campaigns<br />
have been breed champions and five<br />
have won a 'Best of Show' prize.<br />
0 There me some 1200 jelly bem1s in a 4-<br />
litre can of Dulux Jelly Beans (one of<br />
Dulux's very successful promotions).<br />
0 In-store colour tinting was introduced<br />
in the 1950s.<br />
41
ALKALINE BATTERIES<br />
THE MARKET<br />
Duracell, a division of The Gillette Company, is<br />
the world's leading manufacturer and marketer<br />
of high-petformance alkaline batteries. When<br />
consumers around the world buy Duracell<br />
batteries, they are buying more than high-quality<br />
portable power. They are buying freedom because,<br />
increasingly, batteries power a mobile lifestyle in<br />
which consumers use and enjoy an ever-growing<br />
number of devices that formerly required 'plug-in'<br />
power.<br />
Batteries are the power source for millions of<br />
consumer, business,<br />
medical, military and<br />
industrial devices worldwide.<br />
Demand is huge<br />
and growing. More<br />
than 20 billion<br />
batteries are consumed<br />
annually across<br />
the world. In <strong>Australia</strong><br />
the annual consumption<br />
is estimated to be over 200<br />
million cells, with alkaline<br />
batteties accounting for over<br />
60 per cent of this.<br />
The average household has<br />
more than twenty battery-operated<br />
appliances including remote controls,<br />
alarm clocks, radios, smoke alarms, cameras<br />
and CD players. However, one third of all devices<br />
lie idle for want of a battery, even though batteries<br />
are one of the most widely distributed products.<br />
Batteries are available in a vast array of retail outlets<br />
from grocery stores to petrol stations and<br />
newsagents to electrical outlets.<br />
there technology moved fast, simultaneously<br />
reducing the cell size and increasing its capacity.<br />
The story of Duracell began in the early 1920s<br />
with an inventive scientist named Samuel Ruben<br />
and an eager manufacturer of tungsten filament<br />
wit·e named Philip Rogers Mallory. Ruben and<br />
Mallory united inventive genius with<br />
manufacturing muscle to create Duracell<br />
International, revolutionising battery technology.<br />
In the 1950s, Samuel Ruben went on to improve<br />
the alkaline manganese battery, making it more<br />
compact, durable, and longer-lasting than anything<br />
before it. At about the same time,<br />
Eastman Kodak introduced<br />
cameras with a built-in flash<br />
unit that required more<br />
power than zinc carbon<br />
cells could provide. The<br />
cameras needed alkaline<br />
manganese cells but in a<br />
new size, the AAA. This<br />
put alkaline cells on the<br />
map and the Duracell brand<br />
was introduced in 1964. It was<br />
not long before the consumer<br />
market for Duracell batteries<br />
rocketed.<br />
THE PRODUCT<br />
When Duracell arrived in <strong>Australia</strong>, it increased<br />
competition in the local battery market. Consumers<br />
began switching to Duracell to satisfy the<br />
requirements of the more complex devices which<br />
required alkaline batteries' genuine longer-lasting<br />
qualities versus zinc. The personal stereo alone<br />
HISTORY<br />
The twenty-first century marked the 200th bitthday<br />
of the battery, which was invented in 1800 by<br />
Alessandro Volta who described it as a<br />
'constmction of an apparatus ... of unfailing charge,<br />
of perpetual power. .. '<br />
Early batteries were hardly the neat cylinders<br />
we know today. The 'Voltaic Pile' battery, based on<br />
Volta' s design, constructed in 1813 by Sir Humphrey<br />
Davy in the cellars of the Royal Institute in London,<br />
covered 889 square feet.<br />
The first portable batteries were seen at the turn<br />
of the last century where they were used in<br />
conjunction with flashlights, so called because the<br />
battery power could only sustain an intermittent<br />
light. By World War I, batteries were being used<br />
extensively in communication equipment and from<br />
ALKALINE BATTERIES<br />
CUARAilEfO<br />
AlfSH<br />
TlfiOUGH<br />
2010<br />
42
saw the demand for AA alkaline batteries escalate<br />
beyond anyone's wildest marketing plans. The<br />
constant evolution of today's devices such as<br />
digital cameras and MP3 players towards ever<br />
smaller and more power-hungry units has<br />
continued to drive growth.<br />
Duracell does not just manufacture alkaline<br />
batteries. The brand was at the forefront of lithium<br />
technology used primarily for photographic<br />
applications, which allowed the surges of instant<br />
power required to operate several features<br />
simultaneously. Today, well over half of all new<br />
battery-operated cameras use lithium power.<br />
Duracell also offers a range of zinc-air hearing aid<br />
batteries, NiMH rechargeable batteries and<br />
rechargers, zinc-oxide watch and calculator<br />
batteries, and a range of indoor and outdoor<br />
torches.<br />
RECENT DEVELOPMENTS<br />
In 2000 Duracell launched the Ultra range in<br />
<strong>Australia</strong>. The Ultra range is designed specifically<br />
for power-hungry, high-drain devices offering 'more<br />
energy, more efficiency and more power' versus<br />
regular Duracell batteties in these devices.<br />
In 2003 Duracell introduced its colour coding<br />
system to help educate consumers to use colour in<br />
the correct selection of battery sizes. This<br />
involved a fully coordinated approach<br />
involving packaging, point-of-sale matetial,<br />
promotions and advertising.<br />
PROMOTION<br />
Duracell has consistently promoted itself<br />
as a long-lasting battery brand. The line<br />
"No ordinary battery looks like it or lasts<br />
like it" was used in a long mnning statement<br />
in which consumers had great confidence.<br />
Now Duracell simply states "Duracell.<br />
Quality that Lasts.". However, the overall<br />
message remains constant and it is this<br />
single-minded proposition used across all<br />
advertising, which despite the varied<br />
treatments of its campaigns has remained<br />
unchanged. Research by Millward Brown<br />
has shown that 79 per cent of people consider<br />
Duracell to be the longest-lasting battery and 70<br />
per cent said it is "in<br />
a class of its own".<br />
In <strong>Australia</strong> the<br />
Duracell brand is<br />
synonymous with the ever-energetic<br />
Bunny. The Duracell icon has been constantly<br />
reinventing itself since its first appearance as the<br />
longest-lasting Drumming Bunny in the 1980s. It<br />
has continued to outlast 'ordinary carbon zinc<br />
batteries' at soccer, kayaking, mountai n climbing<br />
and, most recently, running.<br />
Duracell <strong>Australia</strong> has strong links to community<br />
initiatives, most notably the annual Fire Services<br />
campaign to ensure household smoke alarms are in<br />
working order. The <strong>Australia</strong>n Fire<br />
Services recommend the use of an<br />
alkaline 9V battery in the most<br />
important of household devices,<br />
the smoke alarm, leading to the<br />
partnership with Duracell, which<br />
involves advertising, public<br />
relations, promotion and product<br />
donations. In 2004 this relationship<br />
has been fmther strengthened, with<br />
Duracell commissioning a<br />
campaign TV commercial,<br />
using a hard-hitting<br />
message to fmther raise<br />
consumer awareness of<br />
this impmtant message.<br />
BRAND VALUES<br />
Duracell is a pioneer of new battery technology<br />
and has many groundbreaking technology<br />
launches to its name. The brand strives to ensme<br />
that consumers associate it with providing reliable,<br />
longer-lasting batteries.<br />
The purpose of all Duracell 's efforts is to<br />
understand the fast-moving technology driving its<br />
business and to apply that knowledge in the<br />
company's pmsuit of excellence. That has always<br />
been Duracell's greatest strength and it is the key<br />
to its remaining the leader in the global marketplace<br />
for packaged power.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
DURACELL<br />
0<br />
0<br />
0<br />
The smallest Duracell battery is the 317<br />
Watch battery weighing in at 0.19<br />
grams and measmingjust 5.5mm by<br />
1.6mm.<br />
Despite all the hundreds of different<br />
battery sizes available, just five sizes<br />
account for over 95 per cent of all<br />
batteties consumed - AA, AAA, C, D<br />
and 9V.<br />
In 2003 the Duracell Bunny celebrated<br />
its 30th Birthday.<br />
43
8J Electrolux<br />
THE MARKET<br />
No market more accurately reflects our changing<br />
needs than that for domestic appliances. Refrigerators,<br />
vacuum cleaners and lawnmowers evolve<br />
quickly to till the demands of discerning and critical<br />
homemakers.<br />
The whitegoods market alone is valued at more<br />
than $2.5 billion per year in <strong>Australia</strong> and continues<br />
to grow in tandem with <strong>Australia</strong>ns' love affair with<br />
residential property investment, and particularly the<br />
family home which is exempt from capital gains tax.<br />
This in turn has promoted increased entertaining<br />
in the home and open plan living- trends which<br />
affect appliance design. While the building sector<br />
appears set for a period of consolidation in 2004/<br />
05, property investment, including the additions<br />
and renovations sector, continues to surge and<br />
underpin the domestic appliance market.<br />
ACHIEVEMENTS<br />
The Electro lux Group is the world's largest producer<br />
of powered appliances for kitchen, cleaning and<br />
outdoor use, such as refrigerators, washing<br />
machines, cookers, vacuum cleaners, chainsaws,<br />
lawnmowers and garden tractors. Estimated full year<br />
Group sales in 2003 were A$22.3 billion and the<br />
total workforce numbers 82,000. Each year,<br />
customers in more than !50 countries buy 55 mi ll ion<br />
Electrolux Group products for both domestic and<br />
professional use. The Swedish-based Electrolux<br />
Group includes such world-famous brands as<br />
Electrolux, AEG, Zanussi,<br />
Frigidaire, Eureka and<br />
Husqvarna.<br />
Electrolux Home Products<br />
(EHP) is <strong>Australia</strong>'s biggest<br />
manufacturer and distributor of<br />
whitegoods with ann ual sales<br />
in the region of A$1 billion. The<br />
combined EHP brands -<br />
Electrolux Gallery, Electrolux<br />
Chef, Electrolux Dishlex,<br />
Electrolux Kelvinator,<br />
Westinghouse, Simpson and<br />
Hoover-dominate kitchen and<br />
laundry sales in Australasia<br />
and market share is among the<br />
highest in Electrolux global<br />
operations.<br />
HISTORY<br />
The Electrolux story began in 1912 with the<br />
manufacture of its first vacuum cleaner, the 'Lux 1 ',<br />
at Lilla Essingen, in Stockholm- though the name<br />
Electro lux wasn't coined until seven years later, in<br />
1919, when company president Axel Wenner-Gren<br />
laid firm foundations for the company's future and<br />
introduced sales staff to the concept of door-todoor<br />
sell ing.<br />
By 1928, the company had five manufacturing<br />
plants, 20 subsidiaries, and 350 offices worldwide.<br />
About one rnillion vacuum cleaners were produced<br />
during the year.<br />
Diversification followed. During the 1940s and<br />
1950s the Electrolux product range expanded to<br />
include the ' Assistent' foodmixer, its first washing<br />
machine (1951) and first compressor-driven<br />
refrigerator ( 1956). By the advent of the Swinging<br />
Sixties, Electrolux offered a comprehensive range<br />
of domestic appliances, including cookers, freezers<br />
and a new line of washing machines.<br />
The age of acquisition began in 1967, with the<br />
appointment of Han s Werthen as<br />
president. During the following decade,<br />
the company became the world's largest<br />
manufacturer of floor care products by<br />
acquiring National Union Electric/Eureka<br />
in the United States of America.<br />
Fellow Swedish company Husqvarna<br />
joined the Electrolux portfolio in 1978,<br />
strengthening its position on the home<br />
market and laying the foundation for the<br />
group to emerge as world leader in<br />
chainsaws.<br />
During the 1980s, Electrolux added<br />
several prestige names to its portfoli o. A<br />
majority shareholding in Italian white<br />
goods manufacturer Zanussi came in<br />
1986, while the acquisition of American<br />
White Consolidated Industries the same<br />
year added such names as Frigidaire,<br />
Kelvinator and White-Westinghouse.<br />
Another household name, AEG, came in 1994.<br />
One of Europe's leading appliance makers, AEG<br />
employed some 9000 people in 16 countries.<br />
44
Electrolux began <strong>Australia</strong>n operations in 1925<br />
and, in New Zealand the following year.<br />
Manufacturing in <strong>Australia</strong> began in 1934, in a small<br />
factory in West Melbourne. The company moved<br />
to South Yarra two<br />
years later and<br />
remained at that site<br />
for almost half a<br />
century.<br />
The Electrolux<br />
Group's 2001<br />
acquisition of Email<br />
Major Appliances<br />
operations included<br />
such favoured and<br />
trusted names as<br />
Westinghouse,<br />
Kelvinator and<br />
Simpson, Hoove1~<br />
Chef and Dishlex,<br />
further strengthening<br />
the company's<br />
position as the world's favourite supplier of<br />
powered domestic and garden appliances.<br />
In 2004, Electrolux employs 4,400 people in<br />
Australasia.<br />
THE PRODUCT<br />
Across about 20 product lines- ranging from lawnmowers<br />
to refrigerators- Electro lux is the world's<br />
largest appliance manufacturer and one of the<br />
world's largest industrial companies. The company<br />
ranks among the I 00 largest corporate employers<br />
in the world.<br />
In <strong>Australia</strong>, the range of products is among the<br />
broadest in the market. In whitegoods alone,<br />
Electrolux offers all major kitchen and laundry<br />
appuances; from Electrolux Kelvinator reti"igerators<br />
and freezers to Electrolux Dishlex dishwashers,<br />
Simpson and Hoover washing machines, Electro lux<br />
Cheland Westinghouse cookers and cooktops and<br />
Westinghouse fridges. The Electrolux whitegoods<br />
division in <strong>Australia</strong>, EHP, also impotts from Europe<br />
the Electrolux Gallery range of kitchen appliances<br />
and Electrolux range of laundry<br />
products. - - ·-<br />
The Electrolux Floorcare and<br />
Outdoor Products division also<br />
has an extensive range under<br />
s uch brands as Electrolux,<br />
Volta, Flymo, Poulan,<br />
McCulloch and Weedeater.<br />
Another fully owned<br />
division of Electrolux in<br />
<strong>Australia</strong> is Electrolux Laundry<br />
Systems, which specialises in<br />
the mm·keting, distribution and<br />
after-sales support of industrial<br />
laundry and dry-cleaning<br />
equipment.<br />
Electrolux <strong>Australia</strong>'s<br />
Commercial Cleaning Equipment<br />
Division produces and mm·kets<br />
the Euroclean range of<br />
products, wh ich includes<br />
industrial vacuum cleaners, wet<br />
cleaners, scrubbing<br />
and poli shing<br />
machines, and carpet<br />
washers.<br />
Electro l ux<br />
Professional Food<br />
Service appliances are<br />
used extensively in<br />
leading hotel a nd<br />
restaurant kitchens<br />
across the world, including<br />
the well-known<br />
Tetsuya's restaurant in<br />
Sydney.<br />
RECENT<br />
DEVELOPMENTS<br />
Electrolux is now focused on rationalising its stable<br />
of brands and establishing Electro lux as its premier<br />
brand in domestic appliances around the world. In<br />
line with this is, consumer insights gained from<br />
extensive research in key international markets will<br />
drive Electrolux product design and development.<br />
At the same time, Electrolux will retain its<br />
traditional position at the forefront of incorporating<br />
true innovation and high technology into household<br />
appliances as reflected by the 2003 release in<br />
<strong>Australia</strong> of the Trilobite "robotic" vacuum cleaner.<br />
PROMOTION<br />
Elect:rolux marketing and advertising campaigns<br />
build true brand strength and drive mass market/<br />
trade awareness of brand positioning. Integrated<br />
campaigns utilise media with pmticular relevance<br />
to product category and the ability to reach specific<br />
target markets.<br />
Marketing and<br />
promotional<br />
campaigns are ">' • .<br />
~-::~) . . -. . · .<br />
developed to support<br />
the achieve<br />
. . ."'.:r· .<br />
..t;..;·~...-. _.~ 6<br />
ment of mm·ket shm·e<br />
and margin<br />
objectives while<br />
building brand awareness<br />
and loyalty of trade<br />
customers and consumers in<br />
the longer term.<br />
Television and print<br />
campaigns, high profile poster<br />
sites, Internet and public<br />
relations are all part of the<br />
ongoing brand media strategies<br />
along with consumer<br />
promotions to help drive<br />
product sales. News media<br />
events, PR initiatives and<br />
niche market sponsorships<br />
complement more traditional<br />
mass market communication<br />
- brochures, point-of-sale and<br />
advertising - to promote the<br />
-<br />
brand message tlu·ough retail<br />
distribution channels.<br />
8) The Electrolux Group. The world's No.1 choice.<br />
KITCHEN, CLEANING AND OUTDOOR APPLIANCES<br />
BRAND VALUES<br />
The Electrolux brand name gives consumers<br />
confidence in the group's products and services in<br />
a complex, crowded world.<br />
"Electrolux wil l be a leader in world-class<br />
products that make everyday I ife more comfmtable,<br />
easier and safer," says the Electrolux Mission<br />
Statement.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ELECTROLUX<br />
0 The EW 1620N front-load washer has a<br />
unique inclined drum, making it easier<br />
to load and unload than conventional<br />
ti·ont loaders. Spin speeds up to<br />
l600rpm provide maximum water<br />
extraction and minimise drying times.<br />
0 The 'Automower' is a self-driven<br />
lawnmower that cuts grass<br />
automatically. When the battery runs<br />
low, the Automower navigates itself<br />
back to the chm·ging station and<br />
returns to the lawn full of life. There is<br />
also a solm·-powered version of the<br />
Automower that automatically<br />
rechm·ges itself while in the sun.<br />
0 The Turin Opera House chose 'Aqua<br />
Clean' from Electro lux Laundry<br />
Systems, not only because it uses<br />
biodegradable detergent, but also<br />
because it removes unpleasmlt odours<br />
from clothing - something ordinm·y<br />
dry-cleaning doesn't do.<br />
0 The Electrolux 'Wascator WE66MP'<br />
has reduced laundry costs by 60 per<br />
cent during the past lO yem·s.<br />
0 The 'Santo Super 1872' holds the<br />
record for the least energy-consuming<br />
refrigerator, using only as much as a<br />
I OW light bulb.<br />
0 Using a new Electrolux washing<br />
machine compm·ed to a 10-yem·-old<br />
model can save I 00 bathfuls of water<br />
peryem·.<br />
0 Exhaust air that passes through the<br />
filterofthenew 'Oxygen' vacuum<br />
cleaner is I 00 times cleaner than the air<br />
in Antm·ctica.<br />
0 The Trilobite vacuum cleaner from<br />
Electrolux is listed in the Guinness<br />
Book of Records as the world's most<br />
advanced domestic robot.<br />
45
THE MARKET<br />
<strong>Australia</strong>ns are unplugged. They play,<br />
communicate, calculate and plan all with the help<br />
of portable power. Energizer® batteries<br />
power the lifestyle of th.is on-thego<br />
society. In fact, the average<br />
<strong>Australia</strong>n household owns more<br />
than ten battery-operated<br />
devices, and that number<br />
continues to climb. In a<br />
technological game ofleapfrog,<br />
devices evolve as battery<br />
power improves to make way<br />
for the next generation of<br />
gadgets and gizmos.<br />
More devices with<br />
added bells and wh.istles<br />
are certainly one trend<br />
that drives the category.<br />
Smaller devices are<br />
another. For example,<br />
music machines once the<br />
size of a small suitcase<br />
now fit in the palm of the<br />
hand. This trend toward<br />
miniaturisation has made AA<br />
and AAA size batteries the<br />
workhorses of the category,<br />
making up more than half of<br />
the battery market.<br />
In short, there is an ever<br />
increasing demand for reliable<br />
batteries that can keep pace<br />
with today's mobile lifestyles.<br />
Energizer continues to be<br />
the leading premium alkaline<br />
power source that "never<br />
says die".<br />
ACHIEVEMENTS<br />
Energizer invented alkaline<br />
batteries in the late 1950s<br />
and has continued to<br />
enhance them over the<br />
years. Since 1960, the se1vice<br />
life of an Energizer battery has<br />
improved dramatically. Anticipating<br />
the trend toward h.igh-tech devices, Energizer led<br />
the industry in designing batteries to meet the<br />
power requirements of these sophisticated devices.<br />
The company continues to innovate in all<br />
segments of the battery category. Energizer was<br />
the first company to design and introduce a super<br />
premium battery, the Energizer® eZfM; Energizer<br />
was the fust to harness the power of lithium in a<br />
AA cell size; and the first to revolutionise the<br />
rechargeable category when it introduced highpowered<br />
nickel metal hydride (NiMH)<br />
cells.<br />
Energizer is the world's largest<br />
manufacturer of batteries and<br />
portable lighting products.<br />
Energizer products are<br />
distributed in more than 160<br />
countries and the company<br />
manufactures nearly one out of<br />
three batteries sold in the world.<br />
the Eveready<br />
Battery Company - and<br />
pmtable power - were planted.<br />
Hubert acquired the patent<br />
for the first Eveready® "electric<br />
hand torch" in 1898. His first<br />
flashlights were handmade,<br />
consisting of a dry cell battery,<br />
a bulb, and a rough brass<br />
reflector inside a paper tube. By<br />
1900, his flashlights were being<br />
HISTORY<br />
More than a century ago in the<br />
1890s, Joshua Lionel Cohen<br />
began selling his latest<br />
invention. This was a tiny<br />
battery-and-bulb device<br />
used to illuminate flowers<br />
in a pot, and Conrad<br />
Hubert, who operated a<br />
New York City restaurant,<br />
was so impressed that he<br />
quit his job to sell the devices<br />
for Cohen. When the power<br />
failed in a restaurant where<br />
Hubert had just installed<br />
the flowerpots, he had an<br />
inspiration-put the<br />
"flowerpot lights" in<br />
people's<br />
hands.<br />
And the<br />
seeds for<br />
sold in London, Montreal, Paris, Berlin- and Sydney.<br />
Hubert's company became American Ever<br />
Ready in 1905 to emphasise the dependability of<br />
its flashlight products and merged in 1914 with<br />
National Carbon Company. The newly formed<br />
company, which was the only manufacturer<br />
specialising in both battery and lighting products,<br />
merged with Union Carbide Company three years<br />
later, and, as it expanded, the company's<br />
"Eveready" brand name became synonymous with<br />
power and reliability.<br />
Over the course of several decades, the company<br />
continued to grow, focusing upon its strong<br />
reputation as the dependable battery that a<br />
consumer could trust.<br />
The batteries were certainly reliable, but one<br />
young, persistent scientist knew they could be<br />
better, and his work launched a new era for the<br />
company. Assigned to an existing Eveready<br />
division in 1957, Lew Urry soon began to focus on<br />
an entirely new chemical system-a system known<br />
today as alkaline.<br />
Urry made a mock-up of an alkaline battery from<br />
an empty flashlight shaft, inserted it into a toy car<br />
and tested it on the cafeteria floor - and the rest is<br />
history! Today alkaline batteries are the top-selling<br />
standard battery in <strong>Australia</strong>.<br />
The history of the Ever Ready business goes<br />
back over 100 years in <strong>Australia</strong> as well. The<br />
manufacture of batteries in <strong>Australia</strong> commenced<br />
in 1901 in a small factory in Rowe Street, in the<br />
centre of Sydney. A few moves followed until the<br />
factory was finally set up in Rosebery,<br />
Sydney, in the mid 1950s. In 1999, the<br />
company offices moved to Sydney Olympic<br />
Park and the company name was changed<br />
to Energizer.<br />
THE PRODUCT<br />
Energizer offers a unique, complete<br />
pottfolio of products designed to meet the<br />
distinct needs and expectations of different<br />
consumer groups. The flagship brand,<br />
46
EVEREADX<br />
(f{f)1JJJ})~<br />
ALKAliNE ALCALINE ALCALINA<br />
Energizer, offers premium,<br />
long lasting battery<br />
pelformance fuelled<br />
by a continuous<br />
commitment to<br />
product<br />
improvement.<br />
At the top<br />
end, Energizer e 2<br />
established the<br />
super- premium<br />
category. Advanced<br />
titanium technology and cell<br />
construction resulted in a super longlasting<br />
battery specifically developed for<br />
high-drain devices, while the introduction<br />
of the Energizer e 2 lithium<br />
represented another fust for the company<br />
with the introduction of the world's only<br />
lithium AA battery, and the world's<br />
longest-lasting AA battery in digital<br />
cameras.<br />
However, not every electronic device<br />
is h.igh-drain, and not every consumer<br />
needs the power of a lithium battery. To<br />
cater for these consumers the company<br />
produces value for money zinc-carbon<br />
and alkaline batteries under the Eveready<br />
brand. Eveready' s Super Heavy Duty<br />
and Heavy Duty zinc-carbon batteries<br />
and the recently launched Eveready Gold<br />
alkaline battery provide excellent value<br />
for money without compromising the<br />
company's commitment to quality.<br />
In addition to primary batteries,<br />
Energizer manufactures miniature<br />
batteries for hearing aids, watches, car<br />
and door remote controls, and other<br />
devices. In the rechargeable battery<br />
segment, Energizer provides nickel metal<br />
hydride batteries that are very suitable<br />
for high-drain devices, as they can be<br />
charged up to 1,000 times, which makes<br />
them exceptional value over time.<br />
Energizer is also still the market leader<br />
in <strong>Australia</strong> in flashlights, with the<br />
Eveready Dolph.in being the number one<br />
selling light in <strong>Australia</strong>.<br />
RECENT DEVELOPMENTS<br />
Energizer continues to pioneer concepts that set<br />
new standards for innovation. To ensure that its<br />
products provide the peiformance required for<br />
today's advanced hi-tech devices, Energizer<br />
introduces new products and consistently<br />
enhances the existing range.<br />
PROMOTION<br />
In 1986 Energizer took on board a well known<br />
'larrikin' footballer Mark Jackson, and for the next<br />
ten years he told <strong>Australia</strong>ns on television the<br />
benefits of Energizer batteries. In the mid 1990s<br />
Mr Energizer, the current animated battery character<br />
was launched.<br />
Mr Energizer is synonymous with the slogan<br />
"Never say die", which embodies the attitude of<br />
the brand. TV advertisements depict Mr Energizer's<br />
stamina in a number of situations - on the tennis<br />
comt with Michael Chang and later<br />
with Patrick Rafter, battling a<br />
sumo wrestler, refusing to<br />
give up the secret of<br />
long life to aliens,<br />
bench pressing in<br />
a gymnasium, all<br />
to the theme of<br />
"Don't you ever<br />
give up?" "Nup". Mr<br />
Energizer's latest<br />
escapade is set at a<br />
wedding where he comes<br />
to save the day for the<br />
wedding photographer,<br />
~<br />
~<br />
NEVER<br />
SAY<br />
DlEwhose<br />
batteries run out at the critical moment. Th.is<br />
advertisement exemplifies both Mr Energizer' s<br />
dynamic personality and the brand's dependability<br />
when you need it most.<br />
Eveready brand batteries, both Gold Alkaline,<br />
and the Heavy Duty and Super Heavy Duty zinc<br />
carbon, stand for quality at an affordable price ...<br />
thus the slogan "The Smart Choice".<br />
Dolphin is another well known brand from<br />
Energizer. This battery-operated lantern was<br />
designed in <strong>Australia</strong> nearly forty years ago. The<br />
lantern has had five updates over this time, but has<br />
always stood for a strong dependable batteryoperated<br />
lantern, and has always been true to its<br />
slogan "It Takes a Lot of Beating".<br />
BRAND VALUES<br />
Energizer has a unique place in the <strong>Australia</strong>n<br />
market, as the only battery manufacturer which can<br />
supply the complete battery solution, no matter<br />
what the need. Its goal is to match consumer wants<br />
and needs with the most meaningful, reliable, longlasting<br />
product offerings. As a result, Energizer<br />
offers the broadest product line-up in the industry.<br />
Energizer e 2 , Energizer, Eveready, Eveready Gold ;md Eveready Dolphin arc<br />
registered trademarks of Energizer <strong>Australia</strong> Pty Ltd.<br />
0<br />
0<br />
0<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ENERGIZER<br />
Energizer manufactures nearly one out<br />
of every three batteries sold in the<br />
world.<br />
More than 25 chemical reactions take<br />
place with.in an Energizer battery in the<br />
fraction of a second it takes to turn on<br />
a device and have it strut working.<br />
The Eveready brand has been selling<br />
in <strong>Australia</strong> since 1901.<br />
Energizer produces the world's<br />
longest-lasting AA battery ... Lithium<br />
AA.<br />
1999 marked the 40' 11 anniversary of<br />
Energizer's invention of the alkaline<br />
battery.<br />
47
Energy A ustra /iaTM<br />
,}.~ ~~ ~-+;;A. • Who's got<br />
Jtt:*~~~=~f tw1ce the energy?<br />
THE MARKET<br />
Energy <strong>Australia</strong> is one of <strong>Australia</strong>'s largest energy<br />
retailers, supplying energy to more than 1.4 million<br />
homes and businesses in New South Wales, the<br />
ACT, Victoria, Queensland and now South<br />
<strong>Australia</strong>.<br />
Prior to the strut of industry deregulation in 1996,<br />
a customer' s electricity supplier was determined<br />
purely by the location of their premises. Prices were<br />
fixed, service was basic and service provision was<br />
determined by geographical monopoly.<br />
The deregulation process in New South Wales<br />
and Victoria took several years and the timing wa~<br />
determined by the customer' s level of energy<br />
consumption.<br />
For large commercial customers it began in 1996,<br />
for smaller commercial customers in 200 I, and for<br />
everyone else (including residential and small to<br />
medium enterprises) in January 2002- the strut of<br />
'full retail competition'. That meant that residential<br />
Gas and electricity from .,.4-~r/11 Energy<strong>Australia</strong>·<br />
and small business customers in New South Wales<br />
and Victoria were able to choose their electricity<br />
and gas supplier for the first time.<br />
Mru·ket deregulation resulted in a significant<br />
increase in competition, putting pressure on prices<br />
and margins. It marked the beginning of an entirely<br />
new era for the energy industry.<br />
ACHIEVEMENTS<br />
Since the start of full retail competition, the<br />
challenge for Energy <strong>Australia</strong> has been to protect<br />
its established customer base while winning new<br />
customers from its competitors.<br />
The results so far have been very positive. Retail<br />
profitability has delivered above-average results<br />
for Energy <strong>Australia</strong>, in a very challenging market.<br />
In February 2003 the company signed its<br />
l 00,000' 11 contestable energy contract. This was<br />
achieved just 12 months after the strut of full retail<br />
competition, with most customers signing three yeru·<br />
contracts for 'dual fuel ' (electricity and gas).<br />
This milestone was the result of a targeted sales<br />
and marketing campaign which helped strengthen<br />
an already well-known and trusted brand.<br />
The company developed a sales model which<br />
set new industry benchmru·ks, as well as attracting<br />
the interest of other utilities and government<br />
agencies.<br />
The campaign was a success, something<br />
attributed to the transparent, non-aggressive and<br />
user-friendly approach the company had taken,<br />
ensuring that customers had the right information<br />
to make informed decisions about whom they<br />
wanted to be their energy provider.<br />
This approach helped Energy<strong>Australia</strong> to<br />
consolidate its market position as 'energy experts'.<br />
From 1996 to 2003 the company recorded sizeable<br />
gains in brand recognition, general awru·eness and<br />
brand preference.<br />
provision of electricity for the Sydney ru·ea was<br />
controlled by the respective councils.<br />
Energy <strong>Australia</strong> is now one of the largest energy<br />
services companies in <strong>Australia</strong>, providing broadbased<br />
energy solutions ranging from electricity and<br />
gas supply, to energy management and renewable<br />
energy alternatives.<br />
2004 mru·ks the Centenruy of Electricity -I 00 yeru-s<br />
since the Sydney Municipal Council first<br />
introduced electric streetlights in Sydney. On this<br />
important anniversru·y, Energy <strong>Australia</strong> is taking<br />
the time to reflect on where it has come from and<br />
where it is going.<br />
THE PRODUCT<br />
Energy<strong>Australia</strong>'s product offering has evolved<br />
significantly over the past six years - responding<br />
to changing customer demands, a rapidly growing<br />
population and the need to be more environmentally<br />
aware.<br />
The company has moved from simply supplying<br />
electricity to become a multi-faceted energy services<br />
company with individual business units. These are<br />
responsible for providing and managing electricity<br />
infrastructure for the Sydney, Central Coast and<br />
Hunter regions ; purchas ing and supplying<br />
electricity and gas; purchasing and supplying<br />
energy ti·om "green" sources; electrical contracting<br />
and engineering; connecting customers; local<br />
repairs; and major capital works.<br />
As the population increases and demands on<br />
HISTORY<br />
Energy<strong>Australia</strong> was established in March 1996<br />
after an amalgamation including Sydney Electricity<br />
and Orion Energy (Newcastle). Prior to this, the<br />
48
the electricity network grow, so too has the need<br />
increased for consumers to use their energy more<br />
efficiently. This has led Energy <strong>Australia</strong> to<br />
introduce a range of new products which provide<br />
more of its customers with a realistic opportunity<br />
to make a difference.<br />
Reducing greenhouse gas emissions remains<br />
one of the company's biggest challenges. It is<br />
meeting this challenge in a number of ways. It is<br />
encouraging customers to choose low-emission or<br />
renewable energy sources (eg: solar, wind, hydro<br />
and landfill gases). It is also promoting energy<br />
efficiency by providing customers with the<br />
knowledge and tools they need to make informed<br />
decisions, including promoting better design for<br />
buildings and appliances. Finally, it is calling for<br />
expressions of interest from companies able to<br />
provide Energy<strong>Australia</strong> with renewable energy<br />
investment oppmtunities in the future.<br />
RECENT DEVELOPMENTS<br />
In 2003, Energy<strong>Australia</strong> opened its $60 million<br />
state-of-the-art City Central Zone Substation as<br />
prut of its multi-million dollar program to upgrade<br />
the electricity supply to the Sydney CBD.<br />
The new substation is the first major project to<br />
be completed as part of the upgrade program, which<br />
aims to increase network capacity and reliability<br />
and allow for future demand as Sydney grows.<br />
In late 2003, a key project in Energy <strong>Australia</strong>'s<br />
multi-million dollar· upgrade for the NSW Central<br />
Coast electricity supply network began supplying<br />
power to homes and businesses in the region. The<br />
$10 million Gosford to Ourimbah high capacity<br />
powerline runs between major substations at<br />
Gosford, West Gosford and Ourimbah, bolstering<br />
supply to the Central Coast.<br />
The Central Coast is one of the fastest growing<br />
regions in Energy <strong>Australia</strong>'s franchi se ru·ea, with<br />
demand increasing by mound 4.5 per cent a yem.<br />
The company will spend another $ 178 million on<br />
infrastructure on the Central Coast over the next<br />
five years.<br />
At the beginning of 2004, Energy<strong>Australia</strong><br />
welcomed its largest intake of apprentices for more<br />
than 20 yeru·s as the company prepmed to invest<br />
around $2 billion on improving its network and<br />
meeting growth in demand for power.<br />
A total of 102 new recruits started their cru·eers<br />
with Energy <strong>Australia</strong>- more than twice the number<br />
of apprentices taken on in recent years. This<br />
reflected the company's comnlitment to developing<br />
the skills needed to maintain and improve one of<br />
the largest distribution networks in the electr·icity<br />
industry.<br />
Also in eru·ly 2004, Energy <strong>Australia</strong> begar1 selling<br />
electricity to householders in South <strong>Australia</strong> - a<br />
move that will increase competition in that State' s<br />
energy mru·ket.<br />
PROMOTION<br />
Before 1998 the Energy <strong>Australia</strong> brand lacked<br />
definition. It was simply 'the name on the bill'.<br />
Market research helped the company identify<br />
the key values it needed to convey to its customers<br />
-that Energy <strong>Australia</strong> is: useful, genuine, helpful,<br />
effective, flexible ru1d caring. To support this<br />
position the tagline 'Who' s Got The Energy?' was<br />
developed and the company logo updated. The<br />
' Who's Got The Energy?' crunpaign was launched<br />
with a series of press adve1tisements and outdoor<br />
billboards in Sydney and Newcastle in 1998.<br />
This was followed by the very populru· 'Tall Man/<br />
Short Man' campaign which helped give the<br />
company a more 'humru1 ' persona. The tall man (an<br />
Energy <strong>Australia</strong> electrician) represented the<br />
company's core values (friendly, informed, caring<br />
and useful), while the short man represented a<br />
typical customer (trusting, but always seeking a<br />
little more fi·om his energy provider). The cru.npaign<br />
was extremely well received, resulting in an<br />
unprompted awmeness level of 86 per cent within<br />
its tr·aditional mar·ket.<br />
The success of the 'Tall Man/Short Man '<br />
campaign paved the way for the next high-profile<br />
It's the e ~peritnc e we h:tWl gain ed from helping end ru ult ;, ;t eomplete energy $Olution. But it<br />
businen t'l1:ry day th;at ha$ ;allowed us to pn:wide<br />
doun'tju:;;t bend•! St::ulium Auslralia. The ski ll s<br />
effective energy aoh11ions fill' St adium Auitr~li~ . and e~11erience we liN= !
FR~~DOfvl<br />
THINK OUTSIDE THE SQUARE YOU LIVE IN<br />
Silver awards in the Australasian Catalogue<br />
Marketing Awards and a Bronze in the <strong>Australia</strong>n<br />
Direct Marketing Effectiveness Awards. Expansion<br />
into New Zealand and the brand's local longevity<br />
and continued sales growth are further testament<br />
to the great brand that continues to connect with<br />
customers' hearts and minds.<br />
THE MARKET<br />
"Any damn fool can put on a deal, but it takes<br />
genius, faith and perseverance to create a brand."<br />
So said David Ogilvy on the occasion of The<br />
Adve1tising Research Foundation 50' 11 Anniversary<br />
in 1986.<br />
Freedom has built a successful brand and<br />
business in a market that is cluttered with constant<br />
promotional discounting.<br />
This is understandable considering the<br />
combination of large established retailers and<br />
numerous independent traders that compete for<br />
<strong>Australia</strong>'s highly lucrative furniture market.<br />
Research conun.issioned by Freedom in 1998<br />
reported the following:<br />
"Consumers .find making choices difficult with<br />
few signposts as to brand character and quality.<br />
The reductionist style ofmostfurniture promotion,<br />
i. e. deals galore, buy-now-pay-later-interest}ree<br />
packages and hire purchase that make these<br />
relatively large purchases accessible to customers<br />
todayfail to add any real differentiating emotional<br />
value to brands".<br />
This constant focus on "deals" continuously<br />
pressures retailer margins and educates customers<br />
to seek out lower prices.<br />
Today however furniture purchasing is<br />
increasingly a high-interest activity and the ratings<br />
success of numerous home renovation and prope1ty<br />
programs is testament to this. People's desire to<br />
create their own unique version of "the great<br />
<strong>Australia</strong>n dream" is at an all time h.igh and furniture<br />
is integral to this.<br />
Freedom uniquely taps this trend by<br />
understanding the integral role furniture and home<br />
decor plays in our lives. That is, it has the potential<br />
to significantly affect both physical and emotional<br />
well-being by creating not only a practical and<br />
pragmatic sense of comfmt but more importantly<br />
to deliver an inner sense of gratification by<br />
providing an avenue for self-expression.<br />
ACHIEVEMENTS<br />
Early in 1998 Freedom conducted qualitative<br />
research into the home decor market needs of women<br />
in the 25 to 39 year age group in theAB demograph.ic.<br />
It revealed an unmet customer need, namely "the<br />
fashion conscious and l(festyle aware exuded a<br />
strong desire for a unique in-store experience that<br />
was all about ideas and inspiration". In March<br />
they launched the "Think outside the square you<br />
live in" campaign with the objective to embellish<br />
Freedom's leadership as a lifestyle retailer by<br />
owning the territory of "inspiration for the home".<br />
This differentiated strategy has been leveraged<br />
both externally and internally throughout the<br />
organisation, reinforcing the team focus on<br />
customer service and innovation and increasing<br />
long-term brand equity while still competing week<br />
in, week out at the retail coalface.<br />
Accolades awarded to Freedom celebrating<br />
these achievements include a number of Gold and<br />
HISTORY<br />
Freedom commenced business with its first store<br />
in St Leonard's, Sydney, in 1981. It lau nched with a<br />
business platform based on "affordable homelifestyle<br />
solutions, more than just the ability to buy<br />
a new sofa".<br />
At the point of purchase this meant stores were<br />
designed to deli ver high quality retail experiences<br />
that were abreast of customers' changing needs.<br />
Merchandising incorporated price, quality and<br />
range and presented product as "room-solutions"<br />
rather than "silos of fabric and timber". This<br />
approach decreased consumers' angst, as it was<br />
no longer left solely up to them to envisage the<br />
look and feel they were trying to create in their<br />
home.<br />
This lifestyle proposition driven by style and<br />
affo rdability, a clear and tangible category<br />
innovation, was the impetus to establishing a<br />
successful business based on providing a<br />
constantly changing palette of visual ideas. Th.is<br />
allowed Freedom to capture the leading position in<br />
its target market segment by 1991, and then to list<br />
on the <strong>Australia</strong>n Stock Exchange in 1996, the same<br />
year its first New Zealand store opened. By 2000,<br />
52
the Freedom Group boasted 84 stores across<br />
<strong>Australia</strong> and New Zealand.<br />
THE PRODUCT<br />
Freedom has always been passionate about its<br />
products, and over time has evolved from being<br />
solely about range and value to being more about<br />
the values its customers espouse. That is, shopping<br />
for furniture at Freedom is not merely solution-led,<br />
as in "I need a couch and a coffee table", but rather<br />
inspiration-dri ven, namely "Wow ' Let's create our<br />
version of that look in our lounge room". Where<br />
competitors are simply offering products, Freedom<br />
breaks thi s category convention by delivering<br />
integrated solutions in the form of fresh lifestyle<br />
ideas that are an accessible vehicle for change and<br />
renewal in the home and an outlet for the customers'<br />
desire to self-express.<br />
Freedom's target customers place a high<br />
emphasis on quality, style, value and convenience.<br />
Stores have a contemporary look that is colomful<br />
and refreshing and offer co-ordinated whole-room<br />
home decor solutions that are innovative and stylish<br />
and appeal to the young at heart.<br />
The catalogue covers in these pages - from the<br />
left: Winter 1983, Autumn 1988, Summer 1996 and<br />
Sununer 2003 - show the evolution of the brand.<br />
As a result, shopping at Freedom is an<br />
emotionally rewarding experience rather than just a<br />
bland process of elimination and selection. The<br />
combination of the aesthetic appeal and fashion<br />
C l 0 S E 5 T H A P R I l<br />
sense speaks more to the heart of shoppers and<br />
invites them to take risks, have fun and experiment<br />
with their home furnishing possibilities.<br />
RECENT DEVELOPMENTS<br />
Most recent] y, Freedom's product offer has evolved<br />
to include culture and authenticity, providing<br />
customers with "global theme merchandise -<br />
products inspired by our world", such as African<br />
and Oriental goods. It is this type of innovation<br />
that imbues Freedom with sophistication and<br />
contemporary appeal emphasised by its ability to<br />
deli ver inspiring ideas from around the world,<br />
making it possible for anyone to create their dream<br />
home today.<br />
Further organisational developments have<br />
centred on Freedom's desire to make a difference<br />
with.in the <strong>Australia</strong>n community thereby becmn.ing<br />
a brand with soul and substance, more than just a<br />
furniture company. Freedom's contributions to The<br />
Children's Cancer Institute <strong>Australia</strong> predominantly<br />
consist of actual community initiatives such as<br />
Billycart Day, S1n.iley Mug and the Touring Art<br />
Show rather than simple financial grants. This is<br />
Freedom's way of heeding The Business Council<br />
of <strong>Australia</strong>'s call for businesses to reconcile profit<br />
with social responsibility.<br />
It is these developments that are allowing<br />
Freedom to continue to break category conventions<br />
..... FR~ ~DOM ,........<br />
IN~PIRATIONS FOR liV I NG<br />
and offer the vision of "Delivering the world's best<br />
retail experience, every place, every time".<br />
PROMOTION<br />
Retailing is a fast-paced, intensely competitive<br />
environment where shifting product out the door<br />
and maintaining margins often supersedes the<br />
impmtance of romancing customers. This is no<br />
different in the home decor market which is laden<br />
with catalogues, full-page magazine and print ads<br />
and 15 second television commercials screaming<br />
"deals, hurry, more deals" to customers.<br />
The traditional sales, at the end of Summer,<br />
Winter and the financial year, have educated many<br />
customers to patiently shop around for the best<br />
price, rationalising their decision to "what deal can<br />
I get". This, along with many retailers taking the<br />
"who can 'shout' the loudest" approach, often<br />
results in a frustrating and confusing sea of<br />
sameness that skews the importance of price in<br />
customers' buying decisions. This in turn far too<br />
often increases their post purchase unhappiness if<br />
they find a better deal elsewhere or get lured into<br />
buying a cheaper product that doesn't quite create<br />
the intended look.<br />
As Jack Trout suggests in hi s best seller,<br />
Positioning, "price is rarely a sustainable<br />
differentiating idea". Freedom has long since<br />
recognised the impo1tance of emotive positioning<br />
and has approached retail marketing through its<br />
core brand values thereby effecti vely driving<br />
product sales tlu·ough brand-led conununications.<br />
Freedom breaks the category convention by<br />
positioning the brand on an emotive platform of<br />
"fresh thinking that inspires great ideas" rather than<br />
FRf f DOI"I<br />
ove1tly focusing communications on simple points<br />
such as 'range and value', which lead to margin<br />
erosion.<br />
Over time this has proven more effective than<br />
simply following the category norm of focusing<br />
promotion purely on product range and price.<br />
BRAND VALUES<br />
Freedom's brand positioning is a function of the<br />
company's corporate ideal. That is, "At Freedom,<br />
we believe that everyone in the world should be<br />
free to access the lifestyle they dream of Freedom<br />
empowers us to dream as well as providing us<br />
with the means to make our dreams possible."<br />
This led to the unique positioning of "Think<br />
outside the square you live in" wh.ich inspired great<br />
ideas for people to customise their home's look<br />
and feel. Millward Brown research confirms that<br />
customers perceive Freedom as being empowering<br />
and inspiring - "a place for great ideas that help<br />
you attain the home you always dreamt of but<br />
didn't believe possible" - and charming and<br />
spontaneous.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
FREEDOM<br />
0 A year's supply oft11e fab1ic Freedom<br />
uses to upholster sofas is enough to<br />
stretch from Sydney to LA.<br />
0 Freedom's first product range included<br />
a combination of beanbags, raw pine<br />
furnitme, Indian cotton sofas and ball<br />
lamps.<br />
0 Freedom's longest serving employee<br />
has been with t11e company for 19<br />
years.<br />
0 In December 2003, Freedom was taken<br />
off the <strong>Australia</strong>n Stock Exchange and<br />
became a private company.<br />
0 Freedom has a team of buyers who<br />
travel t11e world, several times a year, in<br />
search of new innovative lifestyle<br />
trends and du:ection.<br />
0 Freedom has been in operation in<br />
<strong>Australia</strong> for 23 years.<br />
0 Freedom sells 220,000 Anna Tea<br />
Towels each year.<br />
53
THE MARKET<br />
In its broadest sense, Gatorade competes<br />
in the beverage market. However the<br />
functionality and pe1iormance benefits of<br />
the product narrow this field to what the<br />
company refers to as the' Active Thirst<br />
Market'.<br />
It has been estimated that<br />
approximately one in seven or 15<br />
per cent of beverages are bought<br />
to quench an 'active thirst'. That<br />
is, a thirst resulting from exercise,<br />
physical hard labour, sports, etc.<br />
Gatorade has been scientifically<br />
formulated to quench an active<br />
thirst better than any other<br />
beverage due to the physiological<br />
changes that occur in the body<br />
following exercise. Once the human<br />
body becomes active it starts to<br />
sweat and becomes dehydrated<br />
resulting in a change in taste<br />
preference.<br />
Research undertaken at the<br />
Gatorade Sports Science Institute<br />
(GSSI) proves that once an<br />
individual becomes active, a<br />
physiological change takes place<br />
and the body will actually prefer the<br />
taste of lightly flavoured and sweetened, noncarbonated<br />
drinks like Gatorade over full sugar<br />
carbonated beverages.<br />
ACHIEVEMENTS<br />
The sports drink market was created in 1965 when<br />
Gatorade was invented by scienti sts at The<br />
University of Florida, for the Florida 'Gators' football<br />
team. From such humble beginnings the brand has<br />
grown to become the world's leading sports drink.<br />
The introduction of Gatorade helped change the<br />
fluid-replacement practices of athletes across the<br />
United States and around the world including<br />
<strong>Australia</strong>. Instead of discouraging fluid intake<br />
during training and competition, as had been the<br />
practice, coaches started to understand the<br />
necessity of consuming fluids during exercise to<br />
avoid dehydration, heat illness and early fatigue.<br />
Built on a solid scientific platform, Gatorade<br />
prides itself on being the most thoroughly studied<br />
consumer food product on the market, in terms of<br />
human physiology research. When food company<br />
Quaker Oats acquired Gatorade in 1983, they<br />
-------<br />
founded the GSSI, a research entity dedicated to<br />
enhancing and sustaining human<br />
peiformance and health through nutrition.<br />
The GSSI and Gatorade Sports<br />
Science Exchange (GSSE) are worldrenowned<br />
resources among coaches,<br />
trainers and nutritionists. It's this<br />
dedication to sports science research<br />
and product performance that<br />
can't be matched and is why<br />
Gatorade is used by so many of<br />
the world's top athletes.<br />
In January 2000, Gatorade flew<br />
Brad Beven, five times <strong>Australia</strong>n<br />
Champion Triathlete, to the GSST<br />
in Chicago for three days of<br />
intensive testing. The tests he<br />
undertook were to provide him<br />
with valuable information for<br />
future training and race<br />
preparation to help him gain a<br />
competitive edge. These tests<br />
included a cardiac stress test,<br />
sweat test, maximal oxygen<br />
consumption and nutritional<br />
consultation. He explains his time<br />
at the Gatorade Sports Science<br />
Institute by saying "''m trying to<br />
get every bit of information I need<br />
to go faster. Just picking up<br />
information like dehydration and<br />
sodium deficiencies are all pmt of achieving that<br />
aim. The purpose of doing this with the GSSI was<br />
to gain an extra couple of per cent to get the edge<br />
to cross the line quicker. .. " In July 2002, Gatorade<br />
flew Brett Lee to the GSSI for two days of intensive<br />
testing, which also exposed Brett to a windgate<br />
power test. Brett loses just over I litre of sweat per<br />
hour during extensive exercise, which is typical for<br />
an athlete of his_level.<br />
HISTORY<br />
In the early 1960s, the University of Florida research<br />
team began development of a drink that would<br />
rapidly replace body fluids and help prevent the<br />
severe dehydration caused by hot weather and<br />
physical exertion. Under the direction of Dr Robert<br />
Cade, the group began testing a formula on ten<br />
members of the University of Florida football team<br />
whose members were experiencing significant fluid<br />
loss during practice and games.<br />
The drink's formulation of carbohydrates and<br />
electrolytes was based on the latest scientific<br />
resem·ch and the supposition that 'Gator' athletes<br />
could benefit by replacing the fluid, energy and<br />
electrolytes lost during exercise. This test beverage<br />
became known as "Gatorade".<br />
That season, the Gators enjoyed a winning<br />
record and became well known as the "second half<br />
team" by outplaying their opponents during the<br />
54
latter half of the game. The team 's coach recognised<br />
the advantages of having his players drink<br />
Gatorade, noticing that they had fewer problems<br />
with dehydration and showed greater endurance.<br />
In fact, on January 1, 1967, when the Gators beat<br />
Georgia Tech in the Orange Bowl, Georgia Tech<br />
head coach Bobby Dodd told Sports Illustrated<br />
magazine that the reason for his team's loss was<br />
that "We didn't have Gatorade. That made the<br />
difference".<br />
The story has become legend and the drink<br />
became Gatorade.<br />
THE PRODUCT<br />
Gatorade is the No. 1 selling sports drink brand in<br />
the world. In August 200 I , the US based Quaker<br />
Oats Company, owner of the Gatorade brm1d,<br />
merged with the Pepsico, Inc. group of companies<br />
to complement that company's portfolio of<br />
powerhouse brands.<br />
From the inception of the product, science has<br />
been used to ensure that no other beverage replaces<br />
lost fluids, energy and electrolytes faster than<br />
Gatorade. Gatorade pioneered the 6 per cent<br />
carbohydrate solution, which is now used by other<br />
isotonic sports drinks. Tt is the optimal level to<br />
ensure the fastest possible absorption. In fact no<br />
other beverage speeds fluids, minerals and energy<br />
to the body faster than Gatorade.<br />
Gatorade is formulated on the premise that if<br />
an ingredient doesn't improve pe1formance<br />
or rehydration, then it has no place in<br />
Gatorade.<br />
Gatorade is not carbonated, as<br />
carbonation can cause gastro-intestinal<br />
distress and it does not contain<br />
preservatives, which can cause 'throat<br />
burn'.<br />
Gatorade is hot filled in PET bottles,<br />
with a wide mouth to allow gulping.<br />
Gatorade is also formulated with a light<br />
sweetness and flavour profile to<br />
accommodate taste preference<br />
changes that occur with exercise.<br />
RECENT DEVELOPMENTS<br />
In Summer 2003 Gatorade launched a<br />
700ml bottle with spmts cap to allow<br />
for consumption before, during and<br />
after exercise or throughout an<br />
endurance activity such as cycling. At<br />
the same time a new variant,<br />
Watermelon Chill, was launched. It is<br />
specifically designed to deliver extreme<br />
refreshment during the hotter summer<br />
months. The flavour was launched<br />
with the support of a heavyweight<br />
sampling campaign at beaches and<br />
spmts venues throughout the summer.<br />
PROMOTION<br />
The launch ofGatorade in <strong>Australia</strong> was suppmted<br />
by one of the most memorable TV campaigns of all<br />
time, "Be Like Mike". The catchy jingle and<br />
inspirational images of Jordan, helped to catapult<br />
the brand to clem· market leadership within four<br />
weeks following the launch. Indeed the<br />
endorsement of Gatorade by Michael Jordan, the<br />
world's highest profile and best loved athlete, has<br />
taken the brand to new heights and ensured<br />
immediate high level awareness for the brand<br />
following each new market entry.<br />
The phrase 'scientifically developed, athletically<br />
proven' , is true ofGatorade and is why the brand's<br />
distinctive orange cooler bins and green cups<br />
can be seen on the sidelines of the world's<br />
top sports teams and competitions.<br />
In <strong>Australia</strong> many top spmting teams<br />
and competitions have adopted Gatorade<br />
as their official spmts drink including the<br />
<strong>Australia</strong>n Cricket Team, National Rugby<br />
League including State of Origin temns,<br />
<strong>Australia</strong>n Rugby Union and many<br />
of the top V8 racing em· drivers, as<br />
well as many of the nation's leading<br />
triathletes and endurance runners.<br />
BRAND VALUES<br />
When Gatorade was first<br />
developed, the resemchers relied<br />
upon the latest discoveries in<br />
medical science to guide the<br />
formulation of this unique beverage.<br />
This commitment to scientific<br />
research has continued to be a<br />
hallmark of Gatorade. Gatorade<br />
scientists me constantly looking for<br />
new ways to make Gatorade an<br />
even more effective fluid, energy<br />
and electrolyte replacement<br />
beverage.<br />
This ongoing resemch is often<br />
conducted in co-operation with<br />
some of the top sports scientists in<br />
the world to make ce1tain that the<br />
Gatorade formula remains optimal. In <strong>Australia</strong>,<br />
Gatorade works closely with the country's leading<br />
sports doctors and dietitians and is a founding<br />
sponsor of SDA, the Sports Dietitians <strong>Australia</strong><br />
group. Together with SDA, Gatorade <strong>Australia</strong> has<br />
been instrumental in developing guidelines for fluid<br />
replacement in spmt for both coaches and athletes.<br />
Expertise in spmts nutrition is one of the unique<br />
and distinguishing attributes of the Gatorade<br />
brand. This massive resem·ch effmt is the reason<br />
Gatorade' s formulation has never been bettered and<br />
why so many top athletes and sporting<br />
organisations trust only Gatorade to provide that<br />
performance edge.<br />
In fact, Gatorade now works with the <strong>Australia</strong>n<br />
Institute of Spmt (AIS) to ensure athletes receive<br />
optimal rehydration and replenishment for maximum<br />
performance. The AIS and Gatorade work on joint<br />
research projects to continuously improve athlete<br />
nutrition.<br />
Gatorade also runs tailored educational<br />
programs throughout <strong>Australia</strong> for both school<br />
children (SWEATFORCE) and coaches (The<br />
Coaches Edge), sharing the learning from the<br />
science projects in a continuous learning process.<br />
Darren Lockye r nnd Brett Lee Metrolite photos by Sean Izzard.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
GATORADE<br />
0 l.n the 2003 City to Smfin Sydney,<br />
60,000 runners consumed more than<br />
75,000 litres ofGatorade along the 14<br />
kmcourse.<br />
0 The nan1e Gatorade derives from the<br />
Gators but it was originally called<br />
Cade' s Cola or Cade' s Ade. When<br />
Quaker Oats acquired the brand in 1985<br />
they wanted to call it 'Quinch', but<br />
mm·ket research revealed that people<br />
ab·eady knew the drink as Gatorade and<br />
so the name remained.<br />
0 During the famous '67 Orange Bowl<br />
match, Gators player Lany Smith ran an<br />
amazing 94 ym·ds, with his pants falling<br />
down, to make a touchdown that won<br />
the game. He crossed the line with the<br />
ball in one hand and his pants in the<br />
other. After the game his mother was<br />
hem·d to say, "Gee coach, can 't you get<br />
my boy some pm1ts that fit". LmTy<br />
Smith's touchdown is still a record<br />
today.<br />
0 In terms of human physiology<br />
resemch, Gatorade is the most<br />
thoroughly studied consumer food<br />
product on the mm·ket.<br />
55
THE MARKET<br />
The male blades and razors category is now worth<br />
A$190 million in <strong>Australia</strong> alone, an increase of 4 7<br />
per cent since 1995, making it one of the fastest<br />
growing sectors within the toiletries market.<br />
The main catalyst for spectacular growth has<br />
been a fundamental change in men' s attitudes to<br />
the grooming process over the last decade. The<br />
rise in popularity of 'lad mags' and a defined male<br />
culture has evolved into an awareness of health<br />
and well being. This trend has resulted in a massive<br />
influx of male grooming products onto store<br />
shelves.<br />
Female grooming is also maturing into a very<br />
important patt of the health and beauty category. It<br />
now amounts to 18 per cent of the total blades and<br />
razors sector and delivers retail sales of more than<br />
A$34 million - up a massive 210 per cent since 1995,<br />
driven predominantly by the launch of Gillette for<br />
Women Venus in 2001 .<br />
ACHIEVEMENI'S<br />
The millennium heralded Gillette's centenary year.<br />
The core of the wet shaving category remains<br />
blades and razors, of which Gillette has a 71 per<br />
cent value shat·e of the male and a 60 per cent value<br />
shru·e of the female market.<br />
Gillette has a long established position as the<br />
most populru· brand and is market leader in the two<br />
principal wet shaving categories - blades and razors<br />
and shave preps.<br />
For men who wet shave, shave preps go handin-hand<br />
with shaving. The male shave prep market<br />
is wmth more than A$34. 7 million (up from A$24.2<br />
million in 1995) of which Gillette holds a 51 per cent<br />
share.<br />
The company's strong focus on technological<br />
advancement has created new market<br />
opportunities. Mat1y of Gillette' s pioneering<br />
innovations have become industry standat·ds: from<br />
adjustable razors, fully contained cartridges,<br />
pivoting heads, lubrastrips, flexible microfins and<br />
spring-mounted twin blades, to the first razor<br />
designed specifically for the shaving needs of<br />
women.<br />
Venus has driven the female blades and razor<br />
market and reinforced Gillette for Women as a<br />
worldwide leader in the female shaving market.<br />
Since tlle razor's launch, female shaving has become<br />
the fastest growing patt of the Gillette Grooming<br />
portfolio. Venus has established its role as a<br />
favourite with female shavers, which has driven<br />
yeat· on yeat· growth on Venus replacement blades<br />
to over 20 per cent.<br />
Gillette for Women also holds a strong position<br />
in the other two areas of the female shaving<br />
category: Satin Care holds a 95 per cent value share<br />
of the A$4.3 million female shave prep mat·ket and<br />
Gillette maintains a 35 per cent value shme of the<br />
A$12.2 million female disposables sector.<br />
HISTORY<br />
100 yeru·s ago, US travelling salesman King<br />
C Gillette had the idea of developing a safe<br />
and easy to use razor- an idea which was<br />
to revolutionise the shaving mat·ket. His<br />
frustration with traditional cut-throat<br />
shaving led him to statt work on a model<br />
razor, and so the Gillette Company was<br />
founded in Boston in 1901.<br />
Gillette's early success was built on strong<br />
technological foundations. The "wafer thin"<br />
metal needed to make the razor blade was even<br />
dubbed by Thomas Edison to be a "technical<br />
impossibility" . However, Gillette broke new<br />
ground with the<br />
development<br />
of new<br />
processes<br />
f o r<br />
tempering<br />
hardening<br />
produced<br />
1903 the<br />
a n d<br />
mas s<br />
steel. In<br />
Gillette<br />
Safety Razor was finally<br />
launched.<br />
In spite of a slow statt (only<br />
51 razors and 168 blades were<br />
sold in the first year) more than<br />
90,000 Americans possessed a<br />
safety razor by the end of<br />
Gillette's second yeat· of trcrling.<br />
The safety razor had already<br />
become a hit. It changed the<br />
face of a nation. The rapidly<br />
growing company established<br />
a factory in South Boston in<br />
1905 under the new name of the<br />
Gillette Safety Razor Company.<br />
Strong domestic growth<br />
prompted international<br />
expansion.<br />
Overseas operations<br />
commenced in 1905 , with a<br />
manufacturing plant just outside<br />
Pat·is and a sales office in London.<br />
Annual blade sales had risen to more<br />
than 40 million units before the outbreak<br />
of World Wat· I.<br />
The Great War saw Gillette become the first<br />
supplier of razors to the US Army when, in 1918,<br />
the US Government decided to issue each of its<br />
servicemen with his own shaving equipment. 3.5<br />
million Safety Razors and 36 million blades were<br />
duly supplied.<br />
The company has come a long way since its<br />
first patent in 1904. Techmatic, tlle first system razor,<br />
was introduced in l967.1ts 'continuous band' meant<br />
that consumers would no longer have to touch the<br />
blade. This was followed in 1 97 1 by the Gil, the<br />
world's first twin-bladed system. The first twin<br />
bladed disposable razor followed in 1976 and<br />
Contour, the first razor with a pi voting head, atTi ved<br />
in 1977.<br />
While developments in the 1960s and 1 970s<br />
focused mainly on blades, tlle 1980s and 1990s saw<br />
improved features for a smootller, more comfortable<br />
shave. The Contour Plus in 1985 heralded the first<br />
lubrastrip and 1990 saw the company's first ever<br />
56
the period of the 2003 Rugby World Cup.<br />
Additionally Gillette was the sponsor of<br />
Collingwood Football Club for the 2003<br />
season.<br />
Historically, Gillette has used sport as a<br />
major promotional vehicle and embmked on<br />
its first sponsorship deal with a radio<br />
broadcast of the US World Series back in 1939.<br />
There remains a strong association due to the<br />
performance-focused and highly aspirational<br />
nature of spmt.<br />
BRAND VALUES<br />
Gillette is dedicated to driving superior<br />
technology that will develop atld produce hair<br />
removal products tllat deliver a superior shave<br />
with superior pe1formance.<br />
Its male image is spmty, masculine, clean<br />
and immaculately groomed. The female image<br />
is modem, energising and understanding of<br />
women's needs. Gillette's success has been<br />
Pan-Atlantic launch with the introduction of<br />
Sensor in sixteen countries. This razor featured<br />
the first spring-mounted blades and shellbearing<br />
pivot. Then, three years later, the<br />
SensorExcel was launched with soft, flexible<br />
microfins. The MACH3 arrived in 1998,<br />
introducing the revolutionary triple-bladed<br />
shaving system, which in January 2002 was<br />
given a boost in performance resulting in<br />
Gillette's best razor ever- the MACH3Turbo.<br />
There had been little development in the<br />
female shaving market before the 1990s.<br />
Gillette introduced the first ever razor for<br />
women called 'Milady Decollete' in 1915 and<br />
the first disposable for women called Gillette<br />
Daisy in 1975. The groundbreaking Gillette<br />
for Women Sensor arrived in 1992, which was<br />
then surpassed by the new and very much<br />
improved SensorExcel for women.<br />
In 2001 Gillette for Women launched Venus- a<br />
unique triple-blcrle razor, designed specifically<br />
for how and where women shave. Venus<br />
combines pioneering innovation and proven<br />
technology to offer a far superior shave, outpe1forming<br />
even SensorExcel for Women by a 3-to-<br />
1 mmgin.<br />
Venus revolutionised the female shaving<br />
experience, ensuring skin stays smoother for longer<br />
with a single stroke.<br />
THE PRODUCT<br />
The company's biggest technological<br />
breakthrough in recent yems has also been Gillette's<br />
biggest success story to<br />
date - the MACH3<br />
shaving system. The<br />
creation of MACH3<br />
involved more than a<br />
decade of reseru·ch and<br />
development, the involvement of hundreds of<br />
Gillette scientists and engineers and financial<br />
investment of over US$750 million.<br />
The New Gillette Series Range has been<br />
reformulated to provide a fully integrated grooming<br />
solution for men. It now consists of eleven new<br />
products from shaving gel and foam, after-shave<br />
cooling gel, after-shave balm and splash to antiperspirants,<br />
deodorants and shower gels. Shaving<br />
gels and foams have been enhanced with 'antifriction'<br />
lubricants for ultra razor<br />
glide and specially<br />
formulated with skin<br />
comfmt ingredients for five<br />
different skin cme needs - sensitive,<br />
moisturising, protection, conditioning and<br />
clean skin.<br />
RECENT DEVELOPMENI'S<br />
Consumer testing among men established that<br />
MACH3Turbo is the best-performing shaving<br />
system ever with performance increased further<br />
when used in conjunction with the new Gillette<br />
Series shave gels and conditioners. In the US, five<br />
million men have already upgraded to the<br />
MACH3Turbo 'ultimate shaving experience'.<br />
In terms of product innovation within female<br />
shaving, nothing can rival Venus: in designing<br />
Venus, Gillette for Women 'threw out the book'.<br />
Acknowledging that women weren't completely<br />
satisfied with the wet shaving process, Gillette<br />
addressed women's complaints when designing<br />
Venus.<br />
Venus operates under 50 separate patents<br />
combining advances created for MACH3 and<br />
Sensor with others unique to Venus. These special<br />
features account for the unprecedented consumer<br />
test results - 73 per cent of women preferred Venus<br />
to any other female razor - for<br />
perspective the pe1formance<br />
of Venus amongst women is<br />
even more dramatic than the<br />
performance of MACH3<br />
atnong men. In Gillette's 1 00<br />
year history, this is the<br />
strongest performance of a Gillette shaving product<br />
in this type of test - Venus sets an entirely new<br />
standard in female shaving.<br />
PROMOTION<br />
Gillette' s advertising campaign for the<br />
MACH3Turbo continues with the 'Best A Man Can<br />
Get' theme but uses creative imagery of outer space.<br />
MACH3Turbo's advertising has focused on<br />
'turning the shaving world upside down' and draws<br />
parallels between the zero-gravity factor in space<br />
and the option of using the MACH3Turbo to shave<br />
against the grain.<br />
Sponsorship plays a large pmt in promoting<br />
the brand. In 2003 Gillette was a sponsor<br />
of George Oregan, the captain of the<br />
<strong>Australia</strong>n Wallabies. This<br />
sponsorship was leveraged<br />
with an integrated retail<br />
promotion running during<br />
its ability to make men and women look and feel<br />
their very best by continually developing<br />
technologically superior grooming products.<br />
In essence, the Gillette Company celebrates<br />
world-class products, world class brands and world<br />
class people. It is committed to growth through<br />
innovation to maintain the company's position as<br />
a world leader in consumer products.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
GILLmE<br />
0 In the Stone Age, women used<br />
shatpened rocks atld shells to scrape<br />
off unwanted hair.<br />
0 On average, men' s beru·ds have the<br />
satne number of hairs as a woman' s<br />
legs and underatms combined.<br />
However, women shave an ru·ea that is<br />
approximately nine times Jru·ger than<br />
men's.<br />
0 Beat·d hair, when dry, is the satne<br />
strength as the same gauge of copper<br />
wire.<br />
0 On average, a man's beru·d grows<br />
1511 OOOths of an inch a day and 5.5<br />
inches a yeru·.<br />
0 During his lifetime, a man will spend<br />
approximately 3,350 hours removing<br />
27.5 feet of whiskers from his face.<br />
57
THE MARKET<br />
The <strong>Australia</strong>n food service hot drinks (hot drinks<br />
consumed out of home) market is currently valued<br />
at about $1 .8 billion, of which coffee is estimated to<br />
represent 82 percentor$1.45 billion. Branded coffee<br />
chain stores are the fastest growing segment of the<br />
food service market and in 2002 represented 6.4 per<br />
cent of this market by volume. Trends suggest that<br />
the food service market will continue to increase in<br />
future as socialising and entertainment patterns put<br />
more <strong>Australia</strong>ns in cafes and out of the kitchen<br />
(www.aasca.com, October 2002).<br />
Gloria Jean ' s Coffees makes a considerable<br />
contribution to this market, roasting and selling<br />
over 400 tonnes of coffee every year. This means<br />
that Gloria Jean's Coffees customers consume over<br />
70 rn.illion cups of coffee per year.<br />
ACHIEVEMENtS<br />
Gloria Jean ' s Coffees is the fastest growing branded<br />
specialty coffee store chain in <strong>Australia</strong>. Since<br />
opening the first store in Sydney in 1996, Gloria<br />
Jean's Coffees has added more than 185 stores in<br />
every state and territory.<br />
In 2003, Gloria Jean ' s Coffees annual turnover<br />
was $85 million and this provided jobs for over<br />
3,500 <strong>Australia</strong>ns.<br />
Local success was internationally acclaimed in<br />
2003 when Gloria Jean's Coffees <strong>Australia</strong> opened<br />
the most new stores of any country in the Gloria<br />
Jean's Coffees international market.<br />
Gloria Jean's Coffees in <strong>Australia</strong> is committed<br />
to supporting the economy by ensuring most of<br />
the key products and ingredients are manufactured<br />
locally. The ultimate aim is to ensure that all<br />
products the stores use are manufactured in<br />
<strong>Australia</strong>.<br />
The success of the company can be attributed<br />
to a commitment to always use prern.ium ingredients<br />
for all products, provide ongoing training and<br />
operational support to franchisees and constantly<br />
educate the <strong>Australia</strong>n marketplace about the<br />
specialty coffee industry. Gloria Jean's Coffees also<br />
has a strong dedication to research, development<br />
and innovation.<br />
HISTORY<br />
In 1995, Nabi Saleh, a businessman internationally<br />
regarded for his coffee knowledge and expertise,<br />
and Peter Irvine, former Managing Director of<br />
advertising agency DDB Needham, visited the<br />
United States to experience first hand the Gloria<br />
Jean's Coffees brand. Nabi and Peter identified the<br />
opportunity for this unique brand in <strong>Australia</strong> and<br />
saw the chance to provide <strong>Australia</strong>n consumers<br />
with high quality coffee and consistent service in<br />
accessible locations.<br />
Together they established Jireh International Pty<br />
Ltd, the company that now holds the right to<br />
franchise Gloria Jean's Coffees in <strong>Australia</strong>.<br />
Nabi' s expertise in the coffee and tea industries<br />
combined with Peter' s background in franchising,<br />
marketing and adve1tising created the pe1fect recipe<br />
for a successful prutnership.<br />
In late 1996, Jireh International Pty Ltd opened<br />
the first Gloria Jean ' s Coffees store in Miranda,<br />
Sydney. Two weeks later m1other opened in<br />
Eastgardens, also in Sydney. These stores were<br />
set up to thoroughly test the concept in the<br />
<strong>Australia</strong>n market.<br />
In early 1998, Gloria Jean's Coffees franchised<br />
its first store and within six years had opened 185<br />
stores - all locally owned and operated by more<br />
than I 00 franchisees. In 2003, the company opened<br />
a franchise in Darwin, meaning that the brand was<br />
now established in every state and territory.<br />
The continued growth of Gloria Jean's Coffees<br />
is a result of an effective franchising model, stable<br />
management practices and a committed and<br />
enthusiastic team who are passionate about coffee<br />
and satisfying customers.<br />
Jireh International Pty Ltd is a wholly <strong>Australia</strong>n<br />
owned company. Nabi Saleh is the Chairman and<br />
Peter Irvine is the Managing Director.<br />
THE PRODUCT<br />
Gloria Jean's Coffees offers consumers a complete<br />
58
coffee experience. Retail stores are located in iconic<br />
metropolitan areas, shopping centres, transport<br />
hubs and entertainment districts.<br />
Ranging from sit-down cafes to streetside coffee<br />
bru·s, Gloria Jean's Coffees stores offer consumers<br />
a wide range of more than 150 products including<br />
hot and cold blended espresso drinks, fresh<br />
premium coffee beans and teas, pastries, and coffee<br />
related merchandise.<br />
Gloria Jean ' s Coffees uses only the finest quality<br />
selected top tier Arabica coffee beans which ru·e<br />
meticulously roasted to exact specifications<br />
ensuring customers receive the same delicious cup<br />
every time. The range of premium and specialty<br />
coffee beans is available directly to customers<br />
through Gloria Jean's Coffees stores.<br />
Gloria Jean's Coffees also produces a range of<br />
high-quality tea products offering customers an<br />
array of flavours, herbals, and fruit infusions from<br />
the world's top tea growing regions.<br />
Each month a special promotional drink is<br />
featured. A recent partnership between Gloria Jean ' s<br />
Coffees ru1d another iconic <strong>Australia</strong>n brand,<br />
Arnott's, saw the introduction of the Arnott's Tim<br />
TanfMGourmet Iced Chocolate drink.<br />
RECENT DEVELOPMENtS<br />
The expansion ofGloriaJean's Coffees in 2003 has<br />
also seen two new stores open in New Zealand.<br />
The New Zealand coffee market is growing at a<br />
similru· rate to <strong>Australia</strong>' s and a number of additional<br />
Gloria Jean 's Coffees stores are expected to open<br />
there this yeru·.<br />
Gloria Jean ' s Coffees hosted its inaugural<br />
convention in Sydney in 2003 which was a true<br />
indication of the growth in stores and franchisee<br />
numbers. The landmark event attracted over 250<br />
<strong>Australia</strong>n and international Gloria Jean's Coffees<br />
franchisees and industry experts. It exposed<br />
pruticipants to the latest industry trends, product<br />
training, and merchandising and skill development<br />
workshops in local store mru·keting.<br />
Gloria Jean ' s Coffees marketleadership was<br />
further exemplified by the<br />
prutnership in2003 with Optus and<br />
the in stal lation of ' Optus<br />
Wireless Connect' WiFi services<br />
in stores in Sydney, Newcastle,<br />
Melbourne, Brisbane, Adelaide<br />
and Pe1th. This service enables<br />
customers to access highspeed<br />
internet service while<br />
enjoying their coffee.<br />
Gloria Jean's Coffees also<br />
extended its customer<br />
product offerings in 2003<br />
when it launched a premium<br />
tea range including 23<br />
specialty tea varieties<br />
sourced from ru·ound the<br />
world.<br />
Gloria Jean's Coffees<br />
I S committed to<br />
providing community<br />
support at a corporate<br />
and franchise level. In<br />
2003, it announced a<br />
major community<br />
partnership with<br />
Mercy <strong>Australia</strong>.<br />
Mercy <strong>Australia</strong> is a chru·ity<br />
established in 2000 to help<br />
women who are dealing with<br />
eating disorders, unplanned<br />
pregnancies, abuse and other life<br />
controlling issues. The unique<br />
program is designed for young<br />
women aged 16-28 years who<br />
participate in a 6 to 12 month<br />
residential-based program at a<br />
Mercy home. Gloria Jean's Coffees<br />
will aim to raise at least$ I million for<br />
Mercy <strong>Australia</strong> over the next two<br />
PROMOTION<br />
Coffees invests<br />
significantly in both above and below<br />
the line mru·keting. In 2002, the company<br />
launched a new brand position Escape<br />
the Daily Grind® supported with<br />
national TV, radio, print and outdoor<br />
advertising.<br />
Research has shown that the campaign<br />
has contributed significantly to the differentiation<br />
of the Gloria Jean ' s Coffees brand from other<br />
branded specialty coffee store chains.<br />
Gloria Jean's Coffees maintains an ongoing<br />
consumer public relations program promoting new<br />
products, promotions, store openings and<br />
company news. Over the past 12 months Gloria<br />
Jean ' s Coffees has been profiled in a number of<br />
women's and lifestyle magazines and has also been<br />
featured in major metropolitan newspapers.<br />
Gloria Jeans Coffees is regulru·ly asked by the<br />
media for expert comment on the Australiru1<br />
speciality coffee industry.<br />
All franchisees are trained in local store<br />
mru·keting and ru·e provided with ongoing store<br />
marketing support and resources.<br />
BRAND VALUES<br />
Gloria Jean's Coffees is a community-minded brand<br />
in every sense. The stores provide an 'oasis' for<br />
the coffee lover- an escape from the 'daily grind'<br />
where customers can feel welcome ru1d comf01table,<br />
meet friends or just soak up the unique coffee store<br />
atmosphere.<br />
The company is driven by the desire to be the<br />
most loved and respected coffee house in <strong>Australia</strong><br />
and to be keenly regru·ded by consumers for its<br />
quality coffee, coffee know-how, professional,<br />
friendly approach and relaxed store atmosphere.<br />
As <strong>Australia</strong>'s leading branded speciality coffee<br />
store chain, Gloria Jean's Coffees is committed to<br />
building a unified frun.ily, consistently serving the<br />
highest quality coffee and providing outstanding<br />
service in a vibrant store atmosphere.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
GLORIA JEAN'S COFFEES<br />
0 Gloria Jean's Coffees is <strong>Australia</strong>n<br />
owned and operated.<br />
0 Gloria Jean's Coffees uses only top tier<br />
I 00 per cent Arabica coffee.<br />
0 There are cunently more than 185<br />
Gloria Jean's Coffee stores in every<br />
state and tenitory.<br />
0 Gloria Jean 's Coffees is the Jru·gest<br />
branded specialty coffee store chain in<br />
<strong>Australia</strong>.<br />
0 There ru·e more Gloria Jeru1 ' s Coffees<br />
stores in <strong>Australia</strong> than anywhere else<br />
in the world.<br />
0 In 2003 Gloria Jeru1' s Coffees sold over<br />
70 million cups of coffee and roasted<br />
and sold over 400 tonnes of coffee.<br />
59
Hills,.<br />
THE MARKET<br />
Styles and models have changed over the<br />
years, but Hills has remained at the<br />
forefront of design technology in its<br />
mru·kets. The latest range of fo lding or<br />
removable clotheslines continues to make<br />
laundry chores easier and reflects the<br />
tre nd towards small er gardens. The<br />
original "Hills Hoist" revolutionised<br />
washdays and its current successor, the<br />
Foldaline Compact Plus, is the pride of<br />
the washday scene today in <strong>Australia</strong> and<br />
many overseas countries.<br />
Since 1946, the range of products made<br />
by Hills Industries has g rown and<br />
continues to expand. Today, almost sixty years<br />
since the Hills Hoist was introduced, Hills<br />
Industries manufactures a wide range of<br />
clotheslines and indoor laundry equipment. Every<br />
day, fanulies in <strong>Australia</strong> and m·ound the world use<br />
a Hills product somewhere at home, school, work<br />
or at play.<br />
llills Industries also manufactures and mm·kets<br />
a growing range of home and gru·den products<br />
including ladders, wheelbarrows, woodworkjng<br />
equipment, garden sprayers, children's swings and<br />
slides, trampolines, hand trucks and trolleys and<br />
screen and security doors.<br />
But these home and hardwru·e products now<br />
constitute just one pmt of the Hills business. The<br />
company is developing businesses in three<br />
segments : Home and Hardware Products,<br />
Electronics, and Building and Industrial Products.<br />
Products m·e expmted m·ound the world from<br />
factories in Adelaide, Brisbane, Perth and<br />
Melbourne and from a<br />
quality-accredited<br />
plant in the United<br />
Kjngdom. Hills has a<br />
substantial share of<br />
many markets.<br />
ACHIEVEMENIS<br />
Hills' success has been<br />
achieved through innovation<br />
and marketing<br />
know-how. The company<br />
has the abil ity to change<br />
with the times, responding<br />
to consumer demands with<br />
products that are designed<br />
to complement today's busy<br />
lifestyle. These changes have<br />
been reflected in many products manufactured by<br />
llills Industries but none more so than in the rotary<br />
clothesline.<br />
The Hills Hoist is so essentially <strong>Australia</strong>n that<br />
it featured in the closing ceremony of the 2000<br />
Sydney Olympics, celebrating its status as an<br />
emblem of <strong>Australia</strong>n enterprise and an icon of<br />
Australi an culture. The photograph of the Hills<br />
Hoist in the burning backyard of a Canberra<br />
property in 2002 typifies this iconic status.<br />
Hills is also now <strong>Australia</strong>'s le
THE PRODUCT<br />
The name llills immediately identifies the<br />
company with its national icon, the rotary<br />
clothesline. Efficient and user-friendly<br />
means of drying clothes outdoors ru·e<br />
still central to the Hills philosophy. But<br />
while a galvanised version of the original<br />
model is still produced, a complete new<br />
range has also been developed to suit<br />
the needs of modern day consumers.<br />
And of course the name lliJJs is no longer<br />
representative simply of drying<br />
equipment.<br />
For larger families, rotating<br />
clotheslines remain the most popular<br />
providing plenty of space for family<br />
washdays. With less space increasin gly being<br />
provided for backyru·ds, Hills also has ru1 extensive<br />
range of compact folding and retractable clotheslines<br />
designed for balconies and comtyru·ds. The indoor<br />
laundry is also catered for with ironing boru·ds,<br />
mobile clothes stands and space-saving clothes<br />
airers.<br />
Hills also makes <strong>Australia</strong>'s largest range of<br />
ladders and wheelbarrows, manufactured to<br />
withstand the rigours of the professional trade and<br />
demands of the do-it-yourself mru·ket.<br />
Ladders and wheelbruTows ru·e sold under brand<br />
names: Bailey, Oldfields Ladders, Ladderweld and<br />
Kelso, all renowned for their quality and reliability.<br />
Hills also produces handcmts, trolleys and a vm·iety<br />
of gm·den sprayers. The company has an impo1tant<br />
role in the home protection mm·ket with top quality<br />
screen and security doors mm·keted under the Hills<br />
name. For children it produces a range of gm·den<br />
swing sets, slides and t:ra111polines under the Playtime<br />
label.<br />
A recent addition to the Hills group of companies<br />
is Fielders, a name synonymous with roofing for<br />
more than I 00 yem·s. Initially providing roofing<br />
materi als, it now manufactures and supplies steel<br />
doorframes, Centenm·y cru·pmts, verandas, sheds,<br />
fencing and steel flooring systems as wel l as<br />
providing comprehensive support in all aspects of<br />
building and construction.<br />
Hills subsidim·y On·con, in the Industrial Products<br />
Division, supplies a complete range of steel tubing<br />
to industry, from small dimneter precision tube for<br />
fencing and ft.1rniture to Jm·ge structural steel sections<br />
used in construction. In addition, On·con has<br />
recently commissioned a tube mill to supply<br />
pressure pipe for gas.<br />
Another recent addition is the K-Cm·e Group in<br />
Perth. K-Care manufactures and di stributes a<br />
supe1ior and comprehensive range of specialised<br />
mobility equipment making life more pleasant for<br />
senior citizens and people with a disability.<br />
In the emly 1 990s Hills identified electronic<br />
security as a long-term growth oppmtunity. By a<br />
combination of acquisition and organic growth,<br />
Hills' electronic security businesses,DirectAJm·m<br />
Supplies and Pacific Communications, have grown<br />
to be the mmket leaders in <strong>Australia</strong> and New<br />
Zealand. Hills represents the world's leading<br />
security companies in these mm·kets, and carries<br />
products rang ing from simple domestic<br />
applications to access control and CCTV systems<br />
suitable for high security applications such as<br />
casinos and prisons.<br />
In October 1999 the famous Triton range of<br />
innovative woodworking products for DIY<br />
enthusiasts was added to the list of consumer<br />
items. Together with the Triton Series 2000<br />
Workcentre, they ru·e further exmnples of Hills<br />
commitment to hi gh quality <strong>Australia</strong>n-made<br />
products.<br />
The combined total of products from tills group<br />
of companies has broadened Hills' business<br />
interests and widened the traditional customer<br />
base.<br />
RECENT DEVELOPMENIS<br />
Hills is and remains the industry leader in multi<br />
channel 1llicrowave antennas, but the company<br />
now also enjoys strong sales to pay TV operators<br />
in <strong>Australia</strong>.<br />
As the leading manufacturer and mm·keter of<br />
clotheslines in the UK,Hills recently entered into a<br />
joint venture to manufacture and market its<br />
innovative range of new products and indoor<br />
clothes dryers throughout Europe, featuring its<br />
patented VarioProtect hidden line rotary<br />
clotheslines.<br />
Hills' electronic security division recently<br />
released the Hills Home Hub, the gateway to home<br />
automation using the range of Hills products<br />
including security, internet access, lighting control<br />
and a range of other lifestyle applications.<br />
PROMOTION<br />
In 2003, the company introduced a new styl ised<br />
logo to better capture the contempormy nature of<br />
the business. The colours red and blue, adopted<br />
long ago, have been retained in keeping<br />
with Hills' long and successful heritage.<br />
Continuing market research has<br />
demonstrated extre mely hig h bra nd<br />
recognition and survey results have shown<br />
unprompted awm·eness of the Hills brand<br />
at 82 per cent and total recognition at<br />
almost I 00 per cent.<br />
Among other brands under the Hills<br />
umbrella, the Bailey and Kelso brands are<br />
a lso gaining brand recognition. The<br />
company's promotional activity is focused<br />
on retail customers to maximise sales<br />
opportunities. This strategy has resulted<br />
in a strong association with major retailers<br />
around <strong>Australia</strong> and a growing consumer<br />
demand for the products.<br />
Brand awm·eness is a major consideration in the<br />
company's marketing mix and media ca111paigns<br />
providing the endorsement link between Hills and<br />
its sub-brands have been launched.<br />
BRAND VALUES<br />
The Hills name and brand are key assets. In<br />
November 2002, a review was conducted among<br />
major stakeholders to establish words or images<br />
associated with the Hills brand name. Several<br />
hundred employees, shm·eholders and customers<br />
were surveyed. Words most commonly associated<br />
with Hills were 'clotheslines', '<strong>Australia</strong>n', 'quality'<br />
and 'conservative'_<br />
Hills Industries remains a solid, dependable<br />
<strong>Australia</strong>n company with technical superiority and<br />
many clever products and services - in fact the<br />
clothesline was just the first of many clever Hills<br />
products. Long-term success depends on the high<br />
quality of all Hills products. Commitment,<br />
innovation, research and development and<br />
advanced technology m·e taking the company into<br />
a progressive new era.<br />
Hills' strategy is to continue developing<br />
competitive businesses in its three main industry<br />
segments. The aim is to be product innovators and<br />
mm·ket leaders and to achieve a sensible level of<br />
diversification within each industry segment to<br />
minimise the impact of short-term changes in<br />
mm·kets and economies.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
HILLS INDUmiES<br />
0 In 1994, Hills celebrated the sale of its<br />
five Illillionth Hills Hoist, a11 event the<br />
whole country recognised as a<br />
Illi1estone. The Hills Rotm-y Hoist had<br />
become an emblem of AustTa1ian<br />
enterprise.<br />
0 To celebrate the first 50 years of the<br />
Hills company, the Adelaide Festival of<br />
Alts chose the Hills Rotru-y Hoist as a<br />
symbol to promote and market the 1996<br />
progran1 of cultural events to the<br />
world.<br />
0 During the closing ceremony of the<br />
Sydney 2000 Olympic Gmnes, the Hills<br />
Hoist was prominent, a tribute to the<br />
significant role that Hills products<br />
have played in <strong>Australia</strong>n culture.<br />
61
HONDA<br />
The Povver of Dreams<br />
THE MARKET<br />
Honda, the world's largest engine manufacturer, is<br />
involved in many different market segments in<br />
<strong>Australia</strong>. They range from prestige cars via<br />
motorcycles, outboard engines and power<br />
equipment to general purpose engines for original<br />
equipment manufacturers.<br />
Offering state-of-the-art technology, scrupulous<br />
quality, safety and superb performance, Honda sells<br />
more than 200,000 products each year into the<br />
<strong>Australia</strong>n market and 15 null ion products globally.<br />
The remarkable penetration of the Honda brand<br />
in <strong>Australia</strong> has been made possible by the variety<br />
of products and the sales and service dedication of<br />
over a thousand retail outlets and 280 OEMs. The<br />
great range of products means that customers are<br />
constantly introduced to the Honda brand at many<br />
different points.<br />
ACHIEVEMENTS<br />
The Honda brand can list many m
Honda <strong>Australia</strong> started officially on February 4' 11 ,<br />
1969 in a rented flat.<br />
Honda grew enormously during the following<br />
decades and in October 1991 Honda MPE was<br />
established. Dedicated to Honda Motorcycles,<br />
Power Equipment and Marine, and separate from<br />
Honda cars, the company was formed to focus<br />
attention on the many opportunities in the<br />
<strong>Australia</strong>n market.<br />
THE PRODUCT<br />
The strength of the Honda brand derives from the<br />
simple fact that each Honda product is designed,<br />
engineered and manufactured to be the leader in its<br />
field, delivering optimum performance, reliability,<br />
economy and world leading enlission levels.<br />
Honda's advanced engineering has created the<br />
world's best engines, and as a result, Honda is the<br />
world's largest and most successful engine<br />
manufacturer.<br />
Honda's first product, the A-type bicycle<br />
engine, was produced in small quantities<br />
in 1947. Today, in <strong>Australia</strong>, more than<br />
80,000 engines are sold each year to<br />
Original Equipment Manufacturers.<br />
These engines power the likes of icons<br />
such as Victa, Rover, Onga and Davey,<br />
who badge their own products powered by<br />
these outstanding Honda engines.<br />
Honda' s commitment to the environment and<br />
quality motor vehicle manufacturing has been<br />
thoroughly demonstrated by the introduction of<br />
the unforgettable Civic, Accord, Legend, NSX, CRY,<br />
S2000, MDX and, more recently, the Insight which<br />
is a hybrid motor vehicle.<br />
The GB30 outboru·d engine was released in 1964,<br />
and today Honda offers the lru·gest and cleanest<br />
range of four-stroke engines in the world, ranging<br />
fi·om 2 to 225hp.<br />
The first Honda power product, the F-150 Tiller,<br />
was released in 1959 followed in 1965 by the E300<br />
portable generator. Today, Honda is a market leader<br />
in the Power Equipment market in <strong>Australia</strong> with<br />
products ranging from lawn mowers to<br />
brushcutters, generators, tillers and pumps.<br />
RECENT DEVELOPMENTS<br />
Honda has brought the world a myriad of leading<br />
edge technologies, such as the CYCC (Compound<br />
Vottex Controlled Combustion), fitted to the first<br />
automobile engine to meet the US Clean Air Act<br />
requirements. More recently, Honda led the world<br />
in bringing to market a fuel cell vehicle, the FCX.<br />
Honda's ongoing efforts in research and<br />
development play a central role in helping create<br />
original, innovative products that meet both the<br />
expectations of customers and the needs of society.<br />
Honda' s Wako Research Centre focuses on<br />
fundamental research in the fields of electronics,<br />
biotechnology and new materials. Four facilities<br />
share the initiative in developing new products for<br />
tomorrow, with a focus on increased durability,<br />
reliability and performance.<br />
Honda was the first company in the world to<br />
develop a humanoid robot capable of autonomous,<br />
bipedal motion. Honda's advanced robot, ASIMO,<br />
incorporates artificial intelligence enabling the<br />
robot to understand and independently respond<br />
to body language and gestures. Honda's goal is to<br />
create a robot that will be a true partner to<br />
humankind.<br />
Honda is also taking aim at the sky. Two of<br />
Honda's recent challenges include the development<br />
of a compact business jet and a piston aircraft<br />
engine. Honda's US R&D operation has already<br />
created a prototype of the jet, which is entering the<br />
test flight phase.<br />
Established<br />
111 Japan, the US<br />
and Germany in 2003, Honda Research Institute<br />
(HRI) has been chru·ged with fundamental reseru·ch<br />
and is working closely with local scientific<br />
COITLinunities. HRl is applying reseru·ch in the field<br />
of rutificial intelligence to enhance automotive<br />
safety and to develop advanced robots, and is using<br />
new materials research to supp01t the development<br />
of ultra-lightweight materials and new catalysts for<br />
fuel cells. In the ru·ea of biotechnology, HRI is also<br />
investigating the feasibility of deriving automotive<br />
fuel from plants.<br />
PROMOTION<br />
Honda utilises a mixture of television, radio, press,<br />
outdoor and electronic advertising. Supporting the<br />
promotion of the brand is the racing program, with<br />
Honda participating both domestically and<br />
internationally.<br />
A fundamental component of supp01ting brand<br />
awru·eness is corporate identification; with over<br />
I ,000 retail outlets, Honda has a very strong external<br />
presence within <strong>Australia</strong>.<br />
BRAND VALUES<br />
Since its foundation, Honda has been powered by<br />
dreams. The ongoing dream is to provide genuine<br />
satisfaction to people everywhere. Products of the<br />
highest quality at a reasonable price are the core of<br />
"The Power of Dreams" which encapsulates<br />
Honda's core values.<br />
Honda's mission is to offer products,<br />
technologies and services that<br />
contribute to society and improve<br />
people's lives. Dreams are<br />
central to all activities and<br />
Honda's respect for people<br />
and their individual<br />
differences has led to a free,<br />
vital corporate culture that<br />
encourages creativity.<br />
To ensure that Honda<br />
.....Sii:lii:i~<br />
meets local needs, the company has gone beyond<br />
establishing local sales networks. Many products<br />
are not only manufactured but also developed in<br />
the regions where they ru·e used. Honda has more<br />
than 120 manufacturing facilities in 29 countries<br />
outside Japan, producing motorcycles, automobiles,<br />
and power products that bring Honda in contact<br />
with over 15 million customers each yeru·.<br />
At the same time, Honda recognises<br />
its social responsibility as a corporate<br />
citizen. Honda is working to reduce the<br />
impact on the global environment at all<br />
stages of its operations, from development<br />
and production to sales. This involves<br />
improving the efficiency with which the<br />
company uses energy and other natural<br />
resources, reducing harmful emissions and<br />
increasing the fuel efficiency of its products, as<br />
well as creating green factories to help solve the<br />
world's environmental problems.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
HONDA<br />
0 The Honda Collection Hall in Japan<br />
houses 50 yeru·s of Honda innovation<br />
from the motorised bicycle built by<br />
Soichiro Honda in 1948 to a prototype<br />
jet aircraft engine now under<br />
development.<br />
0 The Collection Hall includes a priceless<br />
link with <strong>Australia</strong>n history: Sir Jack<br />
Brabhrun' s Honda-powered Formula 2<br />
cru· in which he won the 1966 European<br />
title with a record number of victories.<br />
0 Honda's indoor cm-to-cru·<br />
omnidirectional crash test facility, the<br />
world's first, was completed in 2000<br />
and provides collision simulation<br />
conducted under real world<br />
conditions.<br />
0 Honda has built more than 300,000<br />
lawnmowers at Honda Manufacturing<br />
<strong>Australia</strong> (HMA) in Melbourne.<br />
0 Honda <strong>Australia</strong> Roadcraft Training<br />
(HART) provides rider and driver<br />
training to more than 12,000 riders and<br />
drivers each yeru·.<br />
0 Honda <strong>Australia</strong> Riders Club (HRCA)<br />
has more than 75,000 members ru1d<br />
organises events such as ride days,<br />
track days and Moto GP hospitality.<br />
0 In December 2002 Honda began to<br />
deliver the FCX motor vehicle,<br />
powered by a revolutionru·y fuel cell, to<br />
Japanese customers. This<br />
demonstrates Honda's co1TL111itment to<br />
the environment in engineering ru1d<br />
manufacturing.<br />
63
EnergyAustrafia·<br />
Extra. FRE:E:DOI"I Gillefle<br />
--- · ~• o RO - o o• o ......... . ~ . ..
JURLIQ1JE<br />
The Purest Sk .<br />
tb®<br />
zn Care on Ear<br />
THE MARKET<br />
<strong>Australia</strong>n born Jurlique<br />
International enjoys a global<br />
reputation for producing The Purest<br />
Skin Care on Earth®, and not<br />
without good reason. The company<br />
is wholly dedicated to creating a<br />
line of pure, natural products that<br />
are rich in antioxidants and<br />
organically grown herbs that<br />
revitalise, nourish and strengthen<br />
the skin.<br />
The lu xu rious textures and<br />
uplifting natural aromas for which<br />
it has become famous form the<br />
foundation of a range that spans<br />
everything from skin and body care<br />
treatments to hair products, aromatherapy massage<br />
and body oils, men' s care, baby care, natural<br />
fragrances, foundation and lipsticks and herbal<br />
organic teas and alternative medicine. There is even<br />
a range designed to cater for the beauty within.<br />
Today, Jurlique International is exp01ted to over 20<br />
countries with an annual turnover of $ 100 million<br />
dollars as a result of a more than I ,000 per cent<br />
increase in sales since 1996.<br />
ACHIEVEMENTS<br />
The Jurlique range aims to promote healthy,<br />
glowing skin and body regardless of age or<br />
climate. All products are I 00 per cent naturally<br />
based and rich in active, organic herbal extracts<br />
that enhance personal beauty and radiance. They<br />
are high in natural antioxidants, vitamins and<br />
herbal ingredients that promote health and<br />
wellbeing, while remaining hypo-allergenic and<br />
pH balanced, which means they are suitable for<br />
all skin types regardless of age.<br />
Produced without the use of petro or coal tar<br />
chemicals, artificial colours or fragrances, each<br />
product is created using the unique 3-step<br />
BiointrinsicTM extraction method that captures the<br />
' li fe-force' of plants, enhancing their potency.<br />
Jurlique is not only kind to the skin, it is also<br />
kind to animals and the environment. More than 95<br />
per cent of all herbs used in Jurlique products are<br />
grown on the company-owned organic and<br />
biodynamic herb fru·m ,<br />
guru·anteeing that no<br />
synthetic<br />
A<br />
JURUQ!,JE<br />
Pure Rosewater<br />
Freshener<br />
SPRAY<br />
VAPOR!SATEUR<br />
REPRAi CHISSANT<br />
6<br />
jURLIQ\)E<br />
66
pesticides, herbicides or fertilisers are used. No<br />
product is tested on animals and they are all fully<br />
biodegradable. Even the packaging is recyclable,<br />
made primarily fi·om cardboard, aluminium and glass.<br />
Active, organic, <strong>Australia</strong>n; when it comes to<br />
natural products Jurlique is the best in the world.<br />
HISTORY<br />
Jurlique began life with the marriage of Dr Jurgen<br />
Klein, a chemist, naturopath and authority on<br />
alternative medicine, and Ulrike Fischer, herself a<br />
botanist and horticulturalist. Between them they<br />
dreamed of developing a total skin and health care<br />
system that combined the ancient ruts of alchemy,<br />
herbal medicine and homeopathy with state-of-theart<br />
technology and research.<br />
While the KJeins knew this dream was within<br />
their reach, Germany was not conducive to realising<br />
it and so they began looking for a new home. They<br />
searched the world for a less polluted environment<br />
in which to grow nature's herbs and flowers, and<br />
they found it in a town si tuated in the pristine<br />
Adelaide Hills of South <strong>Australia</strong>. Having emigrated,<br />
the KJeins set up their herb farm in Mount Bru·ker in<br />
1985 and began developing their range.<br />
The J urlique collection has grown considerably<br />
since then to include more than 250 products.<br />
Supporting this expansion, Mount Barker now<br />
houses not only the organic herb farms<br />
but also a research laboratory, factory<br />
and head office. Initially products were<br />
sold only in health food stores and<br />
beauty salons and the company was<br />
relatively unknown in the mainstream<br />
cosmetic industry. Today, however,<br />
Jurlique supplies retail outlets ru·oLmd the<br />
world, and has more than 30 concept<br />
stores and spas <strong>Australia</strong>-wide, another<br />
40 overseas and an extensive distribution<br />
network in the international beauty spa,<br />
beauty therapy, department store,<br />
pharmacy and health food industries.<br />
THE PRODUCT<br />
While there are far too many<br />
to mention, the myriad<br />
JURUQ11E<br />
eckSerUJil<br />
lnten.Mvc:: trcaunt:P 1<br />
30mL . !.0 f] .OZ·<br />
Jurlique products available have all been designed<br />
to help combat the physical and emotional tolls<br />
associated with today' s hectic pace of city life.<br />
The Pure Rosewater Freshener contains<br />
BiointrinsicTM organic herbal rose extracts and is<br />
an excellent pick-me-up for a tired or dehydrated<br />
complexion. The Herbal Recovery Gel is Jurlique's<br />
premium moisturiser, and is a potent all-botanical<br />
concentrate suitable for both day and night. The<br />
rich gel works deeply to firm, tone, restore, hydrate<br />
and harmonise your skin. It is often referred to as a<br />
Face Lift in the Bottle©. And the Eye Gel is a light,<br />
potent, herbal antioxidant gel that helps reduce<br />
puffiness and dark circles while gently firming the<br />
delicate eye ru·ea. Together with the strong Neck<br />
Serum, these three products are often known as<br />
the "Liquid Gold" of Jurlique.<br />
RECENT DEVELOPMENTS<br />
J mlique' s dedication to skin and health care extends<br />
well beyond its actual product range, and the<br />
company has also established many Jurlique Day<br />
Spas around the world. An important element of<br />
the company's holistic approach to inner beauty,<br />
these spas provide a wide range of facials,<br />
massages, full body treatments and hydrotherapy,<br />
using exclusively Jurlique' s pme, natural and highly<br />
effective spa products to revitalise both skin and<br />
psyche.<br />
In 2003, Jurlique extended the number of Day<br />
Spa and Wellness Sanctua.ties within <strong>Australia</strong> to<br />
include the locations of Oxford Stand Mosman in<br />
Sydney and Chadstone, Melbourne. Significant<br />
expansion was also seen internationally with<br />
developments throughout the Asia Pacific<br />
region and in the US.<br />
PROMOTION<br />
The best promotional tool for Jurlique is<br />
the range itself. The integrity of the<br />
product, its pure and natural ingredients<br />
and the proven results of the entire range<br />
on the skin of every Jurlique customer is<br />
the basis of Jurlique's promotional<br />
strategy.<br />
Promotional<br />
activity a! ways<br />
brings consumers<br />
back to their<br />
relationship with<br />
Jurlique, focusing<br />
on Hero products<br />
and Jurlique' s 5 Step Ritual to Healthy and Radiant<br />
Skin. Providing a range of products to answer every<br />
customer's individual needs strengthens this<br />
strategy. By continually developing new products<br />
in order to keep ahead of market requirements,<br />
J urlique reinforces its presence as the international<br />
leader in natural skincare, health and wellbeing.<br />
BRAND VALUES<br />
But products alone don't make a luxury Superbrand,<br />
and Jurlique's philosophy goes some way to<br />
explaining what makes it so unique. The company<br />
centres its vision on three main principles. The<br />
Purity of the product is vital and J urlique stands by<br />
its promise to deliver only plant-based products<br />
and herbs grown<br />
organically and biodynamically<br />
from sustainable<br />
resources.<br />
The compru1y's Integrity<br />
is valued highly and<br />
ethical, honest, sincere and<br />
direct communication with<br />
each other, staff, customers<br />
and the public in general<br />
makes them one of the most<br />
customer-focused companies<br />
in the world. And finally,<br />
Jurlique Cares sufficiently<br />
about the individual and the<br />
environment to protect<br />
them at all costs.<br />
This philosophy is<br />
coupled with a passion for perfection that is<br />
displayed in every facet of Jurlique's business. From<br />
tilling the soil and planting the seed to hru·vesting,<br />
extracting, formulating, manufacturing, packaging<br />
and distributing the end product - the company<br />
strives to create an effective and vital health care<br />
system for everyone.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
JURLIQUE<br />
0 The na.tne Jmlique is the combination<br />
of the christia.t1 na.tnes of the founders,<br />
Jurgen and Ulrike.<br />
0 The Jurlique logo reflects the Jurlique<br />
vision petfectly and symbolically. The<br />
spheroid triangle represents the<br />
triangle of Jurlique principles: purity,<br />
integrity a.t1d ca.t·e. The three symbols<br />
within it represent the three ancient<br />
stills that Jurlique utilises, symbolising<br />
the bio-intrinsic process made up of<br />
sepmating, pmifying and re-uniting.<br />
0 Jmlique's Herb Fru·ms in South<br />
<strong>Australia</strong> now produce 95 percent of<br />
the herbs and plants necessa.t·y for<br />
inclusion in Jurlique' s extensive Skin<br />
Ca.t·e and Health Ca.t·e range.<br />
0 Jurlique expettise is not restricted to<br />
skin and health products. The<br />
company also offers a hand-made and<br />
highly successful pottery ra11ge that<br />
combines over 20 yeru·s of expetience<br />
in creating fine handcrafted pottery<br />
and superb high-fired stonewa.t·e.<br />
67
THE MARKET<br />
There are Kraft products on the market<br />
for all members of the family and a<br />
variety of meal and snack occasions.<br />
Generations of <strong>Australia</strong>ns have grown<br />
up on Kraft Singles':', Cheestiks*,<br />
Vegemite* and Kraft Peanut Butter*.<br />
New products are constantly being<br />
developed to serve Kraft's consumers.<br />
Philadelphia Spreadable* with half<br />
the fat of butter is meeting the changing<br />
eating habits of adult <strong>Australia</strong>ns and<br />
extending the market for Philadelphia<br />
Cream Cheese* far beyond its<br />
traditional role in cheesecakes. New<br />
Philadelphia Spreadable flavours are<br />
now also available in tubs and pmtions.<br />
New varieties of Kraft salad dressings<br />
are launched each spring to provide consumers<br />
with salad inspiration.<br />
Kraft also markets confectionery and coffee<br />
in <strong>Australia</strong> with brands like Toblerone*,<br />
Terry's ' 1 ' and Maxwell House*, as well as a<br />
range of Nabisco biscuits including In a<br />
Biskit*, Oreo*, Ritz, Premium, Chips Ahoy<br />
and Captains Table*.<br />
ACHIEVEMENTS<br />
Kraft is a household name in <strong>Australia</strong>, synonymous<br />
with foods of the highest quality. Kraft<br />
ensures that its range of products caters to the<br />
ever-changing tastes and desires of <strong>Australia</strong>n<br />
taste buds. Since 1926, generations of <strong>Australia</strong>n<br />
families have grown up<br />
enjoying the great tastes of<br />
Kraft brands. Kraft has<br />
worked hard to ensure that<br />
its products ar·e a big pa1t<br />
of <strong>Australia</strong>n life.<br />
Kraft <strong>Australia</strong> contributes<br />
millions of dollars every year to the<br />
<strong>Australia</strong>n economy. In addition to selling<br />
directly to <strong>Australia</strong>n retailers, the<br />
company exports consumer products to<br />
many countries. The company employs<br />
around 1700 people in <strong>Australia</strong> and over<br />
the past 75 years has employed more than<br />
50,000 <strong>Australia</strong>ns. Many of these jobs<br />
are in country <strong>Australia</strong>, consolidating the<br />
close relationship between Kraft and rural<br />
communities involved in the dairy<br />
industry.<br />
Kraft <strong>Australia</strong> has provided<br />
countless recipes, cookbooks and<br />
advice direct from the Kraft Kitchens.<br />
A new Philadelphia cookbook<br />
encourages the increasing use of<br />
Philadelphia in meal preparation.<br />
The Kraft <strong>Australia</strong> website<br />
www.kraft.com.au provides meal ideas<br />
and product information to thousands<br />
of people each month.<br />
Kraft Foods Inc operates in 65<br />
countries and Kraft brands are sold<br />
in more than 150 countries world<br />
wide. Kraft Foods Inc employs<br />
I 09,000 people. Kraft is the second<br />
largest food company in the world<br />
with a host of trusted brands that date<br />
back as far as 1767.<br />
HISTORY<br />
The history of Kraft in <strong>Australia</strong> begins with<br />
Melburnian Fred Walker. In 1903, at the age of nineteen,<br />
he established Fred Walker and Company in<br />
Hong Kong, importing <strong>Australia</strong>n goods and<br />
exporting Asian goods to <strong>Australia</strong>. After gaining<br />
sound business experience and a good reputation,<br />
he returned to Melbourne in 1908 and started exporting<br />
<strong>Australia</strong>n goods, especially dairy<br />
products, to Asia. By 1910 he was exporting<br />
canned butter and cheese to Asia<br />
and the Middle East<br />
under the Red<br />
Feather label.<br />
Walker's<br />
entrepreneurial<br />
interest in the<br />
production of food<br />
saw him introduce a<br />
number of food innovations.<br />
One of them<br />
was the introduction of<br />
Vegemite, created in 1923<br />
by the chief chemist of the<br />
Fred Walker Company, Dr<br />
Cyril Callister, from yeast<br />
produced during brewing at Carlton & United<br />
Breweries.<br />
But before that, in 1916, Chicago businessman<br />
James L Kraft had taken out a patent describing the<br />
process of halting the natural maturing of cheese<br />
during processing. This new method would allow<br />
cheese to be stored for extended periods of time<br />
and was acknowledged as one of the greatest<br />
advances in cheese-making history.<br />
68
In 1925 Walker travelled to the USA to meet<br />
J. L. Kraft, and obtained the <strong>Australia</strong>n rights<br />
for Kraft processed cheese. In I 926 the Kraft<br />
Walker Cheese Company Pty Ltd, the parent<br />
company of Kraft Foods Limited, was formed<br />
in Melbourne and the first blue packets of<br />
processed Kraft Cheddar Cheese came off the<br />
production line. The cheese was a success<br />
because it did not need refrigeration at a time<br />
when fridges were rare. It was a good<br />
alternative to meat, which was expensive,<br />
especially during the Depression years.<br />
In the early days the Kraft Walker Cheese<br />
Company bought<br />
cheese from cheese<br />
factories and<br />
processed it. But<br />
these factories<br />
couldn't supply !<br />
enough high quality<br />
cheese. In 1934, the<br />
company leased a<br />
factory atAllansford,<br />
near Wan·nambool in<br />
Victoria. The factory was developed into one of the<br />
best-equipped and technologically advanced<br />
cheese factories in Austmlia.<br />
In 1948, foil lining was pe1fected as the best<br />
packaging medium for keeping Kraft processed<br />
cheddar fresh. The cheese was shipped to export<br />
markets in blue cans.<br />
The year 1950 marked a new era in cheese<br />
making, when Kraft became the first company in<br />
<strong>Australia</strong> to manufacture and market rindless<br />
cheese.<br />
The first cheese slice (unprocessed Swiss<br />
cheese) was sold in 1957 in 4 oz and 8 oz packets<br />
and the Deluxe Processed Cheese Slices were put<br />
into production two years later.<br />
Kraft has launched many more famous<br />
<strong>Australia</strong>n brands through the years including<br />
Vegemite in 1923, Kraft Peanut Butter in 1931, Kraft<br />
Mayonnaise*, Cheddar Portions* and Cracker<br />
Barrel Cheese* in 1954 and Philadelphia Cream<br />
Cheese in 1956. Cheestiks and Thousand Island<br />
Dressing* were launched in 1965 and Italian, French<br />
and Coleslaw Salad Dressings*as well as Kraft<br />
Sandwich Spread* in 1970,<br />
followed by Kraft Cheese<br />
Singles* in 1976.<br />
By the end of the 1980s, Kraft<br />
had become the second largest<br />
food company in the world.<br />
In response to the growing<br />
demand for lighter options Kraft<br />
became one of the first<br />
companies in <strong>Australia</strong> to offer<br />
low-fat products. Light and<br />
Extra Light Singles and Light<br />
Philadelphia were all launched in<br />
the early to mid 1990s, Free<br />
Singles*, which are 97 per cent<br />
fat free, followed in I 997. Kraft<br />
Light Peanut Butter was<br />
launched in 2001 and Kraft Light<br />
Parmesan in 2003.<br />
In 200 I , Kraft <strong>Australia</strong> took<br />
back ownership of Maxwell<br />
House and Tang and also<br />
acquired a range of Nabisco<br />
branded biscuits including Oreo, Ritz<br />
and In a Biskit. In 2003, Kraft<br />
combined two great brands and<br />
produced new Vegemite In a Biskit.<br />
THE PRODUCT<br />
The Kraft business spans five core<br />
sectors: snacks, beverages, cheese,<br />
grocery and convenience meals.<br />
As well as the vast range of Kraft<br />
products available in most <strong>Australia</strong>n<br />
supermarkets, there is also a strong Away<br />
from Home side to the business which brings all<br />
the popular brands of Kraft to out-of-home venues.<br />
RECENT DEVELOPMENTS<br />
The charitable program Kraft Cares was born a few<br />
years ago as a way offormalising Kraft's commitment<br />
to the community. Kraft Cares is a major<br />
sponsor ofFoodbank<strong>Australia</strong>. Foodbank operates<br />
in NSW, Victoria, Queensland, South <strong>Australia</strong> and<br />
Western <strong>Australia</strong> and provides food to various<br />
charities.<br />
The Heartwell Fitness Fund is<br />
a physical and social<br />
rehabilitation program for children<br />
who are suffering from a serious<br />
illness or accident. Kraft Car·es<br />
sponsorship currently allows 13<br />
children to take part in this very<br />
important program.<br />
Additionally, Kraft Cares<br />
supports the Bone Marrow<br />
Donors Institute's (BMDI)<br />
Community Awareness Week and<br />
Red Ale1t Day. These two events<br />
help to raise the awareness and<br />
importance of the Bone Marrow<br />
Donor Registry, a register that<br />
assists in finding a match donor<br />
for sufferers of serious illness<br />
such as leukemia.<br />
PROMOTION<br />
Kraft is a major television advertiser<br />
and also uses print and outdoor<br />
advertising quite regularly. It seeks<br />
to isolate a real point of difference<br />
or insight into each product to give<br />
consumers a valid reason to choose<br />
Kraft.<br />
Its massive portfolio of brands<br />
has given rise to many adve1tising<br />
classics such as the Happy Little<br />
Vegemites song and the line "coffee,<br />
tea or Bonox".<br />
Kraft Cheese Spread campaigns<br />
revolve around "Any excuse'll do" and<br />
Kraft Peanut Butter's campaign is built<br />
on a preference for the best with "Never<br />
oily. Never dry".<br />
The Philadelphia Heaven series of<br />
adve1tisements which first went to air in<br />
2000, depict the light and heavenly taste<br />
of Philadelphia. The advertisements<br />
feature the Philadelphia angel in a variety<br />
of heavenly settings.<br />
BRAND VALUES<br />
Kraft is a part of the everyday<br />
<strong>Australia</strong>n lifestyle because it<br />
satisfies consumers' everchanging<br />
needs and tastes. Each<br />
Kraft brand is built on a firm<br />
foundation of trust, quality and<br />
convenience.<br />
Wholesome goodness,<br />
coupled with great taste and product<br />
innovation, are the keys to the Kraft brand<br />
in <strong>Australia</strong>.<br />
*Trademark Kraft Foods Limited (ACN 004 125 07 1).<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
KRAFT<br />
0 Kraft Foods Inc is the second biggest<br />
food company in the world.<br />
0 The history of Kraft in <strong>Australia</strong> dates<br />
back to 1903 and its 19 year-old<br />
founder, Fred Walker.<br />
0 Fred Walker was repmtedly the first<br />
<strong>Australia</strong>n employer to introduce<br />
morning tea breaks for his workers in<br />
1928. The employees responded with<br />
increased production output.<br />
0 The first blue cheddar cheese boxes<br />
rolled off the production line in 1926.<br />
0 In 1971 a special language called<br />
Kooglese was created to adve1tise<br />
Koogle, a peanut butter and chocolate<br />
combination.<br />
0 In 1950 Kraft was the first <strong>Australia</strong>n<br />
company to manufacture and market<br />
1indless cheese.<br />
0 In 1917 James Kraft supplied the first<br />
batch of Kraft canned cheese to the US<br />
Armed Forces.<br />
0 During the war Kraft made up special<br />
gift boxes containing an assmtment of<br />
Kraft canned meat products, cheese<br />
and Vegemite for relatives to send to<br />
soldiers and sailors.<br />
69
L.J. HOOKER®<br />
THE MARKET<br />
<strong>Australia</strong>ns have an enduring love affair with real<br />
estate. Home ownership is affordable, largely<br />
spurred on by the entry into the marketplace of<br />
non-bank mortgage "lenders, lower interest rates,<br />
and Government incentives to first home buyers.<br />
Non-bank lenders have provided fierce<br />
competition for banks in the home loan business,<br />
offering competitive interest rates, greater flexibility<br />
and fewer charges and penalties to consumers.<br />
The low interest rates and competitive mortgage<br />
packages, coupled with taxation laws, significant<br />
changes to superannuation laws and first home<br />
owner grants have seen a significant increase in<br />
market activity.<br />
These market forces all contribute to <strong>Australia</strong>ns<br />
having one of the highest levels of home ownership<br />
in the world.<br />
ACHIEVEMENTS<br />
L.J. Hooker is one of <strong>Australia</strong>' s earliest and longest<br />
running franchised businesses in all market sectors.<br />
The original real estate business was established<br />
in 1928 in Maroubra, Sydney, NSW.<br />
Today L.J. Hooker is the largest franchised real<br />
estate network in Australasia and the fifth largest<br />
in the world. It boasts a network of over 650<br />
franchises throughout <strong>Australia</strong>, Papua New<br />
Guinea, Hong Kong, Indonesia and New Zealand.<br />
The L.J. Hooker franchising system has twice<br />
won the Franchisors' Association of <strong>Australia</strong> and<br />
New Zealand 'Franchising Excellence Award'<br />
including the ultimate accolade when L.J. Hooker<br />
was named 'Franchisor of the Year' across all<br />
sectors.<br />
For the last 15 years L.J. Hooker has<br />
commissioned the independent research company<br />
Newspoll to conduct a national brand awareness<br />
and attitude study to determine the company's<br />
strength in the marketplace. Every year the<br />
Newspoll study has revealed L.J. Hooker continues<br />
to be the real estate name best known and most<br />
chosen across <strong>Australia</strong>. The latest News poll study<br />
revealed the L.J. Hooker name has well over twice<br />
the recall of any other national real estate brand<br />
and twice as many people nominate using L.J.<br />
Hooker for buying or selling property ahead of any<br />
other national real estate agent.<br />
HISTORY<br />
Leslie Joseph Hooker opened the first office ofL.J.<br />
Hooker in Maroubra, Sydney on September 20,<br />
1928.<br />
Threatened with collapse of the business during<br />
the Great Depression, Leslie Hooker set about<br />
maximising his marketing dollar. He was always a<br />
great believer in signs and with money at a minimum<br />
during these years, he set about developing a<br />
promotional system. The famous red and yellow<br />
colours, which remain today, were originally<br />
developed by Leslie Hooker to maximise the impact<br />
of his signboards and save on advertising costs.<br />
The first city office of L.J. Hooker opened at 12<br />
O'Connell Street, Sydney in 1935.<br />
By 1936 the business had expanded into<br />
Kensington, Kingsford and Randwick. In 1938 L.J.<br />
Hooker purchased H.L. Cross and Co. and relocated<br />
to the basement of the E.S. and A. Bank Building<br />
on the corner of Martin Place and Pitt Street,<br />
Sydney.<br />
L.J. Hooker continued to prosper. In this period<br />
the team were "breaking into Sydney" and worked<br />
through the night on many occasions. So much so,<br />
that their office became known as the "light-house"<br />
in Pitt Street.<br />
During the Second World War, L.J. Hooker was<br />
run by a skeleton team as many employees joined<br />
the armed forces. By the late 1940s, approximately<br />
ten years after the opening of the company' s first<br />
auction rooms, L.J. Hooker had begun to challenge<br />
the established auctioneers of the city. L.J. Hooker<br />
Limited was successfully floated on the Stock<br />
Exchange on July l, 1947, paying dividends of up<br />
to 25 per cent. By 1956 the dividend had risen to 50<br />
per cent.<br />
64
In 1958 Leslie Hooker established L.J. Hooker<br />
Investment Corporation Limited as a vehicle for<br />
expanding the horizons of the Company.<br />
In the years that followed, L.J. Hooker Investment<br />
Corporation diversified into other areas including<br />
the hotel and leisure industry, land and building<br />
trusts, pastoral holdings and housing and land<br />
subdivision. L.J. Hooker Limited opened offices<br />
progressively across the country, completing its<br />
national network with the opening of the Perth<br />
office in 1960. In 1964 the Company's first<br />
franchised offices in Bankstown, Miranda and<br />
Newport were opened. In the same year, the name<br />
of the parent Company was changed to Hooker<br />
Corporation Limited.<br />
Leslie Hooker was knighted in 1973 for his<br />
services to business and commerce.<br />
In 1989, the real estate agency business of the<br />
Hooker Corporation was sold to the Queensland<br />
financial institution, SUNCORP (now known as<br />
Suncorp Metway Limited).<br />
THE PRODUCT<br />
L.J. Hooker operates a network of over 650 offices.<br />
L.J. Hooker franchises are locally owned and<br />
operated by licensed real estate agents who have<br />
extensive local market knowledge and have the<br />
added advantage of the resources, support and<br />
experience of the Franchisor.<br />
L.J. Hooker has a variety of products which span<br />
the real estate spectrum. Products for residential,<br />
commercial and rural buyers and sellers, landlords<br />
and tenants, development and project marketing,<br />
have been designed to reflect L.J. Hooker's<br />
'Customer tor life' philosophy.<br />
The L.J. Hooker After Sales Service program<br />
maintains contact with the buyers and sellers of<br />
property after the transaction is complete. At<br />
various stages throughout the ensuing years, the<br />
local L.J. Hooker office and L.J. Hooker as<br />
Franchisor, continue to 'stay in touch' with the<br />
client. As part of the program, clients are also<br />
provided with a national toll free telephone number<br />
to call if they require any further assistance or<br />
advice with real estate matters.<br />
L.J. Hooker's customer reward<br />
program is unique to the Company and<br />
provides a competitive edge in the<br />
marketplace in terms of obtaining<br />
listings.<br />
Home owners who list and sell their<br />
home exclusively through L.J. Hooker<br />
are eligible to eam Reward Points on<br />
either Telstra Visa Card or through the ----=<br />
Qantas Frequent Flyer Program.<br />
L.J. Hooker revolutionised the tenant/landlord<br />
relationship with the launch of the L.J. Hooker A 1<br />
Tenant Card. L.J. Hooker, through the A I Tenant<br />
Card, is the first national real estate network to<br />
officially recognise valuable tenants who have met<br />
specified L.J. Hooker criteria. In addition, if the<br />
tenant moves to another area or state they can show<br />
their A 1 Tenant Card to any L.J. Hooker agent, who<br />
will give them priority treatment, whether they want<br />
to rent, buy or sell.<br />
The L.J. Hooker Priority Card is another initiative<br />
for all tenants to pay rent and other utilities<br />
electronically, or by direct debit, saving time and<br />
money for the tenant.<br />
RECENT DEVELOPMENTS<br />
With marketplace competition becoming<br />
increasingly fierce, L.J. Hooker has extended its<br />
brand of real estate services to incorporate L.J.<br />
Hooker Financial Services, L.J. Hooker Business<br />
Services, L.J. Hooker Business Solutions and L.J.<br />
Hooker Commercial.<br />
In seizing the latest technology,<br />
L.J. Hooker was the first <strong>Australia</strong>n<br />
real estate network to have a home<br />
page on the Internet some years ago and<br />
continues to maintain the largest single<br />
brand real estate web site in <strong>Australia</strong> and<br />
New Zealand. Internet users can view<br />
properties for sale, as well as access real<br />
estate tips and information. Exciting<br />
additions to the Internet site are the<br />
direct email alert service, My<br />
PropertyWatchand the Lifestyle &<br />
Luxury site. Registered members of<br />
My PropertyWatch receive<br />
automatic email notification of every<br />
newly listed prope1ty which matches their<br />
stated criteria while the Lifestyle & Luxury<br />
site offers vendors the opportunity to<br />
showcase their property on their own multi-page<br />
website through the L.J. Hooker site.<br />
PROMOTION<br />
The popularity of the signature TV campaign,<br />
featuring the little girl saying "Thank you, Mr<br />
Hooker" has been instrumental in building and<br />
raising awareness of the L.J. Hooker brand.<br />
The 'nobody does it better' campaign has been<br />
successful in demonstrating L.J. Hooker' s<br />
commitment to total client care. The campaign has<br />
also been produced in another six languages, taking<br />
the L.J. Hooker message to <strong>Australia</strong>'s many<br />
culturally diverse communities through the SBS<br />
network.<br />
Overall, research shows awareness of L.J.<br />
Hooker advertising is twice the level of any other<br />
national real estate agent.<br />
In addition to advertising, L.J. Hooker has a<br />
strong public relations arm, largely<br />
responsible for generating editorial<br />
aimed at reinforcing L.J. Hooker's<br />
position as an industry leader and<br />
maintaining brand awareness. L.J.<br />
Hooker currently receives four times<br />
the editorial coverage of its<br />
competitors.<br />
L.J. Hooker is also actively involved<br />
in the community as National Sponsor<br />
of the Cystic Fibrosis Foundation. In addition the<br />
Company makes available branded marquees and<br />
the Mr Hooker Bear suit to schools and community/<br />
sporting groups free of charge.<br />
BRAND VALUES<br />
The name L.J. Hooker is synonymous with real<br />
estate in <strong>Australia</strong>.<br />
The size and reputation of the L.J. Hooker<br />
network, coupled with its international expansion<br />
strategy and presence in every state and territory<br />
throughout <strong>Australia</strong>, inspires feelings of trust and<br />
security in clients. The network size also portrays<br />
to clients high levels of expertise and<br />
professionalism and enforces L.J. Hooker's position<br />
as industry leader. In addition, the strength of the<br />
L.J. Hooker name allows sellers to feel confident<br />
more buyers will inspect their property.<br />
The pioneering spirit of Sir Leslie Hooker in<br />
building the Company out of nothing and the fact<br />
it remains wholly <strong>Australia</strong>n owned today, also<br />
endears the Company to many <strong>Australia</strong>ns.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
L.J. HOOKER<br />
0 The L.J. Hooker theme music is based<br />
on a song from the James Bond movie<br />
"The Spy Who Loved Me".<br />
0 Prior to opening the first L.J. Hooker<br />
office, Leslie Hooker had a variety of<br />
jobs including selling newspapers,<br />
working on a merchant trading ship<br />
and opening a se1ies of wine saloons.<br />
0 One in five <strong>Australia</strong>n families has<br />
purchased a property through L.J.<br />
Hooker.<br />
0 L.J. Hooker sells a home every five<br />
minutes of every working day.<br />
65
MACQYARIE<br />
UNIVERSITY --.. S Y 0 N E Y<br />
THE MARKET<br />
There are 39 universities in <strong>Australia</strong>, with a total of<br />
some 795,000 students. Of these, nearly 600,000 are<br />
undergraduates, just over 140,000 are doing<br />
postgraduate coursework and about 40,000 are<br />
engaged in higher degree research. Some 650,000<br />
are domestic <strong>Australia</strong>n students and 145,000 are<br />
from overseas.<br />
Macquarie is a medium to large research<br />
university with 29,000 students. Strongly<br />
positioned at the top end of the market, it earns 5<br />
stars in the Good Universities Guide for 'student<br />
demand' and does not pursue growth as an end<br />
in itself, focusing instead on attracting the highest<br />
quality students. With exceptional demand by<br />
top quality <strong>Australia</strong>n students for Macquarie' s<br />
undergraduate courses, it has been the only<br />
university to fill all undergraduate places in the<br />
first entry round, 1999- 2003.<br />
Global challenges highlight the risks in<br />
depending on patticular countries as a source of<br />
students. Macquarie thus balances 'mature<br />
markets' in Asia with 'emerging markets' such as<br />
Latin America, where it attracts <strong>Australia</strong>'s biggest<br />
market share from Mexico. Its source countries are<br />
deliberately diversified, the Jru·gest being China,<br />
Hong Kong, Indonesia, Singapore, the USA,<br />
Thailand, Korea, Japan, Malaysia, Norway, India<br />
and Sweden.<br />
ACHIEVEMENTS<br />
Macquarie is consistently a leader in domestic and<br />
overseas fee-paying postgraduate markets, as well<br />
as in its research-based<br />
ethos, its professional<br />
profile and industry links<br />
and its international<br />
markets. Half of its<br />
overseas students are<br />
postgraduates. With a<br />
postgraduate progression<br />
rate (successful students<br />
as a percentage of total<br />
students) of 94 per cent,<br />
Macquarie has ranked 1st,<br />
2nd or 3rd nationally<br />
every year since 1995 on<br />
this measure.<br />
It is also one of the<br />
world's most international<br />
universities, with 28 per<br />
cent of its student<br />
numbers from overseas. It<br />
is <strong>Australia</strong>' s biggest<br />
recipient of students from China. In 200 I, it won<br />
the NSW /Hong Kong Export Award (Services).<br />
The highly employable graduates are flexibly<br />
skilled, with the increasing use of work placements<br />
and industry internships. Macquru·ie is the only<br />
university to remain at the top of the ratings scale<br />
for 'graduate statting salru·ies' for eight consecutive<br />
years, regularly winning 5 stars in the Good<br />
Universities Guide.<br />
By lSI's citation impact, 1995-99, the major<br />
international measure for science and technology<br />
research, Macquarie ranks 1st in <strong>Australia</strong> in<br />
engineering and technology; I st in chemistry/<br />
biochemistry; and 4th overall.<br />
HISTORY<br />
Sydney' s third metropolitan university, described<br />
at the time as '<strong>Australia</strong>' s most radical and<br />
unconventional university', and now as '<strong>Australia</strong>'s<br />
Innovative University', was established in 1964.<br />
Macquarie is exceptionally fortunate in its<br />
location. Established on 135 hectares alongside<br />
Lane Cove National Pat·k, it is now a metropolitan<br />
campus in a beautiful spacious parkland setting. It<br />
has natural waterways alive with bird life, and its<br />
lake provides refills for heli-tankers fighting<br />
bushflres in the northern suburbs.<br />
As '<strong>Australia</strong>'s Innovative University in<br />
<strong>Australia</strong>'s Most Innovative City', Macquarie was<br />
patt of the reason for the development of <strong>Australia</strong>'s<br />
'Silicon Gully', extending from North Ryde toNo1th<br />
Sydney. It continues to be a strategic component.<br />
The University's Vice-Chancellor, Professor Di<br />
Yerbury, made higher education history as<br />
<strong>Australia</strong>'s first woman Vice-Chancellor when she<br />
was appointed in January 1987. Now <strong>Australia</strong>'s<br />
longest-serving VC, she is President of the<br />
<strong>Australia</strong>n Vice-Chancellors Comrnittee, 2004-5.<br />
THE PRODUCT<br />
Macquarie's products are teaching programs and<br />
graduates; research and its commercialisation; and<br />
community outreach.<br />
In Macquarie's community outreach, eight<br />
dominant themes, all linked to strengths in research,<br />
and research-based teaching, stand out. They are<br />
technology transfer and commercialisation;<br />
entrepreneurship and management, environment<br />
and sustainable development; community health;<br />
internationalisation; English language; career<br />
development and life-long learning; ruts, culture<br />
and museums.<br />
It was Macquarie (naturally enough) which<br />
developed the Macquarie Dictionary, now an icon<br />
with a host of spin-offs including on-line products.<br />
Linguistics continues to be cutting edge, and is<br />
sought after as a pattner in delivery of postgraduate<br />
programs worldwide.<br />
In science and technology alone, Macquru·ie has<br />
at least eight world-class groups: lasers; fluorescent<br />
systems and flow cytometry; proteomics;<br />
astrobiology; industrial enzymes; aspects of<br />
semiconductors, including quantum dots; genesis<br />
and metallogeny of continents; and cognitive<br />
neuropsychology.<br />
The University has won many national centres<br />
~,-----:~~~r~fl~~JU~~~ of excellence and world-<br />
~ best major national<br />
reseru·ch facilities, which<br />
attract first class research<br />
students.<br />
The <strong>Australia</strong>n Centre<br />
for Astrobiology is one of<br />
only two in the world to<br />
be accepted by NASA as<br />
atl Associate, and the<br />
Ancient History Documentru·y<br />
Centre, with its<br />
exceptional collection of<br />
papyri, has been explicitly<br />
used as the model for a<br />
similar centre at Oxford<br />
University.<br />
Macquarie's tenants in<br />
its R & D Park include<br />
Siemens, Becton Dickenson,<br />
Goodman Fielder,<br />
70
CISCO Systems' Radiata, and Dow<br />
Corning, with a new building for NOtte!<br />
currently under construction.<br />
Macquarie Graduate School of<br />
Management (MGSM) is ranked first<br />
in Australasia and Asia by the<br />
Economist Intelligence Unit' s 'Which<br />
MBA?' survey, and best in the world<br />
for quality of students. The Applied<br />
Finance masters program is the biggest<br />
in the world by a factor of four.<br />
RECENT DEVELOPMENTS<br />
The National Quality Review 2002-3<br />
observed that Macquarie's reseat-ch<br />
outcomes support its claim 'to be<br />
nationally and internationally<br />
recognised as a leader in selected areas<br />
of research'. The Good Universities<br />
Guide gives it 5 stars for ' resemch<br />
grants' and 'research intensity' . It<br />
ranks 7th for <strong>Australia</strong>n Research<br />
Council ' Discovery Grants' (both<br />
number and total value).<br />
The same review also noted 'strong<br />
suppmt from staff and students about<br />
the flexibility of its programs', and<br />
commended Macquarie for 'ongoing commitment<br />
to ... flexible leru·ning, and for ... using innovative<br />
technologies to enhance student learning'.<br />
Macquarie was al so highly commended in the<br />
national survey, ' Preparing graduates for an e<br />
world' .<br />
A key factor in Macquarie' s comparative<br />
advantage now is the development of excellent<br />
transport links by rail (with a railway station on<br />
campus in 2007), bus and motorway to Sydney' s<br />
CBD and major population growth centres. These<br />
will provide Macquarie with the best public<br />
transpmt access of any university in <strong>Australia</strong>.<br />
PROMOTION<br />
With reviews by LD & A and MacGregor Marketing,<br />
Macquru·ie introduced its new slogan '<strong>Australia</strong> ' s<br />
Innovative University' in 1996, backed by a new<br />
logo and style manual.<br />
An Open Day/Advising Day campaign by<br />
LD&A, based on parts of the face ('It raises some<br />
eyebrows' ; 'It' s worth hearing about'; etc), won<br />
So don't.<br />
With so many areas of study to sink your tt."eth into ifs no wondf'r you·re going<br />
round in circles trying to choose the right oneJ Macquarie's flexible degree programs<br />
give you the freedom to try a rangf" of subjects in your first yet~r, so you won't end<br />
up locked into a program you might not like. Even if you know what you want<br />
now, Macquarit" gives you the rreedom to change your mind later on. So. •f you·re<br />
worried you'll choose the wrong degree. don't be. Just stan at Macquarie<br />
Come to Macquarie University Open Day<br />
Saturday 13 Seprernber !OtnOr/')"t~..:M< ~-~<br />
ll"'fom'uuon011hr f'*""'*'G¥N~ QI ~~eJ.It.Cf'<br />
.,.,_<br />
- ~nu.w · ~;n~~<br />
-~ • Sde!Y.lt',1n(l~<br />
the 1999 (American) Goldfish Award for design.<br />
Macquarie also won the 1999 National Print Award<br />
for an Acrobat Corporate Print design.<br />
The 200 I Advising Day catnpaign, which ran<br />
under the tagline, 'Life' s unfair until you get a<br />
Macquarie degree' , scooped the advertising<br />
industry' s three m~or newspaper advettising prizes<br />
at the Cannes, Caxton and AWARD Awru·ds in 200 I.<br />
The campaign, created by George Patterson<br />
Bates Sydney and executed by Acrobat Corporate<br />
Print, won <strong>Australia</strong>' s first Gold Lion award at the<br />
200 I International Advertising Festival in Cannes<br />
in the print and poster section of the Commercial<br />
Public Services category. It also won seven awards<br />
at the Caxton Awmds for newspaper advertising -<br />
one for best newspaper ad campaign, three in the<br />
corporate, government and public services<br />
category, and three for photography. It also won<br />
the bronze awmd for 'print- newspapers, colour' at<br />
the AWARD Awards - the only award given in the<br />
' newspaper, colour' category as no gold and silver<br />
awards were presented.<br />
Macquarie's newspaper inse1ts for Open Days<br />
and Advising Days have been much-copied. The<br />
September 200 I insert for Open Day, for example,<br />
continued the tag-line, 'Life' s unfair ... until you get<br />
a Macquarie degree' and highlighted the<br />
University ' s exceptional flexibility, using<br />
photographs and brief details of real-life students,<br />
eg, ' Business or Psychology?' (with the 'or'<br />
crossed out and replaced with 'and' ): 'I do both at<br />
Macquarie'.<br />
This 'flexibility' campaign resulted in<br />
unprecedented demand for undergraduate degrees<br />
in Arts, General Science and Education, with<br />
Macquarie attracting the highest entry cut-offs in<br />
NSW and the ACT for all three areas ever since.<br />
The Management School, MGSM, won an<br />
<strong>Australia</strong>n Marketing Institute' s Award for<br />
Excellence in 2002, and a commendation for<br />
'consumer insight' in 2003.<br />
BRAND VALUES<br />
Macquarie's founding vision highlighted<br />
innovation; research; postgraduate studies<br />
including research degrees; inter-disciplinarity;<br />
multi-mode access, including by distance education<br />
and new technologies; flexibility; and industry<br />
links. These values are strongly associated with<br />
Macquarie today. Macquru·ie positions itself also<br />
as 'high tech' , entrepreneurial and international.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
MACQUARIE<br />
0 <strong>Australia</strong>' s Innovative University was<br />
first in the world to introduce a full<br />
science degree by distance education,<br />
and an Acturu·ial Studies degree.<br />
0 Macquarie pioneered the electronic<br />
tutorial. It is the first and only<br />
<strong>Australia</strong>tl university with a Natural<br />
Language Technology degree.<br />
0 The 24 hour, 7 day 'Follow the Sun' IT<br />
Help Desk is a world first. Set up jointly<br />
with London School of Economics, it<br />
has won a 'Good Practice Award ' and a<br />
national commendation. Each<br />
university services the desk in its own<br />
daytime.<br />
0 In this entrepreneurial university<br />
(whose Vice-Chancellor was NSW<br />
Telstra Businesswoman of the Year,<br />
2002), non-Government income<br />
accounts for over 70 per cent of<br />
revenue.<br />
0 Macquat·ie established <strong>Australia</strong>' s first<br />
(and still the only) privately funded oncampus<br />
R&D Pru·k, in partnership with<br />
Baulderstone Hornibrook.<br />
0 Radiata, a spin-off company<br />
commercialising Macqmuie/ CSIRO<br />
microelectronics research, was sold to<br />
CISCO Systems Ltd in 2000 for $600m,<br />
in <strong>Australia</strong>' s biggest-ever private IT<br />
deal.<br />
0 It was a Macquarie resemcher who<br />
coined the word 'proteomics', now one<br />
of the world' s key technologies of the<br />
21st century with its focus on<br />
breakthroughs in gene research.<br />
71
THE MARKET<br />
Dining out has always been a popular social<br />
activity. These days, it's a part of everyday life<br />
which many of us take for granted. However, it's<br />
easy to forget that a meal in a restaurant was once<br />
an occasional indulgence enjoyed by a privileged<br />
few. The popular food service revolution of the last<br />
50 years changed all that.<br />
Today, dining out is enjoyed every day all over<br />
the world by people of all ages and backgrounds.<br />
McDonald's is proud to be part of this growing<br />
trend, serving more than a rillllion customers every<br />
day across this nation alone.<br />
ACHIEVEMENTS<br />
In 2002 McDonald's <strong>Australia</strong> recorded the highest<br />
sales and profitability in its 32 year history.<br />
McDonald's <strong>Australia</strong> sales were at a record high<br />
of $1.8 billion, and <strong>Australia</strong> was also the best<br />
performing country in the Asia Pacific, Middle<br />
Eastern and African regions. McDonald ' s<br />
continues to lead the quick service restaurant<br />
market in <strong>Australia</strong>.<br />
McDonald's <strong>Australia</strong> has 730 stores with more<br />
than 56,000 employees, serving one million<br />
customers daily and is one of the largest purchasers<br />
of <strong>Australia</strong>n products.<br />
McDonald's has become a citizen of the world<br />
and is committed to being a good corporate citizen.<br />
Ronald McDonald House Charities (RMHC) has<br />
awarded more than $250 million in grants to<br />
children's programs worldwide since 1984.<br />
The cornerstone of RMHC is the Ronald<br />
McDonald House program, which provides<br />
"homes-away-from-home" for families of seriously<br />
ill children being treated at nearby hospitals.<br />
The first Ronald McDonald House in <strong>Australia</strong><br />
opened in 198 1 at Camperdown in Sydney, near the<br />
Royal Alexandra Hospital for Children. 20 years<br />
later there are now 10 Ronald McDonald Houses in<br />
this country, with another House due to be built at<br />
Townsville in 2004.<br />
HISTORY<br />
The McDonald's story began 47 years ago in San<br />
Bernadino, California. Ray Kroc was a salesman<br />
...... ~--.-~i;;;t drive-in restaurant run by two<br />
~~~~fiJi~i;t::a-::l:i.!M- supplying milkshake multi-rillxers to a<br />
1<br />
brothers, Dick and Mac<br />
McDonald. Kroc,<br />
calculating from his own<br />
figures that the<br />
restaurant must be<br />
selling over 2,000<br />
milkshakes a month,<br />
was intrigued to<br />
know more about<br />
the secret behind the<br />
success of the<br />
brothers' thriving<br />
business.<br />
He visited the<br />
restaurant, which<br />
promised its<br />
c u stomers<br />
"Speedee Service"<br />
and watched in awe as restaurant stafffilled orders<br />
for fifteen-cent hamburgers with fries and shakes<br />
every fifteen seconds.<br />
Kroc saw the massive potential and decided to<br />
get involved. The McDonald brothers accepted<br />
Kroc's offer to become their fu·st franchisee. On<br />
April 15, 1955, he opened his first McDonald's<br />
restaurant in Des Plaines, a suburb just n01th of<br />
Chicago.<br />
McDonald' s served more than 100 million<br />
hamburgers within its first three years of trading<br />
and the l OOth McDonald ' s restaurant opened in<br />
1959.<br />
In 1961 Kroc paid $2.7 mj]lion to buy out the<br />
McDonald brothers' interest and in 1963 the<br />
billionth McDonald's hamburger was served li ve<br />
on prime-time TV.<br />
More than thirty years ago in December in 1971<br />
McDonald's <strong>Australia</strong> opened its first restaurant<br />
at Yagoona and served 3,000 customers a month.<br />
Today there are more than 730 restaurants<br />
throughout <strong>Australia</strong>, serving more than one million<br />
customers a day. McDonald's employs more than<br />
55,000 people in <strong>Australia</strong> and injects $120 million<br />
in capital expenditure .<br />
The ope rung of a McDonald's restaurant creates<br />
up to I 00 new jobs in the local area. It also creates<br />
many opp01tunities for the local construction and<br />
building industry, stimul ating the growth of<br />
numerous small businesses through subcontracting<br />
relationships with McDonald ' s.<br />
THE PRODUCT<br />
From its early roots as a small, family-run hamburger<br />
restaurant, McDonald's has evolved into a multibillion<br />
dollar quick service restaurant industry.<br />
While hamburgers and fries remain the mainstay of<br />
McDonald's business, an instinctive ab ility to<br />
anticipate and fulfil real consumer needs has been<br />
central to McDonald ' s success.<br />
A prime example of this approach is the Filet-0-<br />
Fish sandwich, which was conceived by Lou Groen,<br />
a Cincinnati-based franchi see with a restaurant<br />
72
located in a predominantly Catholic area.<br />
Groen noticed that hi s business was slow on<br />
Fridays, which was then a day on which many<br />
Catholics abstained from meat. He developed a fishbased<br />
product to meet the needs of the local<br />
community. The Filet-0-Fish sandwich was<br />
launched in 1963 and went on to become a popular<br />
menu item in many of McDonald' s international<br />
markets.<br />
Another franchi see, Jim Deli gatti from<br />
Pittsburgh, was responsible in 1968 for the creation<br />
of McDonald' s most successful menu item ever,<br />
the Big Mac sandw ich. Nine years later, the same<br />
franchisee was the dri ving force behind the<br />
development of McDonald's breakfast menu - a<br />
move that would change the breakfast habits of<br />
millions of people.<br />
Innovation has played an important part in<br />
McDonald's growth. The company has invested<br />
heavily in technology to continually improve the<br />
consumer experience at McDonald' s. One of the<br />
biggest breakthroughs came in 1975 with the<br />
opening of the first drive-thru restaurant in Sierra<br />
Vista, Arizona. Once again, the idea sprang from<br />
the need to solve a local sales problem when<br />
servicemen from a nearby Army base were<br />
forbidden to get out of their cars in military fatigues.<br />
The drive-thru concept was an immediate success.<br />
Today, drive-tlm1 accounts for more than half of<br />
McDonald's business in <strong>Australia</strong>.<br />
McCafe was the first of its kind in the world<br />
when it was introduced into the Swanston Street<br />
McDonald's in Victoria in 1993. TheMcCateconcept<br />
was des igned and created by McDonald ' s<br />
<strong>Australia</strong>n representatives. Today there are about<br />
100 McCafes across <strong>Australia</strong> and they are also<br />
operating in countries like Japan, France, Austria<br />
New Zealand and the USA.<br />
McDonald's McOz burger originated from a<br />
group of licensees from northern NSW. Today the<br />
popular McOz burger is a permanent men u item.<br />
McDonald's serves its customers top-quality<br />
food. The best raw ingredients are purchased from<br />
long-time suppliers. Food is prepared to a<br />
consistently high standard in the restaurant.<br />
McDonald's menu is continually reviewed and<br />
enhanced to ensure that it meets - and wherever<br />
possible exceeds - customer expectations.<br />
RECENT DEVELOPMENTS<br />
McDonald's was the first quick-service restaurant<br />
to make publicly available a complete ingredient<br />
listing and detailed nutritional analysis of all its<br />
products. In 2003, McDonald's <strong>Australia</strong> launched<br />
a new menu range called Salads Plus, which<br />
boasts salads, yoghlllt and ti-uit. The eight<br />
Salads Plus launch items all feature 10<br />
grams of fat or less a serve and their sugar<br />
and salt levels have been carefull y<br />
considered during<br />
product development.<br />
As part of this new<br />
range, McDonald 's<br />
delivered a Q ui ck-Service<br />
Restaurant industry first by corrunitting<br />
to nutritional labelling on packaging forfom<br />
of the new menu items.<br />
McDonald's is continuing to review<br />
packaging of the regular menu items with<br />
a long term goal of including nutritional<br />
information on the packaging, tTaymats<br />
or takeaway bags for these items. This<br />
information is currently available<br />
from the nutri tional<br />
brochure in restaurants or<br />
on the web.<br />
T hi s new menu takes<br />
McDonald' s into the future. It is the most<br />
imp01tant product launch in its business hi story to<br />
date. Salads Plus isn't about changing who<br />
McDonald's are but about extending the range.<br />
PROMOTION<br />
From the earliest days, McDonald' s recogrused the<br />
key role of marketing in the brand-building process.<br />
As Ray Kroc put it: "There' s something just as<br />
basic to our success as the hamburger. That<br />
something is marketing, McDonald 's style. It's<br />
bigger than any person or product bearing the<br />
McDonald' s name."<br />
Adve1tising is certainly not the only cause of<br />
McDonald's success. It is, however, inseparable<br />
from it. To this day, a fixed proportion of restaurant<br />
sales is reinvested into advertising and sales<br />
promotion in every market in which McDonald's<br />
operates.<br />
McDonald's displays a rare abi lity to act like a<br />
retailer while thinking like a brand; delivering sales<br />
for the immediate present while building and<br />
protecting its long-term brand reputation. Television<br />
adve1tising has been instrumental in transforming<br />
McDonald's brand image from that of a multinational<br />
corporation to prut of the fabric of society.<br />
Through high-profile brand advertising,<br />
McDonald's has developed a powe1ful emotional<br />
relationship with its customers based on trust and<br />
a fundamental warmth and humanity unmatched<br />
by its competitors.<br />
McDona ld 's is<br />
also involved in<br />
sports sponsorship.<br />
The company uses its<br />
association with<br />
prestigious global sporting<br />
events such as the World Cup and the<br />
Olympic Games to reinforce its<br />
international brru1d stature, whi le tailormade<br />
sponsorship programs ru·e used<br />
to address local market needs.<br />
In addition to national adve1tising<br />
and promotional campaigns,<br />
McDonald's is strongly committed to<br />
Ray Kroc' s passionate belief that<br />
McDonald's should contribute to the<br />
communities that it serves. Local activity<br />
takes many different forms, ranging from<br />
social mornings for senior citizens to<br />
fundraising work with local schools, youth<br />
groups, and hospitals.<br />
BRAND VALUES<br />
Founder Ray Kroc developed his brand vision for<br />
McDonald ' s around a simple but effective<br />
consumer-driven premise of quality, service,<br />
cleanliness, and value. Kroc' s winning formula was<br />
quickly shortened to QSC&V- an acronym that<br />
would become and remain an enduring cornerstone<br />
of the brand.<br />
If QSC& V is the cornerstone of the McDonald' s<br />
brand, then trust is its bedrock. To its customers,<br />
McDonald's is a brand that can be trusted; placing<br />
the customer at the centre of its world; knowi ng<br />
the right thing to do.<br />
The key to McDonald's success has been its<br />
capacity to touch universal consumer needs with<br />
such consistency that the essence of the brand<br />
has somehow always been relevant to the local<br />
culture, no matter how different that culture might<br />
be from McDonald's origins. With one ofthe most<br />
powerful brands in the world, McDonald's looks<br />
set to enjoy healthy growth far into the future.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
McDONALD'S<br />
0 On average, McDonald's opens a new<br />
restamant every four hours.<br />
0 The sun never sets on the Golden<br />
Arches. The most northerly<br />
McDonald' s is right on the Arctic<br />
Circle in Rovaniemi, Finland, while the<br />
southernmost is in Invercru·gill, New<br />
Zealand.<br />
0 Every day, McDonald's serves 45<br />
million customers, but on any one day,<br />
even as the industry leader,<br />
McDonald' s sti ll serves less than one<br />
per cent of the world's population.<br />
0 McDonald's has sold well over 100<br />
billion hamburgers.<br />
0 Neru·ly two and a half million people<br />
work for McDonald's.<br />
0 More than 5000 people lined up for a<br />
burger on a freezing midnight when<br />
McDonald' s opened its first restaurant<br />
in Minsk, Belru·us - its I OOth country.<br />
73
THE MARKET<br />
In an increasingly sophisticated youth market,<br />
MILO, <strong>Australia</strong>'s number one Energy Food Drink,<br />
has become an instantly recognisable icon for<br />
generations of <strong>Australia</strong>ns.<br />
With a strong sp01ting tradition and focus on<br />
youth activity, MILO continues to gain high<br />
exposure across a broad range of age groups, with<br />
a predominance in the 8-14 year old youth market.<br />
ACHIEVEMENTS<br />
Since its introduction 70 years ago, MILO has<br />
become a part of everyday life in <strong>Australia</strong>. With<br />
slogans that are as recognisable as the now famous<br />
'green can ', MILO is now a part of <strong>Australia</strong>n<br />
culture. The brand slogans 'It's marvellous what a<br />
difference MILO makes', 'You've gotta be made of<br />
MILO' and now 'Go and Go and Go with MILO' are<br />
as familiar to most <strong>Australia</strong>ns as the expression<br />
'G'Day Mate'.<br />
MILO is now sold in over 30 countries world<br />
wide. In 2003 <strong>Australia</strong>ns drank over 400 nlillion<br />
glasses of MILO.<br />
HISTORY<br />
Since its launch at the Sydney Royal Easter Show<br />
in 1934, MILO Energy Food Drink has established<br />
itself to become a staple at the table of generations<br />
of <strong>Australia</strong>ns.<br />
MILO Energy Food Drink was created by a<br />
Nestle technology team, headed by the late Thomas<br />
Mayne of Sydney, New South Wales. It took the<br />
team almost four years of development and fine-<br />
tuning before coming up<br />
with the unique taste of<br />
MILO.<br />
Since its creation, MILO<br />
has been manufactured at<br />
the Nestle plant at<br />
Snlithtown near Kempsey<br />
in New South Wales.<br />
The name MILO is<br />
derived from the name of<br />
one of the great athletes of<br />
ancient Roman mythology.<br />
Milon, a champion athlete<br />
from Croton, an Archean<br />
Greek colony in southern<br />
Italy, was famous for his<br />
feats of strength at the<br />
Pythian Games and the<br />
Olympics. A legend in his<br />
time, Milon' s name was<br />
adopted (and slightly modified)<br />
because the MILO<br />
brand was to be positioned<br />
as a beverage that provided<br />
energy and helped build a<br />
strong and healthy body.<br />
The MILO brand now<br />
enjoys the enviable market position of being a true,<br />
unquestionable <strong>Australia</strong>n icon. This is obviously<br />
a position that bodes well for future growth.<br />
MILO Energy Food Drink is a product that many<br />
<strong>Australia</strong>ns have grown up with, a product<br />
everyone can feel good about. MILO conjures up<br />
happy memories of childhood and reminds even<br />
SINCE1934<br />
CELEBRAnNG 70 YEAR<br />
750g<br />
grown-ups of the good times in the kitchen with<br />
the fanlily. Fanliliarity with the product, combined<br />
with the sporting heritage associated with MILO<br />
and continuing quality marketing initiatives, have<br />
ensured continued success for the product and<br />
consistent growth in the marketplace.<br />
74
THE PRODUCT<br />
For most <strong>Australia</strong>ns, and now global<br />
consumers, MILO, the Nutritious Energy Food<br />
Drink needs little introduction. Essentially a malt<br />
extract beverage, it has always been aligned with<br />
nutrition, energy and well-being. Considered by<br />
many to be an important component of a balanced<br />
diet, MILO contains six essential vitamins and<br />
minerals.<br />
The taste of MILO is the result of a<br />
combination of malt extract (made from malted<br />
barley and other cereals), full cream nlilk powder,<br />
cocoa, sugar, mineral salts and vitamins.<br />
A glass of MILO and milk as part of a balanced<br />
diet contains essential nutritional components.<br />
A glass of MILO and milk has the additional<br />
advantage of having a low Glycaemic Index.<br />
RECENT DEVELOPMENTS<br />
2004 will mark 70 years since MILO was first<br />
launched by Nestle at the Royal Easter Show in<br />
Sydney in 1934. A program of activities has been<br />
developed to celebrate this special <strong>Australia</strong>n<br />
birthday, including TV advertising and in-store<br />
events.<br />
The MILO famil y has grown over the 70 years<br />
with MILO products expanding into other<br />
categories including MILO breakfast cereal, a MILO<br />
confectionery chocolate bar, chilled dairy snack,<br />
ice cream and a ready-to-drink product.<br />
MILO is associated with a wide range of sp01ting<br />
endeavours, with particular emphasis on the<br />
promotion of grassroots youth sports activities.<br />
This has made it an instantly recog1lisable name in<br />
sp01ts promotion and produced high exposure for<br />
the MILO brand.<br />
MILO is involved in many programs aimed at<br />
encouraging young people to adopt a more active<br />
lifestyle. These include MILO Cricket, with<br />
sponsorship of Cricket <strong>Australia</strong>'s national junior<br />
development programs; MILO Temlis, working with<br />
Tennis <strong>Australia</strong> to promote the game to the youth<br />
of <strong>Australia</strong>; and MILO Junior Snow programs. This<br />
includes sponsorship of junior snow programs in<br />
both the New South Wales and Victorian ski resorts.<br />
These include calcium, an essential element for<br />
growing healthy teeth and bones; Vitamin A,<br />
which makes for healthy skin and eyes; Vitamin<br />
B I , for energy and the functioning of the nervous<br />
system; Vitamin 82, also for healthy skin and<br />
e nergy ; and Vitamin C, to improve iron<br />
ab sorption. As well as these vital, he althpromoting<br />
constituents, MILO also contains<br />
iron, which is important in oxygen transport to<br />
help prevent fatigue; essential minerals, which<br />
are vital to ensure that children grow up strong<br />
and healthy; and malt extract with its energy<br />
producing carbohydrates.<br />
The association with sport provides admirable<br />
role models for <strong>Australia</strong>'s youth. Nestle believes<br />
that, for a healthy lifestyle, every child should be<br />
encouraged to ' have a go' through active<br />
participation in their chosen sport. This message<br />
can often be conveyed best through sporting<br />
heroes such as those with whom the MILO brand<br />
is aligned.<br />
PROMOTION<br />
The MILO brand enjoys high visibility via its strong<br />
allegiance to sport. This suppo1t has been a natural<br />
adjunct to the core health and energy message.<br />
BRAND VALUES<br />
Since its introduction, MILO with milk has been<br />
established as a nutritious energy food drink that<br />
encourages a healthy lifestyle as it provides<br />
energy. As a result, the ad vertising campaigns<br />
that have been created to promote the MILO<br />
brand have always focused on health, energy<br />
and related themes.<br />
The MILO brand has always been associated<br />
with the fanlily. This combination of health, sport<br />
and family unity has been one of the factors that<br />
has made the brand so popular with both adults<br />
and children.<br />
Photos courtesy of Cricket <strong>Australia</strong>, Te nnis Au stralia,<br />
Kosciu sko Thredbo and Mt. Selwyn Snowfields.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
MILO<br />
0<br />
0<br />
0<br />
0<br />
MILO energy food drink was created<br />
by a Nestle technology team, headed<br />
by the late Thomas Mayne of Sydney,<br />
New South Wales.<br />
The MILO name was based on that of<br />
a famous Ancient Greek athlete.<br />
MILO is not only associated with toplevel<br />
sp01ts people but also with<br />
youngsters. The brand is associated<br />
with MILO Cricket, MILO Tennis and<br />
the MILO Junior Snow programs.<br />
In <strong>Australia</strong> alone, children and adults<br />
drank over 400 million glasses of MILO<br />
last year.<br />
75
THE MARKET<br />
The <strong>Australia</strong>n attitude toward hardware has<br />
undergone a remarkable change since the midnineties.<br />
The word hardware no longer simply<br />
evokes images of DIY fix-itjobs and 'must get to'<br />
projects around the home. Consumer perception<br />
has now expanded to one which sees the hardware<br />
store as holding the key to living standard and<br />
Lifestyle improvement.<br />
The hardware market in <strong>Australia</strong> is estimated at<br />
$20 billion a year and is experiencing rapid growth,<br />
due in part to the explosion of interest in do-ityourself<br />
home projects by both male and female<br />
consumers.<br />
Recognising a change in the needs of the<br />
hardware consumer, Mitre I 0 has increased its retail<br />
offer tlu·ough the Generation 21 format of its stores<br />
which offer more choice, price advantage and advice<br />
than ever before.<br />
HISTORY<br />
The move to set up a cooperative group of hardware<br />
stores originated at a meeting held in Victoria in<br />
June 1959 by five men who<br />
would become Mitre lO' s<br />
founding fathers: Tom Molomby,<br />
Tom Danaher, Reg Buchanan,<br />
Jack Womersley and Ian Nisbet.<br />
The move was designed to<br />
maximise funds and energy with<br />
10/10<br />
ADVICE<br />
regards to advertising and promotions and to<br />
demonstrate that independent operators offered<br />
service, advice and competitive prices. The group<br />
quickly grew in membership to the point where it<br />
required a full-time management team.<br />
The new company expanded its operations,<br />
with 15 New South Wales members joining the<br />
Group by February 1961. Queensland soon<br />
followed with seven retailers joining in January 1962<br />
under the chairmanship of Arthur Scurr, followed<br />
by a fmther sixteen members from Newcastle in<br />
October the same year. With the company<br />
successfully operational in the three Eastern states<br />
by the end of 1962 and South <strong>Australia</strong> and Western<br />
<strong>Australia</strong> soon running their own state-based<br />
cooperatives, attention turned to crossing the<br />
Tasman. After discussions in Auckland, Mitre I 0<br />
New Zealand was established on June 20, 1974.<br />
Today, the Mtre 10 Hardware Group has more<br />
than 900 stores throughout <strong>Australia</strong> and New<br />
Zealand.<br />
In 2000, the business announced a complete<br />
overhaul of its store format and branding, designed<br />
to keep the business at the forefront of <strong>Australia</strong>'s<br />
hardware industry and attract a new generation of<br />
customers. In the same year, it also commenced<br />
plans for the Mitre I 0 Mega concept.<br />
Under the title Generation 21, Mitre I 0 began<br />
rebranding all of its Mitre I 0 and True Value<br />
Hardware stores as one offour new Mitre I 0 store<br />
brands to spearhead the co-operative's growth in<br />
the 21st Century. Incidentally, True Value<br />
Hardware stores are more able to move to a Mitre<br />
l 0 brand under this structure. Each store type<br />
offers a distinct market proposition.<br />
Mitre I 0 Handy: conven iently located<br />
hardware stores providing a<br />
quick and easy shopping trip for<br />
products required for the repair,<br />
maintenance and everyday<br />
functioning of urban homes;<br />
Mitre I 0 Solutions: a new<br />
style hardware store offering<br />
products, ideas and advice to assist consumers in<br />
expressing their individual styles;<br />
10/10<br />
CHOICE<br />
ACHIEVEMENTS<br />
Mitre lO 's success in <strong>Australia</strong> and New Zealand<br />
has been enviable, with its members fostering and<br />
enjoying a close-knit sense of unity and membership<br />
-the 'spirit of Mitre 1 0' . However, there is more to<br />
Mitre I 0 than simply a successful legacy. The<br />
company has also made a significant contribution<br />
to <strong>Australia</strong>'s state-based economies and<br />
conummities by becomjng one of the country's<br />
largest small business employers.<br />
The Mitre IOGroup is one of <strong>Australia</strong>'s largest<br />
enterprises supporting privately owned retailers<br />
and is regularly included in various 'Top l 00<br />
Company' listings compiled by state and national<br />
business media.<br />
76
Mitre I 0 Home and Trade: comprehensive<br />
products and services for the building trade and<br />
serious DIYers who need successful building,<br />
renovation and project outcomes; and<br />
Mtre 10 Mega: the ultimate home improvement<br />
store, offering a one-stop-shop for all tradespeople,<br />
DIYers and consumers, for big jobs at great prices.<br />
Existing Mtre I 0 and nomjnated True Value<br />
Hardware stores have been re-branded according<br />
to the Generation 21 strategy as Handy, Solutions,<br />
or Home and Trade, with Mega stores mainly built<br />
on a select number of greenfield sites across<br />
<strong>Australia</strong>.<br />
THE PRODUCT<br />
The name Mitre 10 is synonymous with hardware,<br />
building products, expert advice, knowledge and<br />
service and has become more to consumers than<br />
simply an outlet for 'nuts and bolts'. Mitre l 0 has<br />
maintained its leadership of the hardware retail<br />
market for more than 40 years, with a strong<br />
emotional attachment from consumers.<br />
In addition to maintaining relationships with<br />
<strong>Australia</strong> and the world's most powetful hardware<br />
product brands, Mitre I 0 is also enjoying strong<br />
growth with its range of own-brand DIY and home<br />
improvement products including Warrior,<br />
Dimension and Accent brands. Mitre 10 donates a<br />
percentage of the sale price of its Mitre 10 brand to<br />
Landcare <strong>Australia</strong> for local environmental<br />
improvement projects.<br />
marketing campaigns, printed flyers and catalogues,<br />
sponsorship, communications and public relations<br />
strategies, and television and radio campaigns. With<br />
the mammoth surge in Internet usage, any<br />
computer user is now free to browse Mtre lO's<br />
website to receive tips and advice on DIY, find their<br />
closest store or download handy hints and DIY<br />
project guides called MitrePlans.<br />
Mtre 10' s first national campaign was launched<br />
in 1990, with the theme 'Ask Mitre 10, they've got<br />
the lot'. Today's national slogan, 'You can't Beat<br />
10/ I 0-Mitre 10', showcases Mitre 10' s commitment<br />
RECENT DEVELOPMENTS<br />
Competition in the marketplace is proving more and<br />
more fierce, with the introduction to the industry of<br />
barn-style hardware super stores. Industry research<br />
indicates that home owners, rather than 'selling<br />
up', are choosing to remain in their homes longer,<br />
opting instead for improving their lifestyle by 'doit-yourself<br />
renovation and tiling on increasingly<br />
impressive home projects. Serious renovators want<br />
to be able to purchase everything required to finish<br />
their job under the one<br />
roof. However, these<br />
consumers are unwilling<br />
to sacrifice their need for<br />
personalised service and<br />
to '1 Oil 0 choice, advice and price' and complete<br />
product and service offering. From fixing a tap to<br />
building a house, Mitre 10 offers the three<br />
fundamental elements required for customer<br />
satisfaction - product choice, advice and service,<br />
and the right price to achjeve a I 0/ l 0 result.<br />
Demonstrating the strength of the Mitre 10<br />
brand, and the success of its marketing program,<br />
independent research shows Mitre 10' s brand<br />
awareness is at an all-time high of more than 80<br />
per cent.<br />
While both print and<br />
television media have<br />
been used extensively to<br />
promote the group since<br />
expert knowledge and<br />
its inception, ties<br />
advice for nothing more than a large product<br />
between Mitre 10 stores and local<br />
range.<br />
As most Mitre 10 stores are still owned<br />
communities have always proved invaluable.<br />
Many Mitre 10 stores are active participants<br />
and operated by 'hardware families' -<br />
in their local communities through<br />
business people who have worked l. h t h<br />
sponsorship of local sport, charities<br />
within the industry for generations - I g 0 U S e and community support programs.<br />
Foundation<br />
store management and staff have<br />
Mitre 10 has partnered Landcare<br />
accumulated a depth of knowledge unsurpassed<br />
by their competitors.<br />
Mitre 10 recognises the emergence and viability<br />
of large store formats and has launched its Mega<br />
flagship stores, coupled with its complementary<br />
new smaller store formats, to maintain its number<br />
one position in the independent hardware market.<br />
Mtre 1 O's Generation 21 vision of segmented<br />
store offerings operating under a powetful umbrella<br />
brand was meticulously researched, with extensive<br />
consumer and trade studies linked with market<br />
mapping technology.<br />
<strong>Australia</strong> under the banner of '<strong>Australia</strong>'s biggest<br />
home improvement' to improve the environmental<br />
health of the country. In 2003, Mtre 10 joined<br />
Land care <strong>Australia</strong> to start the Mtre 10 Junior<br />
Landcare Grants Program which helps to provide<br />
the necessary funding for schools and youth<br />
groups nationally to conduct their own projects to<br />
help create a sustainable future across <strong>Australia</strong>.<br />
More recently, Mitre 10 also formed a partnership<br />
with the Lighthouse Foundation, an organisation<br />
conunitted to supporting disenfranchised young<br />
people in the community by providing holjstic care,<br />
in a family-like setting, within a stable family home<br />
PROMOTION<br />
environment.<br />
Mitre IO' s marketing strategy consists of direct The company logo can also be found<br />
emblazoned around various sporting grounds<br />
throughout the country. Mtre 10 has a long history<br />
of involvement with the <strong>Australia</strong>n Football League<br />
-sponsoring various clubs and supporting an elite<br />
list of champion players.<br />
BRAND VALUES<br />
Mtre 10 is the most recognised hardware chain in<br />
the country. The company has provided literally<br />
millions of home owners with ways of acrueving<br />
their home project aspirations.<br />
The values of the Mitre 10 brand include a<br />
conunitment to customers that they will pay no more<br />
for unsurpassed service by knowledgeable staff,<br />
along with advice and a comprehensive range of<br />
products and related services. This will ensure<br />
satisfaction as well as providing a deep sense of<br />
commuruty.<br />
The Mitre 10 brand continues to evolve with<br />
time, and is supported by a thorough<br />
understanding of the fast-changing face of the<br />
home improvement industry. Mitre I 0 has<br />
development plans in place to sustain its dominant<br />
and respected position in the <strong>Australia</strong>n retail<br />
landscape.<br />
www.mitrelO.com.au<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
MITRE 10<br />
0 Mitre 10 is the largest independently<br />
owned hardware chain in Australasia,<br />
with local stores within reach<br />
everywhere.<br />
0 All stores are ptivately owned and<br />
operated businesses.<br />
0 Otiginally there were only eight<br />
members of the fledgling company,<br />
although the group was confident the<br />
number would be increased to ten<br />
before long. "Mitre I 0" simply<br />
sounded more lyrical than "Mitre 8" or<br />
"Mitre 11 "!<br />
0 Ruth Guy created Mitre 10 history<br />
when she became the first woman to be<br />
elected to a Mitre I 0 board in 1988.<br />
0 Mt:re I 0 launched its first Mega store<br />
in 2004 in Chelsea Heights, Victoria.<br />
77
)les"<br />
OPT US<br />
also provides a full telecommunication<br />
solution for these customers.<br />
In the bu sin ess, corporate and<br />
government markets, Optus<br />
Business provides services to<br />
around 90 per cent of <strong>Australia</strong> 's<br />
top one hundred companies. In 2003<br />
Optus successfu lly launched the C I<br />
Satellite which will see the company<br />
continue to deliver innovative<br />
services to customers.<br />
THE MARKET<br />
The <strong>Australia</strong>n telecommunications market has<br />
never been more fiercely contested.<br />
In spite of market trends, Optus continues to<br />
increase its share of the market, with new Internet<br />
and telecommunications packages, and by creating<br />
an ever more sophisticated range of products for<br />
the home, business, corporate and government<br />
sectors.<br />
ACHIEVEMENTS<br />
The Optus mobile digital network continues to<br />
expand every year and now connects more than 5<br />
million customers, or 34 per cent of the total market.<br />
But the growth of Optus goes beyond its mobile<br />
network. Optus is now <strong>Australia</strong>'s 2"d largest<br />
provider of dial up Internet access. With more than<br />
525,000 customers - an increase of over 125 per<br />
cent in twelve months - Optus is one of the fastest<br />
growing dial up providers in the country. As well<br />
as dial-up Internet, Optus also offers broadband<br />
Internet to homes and businesses across the<br />
country. In recent years the small to medium<br />
enterprise market (SME) has emerged and Optus<br />
HISTORY<br />
Optus was establi shed in 1992,<br />
winning the second carrier licence<br />
to become the first private sector<br />
company to challenge Tel stra' s<br />
monopoly on <strong>Australia</strong>n telecommunications.<br />
In 1998, Cable & Wireless PLC,<br />
which had been a significant shareholder<br />
since the company started,<br />
became the majority shareholder. On<br />
November 17 of that year, the<br />
company was listed on the<br />
<strong>Australia</strong>n Stock Exchange as Cable<br />
& Wireless Optus Limited.<br />
The company petformed profitably over the next<br />
two years. However, by 2000, Cable & Wireless<br />
PLC's long term strategy had shifted away from<br />
supplying broad-based telecommunications<br />
products and CWO was therefore no longer a core<br />
business.<br />
On September 18' 11 200 I, Singtel , the Singaporebased<br />
Asia Pacific regional telecommunications<br />
leader, became the new owner of CWO and<br />
announced that the company would trade in<br />
<strong>Australia</strong> under the Yes Optus banner. Today, Optus<br />
Let's talk about agility for your business.<br />
By implementing an Op t us IP Solution, one of <strong>Australia</strong>'s leading regional construction companies signifiCantly reduced administrative overheads and 1ncreased<br />
their network's flexibility. Using an IP VPN they now tink 3 business divisions across 45 sites throughout <strong>Australia</strong>. The one common platform consol1dated their<br />
b1ltmg . network and support con tracts mak1ng them ready to respond lo change. To frnd out how Optus IP Solutions. in partnership with ~"OCISCO<br />
C1sco Systems. can help yo ur company. speak to your Optus Business Account Executive or call 1800 555 937. optusbusiness.com.au --<br />
78
is a significant member of a large and successful<br />
regional telecommunications group operating<br />
throughout Australasia.<br />
Optus Phone & Net. Get the power of two working for you.<br />
Optus competes with other DSL and cable<br />
providers, OptusNet holds majority marketshare.<br />
Optus' success in broadband and dial-up Internet<br />
is due to the quality and reliability of these products<br />
PROMOTION<br />
The success of Optus as a brand begins with the<br />
development of accessible products that meet deep<br />
and genuine consumer needs.<br />
Through the use of animal metaphors, Optus<br />
advertising then delivers information about these<br />
products through simple, engaging communications.<br />
Research shows that the entire Optus<br />
customer base, from teenagers purchasing pre-paid<br />
mobiles to tradesmen, company executives and Iru·ge<br />
corporates, can all relate to the an imals and natural<br />
metaphors in the advertising, and respond to the<br />
advertising on both a rational and an emotional<br />
level.<br />
THE PRODUCT<br />
In the mobile phone sector Optus is strongly<br />
challenging Telstra for market leadership, with 94<br />
per cent of <strong>Australia</strong>'s population now covered by<br />
the Opt us network. What's more, Opt us is<br />
committed to constantly improving coverage, call<br />
quality and data transmission capability. Between<br />
2002 -2004 Optus plans to invest $330 million on<br />
new base stations across <strong>Australia</strong>. In fact, since<br />
1999 Optus has, on average, opened one new base<br />
station every day.<br />
Other breakthroughs in the mobile arena include<br />
Optus Zoo, information and entertainment on the<br />
move, launched in 2003.This mobile data service<br />
was the first in <strong>Australia</strong> to offer li ve TV on<br />
compatible mobile handsets.<br />
In long-distance telephony, Optus has<br />
introduced a pricing strategy that allows customers<br />
to call long distance for a fixed amount- negating<br />
the fear of cost-per-minute calls.ln local calls, Optus<br />
also delivers competitive pricing.<br />
Optus Internet services cover 99 per cent of the<br />
<strong>Australia</strong>n population and provide reliable service<br />
to more than 525,000 dial-up customers and over<br />
125,000 broadband subscribers. In areas where<br />
as well as innovative pricing and bundling.<br />
In the business market, Optus offers innovative<br />
packaging of services and provides integrated<br />
voice, data, mobile, satellite and e-business<br />
solutions.<br />
RECENT DEVELOPMENTS<br />
There is a revolution taking place in the mobile<br />
phone market and Optus is right at the centre of it.<br />
Text messaging has already led a significant shift<br />
from voice traffic to data traffic on the Optus mobile<br />
network, with SMS text traffic increasing to an<br />
average of I 00 million short text messages per<br />
month, compared to 9 million messages per month<br />
two years ago. At the corporate level, Optus is a<br />
leader in Internet and e-business solutions.<br />
Pat1nership with leading suppliers of hru·dwru·e and<br />
softwru·e delivers a comprehensive range of e-business<br />
services for corporate and government clients.<br />
Optus and Nokia, the world's most successful<br />
mobile phone manufacturer, have formed a<br />
pattnership to build a 3'u Generation mobile network<br />
in <strong>Australia</strong>. This will provide direct connection<br />
from the mobile phone to the desktop, bringing the<br />
mobile office even closer to reality.<br />
BRAND VALUES<br />
Optus looks at communications through the eyes<br />
of its customers. The company is therefore focused<br />
on providing solutions which are practical,<br />
accesible, flexible and creative.<br />
The Optus brand has been built on the<br />
empowerment of customers to access and use the<br />
latest communications technology.<br />
This goes back to what has been the core of the<br />
Optus brand since the beginning- the philosophy<br />
of 'yes'.<br />
www.optus.com.au<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
OPrUS<br />
0 Optus has almost 5,000 high-rise<br />
buildings connected directly to the<br />
network - ru·oLmd I ,000 per cent more<br />
than the next competitor. This puts<br />
Optus in a favoured position to<br />
supply services to these prime<br />
locations.<br />
0 Optus is a major sponsor of community<br />
events, helping to sustain the<br />
<strong>Australia</strong>n communities which sustain<br />
it. Sponsorships include major spotting<br />
bodies such as Tennis <strong>Australia</strong>; the<br />
<strong>Australia</strong>n Brandenburg Orchestra;<br />
and Bell Shakespeare Youth +<br />
Education.<br />
0 Optus is the major sponsor of<br />
<strong>Australia</strong>'s only free, anonymous and<br />
professional counselling service for 5<br />
to 18 year olds - Kids Help Line.<br />
79
powered<br />
by<br />
THE MARKET<br />
The success ofOrai-B lies in its ability to introduce<br />
and enhance technological leadership and<br />
innovation in the oral care business. 75 years ago,<br />
Orai-B invented one of the world's first modern<br />
toothbrush bristling machines and was the first<br />
company to use nylon bristles in<br />
toothbrushes. The company also introduced<br />
end-rounded bristles for better protection<br />
of teeth and gums. Tills innovative spirit,<br />
together with a close pmtnership with the<br />
dental community, set new standards in<br />
preventive dentistry and ensured business<br />
progress.<br />
Oral-B became a pmt of The Gillette<br />
Company in 1984. This allim1ce enables Oral<br />
B to share in Gillette' s sophisticated<br />
laboratories, world-class engineering talents<br />
and facilities to enhance research<br />
capabilities. Together with Braun, another<br />
Gillette bus iness, Oral-B created the<br />
revolutionary electric Oral-B plaque remover.<br />
Today, Oral-B is a global business. Its<br />
products m·e sold in 60 countries worldwide<br />
including North America, Latin America,<br />
Europe, Asia-Pacific, the Middle-East, Africa,<br />
West Asia and North Asia (China). Oral-B is<br />
a key player in the oral care industry with<br />
leadership status in the toothbrush market<br />
worldwide.<br />
Building on its many successes, Oral-B<br />
continues to believe in innovation, excellence and<br />
pmtnership with the dental community. In this way,<br />
products will continue to meet the stringent needs<br />
of the dental community and provide real benefits<br />
to customers.<br />
ACHIEVEMENTS<br />
Founded in 1950 in California, Oral-B has been<br />
providing outstanding oral care products to<br />
consumers, dental professionals, and retailers<br />
worldwide. German-based Braun, which later<br />
teamed up with Oral-B to create power<br />
toothbrushes ,<br />
stmted honing its skills to create state-of-the-a1t<br />
small appliances more than 80 years ago.<br />
The Oral-B and Braun Oral-B brands have helped<br />
The Gillette Company become the worldwide leader<br />
in the total toothbrush mm·ket. The Oral-B brand is<br />
the clem leader in the A$124 million <strong>Australia</strong>n<br />
toothbrush category, with a 47 per cent share<br />
(source GFK and AC Nielsen 2003). Oral-B has<br />
achieved thi s by marketing toothbrushes for<br />
children and adults, as well as dental floss. The<br />
Braun Oral- B brand includes power toothbrushes<br />
for adults and children, as well as interdental<br />
products such as water irrigators. Power<br />
toothbrushes, the foundation and lm·gest<br />
category of The Gillette Company's thriving<br />
oral care bu siness, are used by more<br />
dentists and consumers than any other<br />
power brand across many international<br />
mmkets.<br />
In <strong>Australia</strong>, Oral-B is the leader in<br />
toothbrushes and it is the brand most<br />
dentists use themselves.<br />
HISTORY<br />
It all stmted with a dentist, back in 1950,<br />
who created the first Oral-B toothbrush and<br />
its soft, end-rounded nylon bristles. Dr<br />
Robert Hutson, a Californian periodontist,<br />
designed and patented the first Orai-B<br />
toothbrush. He also created the Oral-B<br />
brand name and called his first innovation<br />
the 'Oral-B 60'.<br />
In 1967, The Gillette Company<br />
purchased Braun, one ofthe world's leading<br />
smalJ-appliance brands. At this point, the product<br />
portfolio covered populm· small appliances like<br />
radios, cameras, shavers, and mixers. As the<br />
business grew, additional sizes of Oral-B<br />
toothbrushes were added, and print advertising<br />
began. Through the 1960s and 1970s, business<br />
continued to grow at a rapid pace. Oral-B products<br />
=<br />
=<br />
80
expanded to many international mm·kets in Europe,<br />
Latin America, and Asia Pacific.<br />
In 1978, Braun began the first mass production<br />
of a power toothbrush. Called D l , this power<br />
toothbrush was created using Braun's technology,<br />
simulating manual side-to-side movements. This<br />
innovation was sold predominantly in Europe,<br />
where it became a huge success. Three years later,<br />
Oral-B 's first angled toothbrush, the Orai-B Right<br />
Angle, was introduced. Oral-B took the children's<br />
mm·ket by storm in 1984 with the launch of Star<br />
Wm·s, the first successful character toothbrush for<br />
children in the United States, and distributed<br />
under the first Oral-B<br />
chm·acter licensing<br />
agreement. In the<br />
same year, Braun<br />
introduced the first power<br />
toothbrush to combine vertical and horizontal<br />
movements, a simulation of the dentistrecommended<br />
Bass brushing method. The D3 was<br />
successful in highly developed European oral cme<br />
markets like Denmark, Finland, Holland, and<br />
Germany.<br />
Nineteen eighty-seven saw Oral-B introduce the<br />
Oral-B Ultra Plus- the first new generation Oral-B<br />
toothbrush in over thirty yems. Launched globally,<br />
it was the first Oral-B product designed in<br />
pmtnership with Braun. The Oral-B Ultra Plus was<br />
a highly innovative design that featured a rounded<br />
head, longer handle, thumb grips, and a nmrower<br />
'porch', or mea between the edge of the brush<br />
head and the outermost row of bristles. Within a<br />
year, the Orai-B toothbrush had gained its<br />
reputation as 'the brand more dentists use'.<br />
Nineteen ninety-one saw Braun and Oral-B<br />
combine forces to develop and launch the Braun<br />
Orai-B Plaque Remover, the D5 . It was the first<br />
Braun Oral-B power toothbrush clinically<br />
proven to clean better than a manual<br />
toothbrush, quickly becoming a best-seller<br />
worldwide. From then onwm·ds, Oral-B has<br />
continued its tradition of producing yearly<br />
innovations, adding better features to its<br />
toothbrushes.<br />
The company later widened its business<br />
segments, producing not only manual and<br />
power toothbrushes, but adding other oral<br />
cm·e products such as toothpastes, mouth<br />
rinse and dental floss.<br />
THE PRODUCT<br />
Oral-B bas always been well-known for its<br />
range of oral cme products, particulm·ly<br />
its manual and power toothbrushes. At<br />
the beginning of the 1990s, a groundbreaking<br />
innovation was introduced<br />
with the Braun Oral-B power toothbrush.<br />
It featured an oscillating brushing<br />
system with a small, round brushhead<br />
and heralded a major technological<br />
advance for power toothbrushes. In<br />
extensive clinical tests this product<br />
was shown to be unsurpassed in<br />
removing plaque and reducing gingivitis, cleaning<br />
better than a manual toothbrush with no difficult,<br />
tedious brushing method to master.<br />
Used as directed, the Braun Oral-B power<br />
toothbrush automatically employed the proper<br />
brushing technique and was simple, convenient<br />
and pleasant to use. Braun Oral-B is the leading<br />
power toothbrush brand in the world and is<br />
recommended by more dental professionals than<br />
any other power toothbrush brand. In 1999 the<br />
Braun Oral-B 3D power toothbrush was launched,<br />
improving personal oral cme once again.<br />
Unlike any other power toothbrush,<br />
the Braun Oral-B 3D power<br />
toothbrush incorporated a patented<br />
technology that combined<br />
high-speed in-and-out pulsations<br />
with side-to-side oscillations to<br />
provide a brushing result clinically<br />
superior not only to a manual toothbrush,<br />
but even to emlier Braun Oral-B models.<br />
RECENT DEVELOPMENTS<br />
The most recent power innovation is the Oral-B<br />
ProfessionalCare, a top-of-the-line power<br />
toothbrush featuring advanced<br />
technology that leaves teeth<br />
with a remmkably clean, fresh<br />
feeling similar to that<br />
experienced after a professional<br />
cleaning.<br />
The Oral-B ProfessionalCme<br />
power toothbrush outperforms<br />
ordinary toothbrushes in the key<br />
areas of plaque removal, gingivitis<br />
reduction and the reduction of<br />
gingival bleeding. This product<br />
builds on the innovations<br />
pioneered by the Braun Oral-B 3D,<br />
doubling the number of pulsations<br />
from 20,000 to 40,000 per minute,<br />
while the brush head oscillates from<br />
side to side at a rate of 8,800<br />
movements per minute. At 40,000<br />
pulsations per minute, the Oral-B<br />
ProfessionalCare is the fastest<br />
pulsating power toothbrush available.<br />
On the Oral-B manual side the Cross<br />
Action Toothbrush is a unique<br />
toothbrush that utilises crisscross<br />
bristles for better tooth brushing. The<br />
Cross Action Toothbrush is specially<br />
designed with Power Tip bristles which<br />
m·e extra long to help clean hard-to-reach<br />
places, and are angled in opposing<br />
directions to lift out and sweep away plaque.<br />
The indicator bristles me based on patented<br />
technology that fades half way, based on<br />
brushing twice a day for a total of three<br />
months. The ergonomically designed handle<br />
with a rubber grip features front and back<br />
thumb stops for firmer grip and extra control<br />
to complete the innovative look of this<br />
product.<br />
There is no doubt that users can be<br />
confident that the Cross Action Toothbrush<br />
surpasses other manual toothbrushes. It has<br />
been clinically proven to remove more plaque<br />
than leading toothbrushes and is the leading<br />
brand among dentists worldwide.<br />
PROMOTION<br />
Oral-B is committed to promoting its technologically<br />
advanced high-peiformance branded<br />
products through consistent and heavyweight<br />
mm·keting progra111s.<br />
These initiatives include the 'Change of<br />
Toothbrush' Campaign, an annual thematic<br />
promotion that educates and encourages consumers<br />
to change their toothbrush every three months.<br />
Clinical studies show that a new toothbrush<br />
removes more than 30 per cent more plaque than a<br />
three-month-old toothbrush and this is the message<br />
that Oral-B puts across to the general public. The<br />
promotion is suppotted with consumer promotion<br />
value packs, advertising and in store point of<br />
purchase materials that communicate the<br />
educational message. Retail audit shows that<br />
cmrently <strong>Australia</strong>ns change their toothbrush less<br />
than 1.5 times a yem·, and this initiative will help<br />
promote cleaner, healthier teeth.<br />
BRAND VALUES<br />
Oral-B is a brand that is comrnitted to improving<br />
oral hygiene through its ground-breaking<br />
innovations and educational initiatives and, in<br />
pmtnership with the dental community, to setting<br />
new standm·ds in preventive dentistry.<br />
The brand is a world leader, not just in producing<br />
manual and power toothbrushes but across the<br />
whole range of oral cme products, wruch consumers<br />
m·ound the world know they can trust.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ORAL·B<br />
0 At 40,000 pulsations per minute, the<br />
Oral-B ProfessionalCm·e power<br />
toothbrush is the fastest pulsating<br />
toothbrush in the world.<br />
0 Oral-B toothbrushes were on bom·d the<br />
Apollo 11 mission, the first to land on<br />
the moon.<br />
0 Clinical studies show that a new<br />
toothbrush removes 30 per cent more<br />
plaque tba11 a three-month-old<br />
toothbrush a11d this is the message of<br />
Oral-B's annual 'Change of<br />
Toothbrush' Ca111paign.<br />
81
THE MARKET<br />
The healthy outdoor lifestyle enjoyed by most<br />
<strong>Australia</strong>ns has historically led to an above average<br />
incidence of dog ownership in <strong>Australia</strong>. Our rate<br />
of pet ownership is one of the highest in the world<br />
surpassing even traditional pet strongholds such<br />
as the US and UK.<br />
The pace and instability of modern life has<br />
further accentuated the relevance of owning a dog.<br />
Dogs are a welcome counterbalance to our stressful<br />
lives and are seen by many to be a symbol of family<br />
stability. It should therefore come as no surprise<br />
that many people are keen to ensure that their dogs<br />
receive the best care and attention in order to help<br />
improve the quality and length of their dog's life.<br />
Looking after man ' s best friend is big business<br />
in <strong>Australia</strong>. In 2002 the <strong>Australia</strong>n petcare market<br />
was worth over $2.6 billion with dog food<br />
accounting for over 40 per cent of this figure.<br />
With the rewards of owning a dog comes<br />
responsibility. Feeding a dog a well balanced diet<br />
is clearly necessary to keep him fit and healthy and<br />
dog owners have a huge variety of products to<br />
choose from in order to maintain their dog's health.<br />
As with human food trends, there is increasing<br />
demand for innovation within the category, such<br />
as functional foods that have specific health<br />
benefits.<br />
The PEDIGREE® range is at the very forefront<br />
of innovation in dog care constantly striving to<br />
develop products that deliver dogs the best<br />
possible chance at a healthy and happy life.<br />
ACHIEVEMENTS<br />
PEDIGREE is arguably one of <strong>Australia</strong>'s most<br />
successful iconic brands, coming in 12' 11 in AC<br />
Nielsen Top 100 <strong>Australia</strong>n Brands in the 2001<br />
survey. It is undoubtedly the leading pet food brand<br />
in <strong>Australia</strong>. It holds a commanding market share,<br />
has unprecedented brand awareness and is seen<br />
as a leader in nutrition and pet care.<br />
When MasterFoods <strong>Australia</strong> New Zealand<br />
Petcare division, formerly known as Uncle Ben's of<br />
<strong>Australia</strong>, began making prepared food for pets,<br />
only 5 per cent of <strong>Australia</strong>' s dogs and cats were<br />
fed some type of prepared food. Most people were<br />
in the habit of feeding their pets on food scraps.<br />
Today, prepared dog food offers complete nutrition<br />
and the vast majority of dog owning households<br />
feed their dog such meals.<br />
The company now has a market share of over 50<br />
per cent in the grocery market for petcare, and exports<br />
to more than 45 countries including markets as diverse<br />
as Japan, Canada, Switzerland and New Zealand.<br />
PEDIGREE PAL® has close to universal brand<br />
awareness among <strong>Australia</strong>n customers. It is<br />
known that PEDIGREE PAL is associated with<br />
expert recommendation, a company that leads the<br />
way in developing dog food and that it is an<br />
authority in Petcare. The product offers complete,<br />
balanced nutrition, and the PEDIGREE brand is<br />
instantly recognisable on the shelf with its strong<br />
yellow packaging.<br />
When PEDIGREE was first launched in<br />
<strong>Australia</strong> it offered a portfolio of products<br />
catering to different lifestyles of dogs. These<br />
included, among others, working dog and<br />
breeder formulas. In the early '90s the PEDIGREE<br />
'umbrella' brand was launched with the backing<br />
of Waltham Centre for Pet Care and Nutrition.<br />
PEDIGREE has continued to extend its portfolio<br />
of dog foods to cater for all kinds of feeding and<br />
snacking solutions necessary for puppies and<br />
adult dogs.<br />
HISTORY<br />
In the early days of domestication,,------;-----------------,--------:::---:-:-::--..<br />
the ancestors of pet dogs may well<br />
have been offered leftovers from<br />
human meals. They would have<br />
supplemented that through a<br />
combination of hunting, scavenging<br />
and foraging. In this way, they would<br />
have achieved a balanced diet. Today,<br />
of course, that is no longer possible<br />
- or at least it would be distinctly<br />
unpopular with the neighbours- and<br />
manufactured dog food has become<br />
the standard.<br />
Uncle Ben's of <strong>Australia</strong> first<br />
marketed products in <strong>Australia</strong> in<br />
1965. The success of this initial<br />
exercise resulted in the building of<br />
the company's Wodonga plant. The<br />
first <strong>Australia</strong>n-produced "PAL"<br />
(known as PEDIGREEPALsince the<br />
1990s) became available in 1967. The<br />
Uncle Ben' s of <strong>Australia</strong> dog food<br />
portfolio has grown rapidly since then.<br />
82
PEDIGREE is, in fact, the history of typesofdogs.Whateverageorsizeofdog,beit<br />
manufactured dog food in <strong>Australia</strong>.<br />
puppy, adult, mature, big or small, it should be<br />
fed a diet that suits its specific development<br />
THE PRODUCT<br />
needs.<br />
All products in the PEDIGREE meal range are 100<br />
per cent complete and nutritionally balanced.<br />
PEDIGREE products provide a complete and<br />
balanced diet specifically designed to ensure that<br />
the dog receives all the nutrients it needs to be<br />
happy and healthy.<br />
PEDIGREE PAL is the original 'dog food' and<br />
with recent product improvements is now even<br />
better thanks to tastier, meaty chunks that dogs<br />
really love. For the greatest breakthrough ever in<br />
dry dog food , PEDIGREE added moist meaty<br />
chunks to PEDIGREE MEATY-<br />
BITES®.<br />
RECENT DEVELOPMENTS<br />
Everyone is quite aware of the fact that a newborn<br />
baby or even a toddler does not eat exactly the<br />
same food as his parents. In the early stages of<br />
growth and development it is very important that<br />
puppies, like humans, get the nutrition they<br />
require to develop properly. Learning, playing<br />
and growing can be hard work. That is why<br />
puppy food must contain an appropriate mix of<br />
vitamins and minerals as well as the required<br />
energy levels.<br />
The PEDIGREE PUPPY<br />
PEDIGREEoffers arangeofhigh<br />
Pf]fQOD ONlY<br />
range has been specially<br />
quality foods to help dogs lead<br />
formulated to meet the<br />
happy, healthy lives. PEDIGREE<br />
nutritional requirements of L__ ____________________j<br />
contains meat because it 's a<br />
growing puppies and to loved first and foremost for what their owners<br />
natural source of protein that not<br />
only maintains strong muscles<br />
but also offers a taste that dogs<br />
encourage optimal growth and<br />
development. Each product<br />
also contains a unique blend<br />
perceive to be their unique personalities. The three<br />
most recent advertisements focus on the<br />
personalities of the lead dogs and in doing so<br />
love. PEDIGREE has<br />
of natural antioxidants that highlight one of the most rewarding aspects of<br />
developed Yitacoat®, a unique<br />
help maintain the immune owning a dog.<br />
blend of minerals and essential MINI MEATY-BITES4!> system, g iving puppies The first featured a boxer dog stealing a string<br />
100\ COMPlETE NIJIRITION FOR SMAll DOGS<br />
oils designed to help promote<br />
greater protection at this of sausages that he gave up for a can of PEDIGREE<br />
skin and coat health. PEDIGREE<br />
important time in their lives. PAL. The second saw an Hungarian Vizla so<br />
"''" BEEF & J·. . i<br />
also delivers an optimal balance<br />
VEGETABlES<br />
1 Puppies' specific nutritional impressed with the packaging benefits of<br />
& MINI MOIST<br />
of vitamins and minerals for<br />
MEA;UNK~ . .·· ,...,<br />
needs have been identified PEDIGREE Pouch that he buried a bone in an empty<br />
' . l'J .; -c"' .<br />
strong teeth and bone<br />
~- .,/~ .; 1-_<br />
quite clearly. It is very pouch. The most recent featmed a sniffer dog beagle<br />
development. Natural dietary<br />
~ N~§ I _ ' important to feed them a at the airport losing control at the discovery of<br />
fibre leads to a healthy digestion<br />
specially formulated puppy some PEDIGREE MEATY-BITES. These executions<br />
and smal ler stools. Finally,<br />
have proved to be most impactful and involving<br />
PEDIGREE helps to strengthen the immune system<br />
amongst the PEDIGREE target market.<br />
with a unique combination of antioxidants.<br />
All PEDIGREE foods are developed with<br />
Waltham® the world's leading authority on pet<br />
care and nutrition and has an established reputation<br />
amongst pet owners, breeders, veterinarians and<br />
academics alike. Waltham is committed to the<br />
advancement of the health, longevity and wellbeing<br />
of dogs worldwide, applying expe1tise to the<br />
development of innovative, high pe1formance dog<br />
foods.<br />
PEDIGREE has a wide range of products for all<br />
food because puppies need up<br />
to one-and-a-half times the energy of adult dogs of<br />
the same size. Young dogs also require special<br />
vitamins and minerals for strong teeth and bones,<br />
while higher protein levels are needed for strong<br />
muscles and growth. Additionally their immune<br />
systems need strengthening at this vulnerable time<br />
of growth.<br />
The company has also developed PEDIGREE<br />
Senior products especially to give older dogs the<br />
quality of life they deserve during their golden years.<br />
PEDIGREE Senior products provide a nutritionally<br />
balanced diet that responds to an older dog's<br />
developing needs, including lower<br />
activity levels and a more sensitive<br />
digestive system.<br />
PROMOTION<br />
PEDIGREE promotions for many<br />
years have been synonymous with<br />
the slogan 'Top Breeders<br />
Recommend It'.<br />
PEDIGREE advertising has<br />
consistently communicated its<br />
understanding of what dogs need<br />
and want in order to thrive. The<br />
company's outstanding knowledge<br />
and insight into a dog's nutritional<br />
needs means that it has been at the<br />
forefront of product innovation for<br />
this category. In 2002, PEDIGREE<br />
research indicated a need to make<br />
communications with the market<br />
more contemporary.<br />
In discussions with customers it<br />
was recognised that family dogs are<br />
BRAND VALUES<br />
The PEDIGREE brand vision is to be the brand of<br />
choice through superior delivery of the mainstream<br />
customer's wish to have a healthy, happy dog for<br />
life. PEDIGREE understands the friendship that<br />
exists between the owner and the dog and enhances<br />
this relationship by knowing dog and owner better.<br />
PEDIGREE goes beyond pure science to<br />
observe and understand what dogs need and want<br />
to thrive, including their relationship with people.<br />
PEDIGREE translates this unique knowledge and<br />
insight into foods that deliver a superior<br />
combination of visible health and enjoyment.<br />
®Registered Trademarks of Master Foods <strong>Australia</strong> New Zealand. ©MasterFoods.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
PEDIGREE<br />
0 PEDIGREE has been a major sponsor<br />
for <strong>Australia</strong>n Guide Dogs for the past<br />
35 years.<br />
0 Over half of all households which buy<br />
dog food, purchase PEDIGREE.<br />
0 There are approximately 3.97 million<br />
dogs in <strong>Australia</strong>.<br />
0 Pet owners make fewer annual doctor<br />
visits and spend less time in hospital.<br />
0 The average life of a dog is 11 years.<br />
0 There are currently 260 registered dog<br />
breeds in <strong>Australia</strong>.<br />
0 Labradors are the most registered dog<br />
breed in <strong>Australia</strong>.<br />
83
THE MARKET<br />
The global carbonated soft drinks market is one of<br />
the most hotly contested of all, with worldwide retail<br />
sales of Trade Mark Pepsi-Cola alone reaching $20<br />
billion annually. The popularity of PepsiCo<br />
products is stronger than ever with more than one<br />
out of every ten soft drink products sold worldwide<br />
being a PepsiCo product- totalling 44 billion lit.res<br />
per annum.<br />
In the United States, annual per capita<br />
consumption of carbonated soft drinks equals 188<br />
litt·es, making these the country's most popular<br />
beverage.<br />
In Western Europe, annual per capita<br />
consumption of carbonated soft drinks is closer to<br />
76 litres, but is growing steadily. Austt·alians'<br />
fondness for carbonated soft drinks is reflected in<br />
annual per capita consumption of 166 litt·es with<br />
carbonated soft drinks representing 55 per cent of<br />
total soft drink consumption.<br />
ACHIEVEMENTS<br />
Pepsi Cola beverages can be found around<br />
the globe in more than 195 countt·ies. Key<br />
markets include the US, China, India and<br />
Scandinavia. PepsiCo International also<br />
has a presence in emerging markets such<br />
as the Czech Republic, Hungary and<br />
Russia.<br />
The company prides itself on<br />
offering <strong>Australia</strong>n teens an<br />
oppmtunity to interact with some<br />
of the world' s and <strong>Australia</strong>'s<br />
biggest music artists and<br />
celebrities through its innovative<br />
music promotions. This included<br />
the unique music program, Pepsi<br />
Live, which aired for four years<br />
in <strong>Australia</strong>. The format has been<br />
used in a number of countries<br />
globally.<br />
Pepsi has been successfully<br />
positioned as a credible relevant<br />
cola choice for youth.<br />
The Pepsi logo, together with<br />
its famous globe icon, is ranked<br />
as one of the most recognisable<br />
logos in the world.<br />
HISTORY<br />
Mr Caleb Bradham could not<br />
possibly have expected Pepsi's<br />
future success when he<br />
developed his digestive aid in<br />
1886 made from carbonated water,<br />
sugar, vanilla and rare oils. It was<br />
sold locally in North Carolina as<br />
' Brad's Drink', but in 1898<br />
Bradham renamed his refreshing,<br />
energising beverage 'Pepsi Cola'<br />
and took it to a larger audience.<br />
The brand fared well over the<br />
next two decades but then<br />
shmtages of sugar and transportation,<br />
among other things, in<br />
World War I forced the company<br />
into bankruptcy. Charles Guth, the<br />
president of soda fountain chain<br />
Loft Industries, purchased a<br />
majority stake and put Pepsi into<br />
his stores. To economise, he used<br />
12 ounce beer bottles as<br />
containers. These initially sold for<br />
10 cents when the standard soft drink<br />
was a six-ounce and sold for<br />
five cents, a nickel. To boost sales, Guth cut<br />
his price to a nickel but kept Pepsi in the 12<br />
ounce bottles.<br />
In 1938, Walter Mack became president<br />
of Pepsi Cola and introduced new<br />
advertising backing the 12 ounce bottle<br />
with the jingle, "Nickel Nickel". The song<br />
became so popular that it was recorded<br />
in 55 languages. Renamed "Pepsi<br />
Cola Hits the spot", the tune was<br />
named immmtal by Life magazine<br />
in 1940.<br />
After World War II and into the<br />
1950s, Alfred Steele presided over<br />
an extended period of growth.<br />
Pepsi adopted standard pricing and<br />
a strategy to achieve a world class,<br />
sophisticated image, developing<br />
the distinctive "swirl" bottle and a<br />
new ad campaign, "Be Sociable,<br />
Have a Pepsi". This was the first<br />
Pepsi campaign to focus on young<br />
people.<br />
The stage was set for another<br />
advertising breakthrough. The<br />
baby-boom generation was<br />
heading into the future with<br />
optimism. Pepsi captured that spirit<br />
with a theme that stood the test of<br />
time - the Pepsi Generation. For<br />
more than 30 years, it was the<br />
common thread running through<br />
some of the most popular<br />
advertising around. The Pepsi<br />
Generation also introduced Diet<br />
Pepsi in 1964 with its own catchy<br />
jingle "Girlwatchers". That hit the<br />
Top40.<br />
As the '60s gave way to the<br />
'70s, Pepsi began to close the gap<br />
on its largest competitor.<br />
Innovations under CEO Don<br />
Kendall included the development<br />
of the fu·st two-litre bottle, along<br />
with plastic bottles that were lighter<br />
and stronger than glass.<br />
In the mid '70s, the Pepsi Taste<br />
Challenge was born. Consumer<br />
tests revealed that more people<br />
preferred the taste of Pepsi over the<br />
largest brand of cola, and soon the<br />
Challenge made its way into<br />
advertising.<br />
A long list of superstar·s have lent<br />
their magic to Pepsi including Michael<br />
Jackson, Tina Turner, Michael J Fox, Ray Charles,<br />
Cindy Crawford and more recently Kylie Minogue,<br />
Madonna, Britney Spears, Ricky Martin, Robby<br />
Williams, Enrique Iglesias and Beyonce Knowles.<br />
In 1998, Pepsi celebrated its 100' 11 anniversary<br />
and unveiled a new logo for the new millennium- a<br />
84
three dimensional globe against an ice blue<br />
background, which unifies the brand's graphic<br />
identification across the world.<br />
Today, the three dimensional globe has grown<br />
in its graphic presence on a new look logo on a<br />
"shard" background, themed across the entire Pepsi<br />
range to create a di stinctive Pepsi-look.<br />
THE PRODUCT<br />
PepsiCo International's focus on becoming the<br />
"Total Beverage Company" is the major<br />
reason for its success around<br />
the world, and the<br />
company sees huge<br />
potential for growth in<br />
the years to come while<br />
it reaches for this<br />
pinnacle.<br />
PepsiCo products in<br />
<strong>Australia</strong> include Pepsi,<br />
Diet Pepsi, Pepsi Max, 7UP,<br />
Diet 7UP, Caffeine Free Diet<br />
Pepsi, Mountain Dew,<br />
Gatorade and Propel.<br />
Internationally, best sellers are<br />
Pepsi, Pepsi Max, Diet Pepsi,<br />
Mountain Dew, 7UP and Gatorade.<br />
Other mar·kets have even wider portfolios. In<br />
the United States, PepsiCo also offers Sierra Mist,<br />
Wild Cherry Pepsi, Aquafina, Tropicana Juices and<br />
Sobe to name a few.<br />
RECENT DEVELOPMENTS<br />
In 1998, Pepsi launched its most aggressive attack<br />
on the $4.4 billion <strong>Australia</strong>n cola market- asking<br />
one rnillion young <strong>Australia</strong>ns to reassess their cola<br />
preference.<br />
The Pepsi Taste Challenge took to the<br />
streets that year with its blind, side-by-side<br />
taste test between Pepsi and its largest<br />
competitor. This youth-focused, streetbased<br />
sensory experience involved<br />
entertainment, interactive games,<br />
giveaways and highly visible vehicles.<br />
The Challenge was supported by the<br />
already famous "Let your Taste<br />
Decide" tagline.<br />
In <strong>Australia</strong>, PepsiCo<br />
International joined forces with<br />
Cadbury Schweppes in October<br />
2000, placing Pepsi in a strong<br />
position for growth on the back of<br />
the established distribution<br />
network, sales and manufacturing<br />
systems of the bottler. The<br />
partnership holds a 30 per cent<br />
shm-e of the <strong>Australia</strong>n carbonated<br />
soft drink market.<br />
At the beginning of 2001 ,<br />
PepsiCo International acquired<br />
Quaker Oats, adding the Gatorade<br />
and Tropicana brands to the<br />
international po1tfolio, bringing the<br />
company closer to becoming the<br />
world' s number one "Total<br />
Beverage Company".<br />
The company is now<br />
internationally and locally<br />
focusing on creating engaging<br />
and exciting advertising and<br />
promotional campaigns through its second to none<br />
line up of international stars: soccer player David<br />
Beckham, music artists Shakira, Britney, Pink and<br />
Beyonce.<br />
Pepsi in late 2003 signed up <strong>Australia</strong>n celebrities<br />
Holly Valance, HarTy Kewell and Chloe Maxwell to<br />
join the international line up, the locals featuring in<br />
the country's biggest-ever outdoor advertising<br />
campargn.<br />
Today, Pepsi Max is the focus of<br />
a new advertising and street<br />
sampling campaign focusing on<br />
20 to 30-something consumers.<br />
PROMOTION<br />
Staying on the leading edge<br />
of adve1tising and consumer<br />
promotions is the hallmark of<br />
PepsiCo International. In<br />
fact, the company is<br />
recognised worldwide as<br />
a leader in advertising,<br />
marketing, sales and<br />
promotional initiatives.<br />
Pepsi uses consumer promotions to deliver<br />
access to the best and biggest artists around the<br />
world, including the hottest <strong>Australia</strong>n talent, for<br />
its target: teens and young adults.<br />
The "Choose your music" promotion, in<br />
partnership with record company EMI and web<br />
company Excite, gave consumers the opportunity<br />
to create a personalised CD by choosing their<br />
favourite songs. The offer was a huge success,<br />
with 90,000 CDs distributed in just 12 weeks.<br />
The following summer, Pepsi offered consumers<br />
the opportunity to win tickets to major music<br />
festivals and concerts in the "We'll take<br />
you there" promotion.<br />
In 2003, Pepsi recorded another world<br />
first with its Pepsi stick-its promotion,<br />
offering teens the opportunity to collect<br />
ten stickers of international music artists<br />
featured on the inside of the label of<br />
600ml bottles of Pepsi, Pepsi Max and<br />
Diet Pepsi.<br />
BRAND VALUES<br />
Pepsi is about taste, choice and<br />
a feeling of youthful optimism.<br />
Daring its consumers to ask for<br />
moreoutoftheirown lives, being<br />
fun and bold is what Pepsi is all<br />
about.<br />
To ensure Pepsi remains the<br />
"coolest" brand in the eyes of<br />
teens, the company maintains a<br />
strong connection with<br />
something very important in<br />
their lives: music and<br />
aspirational celebrities.<br />
Through celebrities, Pepsi<br />
can connect with all kinds of<br />
teens in all walks of life. Pepsi<br />
makes this involvement credible<br />
by delivering the hottest and<br />
most relevant international and<br />
local music artists and<br />
celebrities. Such associations<br />
are strengthened through<br />
campaigns like the "Dare for<br />
More" outdoor adve1tising that ties into activity<br />
with radio partner DMG's Nova radio stations and<br />
on Pepsi's own progressive website<br />
www.pepsi.com.au. Pepsi has always been a little<br />
younger, more hip and more relevant than any of<br />
its competitors. That is what has helped keep it<br />
what it is today -simple, joyful refreshment.<br />
0<br />
0<br />
0<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
PEPSI<br />
In 1908, Pepsi-Cola became one of the<br />
first companies to switch its delivery<br />
fleet from horse-drawn car·ts to motor<br />
vehicles.<br />
A bottle of Pepsi took centt·e stage in a<br />
Cold War· summit in 1959 between<br />
Soviet premier Nikita Khrushchev and<br />
US vice-president Richar·d Nixon. The<br />
two men shar·ed a Pepsi at ar1<br />
international trade fair in Moscow. The<br />
meeting was photo-captioned in US<br />
media as 'Khruschchev Gets Sociable'<br />
in line with Pepsi's ad slogan at the<br />
time.<br />
In 1985, Pepsi made its first trip on the<br />
Space Shuttle, carried in a specially<br />
designed 'space can'.<br />
The winner of the Pepsi Space<br />
competition run in 1998/99 will be the<br />
first Austt·alian civilian to go into<br />
space. This Austt·alian comp was<br />
picked up by Pepsi all over the world.<br />
Pepsi has created more than 16 world<br />
firsts with the Pepsi Max Team tour,<br />
including one World Record officiated<br />
by the Guinness Book of Records -<br />
the most ever consecutive back flips<br />
on a vett ramp.<br />
85
THE MARKET<br />
3M created an entirely new market when it launched<br />
Post-it® Notes in 1980. It is hard to know how<br />
offices survived before 'Repositionable Notes'<br />
were invented. Go into any office today and<br />
computer terminals, doors, desks, and folders will<br />
be dotted with the familiar brightly-coloured notes.<br />
They have become an essential element of our<br />
working - and home - lives. Whether they are<br />
reminding us of the address for the next meeting or<br />
to 'Call Dave at 5 pm', the Post-it® Note is an<br />
example of a product we didn' t realise we needed<br />
until it was invented.<br />
Doing away with the need to scribble on pieces<br />
of paper and attaching notes with paper clips, Postit®<br />
Notes target any business which needs to<br />
remember, communicate and organise information.<br />
In other words, every business. According to 3M's<br />
research, secretarial is the largest slice of the Postit®<br />
Note market, with big users including education,<br />
management training and the small office/home<br />
office (SOHO) sector.<br />
Despite what everyone says about e-mail doing<br />
away with the hand-written word, 75 per cent of<br />
~ Notes!Notas 3M<br />
adults are described as 'note writers' or<br />
'messagers'. Of these, 56 per cent are heavy users<br />
of repositionable notes, 30 per cent are light users<br />
and 14 per cent don 't use them at all. Curiously, 71<br />
per cent of heavy repositionable note users are<br />
women. Women also go for the brighter coloured<br />
notes more than men, which partly explains why<br />
Post-it® Notes are now available in many more<br />
colours than the original Canary® Yellow.<br />
ACHIEVEMENTS<br />
The Post-it® Note was a genuinely<br />
important invention. Fortune Magazine<br />
recently recognised this when, in<br />
November 1999, it ranked the Post-it®<br />
(<br />
Note in its Products of the Century<br />
League. Alongside the paper<br />
clip, the Xerox photocopier<br />
and fax machine, the Intel<br />
microprocessor and the<br />
Apple Macintosh, 3M's<br />
adhesive note was judged<br />
to be a product that has<br />
helped to revolutionise<br />
the workplace.<br />
As with other brand names<br />
in the Fortune league - like Xerox and<br />
Hoover- the Post-it® is one of those rare trademarks<br />
which has gained fame the world over and is<br />
immediately identified with 3M's innovative<br />
repositionable yellow notes. That in itself is an<br />
enviable achievement and a formidable marketing<br />
position for any brand.<br />
Not surprisingly, brand awareness is very high,<br />
with 62 per cent spontaneous and 95 per cent<br />
prompted awareness.<br />
The Post-it® Note, and its inventor, Art Fry, have<br />
been suitably honoured over the years. Fry recei ved<br />
the Outstanding Alumni Award from the University<br />
of Minnesota, the Premio Smau Industrial Design<br />
Award from the Italian Design Association and was<br />
voted one of the best I 00 people in the world by<br />
Esquire Magazine. The product has even been<br />
celebrated in a book, called 'Rapid Problem Solving<br />
with Post-it® Notes'.<br />
HISTORY<br />
In the 1970s, 3M scientist Art Fry used to sing in a<br />
church choir on Sundays. His idea for the Post-it®<br />
Note came when he was looking for a way of<br />
organising musical scores and song sheets for the<br />
service. Making do with marks made from small<br />
slips of paper, he began to think of how he ideally<br />
needed a bookmark that would attach and detach<br />
lightly, stick without falling off and not damage the<br />
paper.<br />
Remembering an adhesive di scovered a few<br />
years earlier by another 3M scientist, Dr. Spencer<br />
Silver, Fry started to form his idea. Silver had been<br />
working on a project to create an extra strong<br />
adhesive, but, in the process, had inadvertently<br />
discovered a new 'low tack' glue. It had the peculiar<br />
characteristics of having a low adhesive capacity,<br />
yet was able to stick to paper pe1fectly and could<br />
be stuck and re-stuck without leaving a trace of<br />
adhesive behind.<br />
Fry ordered some of the adhesive and<br />
experimented putting some on the<br />
edge of a paper to make<br />
bookmarks. During the<br />
early stages of<br />
development, Fry stuck<br />
one of his new marks to a<br />
document, wrote a<br />
message on it, and sent it<br />
to hi s boss. His boss<br />
wrote a reply, and sent it<br />
back, attached to some other<br />
work. Later, the two realised<br />
they had inadvertently in vented<br />
a new communication tool.<br />
Thanks to a 3M policy of<br />
encouraging its employees to spend up to I 5 per<br />
cent of their time working on personal projects, Fry<br />
was able to concentrate on developing hi s idea,<br />
and, after eighteen months, presented it to the<br />
marketing department. As he had come up with a<br />
product that nobody realised they needed, the<br />
marketers needed some persuading. For a start, they<br />
had no idea how to test market it. Indeed, when it<br />
86
was test marketed in four US cities in 1977, the<br />
results were not good. However, some stores had<br />
seen extremely high sales. It turned out these were<br />
at places where samples had been given away free<br />
- al lowing people to try the<br />
product first.<br />
This persuaded 3M to<br />
launch a heavy<br />
consumer sampling<br />
campaign. The results<br />
showed that 90 per cent<br />
consumers who had tried Post-it® Notes<br />
said they would buy them. Soon after, in 1980, 3M<br />
launched the product nationwide in the US and<br />
followed with a launch into Europe.<br />
THE PRODUCT<br />
Nowadays, there is a lot more to the Post-it® Brand<br />
than yellow squares of sticky paper. There is now<br />
an entire product pmtfolio underthe Post-it® Brand<br />
name, offering a range of time saving solutions to<br />
meet various needs in the office and home.<br />
The original Post-it® Notes now come in square<br />
or rectangle-shaped, large or small format, pastel or<br />
neon colours, in pads, printed cubes or dispensers.<br />
Post-it® Flags evolved from the original Postit®<br />
Note idea and were launched in <strong>Australia</strong> in<br />
1988. Rather than being used as a communication<br />
tool, 3M found that some consumers were ripping<br />
up their Notes and using them to mark specific<br />
pages. With the introduction of Post-it® Flags, the<br />
task of organising, marking, colour coding, tabbing<br />
and filing paperwork became a whole lot easier.<br />
Post-it® Easel Pads turn walls into writing<br />
surfaces. They are giant sheets that can be stuck<br />
and re-stuck on walls without leaving traces, and<br />
are ideally used in group work sessions and<br />
brainstorms.<br />
Post-it® Memoboards are designed to keep<br />
documents within handy reach and important<br />
information within view without needing drawing<br />
pins or magnets to position them.<br />
Post-it® Cover-up and<br />
Labelling Tapes are white ';---: -':.-- c:c -:-::::<br />
repositionable adhesive tape, "'<br />
used for correcting<br />
documents or to cover<br />
sections before photocopying.<br />
Although the core<br />
business in the original<br />
Camuy® Yellow colour note<br />
remains strong, 3M is seeing , .,<br />
a lot of growth with other<br />
0<br />
Post-it® Products.<br />
RECENT DEVELOPMENTS<br />
The introduction of Post-it®<br />
Pop-up Notes is one of the biggest<br />
developments of the Postit®<br />
concept in recent<br />
years. Pop-up Notes are<br />
easy to use with one<br />
hand. When a single note<br />
is pulled out, another<br />
pops up ready for use.<br />
They come in a variety<br />
of dispensers, including a<br />
sturdy, weighted design that is<br />
less likely to 'walk' from the desktop<br />
than a normal pad of Post-it®<br />
Notes.<br />
The latest addition to the Postit®<br />
Branded Note stable is a range<br />
of products called "Super Sticky."<br />
Post-it® Notes were originally<br />
designed for use on paper based<br />
items, however due to our desire to<br />
place them on all kinds of smfaces like<br />
computer monitors, doors,<br />
telephones, car dashboards<br />
and household<br />
appliances, a note with 'more<br />
stick' was required. Post-it® Super<br />
Sticky has a new adhesive<br />
technology that provides greater<br />
adhesion to vertical surfaces like<br />
those mentioned above while still<br />
allowing for multiple clean removals.<br />
PROMOTION<br />
When Post-it® Notes were first<br />
launched, the dilemma of how to<br />
market a product nobody knew<br />
they needed was to turn to<br />
sampling. That way, people could<br />
see the benefits for themselves. After the success<br />
of large-scale sampling in the US , the UK was used<br />
as a test market in 1981 , with Post-it® Notes<br />
flooding London's business districts. They were<br />
received just as enthusiastically and the initiative<br />
spring-boarded the product's launch across<br />
<strong>Australia</strong> in 1984.<br />
More recently, 3M has used advertising in bold<br />
campaigns positioning Post-it® Brand as the brand<br />
of preference in terms of quality, leadership and<br />
emotional value to the end user. Now that there are<br />
several other repositionable note competitor brands,<br />
3M aims to invest in the integrity and 'miginalleader'<br />
position of its Post-it® Brand.<br />
Backing the promotional campaigns and product<br />
innovations such as Super Sticky and the Premium<br />
?;.,--------:--~==~-:o----...;;or----------------,<br />
ColourNoterange, is 3M's extensive use of<br />
market research. User interviews and<br />
focus groups are used to shed<br />
light on how people use the<br />
product. Recent research<br />
commissioned to gather<br />
information about colour<br />
preferences, for example,<br />
told 3M how hundreds of<br />
users rated and used<br />
different colour palettes.<br />
BRAND VALUES<br />
The Post-it® Brand promise is to provide products<br />
that deliver fast, friendly, repositionable<br />
communication and organisation tools to help get<br />
the job done.<br />
They are designed to meet specific needs, such<br />
as not forgetting anything, accessing information,<br />
communicating quickly and managing the paper<br />
trail.<br />
As the original brand in the<br />
repositionable notes sector, 3M<br />
attaches great importance to the<br />
integrity of its Post-it® Brand. The<br />
brand that appears on the<br />
packaging of every Post-it® Note<br />
is a symbol of reliability, quality and<br />
innovation. 3M has a tradition of<br />
innovation which is second to<br />
none and this value is strongly<br />
reflected in its most famous brand.<br />
For further information on the<br />
Post-it® Brand in <strong>Australia</strong>, contact 3M <strong>Australia</strong><br />
on 136-136 or access the web at www.3M.com.au.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
POST-IT®NOTES<br />
0 The formula for making the adhesive<br />
on Post-it® Notes is a closely guarded<br />
secret at 3M. Only a handful of<br />
scientists at the company know it.<br />
0 Over 400 Post-it® Note products are<br />
now sold in over 200 countries.<br />
0 The most common place to find a Postit®<br />
Note in an office is on a computer.<br />
0 A Post-it® Note travelled 4,800<br />
kilometres, through all weathers,<br />
attached to the back of a van.<br />
0 The original test marketing name of<br />
Post-it® Notes was the less catchy<br />
'Press and Peel Notes'.<br />
0 In Japan and China, Post-it® Notes are<br />
made in nruTow downwru·d stTips, to<br />
accommodate the writing styles.<br />
0 The most populru· Post-it® Note colour<br />
is ctmently neon pink.<br />
87
THE MARKET<br />
The <strong>Australia</strong>n milk market is worth<br />
approximately $2.8 billion a year. National<br />
Foods Limited leads both the white milk<br />
market and the flavoured milk market with<br />
38.2 per cent and 41.2 per cent volume<br />
shares respectively.<br />
There are four major segments in the<br />
<strong>Australia</strong>n milk market, based on<br />
butterfat content. 'Creamy' refers to<br />
milks with morethan4.2 percent fat while<br />
'milk' or 'regular' milk has a minimum<br />
requirement of3.2 per cent fat. 'Reduced<br />
fat' milk has less than 1.5 per cent fat<br />
and 'no fat' has less than 0.15 per cent<br />
fat.<br />
The average <strong>Australia</strong>n d1inks 96 litres of milk<br />
per annum, with 56 per cent of this being regular<br />
milk. Per capita consumption varies greatly between<br />
States, with South <strong>Australia</strong>ns consuming the most.<br />
Tasmanians consume the most regular milk per<br />
capita ( 66litres) and the most reduced fat milk (29<br />
litres). Queenslanders drink the most no fat milk<br />
per capita (8liu·es) and South <strong>Australia</strong>ns m·ink the<br />
most flavoured milks (25liu·es).<br />
ACHIEVEMENTS<br />
The Pura range commands 19.4 per cent volume<br />
share of total fresh white milk and dominates the<br />
reduced fat milk segment with 24.3 per cent volume<br />
share. Pura is the tenth highest performing grocery<br />
brand in <strong>Australia</strong> (Aztec 2003), making it the fourth<br />
largest food brand.<br />
Pura is the number one branded milk player in<br />
grocery with 16.6 per cent volume share of fresh<br />
white milk. Pura Light Start is <strong>Australia</strong>'s biggest<br />
selling reduced fat milk with a grocery<br />
volume market share of 19 per cent. Pura<br />
Tone is the nation's fastest growing no fat<br />
milk and the only brand of fresh white milk<br />
to be recommended by Weight Watchers.<br />
Leading the industry with innovation, National<br />
Foods launched PET recyclable milk bottles onto<br />
the <strong>Australia</strong>n milk market in December 1999. The<br />
1.1 litre recyclable bottle provides the benefit of<br />
pack clarity without the food safety issues of glass.<br />
Today Pura Milk, Pma Light Start, Pura Tone, Pura<br />
Gold and new Pma Boost are sold in this pack.<br />
National Foods owns some of <strong>Australia</strong>'s<br />
favourite, market-leading flavoured milk brands.<br />
Farmers Union Iced Coffee is <strong>Australia</strong>'s number<br />
one selling flavoured milk brand. Big M is the market<br />
leading flavoured milk in Victoria with a 61 per cent<br />
share, and is the largest flavoured milk brand on<br />
the east coast. Masters is the market leading<br />
flavoured milk brand in WA with a 60 per cent share.<br />
Classic leads Tasmania with 70 per cent market<br />
share. In South <strong>Australia</strong>, the brand is also strong<br />
with 22 per cent market share, second only to<br />
Farmers Union Iced Coffee.<br />
HISTORY<br />
The Pura brand was established in 1934<br />
when German farmer Albert Siebel<br />
purchased a dairy in Preston, Victoria and<br />
named it the Pura Dairy. From a one-cart<br />
dairy delivering to only a few streets, Pura<br />
grew to become the best known milk<br />
brand in Victoria. By 1964, Pura Dairy<br />
supplied 32 per cent of Melbourne's milk.<br />
In 1991 , the Pura Dairy combined with<br />
other food related entities to form National<br />
Foods Limited. Initially the company<br />
consisted of a number of dairy, juice and<br />
salt packaging businesses but it is now<br />
---~:'1 firmly focused on the dairy industry with<br />
a portfolio of leading brands in the milk,<br />
fresh dairy foods and specialty cheese markets.<br />
Today, National Foods is <strong>Australia</strong>'s largest and<br />
only national fresh milk processor, with an annual<br />
turnover in excess of $1.2 billion. It is li sted on the<br />
<strong>Australia</strong>n Stock Exchange and has production<br />
facilities and sales offices in every State.<br />
THE PRODUCT<br />
Pura offers the most extensive range of exciting,<br />
contemporary and nutritious milk products to meet<br />
the needs of all <strong>Australia</strong>ns.<br />
With its combination of natural vitamins, minerals<br />
and calcium, and containing less than 4 per cent<br />
fat, Pura Milk provides nourishment for the whole<br />
family.<br />
Pura Light Start, with only 1 per cent fat and 99<br />
per cent taste, offers healthy nourishment without<br />
compromising on taste. Just one glass of Pura Light<br />
Start provides nearly half of daily calcium<br />
requirements and the fresh taste makes it the<br />
preferred reduced fat milk in <strong>Australia</strong>. It has the<br />
tick of approval from the National Heart Foundation.<br />
There is no compromise on taste with Pura Tone.<br />
The brand combines no fat with a delicious, creamy<br />
88
flavour. Pura Tone is 40 per cent higher in both<br />
protein and calcium than regular milk, and offers<br />
the added benefit of 'no cholesterol.' It also has<br />
the Heart Foundation tick on every pack and is<br />
endorsed by Weight Watchers.<br />
Bone health has never been so important with<br />
<strong>Australia</strong>'s rapidly ageing population. In addition<br />
to calcium, Pura Boost contains Vitamin D and<br />
phosphorus - a unique combination of bone<br />
building nutrients designed to promote optimal<br />
bone strength. Ultra-high in calcium and low in fat,<br />
Pura Boost provides the natural benefits of dairy<br />
calcium and more with a delicious milk flavour.<br />
Pura Gold is the extra creamy milk that tastes<br />
deliciously rich. Pura Gold offers a creamy milk taste<br />
and is great for creamy coffee and baking.<br />
Pura Cafe makes a good coffee great. It is the<br />
milk developed exclusively to meet the specific and<br />
unique needs of discerning coffee lovers.<br />
Pura Classic is a distinctive brand of flavoured<br />
milk which is well known for its strong, smooth and<br />
real fl avours. Pura Classic is National Foods' only<br />
flavoured milk brand available in all States. There<br />
are 11 different Classic flavours available including<br />
two light products. A selection of these flavours is<br />
available in each State.<br />
Each year, <strong>Australia</strong>n flavoured milk drinkers<br />
consume in excess of 22 million litres of Farmers<br />
Union Iced Coffee. The Farmers Union Feel Good<br />
brand appeals to the health conscious consumer<br />
with its range of! ow fat flavoured milks that contain<br />
no added sugar.<br />
RECENT DEVELOPMENTS<br />
Pura Boost, the latest addition to the Pura brand,<br />
was launched in Western <strong>Australia</strong> in October 2002.<br />
This ultra-high calcium, low fat milk has captured<br />
over one-third of the growing calcium-enriched<br />
segment in this mar·ket, and is now also available in<br />
New South Wales and South <strong>Australia</strong>. The Pura<br />
Boost launch has been supported with a television<br />
commercial, and a heavy sampling and medical PR<br />
campaign that focuses on the impmtance of strong,<br />
healthy bones.<br />
A new television commercial was launched for<br />
Farmers Union Iced Coffee in August 2003. It<br />
features a crane driver going to extreme lengths to<br />
get his Far·mers Union Iced Coffee: 'It's a Farmers<br />
Union Iced Coffee or it's nothing'.<br />
The Masters Cows are back! A new Masters<br />
television commercial went to air in Western<br />
<strong>Australia</strong> in September 2003. It features the Masters<br />
cows working in a mechanics workshop called<br />
'Cowboys & Engines'.<br />
Big M has seen the launch of new products,<br />
new packaging and a new campaign. In October<br />
2003, Big M Light Chocolate and Iced Coffee<br />
var·iants were launched. These products ar·e 99 per<br />
cent fat free. New packaging maintains the boldness<br />
of the Big M logo, with a more vibrant look and<br />
feel.<br />
Finally, a new campaign was launched for Big M<br />
based ar·ound the idea that people feel as though<br />
they can do anything after<br />
consuming Big M<br />
flavoured milk. The<br />
commercials always<br />
feature a funny twist, and<br />
the tag line is " THINK<br />
BIG.. but not too big" .<br />
In line with the Classic<br />
promise and<br />
consumer interest in new<br />
flavours, French Vanilla<br />
Cappuccino was<br />
introduced in February<br />
2003. It is now one of the<br />
top selling Classic<br />
flavours nationally. The Classic packaging has been<br />
updated to strongly communicate<br />
the appetite appeal and the<br />
distinctiveness of each flavour<br />
variant. The new packaging<br />
maintains the strength of the<br />
Classic brand but offers a modern<br />
twist.<br />
PROMOTION<br />
National Foods invests in a broad range of<br />
adve1tising media to suppo1t the brands and build<br />
Waist not.<br />
brand values. Above-the-line media has seen<br />
contemporary television campaigns developed for<br />
Pura Light Start, Pura Tone, Pura Boost, Big M,<br />
Far·mers Union Iced Coffee, Classic and Masters.<br />
Pura Milk is the naming rights sponsor of<br />
<strong>Australia</strong>'s four day<br />
domestic cricket<br />
competition, the Pura<br />
Cup. Far·mers Union Iced<br />
Coffee and Masters<br />
sponsor AFL teams<br />
across <strong>Australia</strong><br />
including the Adelaide,<br />
Port Adelaide, West Coast<br />
Eagles and Geelong<br />
Football Clubs. In Rugby<br />
League, Pura Milk<br />
sponsors the Newcastle<br />
Knights and also has a<br />
strong relationship with<br />
NBL's Adelaide 36ers.<br />
National Foods also supports agricultural shows<br />
and lifestyle events such as the 'Melbourne Flower<br />
and Garden Show', 'Sydney in Bloom' and 'Floriade'<br />
in CanbeJTa.<br />
In 1993, Kieren Perkins signed a long-term<br />
sponsorship agreement to endorse Pura Light Start.<br />
This successful union has lead to the brand<br />
affectionately becoming known as 'Kieren' s milk.'<br />
Store level support is a major focus, with onpack<br />
promotions and point of sale displays. Pura<br />
store signage and point of sale material is seen<br />
across the nation in many milk bar·s, convenience<br />
stores and grocery outlets.<br />
BRAND VALUES<br />
Pura milks are founded on the core principles of<br />
freshness and quality. This is summed up clearly<br />
NATIONAL with 'Pure Fresh Pura.' St:rongfamily values<br />
FOODS of wholesome nounshment, trustwoJthiness<br />
"" •nd wellbeing ru-e reflected ;n the b"nd'<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
PURA<br />
0 Pura is Ausu·alia' s only national milk<br />
brand.<br />
0 National Foods has over one-third of<br />
the <strong>Australia</strong>n milk mar·ket- one in three<br />
<strong>Australia</strong>ns consumes a National<br />
Foods product each day.<br />
0 Approximately every fifth bottle or<br />
carton of fresh white milk sold in<br />
<strong>Australia</strong> is Pma.<br />
0 Pura Light Start is <strong>Australia</strong>'s leading<br />
reduced fat milk brand.<br />
89
THE MARKET<br />
Qantas is <strong>Australia</strong>'s leading domestic airline,<br />
operating more than 5,000 domestic flights a week<br />
and serving about 58 destinations in all states and<br />
mainland territories. Qantas operates nearly 540<br />
international flights every week, offering services<br />
to about 77 destinations in 32 countries. The airline<br />
serves major cities in the Asia/Pacific region, the<br />
UK, Europe, Nmth America, South America and<br />
southern Africa.<br />
International Air Transport Association (lATA)<br />
comparisons for the 2002 calendar year show that<br />
Qantas is the world 's I I ' 11 largest airline in terms of<br />
Revenue Passenger Kilometres (RPKs). The Qantas<br />
Group carried nearly 29 million passengers in 2003.<br />
It employs approximately 34,000 people worldwide.<br />
ACHIEVEMENTS<br />
Qantas has a widely acknowledged history of<br />
innovation. As early as 1958, it pioneered a roundthe-world<br />
service, with two Super Constellations<br />
circumnavigating the globe in opposite directions.<br />
In I 979 it was the first airline to introduce Business<br />
Class.<br />
Qantas has twice won the prestigious<br />
Cumberbatch trophy- awarded by the British Guild<br />
of Air Pilots and Air Navigators for safety and<br />
reliability.<br />
Qantas is committed to the highest standards of<br />
corporate social responsibility and is a proud<br />
financial and hands-on suppmter of a wide range<br />
of community, atts and sporting organisations. In<br />
April 2003, Qantas was awarded the inaugural<br />
Queensland Community Foundation Award in<br />
recognition of the company' s ongoing support of<br />
communities in need, with particular mention of<br />
Qantas' efforts following the tragic bombings in<br />
Bali in October2002.<br />
In 2003 Qantas and long-term partner UNICEF<br />
were awarded the <strong>Australia</strong>n Fi nancial<br />
Review Magazine's award for<br />
outstanding lo ng-term<br />
partnership.<br />
HISTORY<br />
Qantas was established by<br />
pioneer aviators Paul<br />
McGinness and Wilmot<br />
Hudson Fysh on their return<br />
from service with the <strong>Australia</strong>n<br />
Flying Corps in World War I,<br />
and grazier, Fergus McMaster.<br />
It was registered in Brisbane on<br />
I 6 November I 920. T he<br />
company takes its name from the<br />
initial letters in the words in<br />
the original registered title -<br />
Queensland and Northern<br />
Territory Aerial Services<br />
Limited. The company began<br />
its operations with joy rides<br />
and air taxi. flights. Regular<br />
scheduled airmail an d<br />
passenger services began<br />
on 2 November 1922, from<br />
Charleville to Cloncurry in<br />
rural Queensland. The<br />
journey of 923 kilometres<br />
took two days with an<br />
overnight stop at Longreach.<br />
In 1919 McGinness and<br />
Hudson Fysh were<br />
commissioned to find suitable<br />
landing grounds for a Great<br />
Britain-<strong>Australia</strong> air race. After<br />
completing the survey in a<br />
Model T Ford, they were<br />
convinced that air travel was the<br />
ideal alternative for crossing<br />
sparsely populated country<br />
where roads were almost nonexistent.<br />
McGinness soon<br />
pursued other interests, Fysh -<br />
later Sir Hudson - remained with the<br />
company for 46 yem·s. He was knighted<br />
in 1953 and retit-ed as Chainnan in 1966.<br />
Qantas has played a key role in the<br />
development of <strong>Australia</strong>n and<br />
international aviation. In 1928 it<br />
operated the first flying doctor service<br />
for the Reverend John Flynn' s<br />
<strong>Australia</strong>n Inland Mission. In 193 1<br />
Qantas made its first link with Imperial<br />
Airways (a predecessor<br />
of British Airways) when it<br />
catTied mail to Datwin as patt<br />
of an experimental <strong>Australia</strong><br />
UKservice.<br />
The yew· 1934 saw the<br />
formation of Qantas<br />
Empire Airways Limited,<br />
with Imperial Airways<br />
holding 50 per cent. The<br />
two airlines began regular<br />
<strong>Australia</strong>-UK services in<br />
December 1934, initially<br />
cm-rying only mail.<br />
A Qantas aircraft flew<br />
_ _, ••••• IJ:~....<br />
overseas fo r the first time in<br />
February 1935 when a DH86<br />
operated the Brisbane to<br />
Singapore section of the<br />
service, and the first Qantas<br />
overseas passenger left<br />
Brisbane for Singapore in<br />
April 1935. Four-engined<br />
Shorts 'Empire' flying boats<br />
brought new levels oflux.ury<br />
and comfort to the <strong>Australia</strong><br />
UKservicefromJuly 1938.<br />
THE PRODUCT<br />
All Qantas aircraft are<br />
maintained to the hi ghest<br />
standards and are flown by<br />
some of the world's most<br />
experienced pilots. Qantas<br />
also undettakes engineering,<br />
pilot and cabin crew training<br />
for customer airlines.<br />
Qantas' total fleet<br />
currently includes nearl y<br />
200 aircraft, with a core fleet<br />
of about 133 jet aircraft used<br />
on international and main<br />
national routes.<br />
With more than 3.8 million<br />
members, the Qantas Frequent<br />
Flyer Program is th e largest<br />
<strong>Australia</strong>n-based airline loyalty<br />
program. Frequent Flyer points can<br />
be redeemed for air travel on Qantas<br />
and pmtner oneworld airlines, hotel<br />
stays, and car hire companies.<br />
The Qantas Club progrmn provides<br />
members with access to a network of<br />
Qantas Club and associated lounges in<br />
<strong>Australia</strong> and m·ound the world. The<br />
lounges provide a quality environment for passengers<br />
to relax or do business before flying.<br />
In just five years, oneworld has established itself<br />
as the most global of the world's airline allimces. Cun-ent<br />
members comprise nine of the world's leading airlines<br />
- Qantas, Aer Lingus, American Airlines, British<br />
Airways, Cathay Pacific, Finnair, Iberia, LanChile and<br />
Swiss. The alliance provides services to some 575<br />
destinations in around 135 countries. In 2003, oneworld<br />
member airlines carried nem·ly 220 million passengers<br />
(equivalent to one in 30 of the world's population),<br />
flew some 2.25 billion miles (equivalent to around 12<br />
return trips to the sun) and operated around three<br />
million flights.<br />
90
The alliance's members work together to make<br />
travel across their combined networks as smooth<br />
as possible, through extensive codesharing and<br />
by locating close to one another at key connecting<br />
airports wherever possible. For more information,<br />
see www.oneworld.com<br />
Qantas Freight generates revenue in excess of<br />
A$700 million per annum. Qantas has been carrying<br />
freight since the airline' s inaugural service in<br />
November I 922 and uplifting international airmail<br />
since the airline's first international flight between<br />
Darwin and Singapore in February I 935.<br />
Freight capacity has been further increased on<br />
the Qantas network with the stmt-up of <strong>Australia</strong>n<br />
Air lines, an international, all economy class, full<br />
service CaiTier, in October 2002. <strong>Australia</strong>n Airlines<br />
flies to destinations in Japan as well as Singapore,<br />
Hong Kong, Indonesia and Malaysia.<br />
RECENT DEVELOPMENTS<br />
Qm1tas has invested in a $385 million dollar overhaul<br />
of its International Business Class, featuring the<br />
state-of-the-art sleeper seat, Skybed, and a range<br />
of other product and service<br />
enhancements that have set new<br />
stand ards for business travel.<br />
Skybed was designed by <strong>Australia</strong>n<br />
industri al designer Marc Newson<br />
and developed by USA-based<br />
manufacturer BE Aerospace in<br />
association with Qantas<br />
engi neering. It offers a sleek,<br />
contemporary design and a<br />
range of innovative features<br />
that provide maximum comfort,<br />
conveni e nce a nd flexibility for<br />
customers.<br />
In em·Iy 2004, Skybed won a ,<br />
Good Design Award from the<br />
Chicago Athenaeum Museum of<br />
Architecture and Design - one of the<br />
world's oldest and most prestigious<br />
international design awards.<br />
Qantas has also introduced a selfservice<br />
Business Bm·, again designed by<br />
Marc Newson, that offers a range of<br />
premium snacks and beverages, in<br />
addition to the regulm· meal services.<br />
A new mood lighting system has been<br />
designed exclusively for Qantas and is<br />
the first of its kind in the skies.<br />
Customers can also take advantage of<br />
the Qantas Short Message Service<br />
(SMS) system, also launched wi th the<br />
airline' s new International Business<br />
Class. The new Qantas system allows<br />
customers in all classes to send<br />
messages using their in-seat telephone<br />
handset, and also to receive replies - a<br />
service that is a world first. The service<br />
is being installed progressively on the<br />
airline's internationa1747-400s. Inflight<br />
customers can send messages of up to<br />
160 characters to any SMS compatible '--------~'--=~-------......~--='----___j<br />
mobile phone or email address. People receiving<br />
the messages on the ground can reply to the<br />
passenger inflight, using the normal reply facility<br />
on either their mobile telephone or e-mail function,<br />
with the reply automatically routed back to the<br />
originating seat. The new service gives customers<br />
access to fami ly, friends and business while flying.<br />
Other enhancements include new catering<br />
options designed by <strong>Australia</strong>n chef Neil Perry with<br />
health and express meal options, a "silver service"<br />
style of meal delivery, as well as a ran ge of<br />
refreshments available throughout the flight and<br />
prepared to order.<br />
Busi ness and First Class customers now also<br />
enjoy new luxury amenity kits. Qantas staff began<br />
wearing distinctive new uni forms designed by<br />
<strong>Australia</strong>n fashion designer Peter Morrissey<br />
in 2003. The uniforms m·e contemporm-y and<br />
stylish as well as durable, flexible and<br />
comfmtable. Balarinji Design Studio made<br />
an important contribution to the overall<br />
design with John a nd Ros Moriaty<br />
developing a new textile design, Wirriyarra.<br />
Balarinj i is the company behind the<br />
company's distinctive Aboriginal<br />
painted aircraft.<br />
BRAND VALUES<br />
Qantas is one of <strong>Australia</strong> ' s<br />
leading brands, with the<br />
kangm·oo symbol representing a<br />
proud history focused on reliability,<br />
safety, engineering excellence and<br />
customer service. These values have recently been<br />
recognised by many awards:<br />
Airline of the Year for 2004, leading international<br />
aviation magazine Air Transpmt World. Best Airline<br />
to the Pacific, New Zealand and Austral ia, the<br />
prestigious UK Travel Weekly Globe Awards. Best<br />
Airline (International, Domestic and Regional) and<br />
special awm·d for Outstanding Contribution by a<br />
Company, National Travel Industry Awm·ds (2003)<br />
and Best Airline (2002 and 1999). World Airline<br />
Entettai.nment Association Avion Awm·ds for Best<br />
Overall Inflight Entertainment (2003 and 2002).<br />
Wholesaler of the Year (Qantas Holidays), National<br />
Travel Industry Awm·ds (2003 and I 997-200 I). Best<br />
Cargo Airline to <strong>Australia</strong> by Air Cm·go News (2003 ).<br />
Best International Affi nity Card for the Qantas<br />
Telstra Visa Cm·d, Freddie Awm·ds (2002 and 2000).<br />
Best Airline in Australasia/Pacific, OAG UK Airline<br />
of the Year Awards (2002 and 2000). Banksia<br />
Environment Award to Qantas and Yisy for<br />
packaging and recycling of in-flight meals (2002).<br />
Airline with the best corporate image in both<br />
domestic and international categories by <strong>Australia</strong>n<br />
National Business Bulletin magazine (200 I).<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
QANTAS<br />
0 On average, a oneworld flight depm·ts<br />
or lands somewhere in the world every<br />
five seconds.<br />
0 A Qm1tas engineer invented the 'black<br />
box.' flight recorder.<br />
0 Hollywood superstar John Travolta<br />
became a Qantas staff member in<br />
June 2002, m1d em·ned hi s 747 wings.<br />
0 Qantas is the oldest continually<br />
operating airline in the world.<br />
0 The design on Wunala Dreat11.ing- the<br />
red Qantas 747-400 painted with an<br />
Aboriginal design- includes 1324<br />
irregulm· dots.<br />
0 A Qantas engineer invented the<br />
inflatable safety slide.<br />
91
HOME LOANS<br />
THE MARKET<br />
Buying a house is the biggest single<br />
purchase most people make and ,.,:;·,)':.,..,.,,:.._<br />
<strong>Australia</strong>'s rate of home ownership is<br />
among the world's highest. Currently,<br />
more than 70 per cent of the country's<br />
adult population is either buying a home<br />
or owns it outright.<br />
RAMS Home Loans was launched as<br />
a retail brand in 1995. Its prime objective,<br />
from the outset, was to give home buyers<br />
a competitive source of home finance.<br />
RAMS offered a flexible, customeroriented<br />
alternative to that provided by<br />
the banks which, at the time,<br />
monopolised the market and offered few<br />
if any loan options.<br />
Today, the <strong>Australia</strong>n residential<br />
mortgage market is one of the most<br />
competitive and innovative in the world.<br />
Since deregulation of the finance<br />
industry in the 1990s, mortgage<br />
specialists like RAMS Home Loans have .._--"-"-".::...:.t:'-"----"-.:__-"'"""'-'-----....::..:....=---...:!."---==~'----=<br />
excelled in this market by introducing<br />
unique and innovative products and g1vmg<br />
customers the options and service they have<br />
always wanted.<br />
ACHIEVEMENTS<br />
RAMS Home Loans has more than 70,000<br />
customers and a loan book of close to $7 billion.<br />
The Sydney-based company is now one of<br />
<strong>Australia</strong>'s largest non-bank home loan originators.<br />
The company prides itself on constant<br />
innovation, as expressed by the company's motto:<br />
A Better Way. This reflects its vigorous pursuit of<br />
a product portfolio relevant to customer needs,<br />
offering greater choice, more flexibility and easier<br />
access across the different sales channels.<br />
RAMS funds its loans through securitisation<br />
and was among the first in the <strong>Australia</strong>n and<br />
European markets to issue securities backed by<br />
<strong>Australia</strong>n residential mortgages. To date the<br />
company has undertaken 13 such issues. All<br />
RAMS' senior bonds have been awarded a triple<br />
A rating by the rating agency Moody's - the<br />
highest attainable.<br />
HISTORY<br />
RAMS Home Loans was founded by John<br />
Kinghorn and an association of dynamic individuals<br />
with expertise in marketing and finance. The<br />
<strong>Australia</strong>n entrepreneur took the bold step of<br />
entering the home loans market when it was<br />
completely dominated by <strong>Australia</strong>'s big four banks.<br />
By 2000, RAMS was the only mm1gage supplier<br />
to originate, service and fund all of its loans within<br />
<strong>Australia</strong>.<br />
RAMS Home Loans initially operated through<br />
its call centre, 13-RAMS (13-7267), its website<br />
www.rams.com.au and a team of mobile home loan<br />
managers. However, in 2000 RAMS recognised the<br />
growth of alternative distribution channels and<br />
their expected impact on the home loan market. To<br />
take advantage of this new development, the<br />
company entered the mortgage broker market and<br />
set up a dedicated business channel to support<br />
and service mortgage brokers selling RAMS' home<br />
loans.<br />
In just three years, the channel<br />
has expanded rapidly and,<br />
through its relationships with the<br />
major broking groups in<br />
<strong>Australia</strong>, now delivers a<br />
significant share of RAMS' total<br />
business volume. The rapid<br />
growth reflects RAMS' ability to<br />
provide a demanding, competitive<br />
market with the very highest<br />
levels of service and product<br />
innovation.<br />
RAMS Home Loans is now<br />
poised to extend its reach into the<br />
high streets of <strong>Australia</strong>, building<br />
on its existing e-sales (telephone/<br />
Internet), mobile and mo11gage broker<br />
distribution channels.<br />
THE PRODUCT<br />
RAMS has always been an innovator in<br />
mortgage products and service. The<br />
company regularly reviews its range to<br />
ensure it remains highly competitive<br />
while providing real choice and value and<br />
meeting the needs of all home loan<br />
customers.<br />
At the time of publication, early 2004,<br />
the company's loan portfolio includes:<br />
RAMS SmartWay Home Loan: an<br />
award-winning 'all-in-one' home loan<br />
RAMS Better Offset Home Loan:<br />
enabling customers to save interest<br />
every day with a full I 00 per cent offset<br />
RAMS Basic Line of Credit Home<br />
Loan: providing customers with access<br />
to their available credit at low interest<br />
rates<br />
RAMS Easy Start Home Loan: a<br />
discounted variable rate for the first three years of<br />
the loan<br />
RAMS Low Doc Home Loans: a choice of<br />
two home loans- a fully featured standard loan or<br />
an all-in-one loan -helping customers to obtain a<br />
home loan with a minimum amount of paperwork<br />
and fuss<br />
RAMS Basic Home Loan: a no-frills, lowrate<br />
loan.<br />
A number of value-added features are avai lable<br />
across the po11folio including redraw, I 00 per cent<br />
offset, loan splitting, pm1ability, on-line access and<br />
lifestyle options.<br />
Through its Homextra range, RAMS also offers<br />
92
a range of complementary products and<br />
services. These include credit<br />
protection insurance, silver and gold<br />
RAMS credit cards, and alliances with<br />
two in -house (but separate)<br />
companies that offer property<br />
conveyancing and investment<br />
property consultation.<br />
RECENT DEVELOPMENTS<br />
In 2002 RAMS opened two Home Loans Centres in<br />
Sydney on a trial basis. They proved extremely<br />
popular with customers who appreciated the ability<br />
to discuss their needs face-to-face with a RAMS<br />
Home Loans Manager.<br />
The trial clearly demonstrated the potential of<br />
this style of customer service to enhance the reach<br />
of RAMS Home Loans products. This led to a<br />
comprehensive review ofthe business and in early<br />
2003, RAMS announced the rollout of a new<br />
network of franchise RAMS Home Loans Centres.<br />
The Centres operate from major suburban and<br />
regional locations across <strong>Australia</strong> and significantly<br />
increase the coverage and accessibility of RAMS'<br />
products.<br />
Run as franchises, the Centres are owned and<br />
operated by successful local lenders working in<br />
partnership with RAMS Home Loans. They are<br />
fully supp011ed by the strength of the RAMS brand.<br />
The RAMS franchise model is unique in the<br />
marketplace and places the emphasis on customer<br />
retention and ongoing customer relationships. This<br />
is consistent with RAMS' commitment to ensuring<br />
the highest standards of customer service, not just<br />
at the beginning but throughout the life of a loan.<br />
The Home Loans Centres complement and<br />
enhance the existing sales channels and<br />
demonstrate RAMS' commitment to growing its<br />
presence in the highly competitive home loan<br />
market.<br />
The high level of interest received from potential<br />
franchisees is a positive endorsement of the RAMS<br />
brand and of the way the company does business.<br />
As a result, RAMS is cmTently tracking<br />
well ahead of its plan to open some 50<br />
Centres across <strong>Australia</strong> by the end of<br />
2004.<br />
In 2002 RAMS also announced a<br />
strategic relationship with Unisys, the<br />
worldwide information technology<br />
services and solutions company. Unisys<br />
provides RAMS with a market-leading<br />
technology infrastructure and customer<br />
servicing to support the needs of the growing<br />
business. The relationship enables RAMS to offer<br />
customers an enhanced quality of service as well<br />
as improving RAMS' speed to market and<br />
operational efficiencies.<br />
PROMOTION<br />
RAMS uses television, radio and other media to<br />
communicate with its target markets. RAMS has<br />
adve11ised extensively on both television and radio<br />
and achieved an extraordinarily high level of recall<br />
for its campaigns. These use real RAMS<br />
customers, talking about their home ~""'":~--l!!!!!lll ....<br />
loan experiences with RAMS and<br />
what they like about RAMS' people<br />
and products, to illustrate the core<br />
message of RAMS -A Better Way.<br />
The iconic 'Raymond the Ram' and<br />
the fluffy RAMS sheep slippers are used to<br />
create unique, readily recalled imagery that<br />
communicates the warm and friendly brand values<br />
synonymous with RAMS Home Loans.<br />
The RAMS brand is fm1her reinforced by the<br />
presence of the franchise Home Loans Centres and<br />
their marketing activities within their local<br />
communities. This will continue to grow as the<br />
network expands over the next 18 months.<br />
Through its sponsorship program, RAMS Home<br />
Loans actively suppm1s a wide range of community<br />
organisations and RAMS Home Loans Centres are<br />
encouraged to participate at a local level.<br />
RAMS is a major sponsor of Surf Educate<br />
<strong>Australia</strong>, a company dedicated to teaching children<br />
of both primary and high school age surf awareness<br />
and safety skills. This practical community smf<br />
education program is coordinated through schools<br />
in New South Wales, Queensland, Victoria and<br />
Western <strong>Australia</strong>.<br />
RAMS is also the naming rights sponsor of<br />
Athletics New South Wales. By developing and<br />
promoting athletics within the state, Athletics New<br />
South Wales plays an active part in the community<br />
providing programs and competitions that<br />
encourage participation, fitness and a healthy<br />
lifestyle, whilst helping many<br />
talented young individuals<br />
achieve their sporting dreams.<br />
A number of smaller<br />
organisations across <strong>Australia</strong><br />
also benefit from the RAMS<br />
sponsorship program.<br />
BRAND VALUES<br />
In less than ten years, RAMS<br />
Home Loans has become one of<br />
<strong>Australia</strong>'s most trusted financial<br />
services brands. Independent<br />
research shows that RAMS<br />
consistently achieves high levels<br />
of awareness and consideration<br />
and compares strongly with the banks, which<br />
sometimes have over 100 years of history in the<br />
market.<br />
RAMS aims to help its customers achieve lasting<br />
security through home ownership, by providing<br />
unrivalled service in every aspect of home-related<br />
finance. RAMS offers consumers 'A Better Way'<br />
by tailoring its products to suit their exact needs<br />
and recruiting staff and franchisees who can<br />
demonstrate their commitment to<br />
the brand and to RAMS<br />
customers.<br />
The RAMS brand is seen<br />
as warm, friendly, innovative,<br />
straight-talking and easy to<br />
deal with. This message is<br />
consistently reinforced<br />
throughout all RAMS marketing<br />
communications - from loyalty programs for<br />
existing customers to radio and other adve11ising<br />
to potential new customers.<br />
The achievements of the RAMS brand, its staff<br />
and business partners have been recognised by<br />
many industry awards; in the past two years, RAMS<br />
has won a total of S <strong>Australia</strong>n Mm1gage Awards.<br />
In 2003, RAMS won 'Best Brand' and 'Most<br />
Effective Internet Presence' and in 2002 won 'Best<br />
Retail or Franchise Operation', 'Best Advertising'<br />
and 'Sales Manager of the Year' .<br />
I<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
RAMS<br />
0 The RAMS website www.rams.com.au<br />
receives over 100,000 hits a month and,<br />
in 2002, was ranked as the second most<br />
visited <strong>Australia</strong>n mo11gage industry<br />
site by <strong>Australia</strong>n Mortgage<br />
Professional.<br />
0 In October 200 I, RAMS issued<br />
<strong>Australia</strong>'s largest ever domestic<br />
Residential Mm1gage Backed<br />
Seetuities (RMBS) transaction - an<br />
A$1.45 billion bond issue. In August<br />
2003, RAMS also issued <strong>Australia</strong>'s<br />
largest ever Euro RMBS transaction - a<br />
US$1.1 billion (equivalent) bond issue.<br />
0 RAMS is an acronym meaning<br />
'Registered <strong>Australia</strong>n Mm1gage<br />
Securities'. It is one of <strong>Australia</strong>'s<br />
largest p1ivately owned <strong>Australia</strong>n<br />
finance companies.<br />
0 RAMS was the first financial<br />
institution to use an alpha-numeric<br />
phone number to create brand recall<br />
and ease of response - '13 RAMS,<br />
that's 13 7267'.<br />
93
ALWAYS RELY ON<br />
REFLEX<br />
THE MARKET<br />
Rapid advances in technology and the consequent<br />
growth of office and home printers have<br />
consistently enhanced the role of paper in business.<br />
Today, paper is more relevant to consumers than at<br />
any time in its history: <strong>Australia</strong> alone uses more<br />
than 200,000 tonnes of office paper annually- the<br />
equivalent of 80 mill ion individual reams.<br />
Paper has also successfully built on its flexible<br />
support role in businesses and homes. The unique<br />
physical propetties of paper allow people to use it<br />
in highly individual ways making it a very human<br />
technology.<br />
With so many benefits, paper may seem an<br />
obvious product to brand, but when Reflex was<br />
released in 1984, the market was almost<br />
undifferentiated in the minds of consumers.<br />
Reflex changed this thinking with the brand<br />
proposition that papers weren't all the same and<br />
that consistent petformance was relative to quality.<br />
Reflex now leads the office papers market in<br />
<strong>Australia</strong> in terms of both market share and<br />
awareness (close to I 00 per cent across business<br />
and home segments).<br />
ACHIEVEMENTS<br />
On the back of an aggressive marketing campaign,<br />
which included the world's first television<br />
commercials for paper, Reflex was an almost<br />
overnight success. Within two months of its<br />
launch, sales at Associated Pulp and Paper Mills<br />
(APPM) had lifted 172 per cent against the same<br />
quruter in the previous year, with the Reflex brand a<br />
driving influence.<br />
The early years also saw the beginning of<br />
Reflex ' s commitment to meeting chru1ging<br />
consumer needs. Within a year<br />
of its launch, a new range of<br />
Reflex Colours was released.<br />
This spirit of constant<br />
evolution also saw the release<br />
of Reflex Laser for high-speed<br />
equipment in 1991, Reflex<br />
UniJetfor ink jet printers in 200 I,<br />
and new lines including Reflex<br />
35 per cent Recycled in 2002.<br />
HISTORY<br />
Invented in ancient China,<br />
paper is a natural product,<br />
which is recyclable,<br />
biodegradable,<br />
and<br />
manufactmed<br />
from renewable resources. Over<br />
1800 years, it has been refined into<br />
one of the world's most useful tools<br />
for generating and communicating<br />
ideas.<br />
Reflex began life as '127N Copy Paper'<br />
made by APPM at the Burnie Mill in Tasmania in<br />
the eru·Iy 1980s. In 1984, APPM relaunched 127N<br />
Copy Paper as Reflex.<br />
From the beginning, the company was faced with<br />
significant challenges, as copy paper was generally<br />
considered to be a commodity product. For APPM,<br />
this meant communicating Reflex's benefits to a<br />
mru"ket that had previously seldom differentiated<br />
between papers.<br />
The answer was a powerful integrated mru·keting<br />
campaign and for the first time in <strong>Australia</strong>n history,<br />
the office paper industry had a product that<br />
customers were asking for by name.<br />
In 1993, APPM became known as <strong>Australia</strong>n<br />
Paper and is now a subsidiru·y of the PaperlinX<br />
group. Since 1994 Reflex has been<br />
made at the Maryvale Paper Mill<br />
Victoria which is<br />
<strong>Australia</strong>' s largest<br />
paper-making<br />
complex.<br />
With a turnover in<br />
the 2002/3 financial yeru· of<br />
$1.1 billion, <strong>Australia</strong>n Paper and<br />
its suppliers employ more than 1700 full<br />
time workers, and a significant number of others.<br />
THE PRODUCT<br />
Reflex's success wasn ' t simply the culmination of<br />
a clever marketing campaign. It lived up to its<br />
advertising claims.<br />
Reflex has always been extremely reliable - a<br />
feature that has since formed the basis of its<br />
personality. It was a reliable performer, widely<br />
available, and it offered a good level of whiteness<br />
and excellent consistency from ream to ream.<br />
Reflex has always placed a strong emphasis on<br />
quality control, demonstrated in Reflex's 100 per<br />
cent guru·antee. The stringent testing begins when<br />
Reflex is in the paper machine. A processing<br />
scanner automatically measures paper grammage,<br />
thickness, moisture, and colour, 311d feeds the<br />
information to a central computer. Samples from<br />
each finished batch are then tested on latest<br />
technology printers and copiers to ensure<br />
petformance to the required standards.<br />
Another key to the br311d's success has been<br />
Reflex's commitment to change. Eru·ly in its braJ1d<br />
life, Reflex recognized that different papers were<br />
required for different tasks. During the technology<br />
boom, when people began printing and copying<br />
more documents at home and in the office, Reflex<br />
continued to create new products to satisfy<br />
consumer needs.<br />
By 1991, Reflex was available in three different<br />
weights, a rlli1ge of six colours, ru1d specialist<br />
vru·iations for high- and medium-speed laser printing,<br />
94
presentation and archival<br />
use.<br />
Customer service also<br />
remains an important part of<br />
the company ethic through<br />
the Reflex consumer hotline<br />
and branded website.<br />
RECENT DEVELOPMENTS<br />
Reflex continues to be<br />
proactive in identifying<br />
customer needs, and<br />
tailoring products to meet<br />
them.<br />
In 2002, extensive mru·ket and consumer research<br />
into paper usage patterns and attitudes culminated<br />
in the trial and subsequent release of six new Reflex<br />
lines.<br />
Among other things, the research found that<br />
many consumers preferred to print drafts and make<br />
corrections on hard copy. This led to the<br />
introduction of Reflex Draft-an economical, lighter<br />
weight paper ideal for draft documents.<br />
Similarly, research indicated that many<br />
customers were concerned about waste, yet<br />
unwilling to compromise on paper quality. This<br />
resulted in the creation of Reflex 35 per cent<br />
Recycled.<br />
Other new products include Reflex AS (ideal for<br />
memos and notes), Reflex 300-Sheet Handy Pack<br />
(for low volume users), Reflex 700-Sheet Bulk Pack<br />
(for high volume users), and Reflex Presentation<br />
I OOgsm (ideal for proposals, school projects and<br />
other impOitant documents).<br />
New products flow from the evolution of<br />
technology as well as market reseru·ch. Reflex Inkjet<br />
paper is produced in prutnership with a leading<br />
Japanese ink jet paper manufacturer and is designed<br />
to give customers superior results with colour inkjet<br />
printers.<br />
The Reflex pack has also evolved.<br />
Protection from moisture is an essential<br />
function of the Reflex wrapper, and an online<br />
video monitoring system automatically<br />
rejects any packs which fail to meet the<br />
strict tolerances.<br />
In mid 2002, the Reflex packaging design<br />
was reviewed. Shaped by broad consumer<br />
reseru·ch, the new design is simpler and more<br />
strean1lined, yet still instantly recognisable<br />
as Reflex. On-pack information has been<br />
carefully selected and arranged to<br />
convey the pack's contents<br />
as well as the Reflex<br />
guru·antee, consumer hotline<br />
and <strong>Australia</strong>n origin.<br />
To keep the brand at the<br />
forefront of quality, Reflex<br />
has invested more than $300<br />
million in world-class<br />
technology in the MS paper<br />
machine at Mru-yvale Mill.<br />
Reflex also recently<br />
upgraded its website into a<br />
knowledge centre. Awarded<br />
the prestigious Melbourne<br />
Advertising and Design Club<br />
Bronze Prize for Best<br />
Consumer Website in May<br />
2003, the website offers<br />
extensive tips on<br />
creating impressive<br />
documents, printing<br />
photographs at home,<br />
and other ways to<br />
make the most of Reflex<br />
paper.<br />
PROMOTION<br />
Since its launch,<br />
innovative television<br />
advertisements have<br />
been an impmtant prut<br />
of the Reflex mru·keting<br />
strategy. Reflex was the first brand in the world to<br />
advertise office paper through television, and by<br />
promoting the Reflex message- 'always rely on<br />
Reflex' -directly to the public, the advertisements<br />
helped win the hearts and minds of <strong>Australia</strong>n<br />
consumers.<br />
By necessity, the first television commercials<br />
were extremely low budget. The Chairman, which<br />
screened in 1984, was<br />
designed to be quirky and<br />
idiosyncratic to the point<br />
of self-parody. Because<br />
Reflex was a new brand,<br />
the aim was to create a<br />
highly memorable,<br />
branded campaign, and<br />
The Chairman achieved<br />
this- attracting a genuine<br />
cult following.<br />
Also extremely<br />
Never rely<br />
on Jason ...<br />
successful were the 1986<br />
Reflex Action television<br />
commercials- the genesis<br />
of Reflex's famous<br />
'always rely on Reflex'<br />
tagline. Shot before the<br />
advent of digital special effects, the set of<br />
four commercials (including the 'spinning<br />
chair' and 'falling ladder') were visually<br />
stunning, and created a great deal of<br />
awareness of the Reflex braJ1d.<br />
In 1996, Reflex first broadcast the<br />
fan1ous bungee jump advertisement, in<br />
which an office worker soru·s through the<br />
central well of an office building to lift a<br />
pack ofReflex from a deliveryman' s trolley.<br />
It was one of the most popular Reflex<br />
can1paigns, and was brought back for an<br />
encore in 2001 when it once<br />
again achieved excellent<br />
results.<br />
More recently, Reflex<br />
televised a series of<br />
commercials based ru·ound<br />
the premise that people in<br />
·offices might be unreliable,<br />
but it is possible to 'always<br />
rely on Reflex'. Created by<br />
M&C Saatchi, these<br />
advertisements featuring<br />
Jason, Zena and Adam<br />
have won several awards,<br />
including the 2002 Young<br />
Guns award for Best<br />
Direction, two ATV 2003<br />
trophies including Best Humour<br />
and a fmther ATV commendation for Commercial<br />
of the Year.<br />
BRAND VALUES<br />
Reflex understands that paper is an essentially<br />
hum311 and practical technology, and Australi311<br />
Paper has created products designed to match<br />
people's ch311ging needs. The Reflex br311d is<br />
focused on providing customers with the optimum<br />
range of Reflex products to achieve their business<br />
and personal goals.<br />
As an employer of many <strong>Australia</strong>ns, Reflex<br />
strives to be a brand that customers and the wider<br />
community can truly rely on- not just for its high<br />
quality products, but for community support<br />
through projects such as the <strong>Australia</strong>n Paper<br />
Making Tracks Program, developed in prutnership<br />
with the Conservation Volunteers of <strong>Australia</strong>. As<br />
the home of Reflex, the Maryvale paper mill<br />
operates according to strict EPA and community<br />
guidelines and internationally recognised ISO<br />
accreditation.<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
REFLEX<br />
More than 20 billion sheets of Reflex<br />
are made evet-y year. That's about 6<br />
million kilometres, or enough to circle<br />
the world 7 times. Over the life of the<br />
mill, Reflex will produce enough paper<br />
to go to the sun and back!<br />
Reflex ranks with Vegemite, Qantas and<br />
other <strong>Australia</strong>n icons in terms of<br />
brand awru·eness.<br />
Most Reflex is made on a $300 million<br />
paper machine at the Mru·yvale Mill<br />
neru· Traralgon in East Gippsland in<br />
Victoria.<br />
One reel of Reflex paper at the end of<br />
the machine takes about an hour to<br />
make, is 7 metres wide, 45 kilometres<br />
long and can be cut into almost I 0,000<br />
reruns of Reflex.<br />
The M5 machine at the Mru-yvale Mill<br />
has a maximum speed of 900 metres per<br />
minute.<br />
Reflex is continually tested in many<br />
makes of new copiers, printers and<br />
other office equipment to ensure it<br />
meets its high pe1formance standru·ds.<br />
95
THE<br />
ROYAL DOULTON<br />
COMPANY<br />
THE MARKET<br />
Pottery and ceramics are a strong<br />
indicator of the art and lifestyle of a<br />
given age. Indeed, archaeologists rely<br />
on pottery fragments to establish the<br />
level of sophi stication of past<br />
ci viJisations.<br />
Today, consumers are more<br />
demanding and discerning than ever<br />
before.<br />
The rise in home entertainment has<br />
been matched by the introduction of<br />
contemporary, functional tableware.<br />
At the other end of the spectrum, the<br />
decrease in traditional family meals<br />
and rise in solo eating, TV dinners and<br />
convenience foods have seen the<br />
companies extend their casual<br />
tableware ranges.<br />
When it comes to gifts, despite<br />
many alternatives, the cerarnic form is<br />
sought after as offering true qualities<br />
of heritage, traditional craftsmanship<br />
and real, long-lasting value. In fact,<br />
ceramic giftware has enjoyed<br />
considerable growth - gift-giving,<br />
home decoration and investment<br />
being the main motivations.<br />
The key markets worldwide for<br />
premium ceramic tableware are the UK<br />
and Continental Europe, North<br />
America, Asia Pacific and Australasia. In total the<br />
global market is estimated to be wmth more than $4<br />
billion.<br />
ACHIEVEMENTS<br />
The Royal Doulton Company is one of the world's<br />
leading manufacturers and distributors of premium<br />
ceramic tableware and giftware. Its illustrious brand<br />
names include Minton, Royal Albert and the core<br />
Royal Doulton brand. Each of these<br />
brands enjoys a long history of royal<br />
patronage and holds at least one royal<br />
warrant.<br />
With almost 200 years of heritage,<br />
the Royal Doulton Company is a thriving<br />
global organisation, with around $350<br />
million annual turnover, employing<br />
around 3500 people in its UK factory,<br />
Indonesian factory and numerous<br />
distribution operations worldwide.<br />
Approximately half of all sales are<br />
generated outside the UK.<br />
Due to the company's reputation for<br />
excellence in quality and design, Royal<br />
Doulton has secured a high degree of customer<br />
loyalty.<br />
In total, the Royal Doulton Company produces<br />
a range of 30,000 different items across a broad<br />
range of product groups. As well as the company<br />
having provided Royal Doulton devotees with their<br />
treasured collection pieces, its Royal Albert design<br />
'Old Country Roses' has become the world's best<br />
selling bone china tableware pattern,<br />
with over 150 million pieces having<br />
been sold since its introduction in<br />
1962.<br />
HISTORY<br />
Royal Doulton has been producing<br />
ceramic items for almost 200 years. As<br />
far back as 1815 the company's<br />
founder, John Doulton, began<br />
producing practical and decorative<br />
stoneware from hi s pottery in<br />
Lambeth, south London.<br />
His son, Hemy built the business,<br />
relocating it 60 years later to Stokeon-Trent<br />
in Staffordshire, England, in<br />
the region known around the world<br />
as 'The Potteries' . By 1901 the quality<br />
ofDoulton's tableware had caught the<br />
eye of King Edward VII who allowed<br />
the company to add the 'Royal' prefix<br />
to its name and awarded it the Royal<br />
Warrant. Now called Royal Doulton,<br />
the company expanded its production<br />
facilities and by the 1930s was<br />
involved in the manufacture of<br />
figurines and giftware.<br />
Royal Doulton was awarded the<br />
Queen's Award for Technical<br />
Achievement in 1966, for its<br />
contribution to china manufacture- the first china<br />
manufacturer to be honoured with this award.<br />
During the 1960s and 1970s Royal Daulton sold<br />
its drainpipe production interests and acquired<br />
Minton, which had begun china production in 1793,<br />
and crystal manufacturer Webb Corbett.<br />
In 1972, Royal Doulton was bought by the<br />
Pearson conglomerate and merged with Allied<br />
96
English Potteries adding a number of key brands,<br />
including Royal Albert.<br />
In 1993, Royal Daulton separated from its parent<br />
and became a public company listed on the London<br />
Stock Exchange.<br />
Royal Daulton has been available in <strong>Australia</strong><br />
since the early 1800s through agency agreements.<br />
A wholl y-owned Royal Doulton subsidiary was<br />
established in Sydney in 1952.<br />
THE PRODUCT<br />
The Royal Doulton Company has three principal<br />
brands: Royal Doulton, Royal Albert and Minton.<br />
Under the Royal Doulton brand the company<br />
offers a broad range of domestic tableware, as well<br />
as giftware and collectable figurines. The Royal<br />
Doulton brand is also featured on an extensive<br />
range of crystal stemware and giftware.<br />
Targetin g the junior<br />
members of the household,<br />
Royal Doulton also<br />
produces nurseryware<br />
including the well-loved<br />
'Bunnykins' range and the<br />
' Winnie the Pooh' collection.<br />
Royal A lbert, which<br />
trace it origin back to<br />
1896, has become an<br />
internationally recognised<br />
brand with a distinctive style,<br />
offering domestic tableware,<br />
crystal and gift items.<br />
The Royal Doulton<br />
Company's oldest brand is Minton.<br />
Since its inception in 1793, Minton<br />
has won a worldwide reputation for<br />
innovative and exquisite design.<br />
Minton is also famous for its intricate<br />
gold designs and special<br />
commissions. Many of these unique<br />
works of rut ru·e bought as heirlooms.<br />
RECENT DEVELOPMENTS<br />
Royal Doulton is in an important<br />
period of change in its history,<br />
currently implementing a three brand<br />
master strategy as a first step in<br />
repositioning the company's brands.<br />
New product development, global<br />
merchandising systems, in-store<br />
environments, product packaging<br />
and point of sale have all been<br />
identified as key to the branded<br />
development.<br />
The Royal Doulton Company<br />
has continued to do what it does best<br />
- produce top quality chinaware<br />
collections. The new ranges of casual<br />
dining-wru·e ru·e stylish, functional and user friendly,<br />
designed for modern lifestyles.<br />
The Licensing Division, created in the mid-1990s<br />
to propel the Royal Daulton brand into new product<br />
sectors, has achieved considerable success.<br />
Inspired by the company's rich heritage and design,<br />
licensed products include textiles, toiletries and<br />
'Bunnykins' giftwru·e.<br />
In <strong>Australia</strong>, Royal Doulton opened its first,<br />
stru1d-alone Doulton & Company store at Chatswood<br />
Chase, Sydney, in July 2001. The store creates<br />
a new retail experience with product displayed in a<br />
lifestyle setting.<br />
PROMOTION<br />
Mmketing the Royal Doulton Company's brands<br />
involves a variety of promotional techniques<br />
including magazine and newspaper adve1tising, a<br />
public relations program,<br />
direct marketing, in-store<br />
promotions and special<br />
events such as store visits<br />
by Michael Doulton, who is<br />
the company's ambassador.<br />
The company also runs a<br />
very successful tableware<br />
promotion for brides<br />
through bridal registries in<br />
major deprutment stores.<br />
International collectors'<br />
clubs have been established.<br />
In <strong>Australia</strong>, these clubs<br />
operate through selected<br />
stores and keep collectors<br />
informed about product (including exclusive pieces)<br />
and special events.<br />
The Royal Daulton Company also has a global<br />
website (www.royaldoulton.com).<br />
BRAND VALUES<br />
Around the globe, the Royal Doulton Company's<br />
product is valued for its sense of heritage and<br />
Engli shness. As one of the oldest and bestrecognised<br />
chinaware brands in the world, Royal<br />
Doulton has earned itself a reputation for excellence,<br />
quality and distinctiveness of design- values which<br />
it intends to build on to take the brand forwru·d in<br />
the new millennium.<br />
Prized by collectors the world over, Royal<br />
Doulton product has an international reach<br />
extending way beyond its English roots. To sustain<br />
its position, the Royal Doulton Compru1y' s<br />
emphasis for future brand growth centres on its<br />
ability to focus on people, to understand its<br />
customers and then to provide products which me<br />
relevant to their needs and lifestyles.<br />
www.royaldoulton.com<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
ROYAL DOULTON<br />
0 A single Minton plate can cost more<br />
thru1 $ 10,000 and will take one person<br />
up to three weeks to complete the<br />
raised paste decoration.<br />
0 The lru·gest ru1d most expensive figure<br />
made by Royal Doulton is Princess<br />
Badoura. The figure takes more than<br />
160 hours to hand-paint ru1d costs<br />
ru·ound $50.000.<br />
0 Royal Daulton's best-selling<br />
nurseryware range, Bunnykins, was<br />
designed by a nun, Sister Mru-y<br />
Bru·bru·a (Barbru·a Vernon), who was the<br />
daughter of Cuthbett Bailey the<br />
General Manager of the Royal Daulton<br />
factm-y in the 1930s. Bunnykins has<br />
been in production for over 65 yeru·s.<br />
0 Royal Doulton was the first china in<br />
space. China plates were carried on the<br />
inaugural flight of the space shuttle<br />
Discove1y, in 1984.<br />
0 There are Royal Doulton ceramics in a<br />
time capsule inserted into the base of<br />
Cleopatra's Needle, on the Thru11es<br />
Embankment in London.<br />
97
THE HEALTH FOOD COMPANY<br />
m~<br />
®<br />
THE MARKET<br />
Since commencing business in 1898, Sanitarium<br />
Health Food Company has been at the forefront of<br />
encouraging healthy eating and producing foods<br />
that "not only taste good but are good for you".<br />
Sanitarium's desire is to help people 'learn to stay<br />
well ' - the meaning of the word 'Sanitarium'. The<br />
Company advocated vegetarianism before it<br />
became trendy and was the first to introduce the<br />
concept of health food shops. It took the vision and<br />
co mage of Sanitarium's founders to promote, produce<br />
and sell health foods dw·ing an era when <strong>Australia</strong>ns<br />
consumed foods low in nutiitional value.<br />
Today, Sanitarium is credited with changing<br />
the way <strong>Australia</strong>ns eat, particularly at breakfast<br />
and through its promotion of healthy eating and a<br />
vegetarian diet. Its philosophy to produce healthy<br />
foods low in fat, salt and sugar while maintaining<br />
the highest level of value and appeal establishes a<br />
benchmark within the <strong>Australia</strong>n food indusuy<br />
ACHIEVEMENTS<br />
The most recognised brand in the Sanitarium<br />
stable is undoubtedly Weet-Bix®, which has<br />
remained <strong>Australia</strong>'s most popular breakfast cereal<br />
for over 35 years, in a market category wo1th more<br />
than A$857 million per annum.<br />
In 1999, the Company led the way in the breakfast<br />
food category with the introduction of Up & Go®a<br />
"liquid breakfast". It was developed to meet the<br />
demands of consumers with a busy lifestyle who<br />
might regularly skip breakfast. Up & Go has the<br />
goodness of two Weet-Bix and milk.<br />
In 1986, Sanitarium launched So Good and two<br />
years later it received world recognition at the<br />
International Food Exposition in Paris with the Sial<br />
D'or award for the most innovative beverage. So<br />
Good has held the position of <strong>Australia</strong>'s leading<br />
soy milk since its launch. The So Good range now<br />
includes eight variants that are available in chilled<br />
or convenient UHT format and a range of low-fat<br />
soy ice-creams.<br />
Since launching So<br />
Good in 1999 to the<br />
Canadian market, So Good<br />
quickly became the<br />
country's leading soymilk.<br />
So Good is also fast<br />
becoming a successful<br />
brand in the UK.<br />
Sanitarium Development<br />
and Innovation,<br />
located at Cooranbong<br />
(NSW), is a renowned food<br />
research and development<br />
facility in the Asia Pacific<br />
regton.<br />
The Sanitarium<br />
Nutrition Service has a<br />
team of qualified nutritionists<br />
and dieticians who<br />
provide free advice to<br />
<strong>Australia</strong>'s health professionals and consumers on<br />
healthy eating choices and promote a diet high in<br />
fruit, vegetables, legumes, nuts and wholegrain<br />
foods. A range of leading Sanitarium vegetarian<br />
products supports this healthy living philosophy.<br />
HISTORY<br />
In the early 1800s a small group of Seventh-day<br />
Adventist immigrants began importing products<br />
from the then famous Battle Creek Sanitarium in<br />
Michigan, USA where Dr John Harvey Kellogg<br />
produced a range of health foods including cereals.<br />
As the popularity of these types of products grew,<br />
it was decided to establish the Sanitarium Health<br />
Food Company. In 1898, Edward Halsey was<br />
commissioned as Sanitarium's first baker, and from<br />
a rented bakery in Melbourne he commenced<br />
making the Company's first peanut butter which<br />
sold initially in tins and was originally marketed as<br />
'Betta' PeanutButter.<br />
A range of ready-to-eat breakfast cereals was<br />
quick to follow and included Granose (an<br />
unsweetened forerunner<br />
to Weet-Bix)<br />
and Granola (a cereal<br />
made from wheat, oats,<br />
maize and rye) which<br />
were unlike anything<br />
previously available to<br />
the consumer.<br />
Sanitarium Health<br />
Food Company was<br />
otlicially registered on<br />
April27, 1898.<br />
Later that year,<br />
with demand<br />
increasing rapidly,<br />
the fledgling company<br />
relocated to<br />
larger premises at<br />
Cooranbong, a<br />
rural area south of<br />
Newcastle in New<br />
South Wales.<br />
Edward Halsey<br />
installed the<br />
baking equipment<br />
in a large disused<br />
D No animal tal<br />
sawmill. The stage<br />
D High In calcium<br />
D No cholesterol<br />
was set for the<br />
Company to<br />
expand.<br />
In the following year, Edward Halsey was<br />
transferred to New Zealand where he began making<br />
the fu·st batches of Granola, Caramel Cereal (a coffee<br />
substitute) and bread in a small wooden shed in the<br />
Christchurch suburb of Papanui.<br />
In the 1920s, Sanitarium faced a challenge to<br />
Granose from a new sweetened flake biscuit called<br />
Weet-Bix, introduced by a company called Grain<br />
Products. In October 1928, the two companies<br />
decided to call a tiuce and Sanitarium acquired Grain<br />
Products, and made the Weet-Bix brand its own.<br />
During the 1920s, Sanitarium was the first to<br />
introduce <strong>Australia</strong>ns to a savoury yeast spread<br />
called Marmite. Originally impmted from the United<br />
Kingdom, it has been manufactured by Sanitarium<br />
since it secured the secret formula from the English,<br />
100
._<br />
just before World War II.<br />
Since those days the<br />
Company has grown until,<br />
today, it has 12 manufacturing<br />
and distribution sites<br />
throughout <strong>Australia</strong> and New<br />
Zealand making over I 00<br />
products and employing<br />
approximately 1700 people.<br />
THE PRODUCT<br />
Sanitarium offers a<br />
substantial range of<br />
health foods to the<br />
discerning, healthconscious<br />
consumer. Its<br />
range of breakfast cereals includes<br />
Weet-Bix (of course), Weet-Bix Crunch launched<br />
in 2004, Fruity Bix, Skippy Cornflakes, Light 'n'<br />
Tasty, Honey Weets and Ricies.<br />
So Good represents a range of soy milk products<br />
including So Good Ice-Cream. The Sanitarium range<br />
also includes Marmite and Peanut Butter, a range<br />
of prepared vegetarian foods and various speciality<br />
products.<br />
RECENT DEVELOPMENTS<br />
Sanitarium Health Food Company is unique among<br />
food manufacturers for its emphasis on nuu·ition<br />
and health education and its long-standing supp01t<br />
for the well-being of <strong>Australia</strong>n communities. The<br />
Company shares with its employees a commitment<br />
to retaining its original community support<br />
orientation.<br />
Sanitarium, established by the Seventh-day<br />
Adventist Church in <strong>Australia</strong> distributes its profits<br />
to the church for charitable purposes. The church<br />
in <strong>Australia</strong> operates medical and educational<br />
facilities and assists with community development<br />
and crisis response through the Adventist<br />
Development and Relief Agency (ADRA) and<br />
ADRAcare. Other community projects include<br />
family counselling and support for families in crisis;<br />
services for the blind including Summer Camps for<br />
children; 'stop smoking ' education, Aboriginal and<br />
Torres Strait Island community health support and<br />
education.<br />
In addition, Sanitarium gives generous<br />
donations, in-kind product support and encourages<br />
its staff to get actively involved in support of<br />
community activities.<br />
As part of its program to encourage a healthy<br />
community the Company conducts the Sanitarium<br />
Weet-Bix Kids TRYathlon series. The event is<br />
was done together with<br />
retailers, and consisted of little<br />
more than dressing<br />
windows and putting<br />
goods on display.<br />
The very first press<br />
advertisement for<br />
Sanitarium health<br />
foods appeared in<br />
Mel bourne's ' The<br />
Bible Echo' but in<br />
October of 1922, the<br />
decision was made to<br />
begin placing 'fair-<br />
~~ sized' advertisements<br />
in the leading<br />
newspapers in capital cities<br />
and some larger towns. The first official cm11paign<br />
began later that year. By the mid-1920s, the<br />
Sanitarium nmne had become a well-recognised<br />
pmt of the commercial world.<br />
A promotional practice, for which Sanitarium<br />
was to become famous, inserting collector cm·ds in<br />
boxes of Sanitarium Weet-Bix, began in 1942 and<br />
continues today. The cards, which were issued<br />
progressively to form series, were designed with<br />
an educational focus.<br />
Television advertising for Sanitarium products<br />
began appearing in the early 1960s. Mrs Joan<br />
Bateman presented weekly TV segments called<br />
' Taste for Food', demonsu·ating vegetm·ian cooking<br />
techniques using the Company's products.<br />
Television remains a major part of today's<br />
promotional activities for Sanitarium, with<br />
campaigns involving the <strong>Australia</strong>n Cricket Team.<br />
BRAND VALUES<br />
Sanitarium is more than just selling food and<br />
making a profit. Its core values are centred on<br />
encouraging people to enjoy happy, healthy lives.<br />
The Company remains u·ue to the reason it was<br />
established more than a century ago by the<br />
Seventh-day Adventist Church.<br />
www.sanitarium.com.au<br />
_<br />
............ _,_..,.. ...... -........ -.<br />
n.- .,~oo ... --.-.. _..~ .... _ ..<br />
.............. -~· ... ~ ... WU'I~1 ... ~ ... ~.at .... v ...<br />
... •. ..__ ........ .... "" ..... -ol<br />
........ _., ... ___ ~..._<br />
....... .<br />
... ............ -~- .... tV-1. .. .....<br />
..,. ... u..~o~ .... M.. . ....... -~...-.. .... -<br />
Wffl' __ .. ,......., .. _ .......,...._ ... ~<br />
WEET·BIX<br />
Vitamin Fortified whole wheat biscuits<br />
designed to provide a positive and fun sporting<br />
experience to encourage healthy living amongst<br />
kids. This fam.ily-orientated event attracts up to<br />
10,000 participants and many more supporters<br />
around <strong>Australia</strong> and was established in 1999.<br />
In 2004, the <strong>Australia</strong>n Red Cross and<br />
Sanitarium announced a pmtnership to expand<br />
nationally the Good Start Breakfast Club, a<br />
community progrm11 conducted by the <strong>Australia</strong>n<br />
Red Cross to provide a healthy breakfast each<br />
morning for kids in m·eas of most need.<br />
PROMOTION<br />
Since the very beginning, the Sanitarium Health<br />
Food Company's philosophy with advertising has<br />
been governed by the overriding principles of<br />
reliability, trustwo1thiness and good nutrition.<br />
ln the em·ly days, the best forms of promotion<br />
were word-of-mouth recommendations as well as<br />
referrals from doctors and chemists, since the foods<br />
were sold on their health benefits.<br />
Prior to 1920, most of Sanitarium's adve1tising<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
SANITARIUM<br />
0 Sanitarium is I 00 per cent Ausu·ali
Schic<br />
G<br />
ET REA<br />
D<br />
v<br />
THE MARKET<br />
The razor blade market in <strong>Australia</strong> is<br />
cwTently valued at approximately $163<br />
million split between replaceable razor<br />
blades ($89m), disposable razors ($57m)<br />
and razors ($16m). Around 143 million<br />
blades are used each year by the wet<br />
shaving population which is<br />
approximately 74 per cent of all male<br />
shavers.<br />
The past few decades have seen some<br />
fairly dramatic technological changes in<br />
the wet shaving market. In the early<br />
1960s the market was dominated by<br />
carbon steel double blades, slowly<br />
replaced by stainless steel towards the<br />
end of the decade. The 1970s saw the first systems<br />
products evolve and the introduction of the<br />
disposable razor. The first half of the 1980s was the<br />
era of the disposable as they became widely<br />
available in all forms- single blade, twin blade, fixed<br />
and swivel heads. The late 1990s welcomed the<br />
introduction of the triple blade in systems and<br />
disposable razors, and razor handles designed<br />
specifically for women. The new millennium has<br />
seen significant technological advancements, led<br />
by Schick, namely with the introduction of the<br />
world's firstALL-IN-ONErazorforwomen, which<br />
eliminates the need for shaving gels, foam or soap.<br />
ACHIEVEMENTS<br />
One of the early noteworthy accomplishments of<br />
the Schick Shaving Products Group was the<br />
development of a one-push cleaning feature to aid<br />
In removing debris from<br />
between blades. Clean blades<br />
mean longer lasting blades and<br />
a closer shave.<br />
Many razor systems<br />
produced by the Schick Shaving<br />
Products Group have a comfort<br />
or lubricating strip located on<br />
the cap above the blades. These<br />
strips, some of which contain<br />
aloe, are made from watersoluble<br />
polymer. When<br />
activated by water they provide<br />
lubrication that makes the shave<br />
more comfortable by reducing<br />
the friction between skin and<br />
blade. These innovative<br />
materials are safe to the<br />
consumer and effective in<br />
improving shaving comfort.<br />
In an effort to develop an<br />
extremely safe shaving system the blades in<br />
some products are wrapped with very thin wire.<br />
Patented Microfine Wire Wraps protect<br />
the skin from nicks, cuts and irritation<br />
while providing the closeness the shaver<br />
needs.<br />
Another major development in the<br />
shaving arena is the flexible cartridge. A<br />
sophisticated design and special materials allow<br />
the blades to flex to the contours of the area being<br />
shaved. The innovative flexing action of the twin<br />
blade cartridges shaves like no other system and<br />
conforms to the unique shape of every face.<br />
Closeness is the most cited criteria in the<br />
shaving process, and the introduction of triple<br />
blades to the razor category has tapped into this<br />
consumer need. This technological advancement<br />
ensures the three blades are positioned<br />
on the skin at the optimum cutting angle<br />
to ensure triple blade closeness with<br />
reduced irritation during the shaving<br />
process.<br />
The world fust ALL-IN-ONE shaver<br />
has created a shaving revolution for<br />
women, as it allows users to lather and<br />
shave in one simple step. After many<br />
years of research, this product delivers<br />
what women are looking for - a simplified<br />
shaving process.<br />
HISTORY<br />
Schick traces its origins to the inventive<br />
US Army Lieutenant Colonel Jacob<br />
Schick. He retired from the military in<br />
1910 but then returned to service at the<br />
staJt of World War I. In 1921, inspired<br />
by the army repeating rifle, Colonel<br />
Schick invented a new type of safety<br />
razor- the Magazine Repeating Razor. It<br />
had replacement blades stored in the<br />
handle ready to be fed into shaving<br />
position without the chore and danger<br />
of handling a sharp blade. Production of<br />
this innovative razor started in Jersey<br />
City in 1926. This razor was the<br />
forerunner to the famous Injector Razor.<br />
In 1927, Schick sold all his interest in the<br />
Magazine Repeating Razor Company to<br />
the president of the American Chain and<br />
Cable Company.<br />
In 1946, Eversha~·p, Inc. acquired the<br />
R a z o r<br />
Company and<br />
renamed it the<br />
Schick Safety<br />
R a z o r<br />
American<br />
and Cable manufactured<br />
when Schick set up its own manufacturing<br />
operations in Bridgeport, Connecticut. In 1961,<br />
Schick moved its manufacturing facilities into its<br />
present home in Milford, Connecticut, now the<br />
headquarters of the Shaving Products Group. The<br />
following yems were busy ones for Schick as it<br />
introduced many innovations. In 1963, Schick<br />
became the first US manufacturer to sell stainless<br />
steel blades coated with teflon. This non-stick<br />
material improved comfort by reducing friction<br />
during the shave. Five yea~·s later, Schick pioneered<br />
102
another innovation when scientists succeeded in<br />
depositing a thin layer of chromium to the blade<br />
edge, making it more durable. In 1970, Schick was<br />
acquired by Warner Lambert, where steady technical<br />
progress continued. In 1993 Warner Lambett Schick,<br />
merged with Wilkinson Sword, to create Schick<br />
Wilkinson Sword. Globally the dominant brand<br />
name in each country is used. In <strong>Australia</strong>, for<br />
example, it is Schick and in Europe it is Wilkinson<br />
Sword. In 2000, Pfizer Pharmaceuticals purchased<br />
Warner Lambett, and in 2003 sold off the Schick<br />
business to its current owners, the Energizer Battery<br />
Company.<br />
THE PRODUCT<br />
To obtain the very best in shaving products, it is<br />
essential that each process be carried out within<br />
closely specified limits. In all Schick manufactming<br />
sites this is ensured by strict quality checks carried<br />
out at each stage of the production process. The<br />
in spection procedures include visual and<br />
microscopic examinations, chemical and<br />
metallurgical testing, physical testing of blade<br />
strength and durability, and electronic video<br />
inspection systems.<br />
However, the final assessment of shave quality<br />
rests with the shaver. All shave testing is conducted<br />
using humans as test subjects. Thousands of men<br />
and women participate in shave testing of all<br />
product lines every day. Local shave panels<br />
evaluate the quality of the manufactured products<br />
before they leave the building on their way to the<br />
consumer. Other panels evaluate production from<br />
all manufacturing facilities to ensure consistent<br />
quality across plants.<br />
RECENT DEVELOPMENTS<br />
Approximately half of Schick's sales me derived<br />
from products introduced over the past ten years.<br />
The launch campaign, for the FX razor with flexible<br />
blades in 1991 , featured the chmacter 'blockhead'<br />
and the slogan 'Schick ... changing the face of<br />
shaving'. Abillia~·d ball was used as a demonstration<br />
device to show how the flexible blades follow the<br />
contours of the ball and hence of the shaver's<br />
face. This device is still recalled by<br />
consumers today.<br />
Schick entered the women's blade<br />
ma~·ket in 1995 with the Schick Silk<br />
Effects Razor. This razor featured<br />
I n t u t<br />
unique pivoting twin blades with<br />
microfine guard wires which guide the<br />
razor evenly over the skin to protect<br />
against nicks and cuts even over<br />
difficult areas such as<br />
knees, ankles and<br />
underarms. The razor<br />
was the first designed<br />
specifically to meet<br />
women's needs - not<br />
just an adaptation of a<br />
man' s razor.<br />
In 1996 the FX<br />
Performer was<br />
launched. A razor<br />
designed for<br />
extreme closeness<br />
and comfort, it<br />
introduced the<br />
revolu -tionary<br />
technology of a rubber<br />
'skin guard'. The patented 'skin guard' is<br />
designed to stretch the skin and cushion the impact<br />
of the blades, providing an even smoother, closer<br />
shave.<br />
In 2002, Schick introduced Xt:reme 3 Disposables,<br />
the world's first triple blade disposable razor, and it<br />
still is the only triple blade disposable in <strong>Australia</strong>.<br />
The Xtreme 3 razor kit with replaceable blades<br />
entered the ma~·ket in late 2002. The patented blade<br />
balance technology positions all the three blades<br />
on the skin at the optimum cutting angle for reduced<br />
iiTitation<br />
Most recently, 2003 saw the launch of the new<br />
women's razor: Schick Intuition, which lathers and<br />
shaves in one easy step with its Ali-In-One caJtridge.<br />
This world first contains triple blades swTounded by a<br />
Skin Conditioning Solid rich in cocoa butter, aloe vera<br />
and vitamin E. Water activates the conditioners in the<br />
solid, creating a light lather, so there's no need for<br />
shave gel, soap or body wash.<br />
PROMOTION<br />
The Schick pmtfolio always has a comprehensive<br />
mmketing program including above- and<br />
below-the-line activity. The key focus is<br />
on generating consumer awa~·eness<br />
I I 0 n<br />
Lathers and Shaves in One Easy Step<br />
TM of the brand through advertising and<br />
at pmnt of purchase. In<br />
recent yems Schick has<br />
invested heavily in<br />
TV advertising<br />
across the majors<br />
but has also<br />
extended into<br />
other media<br />
including radio,<br />
. .<br />
cmema, magazme<br />
and outdoor<br />
campmgns.<br />
In the retail<br />
environment Schick has<br />
concentrated on visibility to assist<br />
consumers in selecting the product most<br />
suitable to their patticular needs. This includes<br />
ensuring packaging is clem· and distinctive, the<br />
brand is displayed in a block on-shelf, and displays<br />
are eye-catching and consumer friendly.<br />
BRAND VALUES<br />
Throughout its history, Schick has been a company<br />
of continuous innovation. Today Schick is the name<br />
behind many of the razor enhancements that have<br />
made shaving a simpler, safer, closer and less<br />
irritating process.<br />
Keeping the consumer in mind, these advances<br />
have always been driven by different consumer<br />
needs and by the desire to deliver a shaving benefit<br />
greater than earlier products. These technological<br />
innovations have positioned Schick as a leader in<br />
the marketplace. Schick is a compa11y that<br />
constantly seeks new technologies to enhance the<br />
value and performance delivered to consumers<br />
through its products. This focus on technology as<br />
the key driver of product enhancements<br />
differentiates Schick from a typical packaged goods<br />
company.<br />
At Schick, only a patti culm· kind of technology<br />
will do - technology that clearly provides new,<br />
targeted benefits to the consumer, benefits the<br />
consumer can see and touch and feel. The Schick<br />
product line contains razors and blades to meet<br />
virtually any consumer need.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
SHAVING<br />
0 Shaving will not promote da~·ker , thicker<br />
or faster regrowth of hair on legs or<br />
undermms. Shaving removes hair on<br />
the surface of the skin m1d cannot<br />
affect the colour or the thickness of the<br />
hair. When an m·ea has been shaved<br />
m1d the hair shafts stmt to emerge from<br />
the follicle they appea~· to become<br />
coa~·se and bristly.<br />
0 Hair removal by women became<br />
popula~ · as fashions changed in the<br />
twentietl1 century m1d hemlines rose<br />
above the m1kles. Underm·m shaving or<br />
'smootl1ing' became fashionable ptior<br />
to World Wm· I.<br />
0 A tan cannot be removed by shaving.<br />
Tanning occurs at the lower levels of<br />
the skin, where the skin's pigment cells<br />
m·e located. Razor blades never come<br />
into contact with these cells.<br />
0 The average man will spend in excess<br />
of 3000 hours of his life, or 125 days, in<br />
the act of shaving.<br />
0 The average mm1 has about 25,000<br />
whiskers, which m·e as hm·d a11d tough<br />
as a piece of copper wire of the same<br />
thickness, and grow at a rate of twelve<br />
to fifteen centimetres per yea~·.<br />
103
THE MARKET<br />
Every <strong>Australia</strong>n drinks an average of 101 litres of<br />
carbonated soft drinks a year, which makes<br />
carbonated beverage consumption in <strong>Australia</strong><br />
second only to the USA. The <strong>Australia</strong>n market, at<br />
$4.2 billion, is the second largest for carbonated<br />
beverages in the world.<br />
Looking at the distribution side, it is clear that<br />
more than half of these beverages are sold through<br />
the Impulse Channel. Although the total Non<br />
Alcoholic Ready to Drink beverage market is<br />
growing, the carbonated beverage market has been<br />
relatively flat over the past couple of years. This is<br />
at least pattly due to the proliferation of different<br />
products.<br />
ACHIEVEMENTS<br />
The Schweppes brand is the number one<br />
mi xer brand nationally, in terms of both<br />
volume and value. It is also the leading<br />
mineral water brand in terms of value,<br />
ac ro ss the entire market. Schweppes<br />
Lemonade occupies the number two<br />
position in the market nationally.<br />
HISTORY<br />
In 1783 Jacob Sch weppes, a German<br />
born jeweller and an amateur<br />
scientist in vented a method<br />
of producing carbonated<br />
water on a commercial scale.<br />
This in vention set the<br />
foundations of a multibilliondollar<br />
soft drinks industry.<br />
Schweppes became a public<br />
company and quickly<br />
established a reputation for<br />
innovation a nd forward<br />
thinking. Several products<br />
launched around the World<br />
War I era are still around<br />
today - Schweppes Tonic<br />
Water, Schweppes Ginger<br />
Ale, Schweppes Ginger Beer<br />
and Schweppes Bitter Lemon.<br />
The company merged with<br />
Cadbury plc in 1969, leading<br />
to the formation of Cadbury<br />
Schweppes, a major force in<br />
international markets. Today<br />
the Schweppes brand is<br />
recognised worldwide fo r its<br />
qualjty and is available in more<br />
than 75 countries.<br />
THE PRODUCT<br />
Schweppes originaLly began with a<br />
portfolio centred around adult<br />
flavours such as Tonic Water. Today<br />
in <strong>Australia</strong> the range has diversified<br />
into mineral waters, family favourite<br />
flavours s uch as Schweppes<br />
Traditional Lemonade and the iconic<br />
Sch weppes Lemonade. Other<br />
products also appealing to adult<br />
beverage consumers are the range<br />
of Schweppes Twists (Soda Water<br />
in three flavours - lemon, berry and<br />
lime).<br />
RECENT DEVELOPMENTS<br />
2003 has seen Schweppes move beyond<br />
its traditional range and audiences to bring younger<br />
consumers to the category and the brand. The new<br />
branding, the packaging and the logo has been<br />
redesigned to keep pace with the ever-changi ng<br />
beverage market. T he new contemporary and<br />
vibrant design of the logo increased the dynamism<br />
and relevance of the Schweppes brand to today's<br />
consumers.<br />
It also coincided with the launch of some brand<br />
new rni xerflavours. Like traditional mixers such as<br />
Dry Ginger Ale, these flavours are designed to<br />
be consumed either on their own, or with<br />
alcohol.<br />
'Agrum', a special citrus flavour, was<br />
launched in <strong>Australia</strong> in 2002 on the heels of a<br />
successful launch in France and Spain. Agrum<br />
was backed by a sizeable TV, print and<br />
sponsorship campaign . It turned out to be a<br />
huge success and was followed by the launch<br />
104
of 'Ciata' (blood orange flavour) and 'Viage'<br />
(kalamansi lime flavour) in 2003.<br />
W hil e the new mixer flavours were<br />
revolutionising the market, packaging also entered<br />
a new dimension with the introduction of the 250ml<br />
slimline cans, a big hit with women in the 18-34 age<br />
PROMOTION<br />
Confide nce, sophi s<br />
tication, maturity and<br />
humour have characterised<br />
Schweppes<br />
since the early 1900s.<br />
As in Jaco b 's day,<br />
advertising and<br />
promotion play a key<br />
role in the continuing<br />
popularity of<br />
Sc h weppes .<br />
Campa i gns<br />
such as the<br />
' Schweppervesce<br />
nc e'<br />
campaign<br />
launched in the<br />
UK in 1946<br />
foll owed five<br />
years later by<br />
the launch of the<br />
'Schweppshire'<br />
campaign with<br />
'Schweppshire'<br />
as a mythical<br />
land, and then<br />
the 'Schhh...<br />
INDIAN<br />
TONIC WATER<br />
14{~<br />
~~~ You -<br />
300m!<br />
~ Know-<br />
Who '<br />
campaign<br />
in the<br />
1960s<br />
are still<br />
well-known
THE MARKET<br />
Television is the pre-eminent form for the delivery<br />
of information, entertainment and sports to<br />
<strong>Australia</strong>ns and Seven's objective is to build from<br />
this platform of strength to confirm its leadership<br />
in <strong>Australia</strong>'s evolving entertainment and<br />
communications landscape.<br />
And, Seven's ability to create programs<br />
<strong>Australia</strong>ns want to watch will continue to ensure<br />
that television is the leading platform for the delivery<br />
of content and the aggregation of audiences.<br />
Seven is taking the lead in the planning for digital<br />
television, with <strong>Australia</strong>'s first specially designed<br />
digital production and broadcast centres in<br />
Melbourne and Sydney- placing it at the forefront<br />
of the creation of content from the same servers for<br />
application in broadcast and subscription<br />
television, online, wireless and broadband.<br />
The company's strengths in television, the<br />
progress in defining its involvement in new<br />
communications technologies, the commissioning<br />
of technological architecture for digital and<br />
interactive television, and its developments in<br />
magazine publishing provide Seven with the<br />
framework for the company's future development.<br />
It is well placed to continue to re-energise and<br />
strengthen its brand in a crowded and competitive<br />
market, ensure its ongoing relevance with<br />
<strong>Australia</strong>ns, and play a key role in defining the<br />
future of media and communications in our country.<br />
ACHIEVEMENTS<br />
Seven is one of <strong>Australia</strong>'s most recognised brands<br />
- a brand built through Seven's commitment to<br />
<strong>Australia</strong>n programming and<br />
event sports television<br />
and reinforced<br />
through its<br />
development<br />
as a leading<br />
source of<br />
news and<br />
information for<br />
<strong>Australia</strong>ns.<br />
Seven's strength is built on a core strategy: to<br />
produce and deliver programming relevant to<br />
<strong>Australia</strong>ns. It is this strategy which will define<br />
Seven as it builds its media presence beyond<br />
broadcast television.<br />
Today, more than nine in ten <strong>Australia</strong>ns watch<br />
Seven's programming every week.<br />
And, as the company builds on this formidable<br />
capability with the introduction of digital<br />
technologies, it is also creating the framework for<br />
its future as an integrated media company with a<br />
leading presence in magazine publishing.<br />
HISTORY<br />
Seven is a founding partner in the creation and<br />
development of television in <strong>Australia</strong>.<br />
From the early days of television in 1956 to today,<br />
Seven has been a leader in media. The network has<br />
created the architecture for television -from those<br />
first days of locally produced drama and the first<br />
sports broadcast with its coverage of the Olympic<br />
Games in Melbourne, through to its award-winning<br />
coverage of the Olympic Games in Sydney.<br />
Through the decades, Seven has created<br />
programs which have touched the lives of all<br />
<strong>Australia</strong>ns. It has covered <strong>Australia</strong>'s success in<br />
sports and recorded those moments in news which<br />
have defined <strong>Australia</strong> and the world.<br />
THE PRODUCT<br />
Seven's strategy centres on the ongoing<br />
commissioning of new <strong>Australia</strong>n programs -<br />
complementing its existing strong franchises and<br />
enhancing its audience delivery in its core adult<br />
audience demographics.<br />
Today, much of Seven's<br />
programming is <strong>Australia</strong>n.<br />
The network believes that<br />
leadership in the creation of<br />
drama series and information<br />
and reality programming<br />
will allow it to meet<br />
the challenge of increasing<br />
competition from new<br />
viewing options - with the<br />
delivery of content that can<br />
only be seen on Seven.<br />
It is a strategy which<br />
has defined Seven for<br />
more than four decades -<br />
with programs such as<br />
Homicide, My Name's McGooley<br />
What's Yours?, The Mavis<br />
Bramston Show, A Country Practice, Fast<br />
Forward and Popstars.<br />
Today, Seven is building on its leadership in<br />
<strong>Australia</strong>n drama with Home and Away, All Saints<br />
and Blue Heelers, and creating new programming<br />
complementing the network's existing franchises<br />
and targeting the most important audiences for<br />
advertisers- adults 25-54.<br />
As pm1 of this strategy, the network is recognised<br />
as a leader in sports programming. Seven has<br />
brought <strong>Australia</strong>ns ten of the past twelve Olympic<br />
Games - including the Games of the XXVII<br />
Olympiad in Sydney - and as pm1 of a landmm·k<br />
agreement with the IOC, will broadcast the Summer<br />
Olympic Games in Athens in 2004 and in Beijing in<br />
2008 and the Winter Olympic Games in Torino in<br />
2CXXS.<br />
This leadership was further confirmed with<br />
Seven's selection as the host broadcaster for the<br />
Rugby World Cup in <strong>Australia</strong> - building on the<br />
network's coverage of the Wallabies' test<br />
campaigns and creating the international television<br />
coverage of the biggest sports event held t11<br />
<strong>Australia</strong> since the Olympic Games in 2000.<br />
RECENT DEVELOPMENTS<br />
Digital television is more than just a technology<br />
which delivers better quality pictures. It offers the<br />
106
opportunity for broadcast television to evolve<br />
from a single form of mass communication<br />
into one which also develops one-onone,<br />
interactive communications<br />
with viewers and<br />
delivers expanding<br />
opportunities<br />
for<br />
the deli very<br />
of programming<br />
content.<br />
Seven's leadership in digital<br />
technology with the commissioning of its<br />
new broadcast centres allows the<br />
company to drive the future of digital<br />
television in <strong>Australia</strong>.<br />
Digital television<br />
allows broadcast<br />
television to<br />
evolve from a single<br />
form of mass communication<br />
into one which<br />
expands opportunities for the<br />
delivery of programming content.<br />
Digital television will ensure that broadcast<br />
televis ion continues to maintain a strong<br />
connection with audiences, allow it to retain and<br />
build audiences and attract the major share of<br />
advertising despite the challenge of hundreds of<br />
channels in the emerging communications<br />
landscape.<br />
Seven's development will focus on broadcast<br />
television, and through new opportunities in<br />
publishing, online and broadband, the company is<br />
focusing on its future as an integrated media<br />
company - leveraging its content and ability to<br />
reach consumers across all major forms of media.<br />
As events on television form a key element in<br />
Seven's plans for television, they also create an<br />
important component in its development as a broadbased<br />
media and entertainment company.<br />
The cornerstone of this strategy is Seven' s<br />
management of Telstra Dome, <strong>Australia</strong>'s most<br />
technologically advanced multi-function spot1s and<br />
entertainment precinct. Seven's management<br />
encompasses naming, marketing, ticketing and<br />
seating rights.<br />
Telstra Dome creates a new presence for Seven,<br />
allowing the company to build new links with its<br />
audiences, focusing on events and closely aligned<br />
with the company's<br />
strengths in television and<br />
publishing.<br />
Telstra Dome is the home<br />
of the <strong>Australia</strong>n<br />
Football<br />
League<br />
and the<br />
<strong>Australia</strong>n<br />
Rugby Union in<br />
Melbourne and has created a<br />
series of world firsts. <strong>Australia</strong>n<br />
football matches, rugby union<br />
internationals, rugby league and<br />
international cricket matches, world<br />
wrestling and world title<br />
fights in boxing have all<br />
played under the world's<br />
largest closing roof. Bruce<br />
Springsteen, Barbra<br />
Streisand, Ricky Martin and<br />
Robbie Williams have<br />
selected Telstra Dome as their<br />
venue in Melbourne. Nearly<br />
two rn.illion people experience<br />
events at Telstra Dome each year.<br />
As Seven builds its media presence, it is<br />
leveraging its broadcast television content and<br />
brand beyond television. Telstra Dome forms one<br />
element and its move into magazine publishing is<br />
another.<br />
Through its ownership of Pacific Publications,<br />
Seven is aligning its television programs and<br />
audiences with some of <strong>Australia</strong>'s most significant<br />
magazine brands.<br />
Today, Pacific Publications publishes one in four<br />
magazines read by <strong>Australia</strong>ns - including two of<br />
the three biggest selling weekly titles: New Idea<br />
and That's Life. Four million <strong>Australia</strong>ns read<br />
Seven's magazines every month, including more<br />
than one in three women.<br />
Seven is committed to building on the success<br />
of Pacific Publications' core titles and driving the<br />
development of its magazines business through<br />
the acquisition and creation of magazine brands<br />
which add further depth to its portfolio.<br />
A key component in Pacific Publications' future<br />
is one of Seven's core strengths- the marketing<br />
and brand-building capabilities of the company's<br />
broadcast television business - as Seven aligns<br />
editorial and marketing across a number of<br />
television programs and magazines.<br />
Strength tn<br />
television and<br />
publishing provides<br />
significant<br />
opportunities for<br />
Seven to build its<br />
television audiences<br />
and enhance readership<br />
of its magazines.<br />
PROMOTION<br />
As Seven builds on<br />
its strengths in<br />
broadcast television, magazine<br />
publishing provides a key<br />
platform for Seven's future as a<br />
multi-faceted media and<br />
communications company - as it<br />
leverages its ability to reach all<br />
<strong>Australia</strong>ns, extend its brand and content, and<br />
create integrated marketing solutions for<br />
advertisers.<br />
This ability to reach all <strong>Australia</strong>ns defines a<br />
company commitment to create a major presence in<br />
<strong>Australia</strong>n life. These core values - of creating<br />
television progrmnming and magazines which reflect<br />
the lives of <strong>Australia</strong>ns- drive Seven's presence in<br />
major events of national importance.<br />
This all-encompassing involvement underlines<br />
the company's sponsorship of <strong>Australia</strong>'s foremost<br />
performing arts company, Opera <strong>Australia</strong>,<br />
associations with m
Sony Ericsson<br />
THE MARKET<br />
Two great brands have come together to create a<br />
super-force in mobile phone design, production and<br />
mat·keting.<br />
The joint venture established between<br />
consumer electronics powerhouse Sony<br />
Corporation and telecommunications<br />
leader Ericsson, brings together two of<br />
the most successful brands across<br />
these two industries to create a power<br />
brand - Sony E ri csson Mobile<br />
Communications.<br />
Mobile phones are now an integral<br />
patt of Life. A staggering number of close<br />
to 600 rni lli on handsets is expected to<br />
be sold worldwide this year. They are<br />
no longer a luxury but a necessity. Sony<br />
Ericsson is petfectly poised to take the<br />
I ion 's share of this burgeoning mat·ket.<br />
<strong>Australia</strong>ns are eru·Iy adopters of technology<br />
and have readily accepted the mobile phone as part<br />
of their daily life. In <strong>Australia</strong>, the number of mobile<br />
handsets has surpassed the number of fixed lines<br />
this year. It' s becoming a personal-phone, mobile<br />
world.<br />
The astonishing advances in technology have<br />
led to mat·ket opportunities and a pace of change<br />
unlike any other category in history. An example is<br />
GPRS (General Packet Radio Service)<br />
and 3G. This means that mobile<br />
communications are becoming faster,<br />
and are becoming instantly connected<br />
to other forms of technology.<br />
The lines between conventional<br />
electronics and telecommunications are<br />
becoming increasingly blurred and the<br />
landscape is rapidly evolving.<br />
Sony Ericss<br />
ACHIEVEMENTS<br />
Sony Ericsson is the product of two<br />
powetful parents, Sony and Ericsson.<br />
Their marriage has already shaken the<br />
mobile phone industry, a business that<br />
grows tougher by the hour. Rivals and<br />
consumers know the strengths each<br />
pattner brings to the patty.<br />
Ericsson is one of the<br />
pioneers of the<br />
telecommunications<br />
industry that helped<br />
to bring the mobile<br />
phone industry into<br />
existence. Its<br />
experience with<br />
carriers and operators all over the<br />
world is extremely valuable, and<br />
it stands at the cutting edge of<br />
the highlyspecialised<br />
telecom technology.<br />
Sony, one of the world's most<br />
popular brands, is envied for<br />
having successfully integrated<br />
electronics with entertainment,<br />
and is emulated whenever possible. No other<br />
company has given the world such a wealth of<br />
innovative products that changed the way<br />
everyone lives and enjoys life.<br />
More and more people me using mobile devices<br />
in increasingly inventive ways. In order to make<br />
this mobile world more interesting, more productive,<br />
Sony and Ericsson decided to pool their resources<br />
to create a stronger synergy between various<br />
technologies.<br />
The companies' strengths have been combined<br />
and a whole new category has evolved beyond<br />
telecommunications: 'mobile multimedia.'<br />
HISTORY<br />
Ericsson was founded by Lars Magnus Ericsson<br />
back in 1876 and is the world' s leading supplier of<br />
telecommunications equipment. Ericsson provides<br />
total solutions, from systems and applications to<br />
mobile phones and other communication tools.<br />
Sony has been at the cutting edge of new<br />
technologies since its launch in 1946 by Akio Morita<br />
and Masuru Ibuka. Sony' s creative approach to<br />
design and talent for innovative<br />
technology has driven the brand<br />
to produce a huge number of<br />
world firsts, such as the Sony<br />
Walkman, colour VCR and CD<br />
player.<br />
Sony Ericsson was formed in<br />
October 200 I and represents the<br />
merger of Ericsson Consumer<br />
Products Division with Sony<br />
Digital Telecommunications<br />
Network Company. Sony<br />
Ericsson has approximately 3,500<br />
employees globall y with its<br />
management headquat·ters based<br />
in London. The Asia Pacific<br />
regional office is based in<br />
Singapore and covers 14 mat·kets<br />
in the region, including <strong>Australia</strong>.<br />
Sony Ericsson is responsible<br />
for the entire product<br />
development process, from<br />
research, design and<br />
development to mmketing, sales<br />
and distribution as well as<br />
customer service.<br />
THE PRODUCT<br />
Sony and Ericsson both have a<br />
proven track record in terms of<br />
developing innovative products. Sony<br />
Ericsson Mobile Conununications is able to tap into<br />
Sony's knowledge of imaging, gaming and music,<br />
and Ericsson's communications technology and<br />
messaging capabilities.<br />
By utilising the technological experience gleaned<br />
108
from the parent<br />
companies, Sony<br />
Ericsson is setting the<br />
trends in terms of<br />
product performance<br />
and design and<br />
building the best<br />
petforming multimedia<br />
devices in the world.<br />
The Sony Ericsson<br />
product range includes<br />
a selection of mobile<br />
phones which cover<br />
everything from camera<br />
phones and fashion<br />
clamshell designs<br />
through to fully<br />
integrated PDA phones<br />
with MP3 and video<br />
recording capability.<br />
Products such as the P900<br />
and T630 combine stylish<br />
and funky design with<br />
high functionality.<br />
Style and functionality<br />
are the cornerstone of Sony Ericsson<br />
design.<br />
Sony Ericsson products are very<br />
much part of the new, connected world of<br />
technology from imaging, taking and sending<br />
pictures to friends with integrated cameras, to<br />
connectivity, being ab le to access and transfer<br />
information anywhere via Bluetooth, memory stick<br />
or infrat·ed, and of course to entertainment, the fun<br />
aspect. Games, ringtones, themes, wallpapers, video<br />
clips and music a~·e all there to encourage the user's<br />
creativity.<br />
RECENT DEVELOPMENTS<br />
Just as one example, Sony Ericsson has worked<br />
with the leading suppliers of mobile e-mail and<br />
security to offer mobile workers and the companies<br />
that rely on them a device which is ready to do<br />
business.<br />
The P900 smartphone features fully secure<br />
remote access to e-mail and office functions. In<br />
combination with its telephony, Internet access and<br />
open Symbian platform this makes it a fully-featured<br />
and connected mobile office. It features state-ofthe-art<br />
security, push e-mail and device<br />
management.<br />
Thanks to this,<br />
the P900 now<br />
can offer a<br />
fitting<br />
solution for<br />
any company, from<br />
' SOHO' (SmallOffice/<br />
HomeOffice) up to large<br />
corporations, covering the absolute majority<br />
of business needs. For the user, the benefit is<br />
fast, easy-to-use email access and<br />
for the IT depattment it<br />
satisfies the priority<br />
that it be fully secure<br />
and easy to manage.<br />
PROMOTION<br />
The Sony Ericsson<br />
promotional strategy<br />
reflects its innovative<br />
and leading edge<br />
products. The launch<br />
of the T61 0, for<br />
instance, utilised fresh<br />
highly visible advertising<br />
media to attract<br />
the key target<br />
audience ranging from<br />
early adopters to fun<br />
loving youth. Since<br />
this audience is<br />
constantly on<br />
the move and<br />
outdoors,<br />
such media<br />
as scooters,<br />
adluminates and highly visible billboat·ds and bus<br />
shelters were used to bring them the Sony Ericsson<br />
message in their natural surroundings. Mobile media<br />
for mobile communications.<br />
Alongside new advertising media, Sony<br />
Ericsson reaches the consumer and retail mat·kets<br />
with print advettising in fashion, lifestyle and trade<br />
magazines.<br />
The matTiage of Sony and Ericsson has meant a<br />
new look for a new brand.<br />
Sony Ericsson's strategy to establish the brand<br />
as a major player in the mat·ket has involved high<br />
coverage sponsorships and product placement in<br />
such a~·eas as Big Brother, Tropfest, the Adelaide<br />
Fringe Festival, <strong>Australia</strong>n Idol and the Bondi Shott<br />
Film Festival.<br />
BRAND VALUES<br />
Sony Ericsson understands that mobility is all about<br />
freedom. The freedom of having a world of<br />
information in a pocket. The freedom to be<br />
anywhere and to conununicate in any number of<br />
ways with friends, family and colleagues.<br />
The freedom of always being online and within<br />
reach.<br />
It's all about a new world<br />
where one's own<br />
colour pictures<br />
help you express thoughts and feelings in a way<br />
that words can't. A world where the phone is the<br />
camera to capture life and shme it. Or to add an<br />
absolutely personal touch to the display.<br />
It's about getting closer every day. And a whole<br />
new kind of interaction bringing people neat·er to<br />
each other and to the world around them. Sending<br />
messages and email in the blink of an eye. Or<br />
viewin g interactive WAP/Web pages and<br />
down loading much- .------ --<br />
loved music in seconds.<br />
It's about having fun l•lllllllll<br />
in so many ways and in<br />
so many places. Playing<br />
a game while waiting for<br />
the bus. Sharing an<br />
animated joke with longdistance<br />
friends - or<br />
experimenting with<br />
L_------~~--~<br />
recordable ring signals<br />
that let users say whatever they want to say.<br />
And because things (like people) work better<br />
together than alone, mobility is also about devices<br />
that communicate with each other. So it is possible<br />
to take a picture with the camera and send it to<br />
friends, instantly.<br />
Sony Ericsson is stretching the boundat·ies of<br />
mobile communication. It is offering phones that<br />
a~·e easier to use than ever - with bigger screens,<br />
more intense colour and higher quality pictures. It<br />
is also offering a richer gaming experience with<br />
sought-after games and enhanced sound and<br />
sensations. There are new camera phones and video<br />
phones more music and extended connection<br />
between devices. In a word, there are lots of<br />
enhancements that will make mobile life easier, more<br />
productive- and much more fun.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
SONY ERICSSON<br />
0 Ericsson began in 1876, in a 13-squat·e<br />
meter repair workshop for telegraph<br />
instruments in downtown Stockholm.<br />
Coincidentally, it was the satne year<br />
that Alexander Graham Bell filed his<br />
patent application for a telephone in<br />
the United States.<br />
0 BluetoothTM was originally developed<br />
by Ericsson, but is now under the<br />
auspices of the Bluetooth Special<br />
Interest Group. Bluetooth TM is an open<br />
standat·d for two-way, short-wave<br />
radio communications between<br />
different devices, and it mat·ks the end<br />
of cables and cords between mobile<br />
phones, PDAs, pmtable PCs, printers<br />
and other equipment.<br />
0 In 2003 Sony Ericsson had 4,000<br />
employees across the globe working<br />
on reseat·ch, development, design,<br />
sales, mat·keting, distribution and<br />
support.<br />
0 The Sony Ericsson T61 0 camera phone<br />
was awat·ded the prestigious awat·d for<br />
'Best handset, terminal or device' at<br />
the GSM Association's 2004 Awards at<br />
the 3GSM World Congress in Cannes,<br />
France.<br />
109
Soul PaHinson Chemist<br />
for every body & soul<br />
THE MARKET<br />
Soul Pattinson operates in a fiercely competitive<br />
retail pharmacy environment. The retail pharmacy<br />
industry is continuing to fragment, with a<br />
proliferation of new 'brands' and different retail<br />
formats. The major retailers are looking to Health<br />
and Beauty, which are traditional pharmacy lines,<br />
as growth categories for themselves.<br />
Against that is the growing importance of<br />
established, trusted brands like Soul Pattinson.<br />
Because customers are bombarded with thousands<br />
of messages daily, a strong brand provides<br />
reassurance.<br />
ACHIEVEMENTS<br />
Consumer research conducted in Sydney and Perth<br />
establi shed that customers are aware of the<br />
longevity of the Soul Pattinson brand, it is<br />
considered trustworthy and provides value for<br />
money. Customers felt an increased level of<br />
assurance and security when dealing with a Soul<br />
Pattinson Chemist, and indicated that when they<br />
were shopping away from home, a Soul Pattinson<br />
Chemist would be their pharmacy of choice.<br />
The Soul Pattinson name has a high level of<br />
recognition. The strengths of the brand are its<br />
history, the t:rustits customers have in it, the service<br />
it offers including information and advice, and the<br />
credibility of its own brand products.<br />
HISTORY<br />
In 1872, when Caleb Soul and his son decided to<br />
set up a pharmacy in Sydney's Pitt Street, Caleb<br />
had no trouble coming up with a name. He called<br />
the shop, which offered general pharmaceutical,<br />
patent and other goods, after his son Washington<br />
Hanley Soul. Washington H. Soul, he thought,<br />
sounded like an honest name - and history has<br />
borne him out. Even today, one of the most<br />
outstanding characteristics of Soul Pattinson in<br />
customers' minds is its trustworthiness.<br />
That first shop was a single room which was<br />
soon too small. Within a year, Washington H. Soul<br />
and Co. moved down the road to larger premises.<br />
When the new shop burnt down, in 1886, it was<br />
rebuilt as the Phoenix building complete with a<br />
phoenix on top of the facade. Today this building<br />
is still the company' s head office, and holds one of<br />
<strong>Australia</strong>' s busiest Soul Pattinson Chenusts.<br />
In the early days there was more to Washington<br />
H. Soul and Co. than just medicines and general<br />
pharmaceutical goods. According to the A/dine<br />
Centennial History of New South Wales, the shop<br />
was known as 'the largest retail store of the kind in<br />
the colonies, becoming a fashionable res01t where<br />
ingeniously concocted and very palatable drinks<br />
are drawn'.<br />
The Souls realised early that they would need<br />
to establish a manufacturing arm to complement<br />
their retail business, and set up a factory to produce<br />
their own proprietary goods. One of the most<br />
popular of these was not a medicine at all. Soul's<br />
Relish was 'an absolutely delicious combination of<br />
onions, garlic, shallots, treacle, red wine vinegar<br />
and other spices', kept in a barrel and allowed to<br />
mature for six months.<br />
Business boomed, not least due to the Souls'<br />
determination to provide their goods 'at New York<br />
and London prices', considerably more cheaply<br />
than competitors. By 1888, Caleb Soul was able to<br />
calculate that in 16 years of business they had<br />
saved the residents of Sydney some 120,000<br />
pounds. The company continued to expand, and<br />
over the following decade opened shops 111<br />
Parramatta, Newcastle,<br />
Cessnock and Lithgow.<br />
Washington H. Soul<br />
and Co.' s fame spread<br />
remarkably widely. An<br />
Englishman called Lewy<br />
Pattinson read about the<br />
stores back in Northumberland,<br />
in England,<br />
and decided to take a look<br />
for himself He arrived in<br />
<strong>Australia</strong> in 1881 and<br />
initially set up a profitable<br />
business as a property<br />
developer. In 1886 he<br />
opened his ftrst pharmacy,<br />
and he soon had several<br />
shops. He also befriended<br />
the Souls, and their<br />
families became firm<br />
friends. His business<br />
grew so strongly that in<br />
1902 he was able to buy out the older firm.<br />
When the resulting entity was incorporated,<br />
Lewy Pattinson included the name Washington H.<br />
Soul out of respect. It became Washington H. Soul<br />
Pattinson and Co. Ltd.<br />
The company's growth since incorporation has<br />
been outstanding, and today there are more than<br />
210 Soul Pattinson pharmacies around <strong>Australia</strong>.<br />
THE PRODUCT<br />
Since its foundation in 1872, Soul Pattinson Chenilst<br />
has grown to become one of <strong>Australia</strong>' s leading<br />
pharmacy groups, and a name both recognised and<br />
110
espected by millions of <strong>Australia</strong>ns.<br />
This then, is the product: a group<br />
of thoroughly modern<br />
pharmacies that offer<br />
value for money, high<br />
quality advice and<br />
information, and 'oldfash<br />
ioned ' service,<br />
reliability and dependability<br />
as well as the other<br />
ancillaries customers want.<br />
The company's commitment<br />
to excellence has led<br />
Soul Pattinson Chemist to be<br />
one of <strong>Australia</strong>'s leading<br />
pharmacy groups. They<br />
proudly offer over 300 high<br />
quality Own Brand products in<br />
the following categories:<br />
Analgesics; Cough & Cold; Oral<br />
Hygiene; Bathroom Products; Hair Care Products;<br />
Antifungal preparations; Anti-inflammatory<br />
medications; GIT preparations; Baby products; Sun<br />
Preparations; Skin Care; and Nutritional<br />
Supplements.<br />
Soul Pattinson Chemist already boasts a very<br />
comprehensive range of products that are available<br />
to customers. A dedication to research and<br />
development of new products is the guarantee to<br />
expand this range.<br />
Confidence in Own Brand products allows the<br />
company to offer a full Money Back Quality<br />
Guarantee if customers are not satisfied with any<br />
of these products.<br />
Soul Pattinson has a manufacturing site at<br />
Kingsgrove, which is 1GA and GMP licensed. A<br />
dedicated team ensures that products meet quality<br />
specifications and are fully compliant with TGA<br />
regulations.<br />
RECENT DEVELOPMENTS<br />
Soulvision, launched in early 2004, aims to be a<br />
quality destination for vision testing and a premium<br />
provider of prescription spectacles, contact lenses<br />
and optical appliances to the public. Soulvision<br />
utilises existing stores and will build on customer<br />
b·ust of the Soul Pattinson name.<br />
Recent consumer research has indicated that<br />
customers would also like to see an additional range<br />
of services inb·oduced by Soul Pattinson, including<br />
such services as naturopathy, iridology and<br />
cholesterol and diabetes testing.<br />
lnb·oduced in 2003, the new Body Guard program<br />
addresses this and tells customers that their Soul<br />
Pattinson Chemist is a destination for advice on<br />
welJ-being. The program offers customers screening<br />
for hearing and bone density as well as blood<br />
testing for cholesterol, glucose, haemoglobin, blood<br />
pressure, Body Mass Index and body fat. It<br />
provides pharmacy staff with the tools and<br />
information needed to satisfy customers' need for<br />
advice and information. The program also supp01ts<br />
key health weeks including Quit Smoking and<br />
Breast Cancer Awareness.<br />
The Body Guard program is strongly<br />
supported by national television C:':;r;f!~<br />
advertorials on Good Morning<br />
<strong>Australia</strong>, national press adve1tising and<br />
local area marketing.<br />
Soul Pattinson is also ecologically<br />
aware. Nearly seven billion plastic bags<br />
are used by <strong>Australia</strong>n consumers each<br />
year. To be a good corporate citizen and to<br />
reduce this number, Soul Pattinson Chenilst has<br />
introduced a range of environmentally friendly and<br />
reusable bags.<br />
PROMOTION<br />
The mainstay of the Soul Pattinson marketing<br />
program is the range of retail focused catalogues.<br />
Apart from promoting product directly, catalogues<br />
drive business into stores for collateral sales. Fifty<br />
per cent of people visit stores as a direct result of<br />
receiving a catalogue. Research has also<br />
established that catalogues are the preferred source<br />
of advertising for 57 per cent of females, and that<br />
36 per cent of people use catalogues in letterboxes<br />
as the primary source of information on pharmacy<br />
products.<br />
Nearly three-quarters of recipients keep<br />
catalogues for more than four days.<br />
The fastest-growing pharmacy loyalty program<br />
in <strong>Australia</strong> is Soul Pattmson' s Special<br />
Privileges Club. It gains 21,000<br />
new members every<br />
month and has a<br />
database of some<br />
400,000 customers. The<br />
program is designed to be<br />
especially simple; joining<br />
involves simply filling out<br />
a forfiJ and receiving a card<br />
on the spot, and redemption<br />
is automatic. As soon as a<br />
customer accumulates 200<br />
points, the POS ternilnal in the<br />
store automatically generates a<br />
$10 gift voucher.<br />
Soul Pattinson's public relations<br />
program has established relationships<br />
with retail and health<br />
correspondents for key press titles in all regions.<br />
With these relationships and press releases tailored<br />
to individual stores and target markets, the program<br />
achieves $1 nilllion a year in free editorial. Its guiding<br />
concept is 'Think Global, Act Local' .<br />
The revitalised website is a major marketing tool<br />
for Soul Pattinson, as are e-mail and SMS marketing.<br />
All Soul Pattinson Chenilsts have the opp01tunity<br />
to have an individual web site managed for them.<br />
BRAND VALUES<br />
Soul Pattinson is committed to achieving<br />
success in the marketplace by<br />
anticipating the future with clear focus<br />
and a clear vision as a guide.<br />
The Soul Pattinson Vision is 'To be<br />
Pharmacy Proud, Providing Well Being<br />
Solutions for Mind, Body and Soul'.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
SOUL PAmNSON<br />
0 The first Soul Pattinson Chenilst began<br />
as a one room shop in 1872 in<br />
Sydney's Pitt Street. It had to move<br />
within a year because it was so<br />
successful that larger prenilses were<br />
required. That new shop remains<br />
today, and is one of the nation's<br />
busiest Soul Pattinson stores.<br />
0 The handyman who worked in the fmt<br />
Pattinson pharmacy in Balmain was<br />
William M01:ris Hughes -better known<br />
eventually as <strong>Australia</strong>n Prime Minister<br />
Billy Hughes.<br />
0 Soul Pattinson Chenilsts have been<br />
providing pharmacy services,<br />
professional care and value for money<br />
to the community for 132 years<br />
through Member-owned pharmacies.<br />
0 When Lewy Pattinson selected the site<br />
for a pharmacy in Maitland in 1904, he<br />
chose the highest point in the<br />
shopping area, above the level of<br />
Maitland's periodic floods. As a result<br />
the pharmacy has been spared.<br />
0 There are more than 210 Soul Pattinson<br />
Chemists nationwide.<br />
Ill
®<br />
The Rice Food Experts<br />
THE MARKET<br />
Rice enjoys a wide reputation as a nutritious and<br />
healthy food. This reputation is richly deserved.<br />
Rice, as an excellent source of carbohydrate, is a<br />
good energy supply, is low in fat and low in salt,<br />
contaillS no cholesterol, is low in sugar and contains<br />
no gluten, additives or preservatives.<br />
<strong>Australia</strong>ns are health conscious and active<br />
people who are becoming increasingly wel l<br />
educated about nutrition. These factors have<br />
certainly played their prut in the increase of rice<br />
consumption in <strong>Australia</strong> over the past few yeru·s.<br />
On average, each <strong>Australia</strong>n eats over ten kilogrruns<br />
of rice annually.<br />
SunRice is <strong>Australia</strong>'s leading rice food company<br />
and has experienced a decade of aggressive growth<br />
and value creation. Wholly owned by NSW rice<br />
farmers, SunRice exports 80 per cent of its<br />
production, representing 4 per cent of world trade.<br />
With annual exp01t sales of$400 million, SunRice is<br />
<strong>Australia</strong>'s largest ex porter of branded food<br />
products and the fourth lru·gest rice food company<br />
in the world. <strong>Australia</strong>n rice is marketed to<br />
over 60 countries with Papua New Guinea,<br />
Japan, Hong Kong and Saudi Arabia as the<br />
major mru·kets.<br />
ACHIEVEMENTS<br />
Consumption of rice has doubled in <strong>Australia</strong><br />
over the past ten years, and<br />
SunRice can take much of the<br />
credit for this. SunRice has<br />
played a major role in raising the<br />
awareness of the <strong>Australia</strong>n public<br />
to the benefits of ri ce as a hi gh<br />
energy food. A stream of new<br />
products and new flavours, the result<br />
of intensive breeding programs and mru·ket reseru·ch,<br />
has helped to promote public interest and to keep<br />
up with changing tastes and fashions. Today there<br />
is a greater interest than ever before in international<br />
rice-based foods, patticularly Asian, Middle Eastern<br />
and Mediterranean dishes.<br />
Rice in <strong>Australia</strong> is grown in southern New South<br />
Wales where conditions for the crop ru·e close to<br />
perfect. The limited size of the crop's geographical<br />
spread helps SunRice to maintain a product of<br />
consistent quality. At the sa111e time the excellence<br />
of <strong>Australia</strong>n growing conditions means that quality<br />
is not simply uniform, but consistently among the<br />
best in the world. Yields a~·e spectacular. <strong>Australia</strong>n<br />
rice farmers achieve an average yield of I 0 tonnes<br />
per hectare, which is one of the highest in the world.<br />
SunRice is leading the way with the development<br />
of innovative value-added rice based products in<br />
the area of quick-cooking rice meal solutions and<br />
rice based snack foods. SunRice now produces<br />
quick-cooking flavoured rice side dishes, three<br />
minute rice snacks and flavoured rice cakes.<br />
HISTORY<br />
Rice was introduced in <strong>Australia</strong><br />
in the 20th century, and was first<br />
cultivated by Isaburo (J o) Takasuka,<br />
a Japanese immigrant who aJTived<br />
in 1905 with his fam ily and I 5 bags<br />
of medium grain Japonica rice. In 19 14 Jo grew<br />
<strong>Australia</strong>'s first successful commercial crop neru·<br />
Swat1 Hill , Victoria. After hearing about the<br />
developing Murrumbidgee Irrigation Area (MIA),<br />
he sent his eldest son Sho to the Yanco experiment<br />
farm in New South Wales with bags full of grain<br />
from the crop. The seed was grown in rice trials in<br />
the MIA and this was the beginning of the<br />
<strong>Australia</strong>n rice industry.<br />
Today, <strong>Australia</strong>n rice is still grown in the<br />
Murrumbidgee Irrigation Area and the Murray<br />
Valley, both in New South Wales. Nowadays more<br />
than 2500 <strong>Australia</strong>n ricegrowers produce an annual<br />
crop of some 1.3 million tonnes from I 52,000<br />
hectares. SunRice is <strong>Australia</strong>'s most successful<br />
producer co-operative and the largest of its type in<br />
the world.<br />
THE PRODUCT<br />
SunRice offers a rice for every occasion as well as<br />
a wide range of value-added rice products. Core<br />
rice products include long-grain, medium grai n,<br />
white and brown, Parboiled, Jasmine, Arborio,<br />
Japanese-style sushi rice, Basmati, Doongat·a, Wild<br />
Blend and quick-cooking brown rice.<br />
SunRice value-added products include snacks<br />
and meal solutions. SunRice Rice Cakes and<br />
flavoured rice cakes, rice side dishes and eXpress<br />
3 minute rice packs and cups. SunRice rice is also<br />
widely used in breakfast cereals, most notably in<br />
Kellogg's Rice Bubbles, and in the manufacture of<br />
snack foods, frozen meals, convenience foods and<br />
rice 'milk' .<br />
RECENT DEVELOPMENTS<br />
The Australiru1 rice industry invests in a large<br />
amount of research to develop new and more<br />
112
efficient varieties of rice. SunRice now cultivates<br />
almost all varieties of rice in <strong>Australia</strong>, which are<br />
developed after several years of testing to ensure<br />
the rice has precisely the right flavour, combined<br />
with high nutrition and ease of cooking.<br />
<strong>Australia</strong>ns a~·e experimenting with and eating a<br />
larger variety of cuisines, and this trend continues<br />
to grow. This has also meant an increase in usage<br />
of "specialty" rice varieties. In pruticular Basmati,<br />
Jasmine and Arborio rice ru·e becoming more and<br />
more populru·, as consumers' palates take to Indian,<br />
Asian and Mediterranean cuisines. The key to<br />
success for many international dishes is the right<br />
rice for the right dish- therefore, the SunRice World<br />
Rices range assists in completing the perfect meal.<br />
SunRice World Rices help the consumer choose<br />
the "right rice" and this helps to enhance and<br />
complement the flavour of the meal.<br />
SunRice Basmati aromatic long grain rice is well<br />
suited to Indian and Middle Eastern dishes such<br />
as curries. SunRice Jasmine fragrant long grain rice<br />
is ideal for Asian dishes such as stir-fries. SunRice<br />
Arborio medium grain rice is used mainly for<br />
Mediterranean di shes such as risotto. SunRice<br />
Japanese-style sushi rice, a short grain rice, is<br />
petfect for creating authentic Japanese dishes.<br />
SunRice innovation has focused on improving<br />
and further developing its product offerings,<br />
keeping quality, convenience and taste all at the<br />
top of mind. In the meal solutions and convenience<br />
food categories, 2002 saw the successful re-launch<br />
of the SunRice Rice Side Dishes and the SunRice<br />
eXpress 3 minute rice range. More recently SunRice<br />
has extended its rice cake product portfolio and<br />
has launched a range of flavoured rice cakes.<br />
SunRice has led innovation in thi s category by<br />
offering the first product of its kind<br />
into the <strong>Australia</strong>n grocery mat·ket.<br />
SunRice has also launched "SunRice<br />
Pour & Store" which is <strong>Australia</strong>'s<br />
favourite Premium White Long<br />
Grain rice, in a convenient bottle<br />
pack. The lid also acts as a 1 /2<br />
cup measure, making it easier to<br />
cook the right amount of rice<br />
every time.<br />
PROMOTION<br />
The original SunRice rice<br />
sculptures campaign ran for ten<br />
yeat·s from 1989- 1999. Over the<br />
course of the campaign rice<br />
consumption doubled In<br />
<strong>Australia</strong>. The campaign was a major success for<br />
the brand and is recognised as having made<br />
SunRice famous. In 2002, SunRice re-visited the<br />
rice sculptures creative idea and re-vamped this<br />
campaign, in order to get rice at the top of<br />
consumers' minds once again. Three new rice<br />
sculpture ads were produced highlighting the health<br />
benefits of rice, the different varieties of rice SunRice<br />
produces and offering rice as an easy substitute<br />
for the sometimes labour intensive mash potatoes.<br />
The re-launched SunRice eXpress products and<br />
rice side dishes were supp01ted to achieve maximum<br />
awru·eness and communicate the key benefits of all<br />
the products. The campaign, which took place eat·ly<br />
2003, was titled "Perfect" which showed people<br />
doing not-so-petfect things with the message that<br />
"No-one's perfect, but SunRice eXpress cups/rice<br />
side dishes come close" This campaign<br />
communicated the key benefits of each product in<br />
a relevant, and slightly humorous way, helping to<br />
continually build SunRice as a contemporat·y food<br />
brand.<br />
The eXpress campaign<br />
was also extended to outdoor media and more<br />
recently (September 2003) a magazine campaign<br />
was run for the eXpress cup range<br />
demonstrating why SunRice eXpress cups ru·e<br />
a better way to fill gaps between meals, over<br />
common higher-fat noodle and<br />
pasta products.<br />
The launch of SunRice<br />
flavoured rice cakes was<br />
supported by an outdoor<br />
campaign, which was<br />
executed to generate<br />
awareness of the new<br />
product offering from<br />
SunRice. This campaign<br />
highlighted the flavour hit<br />
you get from the flavoured<br />
rice cakes and that "you<br />
just can't get enough".<br />
BRAND VALUES<br />
SunRice, the <strong>Australia</strong>n icon in rice, has historically<br />
been renowned for tl1e marketing of SunRice Calrose<br />
Medium Grain Rice. Today, the SunRice range<br />
includes a rice suited not only to many cuisines<br />
but also to many eating occasions, including<br />
snacks. Although the SLnlRice brand has extended<br />
its range beyond regula~· pillow bags of rice, the<br />
brand remains familiar and highly trusted across its<br />
entire range of products.<br />
The vibrant yellow and red 'sun colours' of the<br />
SunRice logo ru·e synonymous with wholesome,<br />
natural and pure food. SunRice, 'The Rice Food<br />
Experts', is a long established yet contemporat·y<br />
food brand. Steeped in the tradition of quality<br />
<strong>Australia</strong>n rice, SunRice now embodies both quality<br />
and innovation to suit the needs of the modern<br />
food mat·ket.<br />
~<br />
MEXICAN<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
SUNRICE<br />
0 Sun Rice was awat·ded the prize for Best<br />
Regional Exporter of the yeru· in 2003.<br />
0 The United Nations proclaimed 2004<br />
International Yeru· of Rice (IYR) at the<br />
fifty-seventh session of the United<br />
Nations General Assembly noting tl1at<br />
rice is the staple food of more tl1at1 half<br />
the world's population.<br />
0 In 200l/02, approximately 589 million<br />
tonnes of paddy rice was produced<br />
worldwide. China and India were the<br />
lmgest producers.<br />
0 Up to 40 million people eat <strong>Australia</strong>n<br />
rice a~·ound the world each day.<br />
0 <strong>Australia</strong>n rice growers have improved<br />
their water use efficiency by 60 per<br />
cent in tl1e past I 0 yeat·s.<br />
[ 13
THE MARKET<br />
Telecommunications remains a dynamic and<br />
exciting industry and will continue to have a<br />
significant impact on every <strong>Australia</strong>n and the well<br />
being and prosperity of this country.<br />
Mobile phones now outnumber fixed line<br />
connections. Telstra's national digital GSM and<br />
COMA networks provide more than 97 per cent of<br />
<strong>Australia</strong>ns with access to a mobile phone service.<br />
Most <strong>Australia</strong>ns have online access either at<br />
home or at work. The ABS figures to March, 2002<br />
reveal <strong>Australia</strong> had 4.2 million Internet subscribers<br />
- 3.7 million households and just over 0.5 million<br />
business and government.<br />
Since then, the amount of time <strong>Australia</strong>ns are<br />
spending online passed six billion minutes a month<br />
- a figure that is growing rapidly, encouraged by<br />
the availability of broadband connections.<br />
BigPond's Broadband subscribers increased to<br />
287,724 in the second half of2002, more than double<br />
CONN[CT AT 131GPOND COM OR CALl Ill ~S'J<br />
w It A T A II E y 0 u w A I T I N G F 0 II ? B I G E~ ... ~ ·<br />
the same period in 2001 , and are on track towards<br />
the overall target of one million subscribers by 2005.<br />
<strong>Australia</strong>ns make around one billion local phone<br />
calls a month and spend about four billion minutes<br />
a month talking on the phone<br />
SMS is becoming a recognised tool for<br />
businesses to improve productivity. SMS activity<br />
grew substantially in the second half of 2002, and<br />
in December alone ,<strong>Australia</strong>ns sent each other over<br />
250 million messages with almost !8 million sent<br />
across all mobile networks on New Year's Eve.<br />
ACHIEVEMENTS<br />
Recently, as Official Worldwide Telecommunications<br />
Partner, Telst.ra was responsible for<br />
providing telecommunications services for the<br />
Rugby World Cup 2003 tournament across all<br />
venues in <strong>Australia</strong> - helping to bring alive the<br />
excitement of one of 2003's biggest international<br />
sporting events.<br />
HISTORY<br />
In 1901 the Postmaster General's Deprutment (PMG)<br />
was established to manage all domestic telephone,<br />
telegraph and postal services. The year 1914 saw<br />
the debut of automatic telephony.<br />
In 1946 the Commonwealth established the<br />
Overseas Telecommunications Commission to<br />
manage <strong>Australia</strong>'s growing international<br />
telecommunications.<br />
The 1960s gave telephone users the<br />
convenience of automatic STD dialling. It was an<br />
era that saw PMG develop into one of the country's<br />
most significant construction companies, as<br />
technicians crossed the land connecting no1th to<br />
south and east to west; a massive automation<br />
project that reached completion almost 30 years<br />
later in Mudgee, west ofNSW's Blue Mountains.<br />
By 1975, the Commonwealth Government<br />
separated the functions of post office and domestic<br />
telecommunications, creating <strong>Australia</strong> Post and<br />
the <strong>Australia</strong>n Telecommunications Commission,<br />
trading as Telecom <strong>Australia</strong>. The Overseas<br />
Telecommunications Corporation continued to<br />
handle international access.<br />
In 1989 the Commission became the <strong>Australia</strong>n<br />
Telecommunications Corporation, and three years<br />
later OTC and Telecom <strong>Australia</strong> merged to create<br />
the <strong>Australia</strong>n and Overseas Telecommunications<br />
Corporation Limited (AOTC).<br />
By 1993 the deregulation of the domestic market<br />
was under way. On July I , 1995, the organisation's<br />
local trading name changed to Telstra.<br />
In early 2003, Telstra connected its 12 millionth<br />
mobile service and launched new technology which<br />
combines voice, data, internet access and<br />
computing functions in a single, hand-held mobile<br />
communication device, known as a BlackBerry.<br />
Today, Telstra faces the future confident in the<br />
achievements of a century of service, and<br />
continuing to lead the way in the evolution of<br />
telecommunications as <strong>Australia</strong>'s leading global,<br />
full service provider.<br />
THE PRODUCT<br />
Telstra has recently invested in developing and<br />
introducing new fixed-line products, launching<br />
state-of-the-aJt technology that enables customers<br />
to tell the phone what to do. The voice command<br />
system ' I # Telstra Feature Assistant' activates<br />
features such as Call Waiting and Call Forward.<br />
July 2003 saw the launch of 'Telstra Home Messages<br />
10 I TM' - a free message service for residential<br />
customers.<br />
A revolution is alrea:ly occurring in wireless data.<br />
Usage of traditional SMS is increasing, as are new<br />
wireless data applications such as entertainment<br />
and transaction, information and location services.<br />
As well as voice, today' s mobiles can transmit text<br />
messages, access the internet, download emails,<br />
buy a soft drink hom a vending machine and pay<br />
for parking. T he mobil e can be a phone, an<br />
organiser, a radio, an electronic wallet, a video<br />
camera, a still camera and an emai l centre all in one.<br />
The internet has increasingly become a natural<br />
part of how we work, study, li ve, relax and keep in<br />
114
touch. Reliable dial-up internet is available across<br />
<strong>Australia</strong> via a fixed telephone line. Broadband has<br />
become the next wave, taking <strong>Australia</strong>ns another<br />
step towards utilising the internet to its full potential.<br />
RECENT DEVELOPMENTS<br />
Telstra plays a critical role in influencing future<br />
communications technology, and is always looking<br />
for innovative ideas. In the future, Telstra sees a<br />
range of new applications, based on mobile data,<br />
interactive TV and voice technology:<br />
WLAN (Wireless Local Area Network): Telstra<br />
'Wireless Hotspots' deliver high-speed internet<br />
without wires. WLAN technology enables users<br />
to connect wirelessly to their existing home or office<br />
internet, potentially at speeds as fast as a home<br />
broadband connection, all through their laptop or<br />
handheld computer (where coverage allows).<br />
Customers can charge their usage directly to their<br />
Telstra mobile phone accounts.<br />
Lyrebird: Developed by Telstra Research<br />
Laboratories, Lyrebird is a tool for developers to<br />
rapid ly create a nd deploy<br />
complex and high-quality<br />
natural language speech<br />
applications, which enable<br />
people to speak naturally to a<br />
computer.<br />
SMS FIND: is a prototype<br />
service developed by Telstra<br />
Research Laboratories that will<br />
a llow users to search for<br />
facilities and services in a<br />
desired area. To find the nearest<br />
chemist, for example, users need<br />
only to type the word 'chemist'<br />
into their mobile phone and<br />
SMS FIND will respond via<br />
SMS with the information.<br />
Mobile EFTPOS: allows retail EFTPOS<br />
transactions (debit and credit) to take place over<br />
the Telstra GSM network using either GSM (Circuit<br />
Switch) or GPRS. The service gives identical<br />
functionality to a fixed EFTPOS service. It offers a<br />
payment option when there is no fixed phone line,<br />
such as in a taxi or at the markets.<br />
PROMOTION<br />
Telstra is committed to the <strong>Australia</strong>n community<br />
and this support extends to sport, arts and<br />
community sponsorships, enabling Telstra to<br />
connect with communities across a broad range of<br />
interests, supp01ting vital services for the benefit<br />
of the community and making the arts more<br />
accessible to the wider community. This is being<br />
achieved through a range of initiatives including<br />
free entry to exhibitions, online programs,<br />
workshops and regional tours.<br />
• Telstra introduced the Telstra and <strong>Australia</strong>n<br />
Governments' Small Business Awru·ds in 1992 to<br />
recognise the achievements and enterprising spirit<br />
of sma ll businesses across <strong>Australia</strong>. Telstra<br />
developed the awards to help profile <strong>Australia</strong>n<br />
small businesses.<br />
• The Telstra Business Women's Awards is a<br />
unique program designed to recognise and<br />
celebrate the remarkable achievements of <strong>Australia</strong>n<br />
business women. The awards were created by<br />
Telstra in 1995 and recognise the enormous<br />
contribution women make to both the business<br />
sector and the general<br />
community<br />
• Bangan·a Dance Company<br />
reflects the life experiences and<br />
attitudes of contemporary<br />
indigenous communities.<br />
• Telstra's association with<br />
The <strong>Australia</strong>n Ballet is now<br />
in its 20th year.<br />
• Telstra's sponsorship of<br />
the National Aboriginal and<br />
Torres Strait Islander Art<br />
Award has helped raise the<br />
profile of indigenous artists<br />
and has contributed to it being<br />
recognised as the most prestigious award for<br />
indigenous art in <strong>Australia</strong>.<br />
• Telstra's support of the MCA (Museum of<br />
Contemporary Art), located in Sydney, makes<br />
modern art accessible to more people by funding<br />
the free admission policy. Telstra' s support of<br />
regional tours and online chats with artists via<br />
Telstra.com has further widened MCA's ability to<br />
bring art to the people of <strong>Australia</strong>.<br />
• Telstra is Principal Prutner of the Sydney Cancer<br />
Centre as well as principal sponsor of the Sydney<br />
Cancer Centre's Telemedicine Outreach Program<br />
which aims to help enhance the delivery and<br />
improve the quality of care, access, education and<br />
research for cancer patients and families in rural<br />
<strong>Australia</strong>.<br />
• Telstra's suppOitofChild Flight enables medical<br />
retrieval when needed by sick babies and children.<br />
Each helicopter carries two intensive care units,<br />
four medical staff and two pilots and each has a<br />
faster response time than any other helicopter used<br />
for medical retrieval in New South Wales or the<br />
<strong>Australia</strong>n Capital Territory.<br />
• In 2001 , Telstra pledged $1.25 million over five<br />
years to the Victor Chang Cardiac Research Institute<br />
to assist a major research project on exploring<br />
muscle cell development and biology, and the<br />
moleculru· machinery regulating protein production<br />
in the hemt and other tissues.<br />
• Telstra's commitment to sport in <strong>Australia</strong><br />
covers a diverse range of sporting prope1ties, which<br />
includes suppmting the development of athletes,<br />
from the elite through to grassroots pruticipation.<br />
<strong>Australia</strong>n Swimming, <strong>Australia</strong>n Paralympic<br />
Committee, Athletics <strong>Australia</strong>, National Rugby<br />
League, and SUif Life Saving <strong>Australia</strong>. This also<br />
includes BigPond's sponsorship of the V8<br />
Supercru·s.<br />
Telstra also provides support to state-of-the art<br />
sporting and entertainment venues: Melbourne's<br />
Telst:ra Dome and Sydney's Telst:ra Stadium.<br />
Through Jl11tJatives such as Telstra<br />
HeroMessaging, hosting and development of<br />
official websites, development clinics, regional road<br />
shows, promotions and competitions, Telstra aims<br />
to provide Australiru1s with greater access to their<br />
sporting heroes, support community pmticipation<br />
in sp01t and enhance the development of sport in<br />
<strong>Australia</strong>.<br />
BRAND VALUES<br />
As <strong>Australia</strong>'s connection to the future, Telstra' s<br />
mission is to develop, design and deliver great<br />
communications solutions to every customer.<br />
To supp01t this business vision, Telstra's brand<br />
strategy focuses on three core brand messages -<br />
caring, clever and trustwOithy. Telstra strives to be<br />
caring by being warm, friendly and listening to<br />
customers needs; clever by delivering products/<br />
services which solve every day issues; and most<br />
of all trustworthy, by providing leadership, keeping<br />
promises and being community oriented.<br />
The focus is to ensure that Telstra delivers on<br />
each of these messages in every one of its customer<br />
touch-points.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
TELSTRA<br />
On a typical working day, Telstra' s people:<br />
0 connect ru·ound 30 million calls;<br />
0 receive approximately 130,000 retail<br />
customer enquiries;<br />
0 install more than 3,600 services; and<br />
0 receive more than 850,000 directory<br />
assistance calls.<br />
115
THE MARKET<br />
While <strong>Australia</strong> is a wealthy country,<br />
there is a growing sense of another class<br />
of people emerging, trapped in a cycle<br />
of poverty and despair.<br />
Homelessness, a crisis in our ability<br />
to care for older people, family<br />
breakdown and conflict, alarming levels<br />
of domestic violence and sexual abuse,<br />
inadequate provision for the mentally<br />
ill, and problems arising from drug,<br />
alcohol and gambling related addictions,<br />
are growing challenges faced by the<br />
community and The Salvation Army.<br />
ACHIEVEMENTS<br />
The Salvation Army - affectionately<br />
known as 'the Salvos' - is one of this<br />
country' s most loved organisations,<br />
with research revealing it is the most<br />
highly thought of charity in <strong>Australia</strong>.<br />
The Salvation Army's 'Christianity<br />
with its sleeves rolled up' ethos has<br />
endeared it to the <strong>Australia</strong>n public, in a<br />
country where religion has always<br />
struggled to gain acceptance.<br />
A reputation for being at the frontline<br />
of need was largely achieved through<br />
the strong presence of Salvation Army<br />
officers amongst <strong>Australia</strong>n armed<br />
forces in times of war. Assisting the troops, burying<br />
the dead, and dispensing cups of tea, the Salvos<br />
were considered to be as much a part of the fighting<br />
forces as the soldiers themselves.<br />
The battle has not ended, and in times of<br />
emergency and national disaster today, the Salvos<br />
are still there, offering comfort and suppott. Recent<br />
years have seen ordinary <strong>Australia</strong>ns facing<br />
extraordinary disasters including the worst drought<br />
on record and devastating bushfires that destroyed<br />
hundreds of homes in <strong>Australia</strong>'s Capital and in<br />
NSW and Queensland. Following the Canberra<br />
bushfires of January, 2003, teams of Salvation<br />
Army Emergency Services (SAES) volunteers fed<br />
more than 3,000 people, while others at the ACT<br />
Bush.fire Recovery Centre met displaced people,<br />
directed them to relevant<br />
agencies and provided a<br />
listening ear.<br />
TheSalvationArmy's<br />
commitment to being<br />
there for <strong>Australia</strong>ns in<br />
crisis was particularly<br />
evident following the<br />
tragic Bali Bombings of<br />
October 2002. SAES<br />
teams and chaplains<br />
were at Sydney<br />
International Airport, as<br />
well as other <strong>Australia</strong>n<br />
airports and hospitals,<br />
comforting and<br />
counselling victims and their families,<br />
tourists, airport and airline staff and<br />
emergency services personnel.<br />
The growing battle against povetty,<br />
addiction and despair rages daily for<br />
many <strong>Australia</strong>ns and their families, and<br />
probably the most important aspect of<br />
Salvation Army work is its provision of<br />
caring social and community services<br />
from day to day.<br />
Every year throughout <strong>Australia</strong> The<br />
Salvation Army:<br />
Assists 1.08 million people;<br />
Locates about 2,000 people through<br />
the Family Tracing Service;<br />
Meets more than 520,000 crisis<br />
requests;<br />
Assists more than 3,000 women<br />
through domestic violence services;<br />
Provides court and prison support<br />
to people at the rate of 440 every day;<br />
Accommodates 2,250 homeless<br />
people each night.<br />
HISTORY<br />
The Salvation Army was founded in 1865<br />
in the slums of London by a former<br />
Methodist minister, William Booth, who<br />
wanted to make the church more<br />
accessible to the whole community. At<br />
the time, many poor and working class people were<br />
excluded from the churches. Originally known as<br />
the Christian Mission, the name 'The Salvation<br />
Army' was adopted in 1878 and since then the<br />
organisation's structure has been based on military<br />
lines.<br />
Initially Booth's Christian Mission intended to<br />
gatherthe povetty-stricken multitudes of London' s<br />
East End and link them up with existing churches.<br />
However, as such people were regarded as outcasts<br />
and were not welcomed by the wealthy and<br />
respectable church members of the day, Booth was<br />
forced to provide a more permanent organisation<br />
for the ongoing spiritual care of his convetts.<br />
Booth' s concern for the destitute masses of<br />
England was not only spiritual. The more he learned<br />
of the plight of the thousands spurned by Britain 's<br />
industrial revolution, the more determined he was<br />
to see lasting social change.<br />
From the Army' s earliest days, various social<br />
programs had grown up alongside the mission's<br />
spiritual ministry, including food shops, shelters,<br />
and homes for 'fallen' girls.<br />
However, these were just the first elements in a<br />
98
oad scheme. In the early 1890s Booth published<br />
'In Darkest England' , an ambitious and complex<br />
plan to deliver England from its social woes. Soon<br />
Booth opened labour exchange services, which<br />
would place thousands of unemployed persons in<br />
jobs. Discovering that some 9,000 people dropped<br />
from sight in London each year, he established a<br />
missing persons bureau. He dreamt of a fatm colony<br />
where derelicts could be given honest labour and<br />
pleasant surroundings. He wanted to establish a<br />
poor man's bank; he offered legal aid to the destitute<br />
and he envisaged an emigration scheme which<br />
would develop a new overseas colony. Throughout<br />
the 1890s there was a need to find work for the<br />
jobless, so the Army created jobs by venturing into<br />
business itself.<br />
From this began a network of social service<br />
which continues today in I 08 countries of the world.<br />
On September 5, 1880, Edward Saunders and<br />
John Gore led the first Salvation Army meeting in<br />
<strong>Australia</strong> from the tailgate of a greengrocer's cart<br />
in Adelaide's Botanic Pru·k.<br />
When Gore said: "If there's a man here who<br />
hasn't had a square meal today, let him come home<br />
to tea with me," he was expressing the Army' s<br />
concern for a person's physical as well as spiritual<br />
needs.<br />
From this humble beginning, The Salvation<br />
Army grew rapidly in <strong>Australia</strong>. Surprisingly,<br />
pioneer Salvationists faced rowdy and sometimes<br />
violent opposition, with at least two members being<br />
fatally injured. However, by 1890 mob attacks had<br />
virtually disappeared and by 1901 Salvationists<br />
comprised more than 1 per cent of the population.<br />
THE PRODUCT<br />
Today, The Salvation Army' s network of caring<br />
services is as wide-ranging and diverse as the areas<br />
of need in the <strong>Australia</strong>n community.<br />
Areas of service include:<br />
Family and community welfare centres<br />
providing emergency assistance, including food,<br />
clothing, furniture, counselling and referral.<br />
Child care services and camps for<br />
economically disadvantaged children and single<br />
mothers.<br />
Hostels and supported accommodation<br />
facilities for homeless men, women, young people<br />
and families in crisis.<br />
Refuges for women and their children<br />
fleeing domestic violence situations.<br />
I<br />
Long term rehabilitation programs for those<br />
addicted to alcohol, drugs or gambling.<br />
Youth care centres and outreach programs<br />
for those living on the streets.<br />
Telephone counselling, financial and<br />
professional counselling, trauma management, grief<br />
and suicide support groups.<br />
Court and prison chaplaincy.<br />
Employment and training programs.<br />
Family tracing service to help find missing<br />
persons.<br />
Emergency services, providing assistance<br />
in times of disaster or emergency.<br />
Chaplains offering support to police, fire<br />
brigade, emergencies and defence forces personnel.<br />
Rural chaplains.<br />
Outback flying service.<br />
English speaking classes for migrants.<br />
Aged care services including nursing<br />
homes and hostel care.<br />
Social education, training and supported<br />
accommodation for intellectually disabled people.<br />
Visitation to hospitals, nursing homes and<br />
people 'shut-in' in their own homes.<br />
RECENT DEVELOPMENTS<br />
The Salvation Army in <strong>Australia</strong> is increasingly<br />
being regarded by governments and business as<br />
an effective, efficient, caring model for social welfare,<br />
recovery services and youth and family support.<br />
The Salvation Army Employment Plus, a central<br />
part of the Government's provision of employment<br />
services, continues to achieve outstanding success<br />
with more than 3,500 people each week assisted to<br />
find work.<br />
The Salvation Army's Bridge Program continues<br />
to lead the way in drug, alcohol and gambling<br />
rehabilitation, with the programs expanding<br />
significantly in recent years to accommodate<br />
increased demand. As part of a caring community,<br />
The Salvation Army continually provides and<br />
develops family and individual support, meeting<br />
present needs effectively and focusing on<br />
developing basic skills to overcome the 'traps and<br />
tensions' of modern society.<br />
PROMGnON<br />
Each year The Salvation Army launches an<br />
integrated communication campaign to promote its<br />
Red Shield Appeal fundraising drive, which<br />
includes a business appeal, direct mail campaign<br />
and a national doorknock weekend.<br />
The communication campaign utilises not only<br />
main media such as television, radio, press, outdoor,<br />
bus sides, magazine and cinema, but also links into<br />
other communication techniques such as ' J 3'<br />
telemarketing numbers, sales promotion ideas,<br />
McDonald's traymats, promotional videos and<br />
direct response mailing.<br />
All advertising time and space given to The<br />
Salvation Army is donated free of charge by the<br />
media which helps ensure that 83 cents in every<br />
dollar donated to the Army goes directly to the<br />
point of need.<br />
The overall public relations program of The<br />
Salvation Army underpins and supports the<br />
communication crunpaign to promote the Red Shield<br />
and Christmas appeals. The position of The<br />
Salvation Army on specific issues is communicated<br />
consistently to produce awareness of issues and<br />
solutions, as well as recognition of the one-to-one<br />
hope and care The Salvation Army offers to<br />
individuals, families and the community.<br />
BRAND VALUES<br />
Research reveals that the popular Salvation Army<br />
slogan 'Thank God for the Salvos' has almost total<br />
recognition amongst the <strong>Australia</strong>n public,<br />
achieving 93 per cent aided awareness.<br />
The Salvation Army consistently comes out in<br />
reseru·ch as the charity people would most like to<br />
donate to (named spontaneously).<br />
Similarly the Red Shield logo is widely<br />
recognised, even sought after by companies<br />
wishing to link their brand with this solid emblem<br />
of caring social service.<br />
The uniform also gives the Salvos a very visible<br />
presence, often creating a sense that they are<br />
'everywhere', although uniformed Salvationists are<br />
actually a very small percentage of the <strong>Australia</strong>n<br />
population.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
THE SALVAnON ARMY<br />
0 Eighty-three cents in every dollar<br />
donated to The Salvation Army goes<br />
directly to those in need. This is one of<br />
the most efficient rates of any chru·ity in<br />
<strong>Australia</strong>.<br />
0 It is thought that the name of the<br />
popular biscuit by Arnotts, SAO,<br />
stands for 'Salvation Army Officer'.<br />
0 The first moving pictme film in<br />
<strong>Australia</strong>, 'Soldiers of the Cross', was<br />
made by The Salvation Army.<br />
0 Red-tipped 'safety matches' were<br />
introduced by The Salvation Army in<br />
England during the 1890s at a time<br />
when matches were still produced<br />
using poisonous yellow phosphorus<br />
which caused the fatal disease 'Phossy<br />
Jaw' in poor factory workers.<br />
0 The Salvation Army successfully<br />
campaigned to have the age of consent<br />
in the UK raised from 13 years of age to<br />
16yearsdming 1885.<br />
0 'Strawberry Field' was a Salvation<br />
Army children's home where John<br />
Lennon of The Beatles spent time as a<br />
child.<br />
99
THE MARKET<br />
In a cluttered marketplace with many different<br />
messages and media vying for attention, it is the<br />
quality products and trusted brands that hold their<br />
own against the communications noise. TIME,<br />
which has been delivering authoritative information<br />
and balanced insight on the events that shape our<br />
world for more than 80 years, is one of those brands.<br />
The most well-known and trusted media brand<br />
around the globe, TIME boasts a worldwide<br />
circulation of5.4 million, with 30.1 million readers in<br />
over I 80 countries. This breadth of coverage is no<br />
small feat considering the challenges of<br />
transcending international borders and appealing<br />
to people of widely differing cultures. It is TIME' s<br />
rigorous reporting and fact-checking, along with<br />
its recognition that issues have different impacts<br />
in different regions, that have enabled it to achieve<br />
globaJ exposure and compete as successfully in<br />
regional markets as it does in the United States.<br />
TIME South Pacific has succeeded in rising to<br />
the challenge in extremely competitive AustraJian<br />
and New Zealand markets that in recent years have<br />
seen an unprecedented proliferation of<br />
magazines-from specialist to business,<br />
homemaker, lifestyle and food titles. Within this<br />
competitive magazine environment, TIME has<br />
maintained and enlarged its niche, creating strong<br />
brand loyalty among advettisers and readers alike.<br />
TIME enjoys a unique position in the South<br />
Pacific as the onJy international newsmagazine to<br />
offer advertisers exposure in both <strong>Australia</strong>n and<br />
New Zealand editions. Its corrunitment to the tried<br />
and tested TIME values of delivering in-depth,<br />
FI FTEEN CE1-.'TS<br />
TIME<br />
The \'V'eekly News-Magazine<br />
authoritative analysis and repotting to readers in<br />
different parts of the world has helped make it the<br />
leading magazine in its competitive set in both<br />
readership and circulation.<br />
ACHIEVEMENTS<br />
TIME has always been characterised by relevance<br />
and forward thinking, and the magazine' s original<br />
premise-to keep busy people well informed about<br />
world events - is as relevant today as it was in<br />
1923.<br />
In its SO-year career, TIME has built an unrivalled<br />
global reach that has allowed TIME repotters, and<br />
ultimately its readers, the oppottunity to meet with<br />
world leaders and be at the coalface of world events<br />
enabling them to experience the enormity of many<br />
history mak.ing moments. For example, TIME<br />
secured Mikhail Gorbachev' s first face-to face<br />
interview with Western media in 1985; contributor<br />
Hugh Sidey was riding SO metres behind President<br />
Kennedy on that fateful day in 1963; and Executive<br />
Editor Chris P01terfield was backstage at The Ed<br />
Sullivan Show when The Beatles made their first<br />
appearance in 1964.<br />
TIME has set the benchmark both in journalism<br />
and publishing practices with its focus on breaking<br />
news, photographic excellence and journalistic<br />
integrity. It is TIME's integrity and rep01t.ing savvy<br />
that has led to media outlets adopting its vernacular.<br />
In 1939TIME's Executive Editor, Frank Norris was<br />
credited with naming World War II. TIME also lead<br />
the way in the publishing arena when it created the<br />
first ever annual subscription in 1929 with its<br />
perpetual subscriptions priced at sixty dollars. In<br />
1965 the US post office honoured TIME for<br />
developing the zip code (a system that was<br />
developed to speed up TIME subscriptions<br />
deliveries).ln the South Pacific, TIME is one of the<br />
few magazines built on a subscription model,<br />
secunng more than 80 per cent of sales by<br />
subscription.<br />
HISTORY<br />
Over 80 years ago in 1923, TIME magazine printed<br />
its first edition, the brainchild of Yale graduates<br />
Briton Hadden and Henry Luce. It was a slender IS<br />
116
cent leaflet printed in black and white on newsprint.<br />
Within four years of its launch TIME had turned a<br />
profit and within six it had a circulation of200,000.<br />
The public seemed to enjoy Luce and Hadden' s<br />
rep01tage style which provided news but gave it<br />
the drama and narrative pace of a novel.<br />
By 1958 the magazine had more than 400<br />
reporters and 33locations worldwide. A network of<br />
bureaus remains at the core of the magazine's news<br />
gathering system today and the editorial process<br />
has changed little. Correspondents are sent out to<br />
gather facts , in-house reporters check them for<br />
accuracy and writers and senior editors shape them<br />
into vivid stories.<br />
ln its first decade, TIME established traditions<br />
that remain an intrinsic part of the magazine's<br />
identity today. In 1927 TIME introduced the<br />
trademark red border and the annual Man (now<br />
Person) Of The Year issue which names the person<br />
who most influenced the world for better or worse<br />
in the year just past.<br />
In 1961 TIME ran its first edition with local<br />
<strong>Australia</strong>n advettising but it wasn' t until 1986 that<br />
the first <strong>Australia</strong>n issue with local editorial pages<br />
was published.<br />
Today, TIME magazine continues to operate<br />
under Time Inc, which is the publishing arm of its<br />
parent company Time Warner, the world's leading<br />
media and entertainment company.<br />
TrME magazine is a remarkable illustration of<br />
how a good idea can shape history for decades<br />
and how a product can transform itself into one of<br />
the world's most recognised and trusted brands.<br />
THE PRODUCT<br />
From its humble beginnings TIME remains the<br />
world leader as the largest and most successful<br />
newsmagazine, renowned for its journalistic<br />
excellence and innovation.<br />
TIME is the only international newsmagazine<br />
with regional editors who customise editions,<br />
including the South Pacific, so they are relevant<br />
and meaningful to local readers. Regional editorial<br />
teams have the unique ability to draw on the<br />
advanced editorial resources of other international<br />
editions and other Time Inc. magazines such as<br />
Fortune and Sports Illustrated.<br />
TIME readers are also drawn to the product for<br />
its repotting across a broad spectrum of topics from<br />
technology to social science, business, the arts,<br />
history and fashion. Readers are informed and<br />
entertained with weekly sections such as<br />
Worldwatch, Arts & Entettainment and Essay and<br />
TIME's thought-provoking special editions<br />
including widely read annuals TIME 100, Coolest<br />
Inventions and Person of the Year.<br />
TIME's Person of the Year has become a<br />
landmark issue for TIME since 1927, eagerly<br />
awaited by readers and world media and confirming<br />
TIME's position as a credible authority on world<br />
events.<br />
TIME's sensitivity and understanding<br />
of regional difference is<br />
highlighted by the inclusion of<br />
News makers of the Year in intemational<br />
editions, including the recognition of<br />
their impact in their respective<br />
regions.<br />
RECENT DEVELOPMENTS<br />
TIME celebrated its 80th birthday<br />
in2003 with a special double issue<br />
focusing on the most pivotal day<br />
in each of the last 80 years. The<br />
issue relived those 80 years<br />
through the eyes of TIME's<br />
reporters, editors and photographers<br />
as well as several contributors highlighting how<br />
TIME's worldwide access has helped people<br />
understand world events across the decades.<br />
The strength of TIME's brand has enabled the<br />
magazine to continually evolve through brand<br />
extensions like the fashion supplement, Style &<br />
Design. TIME developed Style & Design to reach<br />
its most affluent and style conscious readers around<br />
the globe.<br />
TIME is committed to the development of the<br />
product and creation of new initiatives to ensure<br />
that the magazine continues to re-invent itself and<br />
remains relevant to all readers and regions around<br />
the globe.<br />
PROMOTION<br />
TIME's red border remains its most valuable<br />
marketing tool and has become synonymous with<br />
the brand around the world. The red border<br />
masthead has appeared on the cover of the magazine<br />
since 1927 and only one issue since then has<br />
appeared without it- TIME' s September 11<br />
Commemorative <strong>Edition</strong> was printed with a black<br />
border in memory of those who lost their lives on<br />
that historic day. The red border is the core of<br />
TIME' s current global advertising campaign.<br />
Strategic alliances are another promotionaJ tool<br />
used widely by TIME. The magazine's association<br />
with the Olympic Games is a perfect example of a<br />
global marketing initiative that creates a unique<br />
platform for TIME to deliver benefits to readers<br />
and advertisers.<br />
Editorially, TIME has covered the Olympic<br />
Games since the magazine's beginnings in the 1920s,<br />
and has enjoyed a long and successful<br />
association since signing on as<br />
a worldwide sponsor for the<br />
1984 Games in Los Angeles.<br />
BRAND VALUES<br />
TIME is the world's most interesting<br />
newsmagazine. It continues to build<br />
on its long tradition of excellence by<br />
reporting with authority and integrity<br />
on the people and events that shape<br />
the world.<br />
TIME is corrunitted to delivering<br />
in-depth world news on a broad<br />
spectrum of topics, both local and<br />
international, every week. It provides<br />
authoritative, unbiased and in-depth reporting and<br />
expert analysis to it readers, it is able to gain access<br />
to world events and world leaders and it reaches<br />
over 30.1 million readers world-wide.<br />
TIME is a trusted source of current affairs which<br />
are presented in an insightful and meaningful way<br />
provoking readers to think, and to keep them wellinformed<br />
in a complicated and changing world.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
TIME<br />
0 TIME has over 30 million readers<br />
worldwide and is patt of the lat·gest<br />
media company, Time Wat·ner.<br />
0 TIME was co-founded by Yale<br />
graduates Henry Luce and Briton<br />
Hadden in 1922. The first issue of<br />
TIME was published on Mat·ch 3, 1923.<br />
0 In I 929 TIME offered readers Perpetuai<br />
Subscriptions for sixty dollat·s.<br />
0 In 1939, TIME Executive Editor, Frank<br />
Norris, was credited with natning<br />
World War II.<br />
0 In 1965 the US Post Office honow·ed<br />
TIME for developing the zip code ( a<br />
system that was developed to speed<br />
up TIME's subscription deliveries).<br />
0 The reel border first appeat·ed on the<br />
cover in 1927.<br />
0 The first TIME Man of the Yeat· was<br />
Chat·Ies A. Lindbergh ( 1927).<br />
0 In 1943 TIME was available for the first<br />
time in <strong>Australia</strong>.<br />
0 Albeit Einstein was named TIME' s<br />
Person of the Century in 2000.<br />
0 The first <strong>Australia</strong>n to appeat· on the<br />
cover of TIME was Datne Nellie Melba<br />
(1927).<br />
1!7
TOYOTA<br />
Today almost 40 per cent of all Toyotas are<br />
manufactured outside Japan and with the opening<br />
of vast new markets in China and India, as well as<br />
Europe, it is likely off shore manufacture will soon<br />
predominate.<br />
Toyota has taken the lead in many engineering<br />
developments which have guided world motor<br />
vehicle demand.<br />
It was the first truly mass-manufacturer to<br />
THE MARKET<br />
<strong>Australia</strong>ns are buying 900,000 new vehicles a year<br />
-an all-time record. A decade ago they bought fewer<br />
than 800,000.<br />
More than 200,000 all wheel drive vehicles are<br />
sold each year and it is likely that demand will grow<br />
even further. <strong>Australia</strong>n businesses are also<br />
investing in new, even safer and more car-like<br />
commercial vehicles. More than 150,000 are sold<br />
each year.<br />
Business confidence, favourable exchange rates,<br />
and financial stability have all contributed to the<br />
expanding automotive market.<br />
ACHIEVEMENTS<br />
Toyota <strong>Australia</strong> has been outright market leader<br />
for seven of the past twelve years. It has been<br />
instrumental in each of the major growth markets,<br />
leading sales in the light, small and medium<br />
passenger vehicle segments, the all wheel drive<br />
market and the light commercial vehicle sector.<br />
Toyota has become <strong>Australia</strong>'s leading expmter<br />
of motor vehicles. It exports more than 66,000<br />
<strong>Australia</strong>n-made Camrys, earning more than $1.5<br />
billion each year. That is more than 30 per cent of<br />
<strong>Australia</strong>'s total motor vehicle expmts.<br />
Globally, Toyota Motor Corporation, Japan's<br />
largest car maker, is committed to a target of<br />
achieving 15 per cent of all motor vehicle sales by<br />
the end of the decade. In <strong>Australia</strong> Toyota already<br />
claims more than 20 per cent of sales.<br />
The Toyota Modular Platform (TMP) technique<br />
pioneered on <strong>Australia</strong>n-made Carmy and Avalon<br />
has the potential to become a universal trend. TMP<br />
utilises the same, or similar, rolling chassis as host<br />
to a number of different vehicles. Toyota has<br />
demonstrated the versatility ofTMP with a special<br />
show vehicle, the locally designed all wheel drive<br />
Sportivo coupe which points to its <strong>Australia</strong>n<br />
design capability.<br />
ln 2003 Toyota Motor Corporation was for the<br />
fu·st time nominated the most admired company<br />
outside America in the annual Fmtune magazine<br />
poll of the world's top 50 corporations.<br />
The Fmtune poll found Toyota to be the world's<br />
most admired car company, significantly ahead of<br />
German and Japanese competitors.<br />
HISTORY<br />
Toyota Motor Corporation built its first car - the<br />
AA - in 1936, and its first exports occurred only<br />
four months later.<br />
The first Toyotas came to <strong>Australia</strong>n in the mid-<br />
1950s and the first distribution agreement was<br />
established in 1959 with construction magnate Sir<br />
Leslie Thiess, who used them on the Snowy<br />
Mountains HydroElectric Scheme. Thiess'<br />
LandCruisers sold to resource-based industries<br />
across <strong>Australia</strong>'s vast north and western regions<br />
helped open the outback.<br />
The first Toyotas built outside Japan were<br />
manufactured in Melbourne in the ear·ly 1960s.<br />
WANT TO CHANGE<br />
THE WORLD?<br />
I:I ..J.t:q l t. l:r.IO~ ~-~1 1 ... l l l""' f,, -·t-.l>llilo-<br />
brQ!'"J ~l'-~-1)! ~1-.t'~"Jtl!tl"" O ~('I'~ !I1M'\II<br />
ot'it'O! ... I I ~l-~•rl! \~10!!,..<br />
~OKIY J =:::;7::.:<br />
dl~ ~- !o.lll>lir , 1T>ri4<br />
~>:~..ex<br />
l..o:l w.tl
It is committed to offering hybrid versions of all<br />
its major passenger models over the coming years.<br />
THE PRODUCT<br />
Toyota markets 20 different models in <strong>Australia</strong> in<br />
103 variants- more than any other vehicle company.<br />
It leads nine of the seventeen segments which make<br />
up the <strong>Australia</strong>n market.<br />
Toyota Camry and Toyota Avalon are both<br />
locally manufactured at Toyota's Altona, Victoria<br />
plant. Almost 120,000 me produced each year-.<br />
Toyota's four wheel drive range- LandCruiser,<br />
Prado, Hilux, and its all wheel drives RAV4 and<br />
Kluger are each well suited to local market<br />
conditions.<br />
LandCruiser, promoted as King Off the Road,<br />
accounts for better than 50 per cent of large 4x4<br />
demand. LandCmiser 78 series workhorse and Hi lux<br />
4x4 together make up 36 per cent of the 4x4 pickup<br />
market.<br />
Toyota's light, small and medium passenger<br />
motor vehicles - Echo, Corolla and Camry each lead<br />
their market segment and combined they out sell<br />
<strong>Australia</strong>'s top selling six cylinder fleet and family<br />
vehicle.<br />
Toyota's vehicles are well placed to meet the<br />
increasingly lower voluntary fuel consumption<br />
tar·gets agreed between the motor industry and the<br />
Federal Government.<br />
RECENT DEVELOPMENTS<br />
Toyota Motor Corporation has chosen <strong>Australia</strong><br />
as an important site for its global engineering<br />
expansion.<br />
A new technical centre is being built at Monash<br />
in Victoria to house up to 500 designers and<br />
engineers who will be engaged in development of<br />
cars for the region, and for the world.<br />
Toyota has committed to reinforcing its position<br />
as global automotive leader in technology. Its<br />
second generation hybrid Prius is a benchmar·k<br />
example. It develops more combined power, has 30<br />
per cent lighter battery storage and boosts onboar-d<br />
electric power by almost 50 per cent. That<br />
means the driver of new generation Prius can<br />
choose to use even more power or be even more<br />
energy efficient.<br />
By 20 I OToyota aims to have two million hybrids<br />
on the world's roads, and it will have launched its<br />
fu·st hydrogen/electric hybrid- a zero emission car·.<br />
Current Prius halves the fuel consumption of an<br />
equivalent petrol-only car and reduces emissions<br />
by up to 90 per cent (Based on testing to ADR81 /0 I<br />
on a similar· sized car). Technological development<br />
applies equally to safety and comfort.<br />
DAT (Driver Assist Technology) on some 4WD<br />
models delivers driver aids which include vehicle<br />
stability control (VSC), electronic brake force<br />
distribution (EBD), downhill assist control (DAC),<br />
traction control (TRC) and hill start control (HSC).<br />
The company has adopted GOA (Global<br />
Outstanding Assessment) to ensure that its<br />
vehicles comply with the most advanced passive<br />
safety standards of all countries.<br />
PROMOTION<br />
Lifestyle integration has been the highpoint of<br />
Toyota's thrust to become even a greater pmt of<br />
AustTalian culture.<br />
Toyota has always been part of the outback.<br />
When <strong>Australia</strong>'s post-2000 drought was at its most<br />
critical point it was Toyota which organised and<br />
underwrote the first publicly-funded drought relief<br />
prograrn. Toyota genuinely sought no recognition.<br />
Its goal was to support the community of which it<br />
was part.<br />
Toyota has been at the forefront of specifically<br />
tailored gender-spt>cific programs like Toyota<br />
Avenue and Safe 'N' Savvy- each recognising that<br />
women positively influence up to 80 per cent of all<br />
private automotive purchase decisions.<br />
The Toyota Community Spirit program, launched<br />
in 200 l is a central par·t of the company's aim of<br />
providing opportunities to work with local<br />
COI1U"l1Unities.<br />
Toyota is the principal sponsor of National Tree<br />
Day, an initiative of Planet Ark. At the most recent<br />
National Tree Day communities ar·oLmd <strong>Australia</strong><br />
planted 2.2 million trees- and the positive influence<br />
on young <strong>Australia</strong>ns was significant.<br />
A Toyota initiative to make it possible for school<br />
students to study mechanical engineering as pmt<br />
of their curriculum has expanded to become an<br />
industry-wide practice supported by most<br />
<strong>Australia</strong>n Departments of Technical and Fmther<br />
Education (TAFE). The T-3 program is expanding<br />
knowledge and creating car-eers.<br />
Toyota is pmt of <strong>Australia</strong>n sporting culture. It<br />
is principal sponsor of AFL. It enjoys a strong<br />
association with icon golfer Greg Norman and has<br />
its own motor racing team Toyota Team Racing<br />
which contests the <strong>Australia</strong>n Rally Charnpionship.<br />
Toyota's long term advertising slogan: "Oh<br />
What a Feeling" endures as one of the country's<br />
most recognisable and oft-repeated catchcries. But<br />
with time it is evolving and coming to represent far·<br />
broader based community values.<br />
BRAND VALUES<br />
QDR - Quality, Dependability and Reliability - is<br />
the cornerstone of Toyota's reputation. Add to that<br />
Innovation and Inspiration and the brand values<br />
which suppmt the company's evolving structure<br />
take shape.<br />
The development of leading technologies to aid<br />
safety, the environment and occupant enjoyment,<br />
ar-e driving Toyota to a new level of value in the<br />
community.<br />
Toyota entered Formula One motor sport as a<br />
means of inspiring its own people and its customers.<br />
When asked why his company had entered F1,<br />
Toyota president Fujio Cho said: "So that I can<br />
employ even better people".<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
0<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
TOYOTA<br />
In <strong>Australia</strong>, Toyota encouraged its<br />
youngest employees to design their<br />
own car·. The RAW group ofunder-25<br />
staff members highly modified a<br />
Toyota Hilux utility and displayed it at<br />
the Sydney Motor Show.<br />
Toyota now has divisions building prefabiicated<br />
houses, boats, aircraft<br />
engines, and aids to intelligent<br />
t:rar1sport systems like electTOnic<br />
tollbooths.<br />
More than 6,300 multi-media electronic<br />
information terminals have been<br />
installed in convenience stores<br />
tJu·oughout Japa11 to allow customers<br />
to shop, request vehicle price estimates<br />
and make appointments with Toyota<br />
dealers.<br />
The Toyota PM (Personal Mobility)<br />
concept vehicle launched at the Tokyo<br />
Motor Show only allows access to the<br />
vehicle after a finger print check. The<br />
all-electric vehicle can compress its<br />
wheelbase to fit into tight par·king<br />
spots.<br />
Visitors to Expo2005 in Japan will be<br />
transpmted ar·mmd the giant site by<br />
driverless Toyota IMTS (Intelligent<br />
Multimode Transit System) vehicles.<br />
The IMTS vehicles can operate<br />
separ·ately, picking up and dropping off<br />
passengers at will, or join up in platoon<br />
fmmation.<br />
Toyota is cmmnitted to the concept of<br />
hybrid fL1el cell/ electric vehicles rather<br />
than pure fL1el cells envisaged by some<br />
other companies. Electricity made from<br />
hydrogen offers an amazingly high 83<br />
per cent theoretical efficiency and that<br />
is far· preferable to dependency on a<br />
single fuel source.<br />
Toyota has celebrated 40 yem·s of<br />
building cars in <strong>Australia</strong> and in 2004 it<br />
locally manufactmed its two millionth<br />
vehicle. Globally Toyota has now<br />
delivered more than 28 rnillion Corollas<br />
-the world's most popular· em- and<br />
nine million Cmmys. Its one tonne<br />
Hi lux utility- the world's most in<br />
demar1d light truck - has passed the 12<br />
rnillion production milestone.<br />
Toyota set a new sales record in 2003<br />
delivering 6.42 million vehicles globally.<br />
Almost 200,000 of these were in<br />
<strong>Australia</strong>.<br />
119
\!rrabtng f)ost<br />
THE MARKET<br />
The Trading Post is a specialised<br />
classified advertising publication<br />
with a national market. This<br />
superbrand is a leader in its field<br />
and a true Aussie icon. From<br />
Adelaide to the Gold Coast,<br />
Darwin to Hobart, <strong>Australia</strong>ns<br />
look first to the Trading Post<br />
when buying or selling.<br />
Aided by declining readership<br />
of daily newspapers, a company<br />
policy to provide value for<br />
money, and a highly successful<br />
and innovative internet site, the<br />
Trading Post continues to enjoy<br />
a rapidly expanding share of the<br />
classified market, and more<br />
recently the display adve1tising<br />
market.<br />
The Trading Post's major<br />
competitors - the daily metropolitan and regional<br />
newspapers- are weakened by a life expectancy of<br />
less than a day. The Trading Post's 16 weekly<br />
publications, plus the~w:e:b••·~~~~~~~1ffl~~<br />
site, benefit from •<br />
longer exposure to a<br />
targeted market and a<br />
high profile as the<br />
medium for bringing<br />
buyers and sellers<br />
together.<br />
1EIJP :>lilrlbournr<br />
\[ tJ!~ ,l!HJ ~ost<br />
is with the printers by II pm. By early Thursday<br />
morning it is on sale in newsagents all over the<br />
city.<br />
Integration is highly developed.<br />
Classified advertisements are keyed<br />
in only once. Along with pictures<br />
opening in the classified market<br />
for low-cost private advertising.<br />
By 1968, growth had been so<br />
strong that the initiators decided<br />
to divide the company into three<br />
and assign separate territories.<br />
As a result, individual<br />
Trading Posts were established<br />
in three States as The<br />
Melbourne Trading Post, The<br />
Personal Trading Post in<br />
Brisbane and The Trading Post<br />
in Sydney. This last one would<br />
eventually cover New South<br />
Wales, the <strong>Australia</strong>n Capital<br />
Territory and South <strong>Australia</strong>.<br />
It would be more than 30<br />
years before these three<br />
separate organisations would be<br />
reunited. That happened on the<br />
31st of May 2001, when the<br />
Trading Post Group acquired all three and combined<br />
them into a truly national network.<br />
THE PRODUCT<br />
The highly recognisable tabloid-size Trading Post<br />
publications were developed with customer<br />
satisfaction and value for money as<br />
priorities.<br />
Over the years market research<br />
conducted for the Trading Post dictated<br />
changes to reflect customer preferences.<br />
ACHIEVEMENTS<br />
The Trading Post has<br />
seen excellent growth in<br />
recent years. In 2002, the<br />
business grew by 39.9 per<br />
cent, of which 12.9 per<br />
cent was strong organic<br />
growth. Display sales<br />
showed an impressive 16.2<br />
per cent growth while call<br />
centre operations grew 34<br />
per cent over the previous<br />
year.<br />
Print production has been<br />
streamlined to an outstanding extent. Placement for<br />
display advertisements in Sydney, for instance,<br />
closes at 12 noon on Tuesday, but the call centres<br />
(which accept the classified advertisements) do not<br />
close until 8 pm. The first file is de]jvered to the<br />
printer at 8.30 pm, and the complete publication,<br />
which runs to an average of more than 200 pages,<br />
they are stored in<br />
the database and<br />
are called down<br />
as they are needed - for print or for the Internet.<br />
HISTORY<br />
The first Trading Post was launched in Melbourne<br />
in 1966 when a group of friends recognised an<br />
120
This resulted in category specification directed by<br />
the market to enhance accessibility. Full process<br />
colour printing was introduced to follow the trend<br />
in metropolitan newspaper printing. Display<br />
advertising, automotive and lifestyle editorial and<br />
promotional features were added to further increase<br />
service to customers.<br />
The various publications ofthe group now carry<br />
a range of colour magazines as insetts, themed on<br />
the one hand as car or motorcycle publications and<br />
on the other with a wider brief addressing 'Digital<br />
Living' or ' Renovation'. They were initiall y<br />
introduced as magazine-sized inserts, but The<br />
Trading Post has found that readers actually prefer<br />
the tabloid format, not just for the publication itself<br />
but also for the insetts.<br />
As well as enabling refinement of the product,<br />
market research was used to refine the core values<br />
of the product, develop communication and growth<br />
strategies and assist in promotion, particularly in<br />
new geographical areas. The addition of web site<br />
services has augmented the effectiveness of the<br />
printed publications. Internet content can be<br />
accessed through the main www.tradingpost.<br />
com.au portal wh ich gives access to the local<br />
markets and specialist sites. In 2002, these listed<br />
more than 150,000 items each week in 150<br />
categories, taken from the print publications.<br />
Outbound call initiatives have seen Trading Post<br />
call centres contacting clients and prospects with<br />
up-selling offers, options to repeat ads and a range<br />
of special pricing offers. This program is based on<br />
sophisticated database technology to support sales<br />
personnel with customer information.<br />
Commercial and display advertising are also<br />
high priority areas. This market segment is being<br />
further developed with the introduction of a<br />
national sales team focusing on national advertisers<br />
and agencies. Classified advertising growth is<br />
managed with continuous market research,<br />
underpinned by strong brand promotion at the point<br />
of sale.<br />
RECENT DEVELOPMENTS<br />
In 2002, Dutch-based Trader Classified Media<br />
purchased the remaining minority interests in the<br />
business and achieved 100 per cent ownership of<br />
the nationally recognised Trading Post brand. This<br />
consolidated the company' s position in <strong>Australia</strong>,<br />
and it now has complete coverage in New South<br />
Wales, Victoria, Queensland,<br />
Western <strong>Australia</strong>, South<br />
<strong>Australia</strong>, the Northern<br />
Territory and Tasmania.<br />
Since the acquisition, the<br />
company has been able to<br />
achieve a significant number of<br />
synergies among these<br />
operations. This has accelerated<br />
revenue growth; Sydney' s<br />
revenue growth, for instance,<br />
was up from 5 per cent to 13<br />
per cent.<br />
Additional synergies are<br />
expected to flow from the<br />
purchase of the Trading Post<br />
Group in early March 2004 by Sensis Pty Ltd, the<br />
advettising subsidiary of Telstra Corporation Ltd.<br />
This brings ownership of the Trading Post back into<br />
<strong>Australia</strong>n hands, where it belongs! Among other<br />
• J.otomoli;•<br />
o !u5.......SS<br />
• C~CD<br />
o Empl:>yrM ot<br />
• G.Mdtt~aOU t door<br />
"'""""<br />
Home & F.imily<br />
• M.m<br />
· ~ !I-ce d~<br />
• Pt ts t. LN•stock<br />
: ~~ ~[~~~~~ry<br />
• Rfi'loOvatioot.lluilding<br />
• Sp;>c ts t. L~t<br />
trader<br />
---;- __,~<br />
EI A"'rori\Aot: ll. ~n"Mil" •'"'f-Ml<br />
t] nou w tu;"$OISO't.AYA01<br />
l) IOOWTOUtO>C ,....,.LINICf .. l U,<br />
fl '-~ oholo..__. -.Hu . .....<br />
fl ~-.... - - - -· - -"'•Hr.<br />
u.t-..-4'2'"' ... ) :::a~ • 11••,_<br />
Tow ..... ,,..u_.<br />
o U (tlii.
1/a/vo//ne<br />
THE MARKET<br />
Times are changing for <strong>Australia</strong>n car owners.<br />
Consumer research has shown that most of them<br />
now have their car's oil changed by a professional<br />
mechanic. This dramatic swing towards DlFM (Doit-for-me)<br />
has been at the expense ofthe traditional<br />
DIY (Do-it-yourself) market. The growth in new car<br />
sales and the increase in extended warranties have<br />
clearly influenced this. So has the increase in the<br />
number of women purchasing- and maintainingtheir<br />
own vehicles. If that wasn't enough,<br />
<strong>Australia</strong>'s aging population has also contributed<br />
to the swing as they opt for professional attention<br />
to their car rather than doing it themselves.<br />
But motor oil is still the number one traffic<br />
generator for the automotive category ahead of<br />
batteries, seat covers and sound. The DIY (retail)<br />
market might represent a smaller percentage of the<br />
car population, but demand for packaged motor oil<br />
is still a significant segment whenever the consumer<br />
is directly involved in making the purchasing<br />
decision.<br />
Crankcase capacities are decreasing and service<br />
intervals are increasing, so the automotive lubricant<br />
market is a mature one. Volume is expected to decline<br />
over time. This change is making it more important<br />
than ever that the engine oil does its job well. In the<br />
long term it will inevitably increase the demand for<br />
premium, quality lubricants in both markets.<br />
ACHIEVEMENTS<br />
In a category where the customer can not taste,<br />
feel or interact with the product, the Valvoline brand<br />
is seen as a 'lubricant specialist' and has earned a<br />
high level of consumer trust. The brand is known<br />
for its high quality products and enjoys a high level<br />
of brand loyalty.<br />
ValvoLine has achieved its outstanding growth<br />
by offering superior value to consumers. In the<br />
DIY category, Valvoline was the first to introduce<br />
the successful six litre Value Pack. In 1993, it<br />
launched another packaging innovation - the eight<br />
litre oil drain pan. The bottle could be re-used as a<br />
drain pan and storage device for used oil.<br />
In future, m~or volume growth is expected to<br />
once again come from the DIFM channel as well as<br />
the commercial and industrial markets. Valvoline<br />
set up special divisions in 1998 in <strong>Australia</strong> to deal<br />
with the latter two. The company is working with<br />
the Cummins Engine Company worldwide to<br />
produce outstanding, cutting-edge on-road and offroad<br />
engine and other lubrication products.<br />
When Valvo line opened its state-of-the-art new<br />
product development laboratory in 1999, its goal<br />
was to have 25 percent of its earnings come from<br />
new products. Today, it is well on its way to<br />
achieving this goal, thanks to the teamwork and<br />
cooperation between marketing and the laboratory.<br />
Valvoline has demonstrated the powerful<br />
combination of strong marketing and technical<br />
teams with its successful new products like MaxLife<br />
Motor Oil and SynPower<br />
Oils and Chemicals.<br />
HISTORY<br />
Valvoline had its beginning<br />
in 1865, when Dr. John Ellis<br />
turned hi s attention to<br />
pharmacology and became<br />
fascinated with various<br />
claims relating to the<br />
medicinal value of crude oil.<br />
Although he quickly concluded that the medicinal<br />
claims were unfounded, Ellis became consumed<br />
with the notion that it might be possible to create a<br />
machinery lubricant from the crude oil. Ellis built<br />
the world's first mineral lubricating refinery in<br />
Binghamton, New York. Eight years later, in 1873,<br />
the product that he called Binghamton Cylinder Oil<br />
was given the first mineral lubricating trademark<br />
ever registered: Valvo line.<br />
Valvoline introduced the first ever all-season,<br />
all-purpose gear lubricant back in the 1930s. This<br />
became the first lubricating oil for diesel and peak<br />
loads in gasoline engines. In I 940, Valvo line became<br />
the first company to offer an unconditional moneyback<br />
guarantee on its motor oil. Valvoline was<br />
acquired by Ashland Oil in the late 1940s and is sti ll<br />
part of Ashland's portfolio.<br />
Valvo line was sold in <strong>Australia</strong>, through various<br />
distributors, as far back as 190 l.ln 1960, Valvoline<br />
set up a branch in <strong>Australia</strong> and took over the<br />
business from the Carrigan Brothers. Today,<br />
Valvoline<br />
owns<br />
124
and operates a manufacturing plant in Sydney and<br />
thirteen branches <strong>Australia</strong> wide. It also has more<br />
than sixty rural agents and distributors.<br />
THE PRODUCT<br />
Much has changed since Valvoline's founder<br />
produced hi s first barrels of 'cylinder oil' for use in<br />
industrial engines, but one thing that has not<br />
changed is Valvoline's commitment to quality.<br />
Today, Valvoline is a leading suppli er of high<br />
quality, high performance automotive and industrial<br />
lubricants in more than 140 countries. Valvoline<br />
markets a comprehensive range of motor oils<br />
including full synthetic, synthetic blends and<br />
boutique racing formulations. It also markets a<br />
complete range of automotive aftermarket products<br />
including high pe1formance gear oils, transmission<br />
fluids, greases and other lubricating products.<br />
Valvoline has been successful in leveraging its<br />
strong brand beyond lubricants into other areas of<br />
'under bonnet' products including automotive<br />
chemicals and filters.ln 1998, Valvo line introduced<br />
a complete range of high quality automotive filters<br />
into the market. The consumer response was<br />
fantastic. Many retailers reported<br />
that their sales ratio of oil to filters<br />
had actually increased when they<br />
merchandised Valvoline alongside<br />
the filter market leader. Valvoline also<br />
markets automotive chemicals under<br />
the SynPower and Pyroil brand<br />
names and automotive appearance<br />
products under the Eagle One brand<br />
name.<br />
RECENT DEVELOPMENTS<br />
Valvoline continues to launch new<br />
and innovative high quality<br />
products. Valvoline MaxLife<br />
Automatic Transmission Fluid was<br />
the first fluid specifically designed<br />
for higher mileage transmissions,<br />
while Valvo line VRJ Racing Engine oil was created<br />
for high-revv ing, high performance Japanese<br />
engines.<br />
The company's cutting-edge coolant<br />
technology has been adopted by leading original<br />
equipment manufacturers (OEM) around the world.<br />
They are<br />
products not only to deliver longer drain intervals<br />
but also to offer superior protection. Recent<br />
products along these lines include Valvoline G-05<br />
Coolant and Valvoline Heavy-Duty Extended Life<br />
Coolant, both carrying OEM approval.<br />
The filter business, meanwhile, continues to<br />
grow. The filters offer customers a high quality<br />
product with a natural fit with the engine oil.<br />
Valvoline has in vested in the best product<br />
technology and packaging and projects a high<br />
quality image in the market.<br />
PROMGnON<br />
The basic promotional philosophy is to invest in<br />
the brand with a consistent adve1tising message.<br />
Over time this has built Valvoline into the great<br />
brand it is.<br />
Valvoline's aggressive adve1tising campaigns<br />
in the 1990s with John Laws were responsible for<br />
the brand's growth in sales and awareness.<br />
'Valvo line, You Know What I Mean' remains in the<br />
minds of consumers and has high levels of<br />
consumer recall.<br />
Valvoline's association with motorsport<br />
sponsorship is part of its<br />
heritage. It is on the race<br />
track where Valvoline<br />
fulfils its promise of<br />
performance. Valvoline<br />
has a strong presence in<br />
both local and<br />
international race events.<br />
Steve Williams, Kiwi race<br />
car driver and caddy for<br />
golfing great Tiger<br />
Woods, is proudly<br />
sponsored by Valvoline,<br />
both on the race car track<br />
and on the golf circuit.<br />
This sponsorship has<br />
captured the attention of<br />
the sporting world and<br />
Valvoline has enjoyed world wide exposure as a<br />
result.<br />
ln the DIY market, Valvoline has conducted many<br />
exciting promotions. During the recent Instant Win<br />
V8 Super Car Game promotion, every customer<br />
received a sample of a new game featuring the<br />
Valvoline Car. This was a joint promotion,<br />
leveraging two marketing budgets to reach a<br />
common audience- the motor spmt fan. Valvo line<br />
added value to the oil and the marketers of the<br />
game gained access to Valvoline customers,<br />
producing a great result for both partners and<br />
consumers.<br />
Uniquely, Valvoline can cross-promote oil and<br />
filters. One recent example of this highly successful<br />
strategy was the $4 Oil and Filter Cash Back Deal.<br />
In the DIFM channel, Valvoline has taken a<br />
partnership approach with the installers in<br />
developing programs that help up-sell to its premium<br />
lubricants such as ProBlend, DuraB!end, MaxLife<br />
and SynPower. As engines become more<br />
sophisticated and driver habits place more stress<br />
on the engine, the mechanic or service attendant<br />
can be in strumental in personally selling the<br />
features and benefits of using premium products.<br />
This is a luxury not always available in the DIY<br />
channel, where consumers are on their own.<br />
BRAND VALUES<br />
Valvoline's brand values are driven by the company<br />
vision. Valvoline is committed to building premium<br />
brands and businesses.lt is committed to providing<br />
superior value to consumers as well as creating<br />
unique business solutions that enable business<br />
prutners to succeed with Valvoline. Valvoline is<br />
dedicated to developing its people through a<br />
culture that values teamwork, excellence and<br />
personal growth. The Valvoline Vision refers to a<br />
new word that Valvoline wants to own, which is<br />
"Premiumness." The Valvoline Vision ends with a<br />
powerful statement - "Premiumness" Is Our<br />
Business. Winning Is Our Passion.<br />
www.valvoline.com.au<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
VALVOLINE<br />
0 Valvo line' s founder Dr John Ellis<br />
produced America's first crude-based<br />
lubricating oil in 1866 and Valvo line is<br />
the oldest trademru·k in the entire<br />
petroleum industry.<br />
0 Valvoline products have had a vru·iety<br />
of looks over the yeru·s, but the nrune<br />
has not changed in more than a<br />
century.<br />
0 Valvoline is sold in more than 140<br />
countries ru·mmd the world.<br />
0 Valvoline.com was the first website in<br />
the motor oil category. Valvo line<br />
continues to lead the way, using<br />
technology to reach its customers.<br />
0 Valvoline's flagship Product<br />
Development Lab in KY, USA boasts<br />
the latest and most technically<br />
advru1ced equipment for product<br />
development and testing in both<br />
automotive and industrial fields,<br />
ensuring that Valvoline remains at the<br />
cutting edge of technology.<br />
0 Valvo line MaxLife Motor Oil won 200 I<br />
Lubricants World Product Of The Yeru·,<br />
and MaxLife ATF won the same awmd<br />
in2002.<br />
125
455g NET<br />
ONE 0 f VITAMIN 8<br />
fTHE WORLD'S RICHEST KNOWN SOURCES O<br />
THE MARKET<br />
In the <strong>Australia</strong>n market, Vegemite''' is an icon brand.<br />
It is the one spread that is introduced to the family<br />
almost as a duty, a ritual in the pattern that<br />
determines what makes an <strong>Australia</strong>n family.<br />
~ Vegemite fights with the<br />
~ men up North! If you are<br />
one of those who don't need<br />
Vegemite medicinally, then thousands of invalids<br />
are asking you to deny yourself of it for the time<br />
being. Extract ftvm a World War 2 advertisement.<br />
VEGEMITE iiM~tb~/<br />
Vegemite"', it seems, has always been around and<br />
families have always eaten it. Not that its enjoyment<br />
is restricted to family use: for example, Yegemite'''<br />
was alongside the diggers in the Second World<br />
War.<br />
Yegemite •:• is produced at Kraft Foods' Port<br />
Melbourne manufacturing facility which produces<br />
the 22 million '"' jars sold in <strong>Australia</strong> every year.<br />
ACHIEVEMENTS<br />
Mention Yegemite''' to any <strong>Australia</strong>n and you are<br />
likely to see instant recognition. There are<br />
interesting facts about Vegemite"', such as the fact<br />
that 70 percent of it is consumed at breakfast, and<br />
most is eaten on toast. But they cannot convey the<br />
full flavour of this unassuming black paste.<br />
Vegemite' is one of the world's richest known<br />
sources of B complex vitamins, especially thiamine,<br />
riboflavin, niacin and folic<br />
acid.<br />
HISTORY<br />
At the beginning of the<br />
1920s, the Fred Walker<br />
Company had a<br />
successful business<br />
making, selling and<br />
expmting food products.<br />
Its owner Fred Walker<br />
decided that it was time<br />
to tackle the concentrated<br />
yeast spread market, and<br />
in 1923 he hired Dr Cyril<br />
P. Callister to develop an<br />
<strong>Australia</strong>n yeast spread.<br />
In a laboratory at the<br />
Albert Park factory Dr<br />
Callister, who incidentally<br />
became <strong>Australia</strong>'s<br />
leading food technologist<br />
in the 1920s and ' 30s,<br />
experimented and worked<br />
on the Vegemite formula.<br />
By July 1923 he had<br />
developed the spread<br />
that Walker wanted. The<br />
product was ready but the<br />
name wasn ' t.<br />
Fred Walker turned to<br />
the <strong>Australia</strong>n public and<br />
launched a nationwide<br />
competition to find a<br />
name for his new food.<br />
The prize pool held a very<br />
tempting fifty pounds. The name selected was<br />
Vegemite'''.<br />
An English yeast spread dominated the<br />
<strong>Australia</strong>n market at the time, and shoppers were<br />
reluctant to add Vegemite''' to their baskets. Sales<br />
languished. The product was actually renamed only<br />
four years after its introduction, and relaunched as<br />
"Parwill". This was an attempted play on words: "If<br />
Marmite ... then Parwill" was the intended pun, but<br />
it didn't sell the product.<br />
Walker went back to his first choice of name<br />
when he became convinced that the problem was<br />
getting consumers to try the product. He launched<br />
a vigorous two year coupon redemption scheme<br />
and gave away a jar of Yegemite· with every<br />
purchase of another product in the Fred Walker<br />
Company range. The campaign worked: consumers<br />
tried the product, and loved it. Baby health centres<br />
l dddj l J<br />
C;o G;<br />
J I I F J<br />
dl<br />
we<br />
dl<br />
d IJJJJ I<br />
all enjoy our Veg-e-mite for breakfast lunch nd tea, our mummies say we 're<br />
t,,<br />
lJ I j'
across the nation were even recommending it as an<br />
ideal food supplement for both babies and nursing<br />
mothers. <strong>Australia</strong>ns of all ages continue to love<br />
Vegemite '' today. Its unique flavour could almost<br />
be called the taste of <strong>Australia</strong>.<br />
Just before the outbreak of the Second World<br />
War, Yegemite''' gained official<br />
endorsement from the British<br />
Medical Association. It was then<br />
being advertised in the <strong>Australia</strong>n<br />
Medical Journal, and doctors were<br />
increasingly recommending it as a<br />
nutritionally balanced food. During<br />
the War, supplies of Yegemite•:• to<br />
civilians were rationed as the Armed<br />
Forces bought it by the seven pound<br />
(3.2kg) container.<br />
During the post-war "baby<br />
boom", wartime goodwill translated<br />
into a boom in Vegemite''' sales. In<br />
1950, Vegemite ' came under the Kraft<br />
Foods Limited umbrella, and the company has<br />
consistently reinforced the food value and<br />
"<strong>Australia</strong>n-ness" of Vegemite'''·<br />
Soon after that, the song which was to secure<br />
Vegem ite' S''' place in the <strong>Australia</strong>n heart forever<br />
was introduced. This was the "Happy Little<br />
Vegemites'''" song.<br />
THE PRODUCT<br />
The original Vegemite''' concentrated yeast<br />
extract recipe devised by Dr Cyril Callister in<br />
1923 remains virtually unchanged. Yegemite•:• is<br />
rich in protein and minerals and a rich source of<br />
Vitamin B. B complex vitamins in Yegemite •:• are<br />
essential in the body's use of carbohydrates.<br />
RECENT DEVELOPMENTS<br />
Yegemite '' has become so identified with<br />
<strong>Australia</strong> that there has been a tongue-in-cheek<br />
proposal of its label as the new national flag.<br />
More recently Vegemite* has seen innovation<br />
with the launch of a Vegemite* ' Snackabouts'<br />
variant in 1999 which couples Yegemite''' with<br />
biscuits in a p01table format. In 2003 Vegemite<br />
broke the mould with the permanent ranging of the<br />
'Yegemite* Tube' travel pack and the munchable<br />
'Vegemite '' In A Biskit'.<br />
PROMOTION<br />
The first consumer promotion for<br />
Vegemite''' ran even before the<br />
product was called Vegemite ''. It was<br />
the national competition to create a<br />
name.<br />
Two years after the 1935 coupon<br />
campaign that saw Vegemite''<br />
accepted by shoppers, an intriguing<br />
limerick contest once again catapulted<br />
it into the national spotlight. Its success<br />
was at least pa.Itly due to the substantial<br />
prizes: imported Pontiac cars. Entries<br />
flooded in and sales multiplied.<br />
An inspired wa.Itime campaign made<br />
a virtue out of the enforced scarcity of<br />
Yegemite··; Kraft Walker' s
THE MARKET<br />
The home entertainment market has followed many<br />
paths over the past decades, most significantly from<br />
Video (VHS) tape to Digital Video Disc (DVD)<br />
technology.<br />
Video Ezy has continued to adapt to this<br />
changing marketplace in order to meet the demands<br />
of its members' rental and retail habits, and accepted<br />
this challenge early in the DVD revolution.<br />
DVDs have been in the <strong>Australia</strong>n marketplace<br />
since 1997 and DVD players are in nearly 60 per<br />
cent of households, with sales increasing by 80 per<br />
cent in the 2003 calendar year. Consumers are<br />
seeking prutners to satisfy their renting and buying<br />
needs and with the VHS mru·ket expected to dry up<br />
within four yeru·s, Video Ezy is well-placed to take<br />
on this rental and retail role. Video Ezy stores'<br />
ordering ratios in metro markets are now 70 per<br />
cent DVD and 30 per cent VHS. This is in sharp<br />
contrast to eru·Iy 2003, but it reflects the DVD retail<br />
mru·ket figures of2003.<br />
Video Ezy acknowledges that <strong>Australia</strong>ns are<br />
now, more than ever before, "cocooning"<br />
themselves at home. This trend presents a unique<br />
opportunity to connect with consumers on a<br />
personal level, as they custonuse their experiences<br />
to capitali se on their in-home entertainment<br />
systems.<br />
HISTORY<br />
Video Ezy was established in 1983 after identifying<br />
a gap in the <strong>Australia</strong>n entertainment<br />
industry to provide rental<br />
movies to the public. In its 21st<br />
year it ts the largest<br />
entettainment rentailer I retailer<br />
in <strong>Australia</strong>, with over 540<br />
stores nationwide.<br />
From a humble beginning of<br />
one local Sydney store in<br />
Hurstville, Mr. Robert<br />
Maidment, Video Ezy ' s<br />
Executive Chairman, soon had<br />
a vision to grow the business<br />
and provide customers with<br />
"what they want, when they<br />
want it", founding Video Ezy's<br />
brand essence, "Maximum<br />
enjoyment, made Ezy".<br />
Video Ezy's move into Asia<br />
has unlocked further growth<br />
opportunities in the region and<br />
in March 1999, Video Ezy<br />
opened its first Asia Pacific store in Bangkok,<br />
growing to 85 stores currently trading in Thailand.<br />
Conversions and openings are also occurring in<br />
Singapore with II stores, Malaysia with 13 stores<br />
and the 123rd store now open in Indonesia.<br />
Opportunities are currently being developed in<br />
Dubai, Taiwan, and Fiji.<br />
Whilst Video Ezy has grown to be one of the<br />
best brand names in <strong>Australia</strong>n home entettainment,<br />
team-member knowledge and customer service<br />
remain among its key success factors, along with<br />
the number of physical outlets<br />
compared to most<br />
traditional retail<br />
outlets. Hence,<br />
retail IS now<br />
another opportunity<br />
Video Ezy can<br />
nurture. It can be<br />
competitively placed<br />
to win mru·ket shru·e,<br />
Iru·gely due to the fact<br />
that rental stores stay<br />
open later than<br />
traditional retail outlets<br />
and there is a natural<br />
association between<br />
rental patterns and the<br />
purchase of home<br />
entertainment software.<br />
With this in mind,<br />
Video Ezy positioned<br />
itself as the most<br />
innovative of the video rental outlets and launched<br />
an enterprising franchisee pursuit to ensure the<br />
future of its resourceful approach to business. With<br />
the aim of becoming prut of the community, Video<br />
Ezy employed a local and knowledgeable teammember<br />
base to provide not just an entettainment<br />
outlet, but an operation where entettainment passion<br />
rang true.<br />
Video Ezy's philosophy is simple: provide a<br />
comprehensive, innovative and dynamic home<br />
entertainment option, having regard for quality,<br />
convenience, responsibility and value for money.<br />
Along with exceptional customer service and<br />
community integration, this has allowed Video Ezy<br />
to build the largest and most successful home<br />
entettainment organisation in this region.<br />
THE PRODUCT<br />
Video Ezy' s core business is in the rental mru·ket,<br />
but retail offers a wondetful growth opportunity<br />
and the 540 franchisees are making a real impact.<br />
Video Ezy has the competitive edge, being able to<br />
offer the customer an 'enjoy it any way you want it'<br />
advantage: rent it now, buy it now, or buy it later as<br />
a quality guru·anteed previously-viewed disc.<br />
As testament to this commitment to retail, Video<br />
Ezy was recently awru·ded '2003 DVD Retailer of<br />
the Year', at the celebrated <strong>Australia</strong>n Video<br />
Industry's AVI awards.<br />
In the pursuit of a competitive retail strategy,<br />
Video Ezy has been keen not to neglect the rental<br />
side of their business, and plans to grow both the<br />
rental and retail channels via strategically creative<br />
128
usiness methods. Video Ezy has also simplified<br />
ordering with its own dedicated warehouse, where<br />
orders ru·e filled from one location, saving on freight<br />
and allowing customer specia l orders to be<br />
delivered to stores. With over 12,000 titles in stock,<br />
stores reap the rewards of this immediately.<br />
RECENT DEVELOPMEN'IS<br />
Video Ezy's new Windows-based point-of-sale<br />
system, 'Ezy Retail', is the most advanced and<br />
powetful POS software system in the world. It has<br />
been des ig ned specifically for the home<br />
entettainment market, and to Video Ezy's specifications<br />
and offerings. It allows information to be<br />
centrally created and pushed down the line to the<br />
stores, both as real time and locally stored data. It<br />
provides comprehensive reporting capabilities,<br />
inventory management and collection abilities,<br />
giving Video Ezy one of the most comprehensive<br />
databases in retail history.<br />
The implementation of the Ezy Retail system has<br />
allowed Video Ezy to create a retail-first CRM<br />
(customer relationship management) system,<br />
offering the latest marketing technology and<br />
individual communications to the customer.<br />
Video Ezy can now customise offers, information,<br />
and rewru·ds at each customer transaction via the<br />
personalised 'Passport to Entertainment'. This<br />
allows stores to tailor offers to consumer spending<br />
and visit habits. Video Ezy believes that the key to<br />
the company' s future success lies in this new CRM<br />
system.<br />
At the beginning of 2004, the company is<br />
engaged in launching an e-commerce portal. Initially<br />
this wi II cater to the retail needs of the market, and<br />
position Video Ezy as a strong retail player in the<br />
online mru·ket. In time, Video Ezy plans to test a<br />
revolutionary online rental model which will<br />
fiElE<br />
*W(<br />
j.J ydors 1t<br />
Video Ezy is now developing significant points<br />
of difference in the mru·ketplace for franchisees with<br />
the recent 'Ezy Exclusive' releases. Award winning<br />
titles such as 'Dinotopia', winner of the 2003 award<br />
for best special feature DVD, and TV serials such<br />
as 'Will and Grace' and 'King Pin' will provide<br />
diversity of titles. The company has also<br />
secured an exclusive arrangement w ith<br />
Hallmru·k, who will supply a range of titles<br />
exclusively to Video Ezy.<br />
Video Ezy is constantly converting stores<br />
to the Video Ezy brand, and scouting for<br />
further conversions is under way. This<br />
seru·ch is not about the number of stores,<br />
but the quality of people and the position<br />
in the community.<br />
PROMOTION<br />
Video Ezy is known and valued for<br />
innovative marketing campaigns and<br />
first-mover advantage in the home<br />
entettainment industry. One of the best<br />
known campaigns is the Movie<br />
Guru·antee conceived in 1992 when<br />
the video industry was statting to<br />
build and players lacked any real<br />
point of difference.<br />
Through its relationships<br />
with distributors, Video<br />
Ezy could choose the<br />
biggest title of the month,<br />
and stock never-before-seen<br />
numbers, a nd offer the<br />
Movie Guarantee to<br />
customers: "get it first time<br />
or get it free".<br />
The Video Ezy brand relaunched<br />
in October 2003,<br />
and introduced a likeable<br />
character called "Marty".<br />
This new face of Video Ezy,<br />
along with the new 'Ezy does<br />
it' tag, aletts customers to the<br />
local and friendly aspects of<br />
the franchise organisation,<br />
and reaffmns the objective of<br />
delivering the best home<br />
entertainment package in<br />
<strong>Australia</strong>.<br />
The introduction of<br />
'Marty' is a major shift in<br />
Video Ezy's marketing<br />
direction and serves as an<br />
identifier in the cluttered<br />
entertainment market.<br />
Ezy does iL<br />
,.,..-<br />
BRAND VALUES<br />
As a brand, Video Ezy needs little introduction to<br />
the majority of <strong>Australia</strong>ns. Its aim has always been<br />
to understand cleru·Iy what the home entertainment<br />
customer wants, and deliver it better than anyone<br />
else. The brand's populru·ity shows how successful<br />
that has been.<br />
Video Ezy strives to present more than the<br />
generic movie offer with quality<br />
in-store presentation and simple<br />
language, which encourages<br />
positive consumer interaction with<br />
the environment they visit, and the<br />
offer with which they ru·e presented.<br />
This allows each customer to<br />
enjoy entertainment any way they<br />
want it - rent it now, buy it new, or<br />
buy it ex-rental.<br />
Video Ezy likes to inspire and<br />
empower customers with choice and<br />
information, and has built a team which<br />
embodies the brand values. Team<br />
members make a store visit a personal<br />
experience with their knowledge of<br />
product, their down-to-eruth attitude, their<br />
love of movies, their dedication to<br />
customers,
0 .<br />
~lJ;<br />
l:n fTIH!<br />
Where our<br />
expertise is<br />
still a family<br />
tradition.<br />
THE MARKET<br />
Based on a recent survey by market analysts BIS<br />
Shrapnel, the humble cappuccino has become<br />
<strong>Australia</strong>'s third most popular beverage with an<br />
estimated 370 million cups ($630m wo1th) being<br />
consumed every year out of home, primarily in<br />
cafes. Furthermore, retail sales of Pure Coffee<br />
(espresso) through supermarkets are now worth<br />
over $81 million pa, and this market is consistently<br />
growing faster than the instant coffee market.<br />
The Cantarella Group has played an integral part<br />
in pioneering Italian style espresso coffee in<br />
<strong>Australia</strong> for over 40 years, and its Vittoria Coffee<br />
brand is one of the few brands which has a strong<br />
presence in both the retail and food service<br />
channels.<br />
ACHIEVEMENTS<br />
Vittoria is clearly <strong>Australia</strong>'s No.1 Pure Coffee brand<br />
(ACNielsen- Scantrack MAT Jan. 2004) and has<br />
become an Austmlian icon. Sold in supermarkets,<br />
cafes and restaurants across the country, its<br />
success can be attributed to being crafted by<br />
experts, where expertise is a family tradition.<br />
The Vittoria name is synonymous with<br />
<strong>Australia</strong>'s cafe culture. Yittoria' s ongoing<br />
consumer education campaign is teaching coffee<br />
drinkers to appreciate pure coffee, whilst barista<br />
training sets new standards for coffee served<br />
throughout <strong>Australia</strong>.<br />
Vittoria also pioneered Italian style espresso<br />
through supermarkets in 1983. Criticised at the<br />
time, Vittoria took up the chall enge and soon<br />
brought to life the phrase ' take home the coffee<br />
they serve in cafes'.<br />
Every day, more than one in every three cups of<br />
pure coffee consumed in <strong>Australia</strong>n homes is a<br />
Cantarella brand (ACNielsen- Scan track MAT Jan.<br />
2004). The Cantarella Group, also markets a strong<br />
range of other food and beverage brands including<br />
Santa Vittoria and Aurora, with total retail sales<br />
exceeding $ 11 0 million a year.<br />
HISTORY<br />
The Cantarella Group was established in l 947 by<br />
two Italian brothers, Orazio and Carmelo Cantarella,<br />
HOW CAN YOU HAVE A CIVILISED SOCIETY<br />
WITHOUT ESPRESSO COFFEE<br />
S!IICI19lll . ·<br />
~ '~<br />
EDUCATING AUSTRALIA IN TilE ART OF ESPRESSO d.<br />
Vittoria Heritage press campaign 2003<br />
who recognised a need for European foods in<br />
<strong>Australia</strong> and opened a smal l retail outlet in<br />
Sydney's Haymarket.<br />
When it came to coffee they knew coffee tastes<br />
best when it's fresh- so they began roasting Vittoria<br />
Coffee in <strong>Australia</strong> in l 958. Today the roasting plant<br />
in Ryde, Sydney is one of the most modern roasting<br />
and packing faci lities in <strong>Australia</strong>.<br />
Over 50 years later, Vittoria is still a I 00 per cent<br />
<strong>Australia</strong>n private company, owned by direct<br />
descendants of Orazio Can tare !Ia- the Schirato and<br />
Winton families - with Les Schirato as CEO. The<br />
company is headqurutered at Si lverwater in Sydney<br />
and has branches in all <strong>Australia</strong>n States and in<br />
New Zealand. It is ranked in the top 500 privately<br />
owned <strong>Australia</strong>n companies.<br />
Les Schi.rato is recognised asAustTalia ' s 'Coffee<br />
King' , and is the face of the Yittoria brand. Heading<br />
the Cantarella Group for over 20 years, Les'<br />
entrepreneurial flair, energy and passion combined<br />
with sales and mru·keting expe1tise has contributed<br />
to the immense growth in espresso coffee in<br />
<strong>Australia</strong>.<br />
Les' achievements were formally acknowledged<br />
when he was awarded the national title of<br />
Entrepreneur of the Yeru· 2001 in the category of<br />
Retail, Consumer and Industrial Products.<br />
More recently, Les also featw·ed in a new reference<br />
text 'Marketing without Money' which highlights how<br />
20 of <strong>Australia</strong>'s top entrepreneurs cracked mru·kets<br />
using their minds instead of their wallets.<br />
As industry leader, Yittoria has instituted many<br />
firsts in coffee reseru·ch, roasting, packaging and<br />
bru·ista training. Understanding the local market,<br />
whilst staying in touch with international trends,<br />
Vittoria is able to tailor and launch such trends well<br />
ahead of competitors.<br />
130
The Yittoria Coffee College in Sydney-'where<br />
the experts train the professiona ls' - was<br />
established in 1995 amid growing demand from<br />
the industry to provide a resource dedicated to<br />
teaching the 'art and science' of coffee making.<br />
The College teaches baristas the j ourney of<br />
coffee from the tree to cup- from sourcing beans,<br />
to roasting and cupping (tasting), even to<br />
operation and maintenance of machinery.<br />
THE PRODUCT<br />
Yittoria uses only I 00 per cent Arabica beans<br />
sourced from the world's best coffee producers.<br />
These raw beans are combined locally to create<br />
Yittoria's distinctive blends, many of which have<br />
been developed over 40 years of experience in the<br />
market. Yittoria ground coffee is vacuum packed to<br />
retain maximum freshness with an extensive range<br />
of sizes and blends available to suit a varying range<br />
of consumer tastes.<br />
Vittoria has recently introduced innovations<br />
such as the 'Cafe Series' highlighting cafe icon<br />
areas around <strong>Australia</strong> such as Leichhardt; the<br />
'Restaurant Series' including Neil Perry Rockpool<br />
Blend; and 'Oro' designed especial ly for home<br />
espresso machines.<br />
RECENT DEVELOPMENTS<br />
One of the most significant recent initiatives by<br />
Yittoria has been the development of the 'Cafe at<br />
Home' di splay concept in conjunction with retailer<br />
Woolworths. Educational information, shelving,<br />
layout and leaflets all help the consumer to choose<br />
the 'right' pure coffee for their taste and occasion.<br />
Further, by actively promoting the growth of coffee<br />
making app liances and accessories, Yittoria remains<br />
committed to creating the cafe experience at home<br />
for the <strong>Australia</strong>n consumer.<br />
PROMOTION<br />
Proud of its Italian cu ltural<br />
heritage, Yittoria has sponsored<br />
several major events during<br />
2003/04 including the Italiani di<br />
Sydney Exhibiti on (celebrating<br />
the contribution of Italian<br />
migrants in Sydney); Caravaggio<br />
- 'Darkness and Light' Art<br />
Exhibition (Sydney, Melbourne)<br />
and Jose Carreras' Sydney<br />
Recital.<br />
Yittoria sponsors various<br />
industry awards such as the<br />
Good Food Guide (Sydney &<br />
Melbourne) and <strong>Australia</strong>n Food<br />
Med ia Awards, fostering<br />
<strong>Australia</strong>n cuisine and dining.<br />
The Yittoria Heritage press<br />
campaign was introduced in 2003<br />
with a series of historical black<br />
and white photographs<br />
capturing Yittoria's Italian<br />
migrant roots and the early<br />
evolution of espresso coffee in<br />
Australi a.<br />
Also highly successful has<br />
been Vittoria's award-winning<br />
restaurant campaign which<br />
focuses on award-winning<br />
restaurants that choose to serve<br />
restaurants have an<br />
unswerving commitment<br />
to the best and freshest<br />
ingredients.<br />
Adve1torials featuring<br />
particular award<br />
win ning restaurants<br />
complement the campaign.<br />
For over I 0 years Yittoria has<br />
been advertising with John Laws and<br />
Mike Cru·Jton on 2UE. Advertisements<br />
feature award winning cates and<br />
restaurants via live reads.<br />
Agooclpttlororurce•nll.ll«
0<br />
vodafone<br />
THE MARKET<br />
The use of mobile phones in <strong>Australia</strong> has grown<br />
dramatically in recent years with about 14.3 mmion<br />
people using a mobile phone. Mobile phone<br />
penetration is around 72 per cent and mobile phones<br />
now far outnumber fixed lines.<br />
The <strong>Australia</strong>n market is extremely competitive,<br />
with strong growth in pre-paid services - around<br />
three out of four new mobile phone services<br />
connected in 2002-03 were pre-paid rather than<br />
post -paid contracts.<br />
Customers are increasingly seeking multimedia<br />
services such as picture and video messaging, 3D<br />
games and polyphonic ringtones, with a<br />
corresponding increase in demand for compatible<br />
handsets. In addition, the new wave of data services<br />
is blurring the lines between telecom and IT. In<br />
short, mobile is changing the way people<br />
communicate every day and Vodafone is at the front<br />
of this revolution.<br />
ACHIEVEMENTS<br />
Since Vodafone launched its service in 1993, it has<br />
captured an 18 per cent share of <strong>Australia</strong>' s mobile<br />
market, with 2.67 million customers.<br />
Vodafone has continually led the <strong>Australia</strong>n<br />
mobile market with innovations such as:<br />
Vodafone live! - a unique series of nextgeneration<br />
colour and picture-based services such<br />
as real-time access to news, entertainment, sports,<br />
games and more, all in full colour.<br />
Simple competitive offerings - such as<br />
Vodafone red SIM, which gives customers the<br />
flexibility to tailor their mobile phone to suit their<br />
needs by choosing either great value call rates,<br />
free TXT or 365 day call credit expiry. Customers<br />
also get capped Vodafone to Vodafone calls.<br />
PXT and Video PXT - picture and video<br />
messaging to all networks.<br />
Per second billing.<br />
123 Vodafone's exclusive 2417 information<br />
service.<br />
IMEI blocking to protect customers from<br />
mobile theft.<br />
Removing handset subsidies and<br />
challenging the industry to cease locking pre-paid<br />
handsets.<br />
Mobile Connect Card- a wireless solution<br />
for businesses of every size allowing customers to<br />
access their company' s LAN, the Internet, collect<br />
and send emails and send TXT messages from their<br />
laptop computers.<br />
In 2003, Vodafone received <strong>Australia</strong>n Telecom<br />
Magazine' s Mobile Operator of the Year award.<br />
Vodafone is focused on simplifying offerings,<br />
providing customers with the flexibility to choose<br />
the services and prices that suit them.<br />
HISTORY<br />
VodafoneGroup Pic, a UK company, was originally<br />
formed as Racal Telecom to bid for a UK cellular<br />
licence and the right to offer mobile services. The<br />
licence was granted in April 1983 and the service<br />
opened on I January 1985 with a call made from<br />
London' s Trafalgar Square to Vodafone' s head<br />
office in Berkshire. In 1991 Vodafone demerged from<br />
Racal Electronics, and on 30 June 1999 merged with<br />
AirTouch Communications, a leading US-based<br />
international mobile business. In March 2000<br />
Vodafone AirTouch acquired German company<br />
Mannesmann and it was agreed that the company's<br />
name would return to Vodafone Group Pic to help<br />
create one of the ten largest companies in the world.<br />
Today, Vodafone Group Pic is the world's largest<br />
mobile communications company with equity interests<br />
in 26 countries, and pmtner networks in a further 13<br />
countries - leaving an unmatched global network<br />
footp1int. Vodafone Group Pic has more than 130.4<br />
million propmtionate customers worldwide.<br />
132
Vodafone <strong>Australia</strong><br />
acquired its mobile<br />
carrier' s licence In<br />
December 1992. In<br />
September 1993, it<br />
began operations as<br />
<strong>Australia</strong>'s third mobile<br />
licence holder, being at<br />
the time the only<br />
network committed to<br />
digital technology with<br />
a GSM service.<br />
Vodafone <strong>Australia</strong><br />
has a customer base of<br />
more than 2.67 million<br />
customers and is 100<br />
per cent owned by UK<br />
based Vodafone Group Pic.<br />
THE PRODUCT<br />
Vodafone <strong>Australia</strong>'s network covers 92 per cent of<br />
the population, delivering state-of-the-art mobile<br />
services to customers around the country.<br />
Vodafone' s network uses GSM technology, which<br />
is the global standard for mobile telecommunications.<br />
In <strong>Australia</strong>, over 95 per cent of mobile<br />
customers use GSM technology.<br />
Vodafone <strong>Australia</strong> is breaking new ground to<br />
deliver fi·eedom to customers. The company is doing<br />
this through innovative new products and services<br />
such as Vodafone live!, red SIM and wireless<br />
business solutions.<br />
Vodafone live! was launched in April 2003,<br />
bringing the world of pictures, games, ringtones<br />
and mobile Intemet to <strong>Australia</strong> for the first time.<br />
With over 4.5 million Vodafone live! customers<br />
worldwide, it is leading the world in multi-media<br />
mobile services. The global Vodafone live' inte1face<br />
provides customer access to real-time sports,<br />
enteitainment, horoscopes, news and weather- all<br />
in full colour, whenever and wherever they want.<br />
Customers can also send and receive picture and<br />
video messages and download the latest games<br />
and ringtones.<br />
Vodafone red SIM offers customers the choice<br />
of great-value call rates or lots of free TXT to<br />
everyone, anytime on any network. With red SIM,<br />
customers now have the choice of customising their<br />
mobile phone plan to their individual needs.<br />
123 is Vodafone's exclusive 2417 personal<br />
concierge information service, which provides<br />
customers with access to up-to-the-minute news,<br />
weather, movie guides and reviews, directions,<br />
sports scores, trivia and more.<br />
Vodafone <strong>Australia</strong> has increased its retail<br />
presence to more than I 0,000 points including<br />
Vodafone branded stores, specialist dealers and<br />
major retailers such as Tandy, Harvey Norman,<br />
Kmcut, and Price line.<br />
Vodafone's Mobile Connect Card is a wireless<br />
solution for businesses of every size. Business<br />
customers can now wirelessly access their<br />
company's LAN (Local Area Network), collect and<br />
send emails, access the Internet and send TXT<br />
messages from their laptop computers while on the<br />
move.<br />
By leveraging the company's global scale, scope<br />
and expertise, Vodafone <strong>Australia</strong> benefits from<br />
working with the world's best networks cu1d<br />
suppliers to develop a wide range of mobile<br />
products, services and applications.<br />
RECENT DEVELOPMENTS<br />
In February 2004, Vodafone live! reached a<br />
significant milestone with more than 100,000<br />
<strong>Australia</strong>n customers connected to the leading<br />
multi-media service since its April 2003 launch.<br />
There are currently more than 4.5 million live'<br />
customers worldwide.<br />
Vodafone red SIM has experienced success in<br />
the <strong>Australia</strong>n market with its simple and competitive<br />
offering allowing customers to personalise their<br />
mobile phone to their individual needs.<br />
Vodafone intends to be a leader in 3G technology<br />
globally. Within <strong>Australia</strong>, Vodafone recently<br />
announced a significant multimillion-dollar<br />
investment in the deployment of 3G services by<br />
mid-2005, following trials in Europe.<br />
PROMOTION<br />
Vodafone has built a strong brand presence in<br />
<strong>Australia</strong> with its successful adve1tising, marketing,<br />
PR and sponsorship campaigns.<br />
Vodafone shook up the <strong>Australia</strong>n mobile mcu·ket<br />
with the launch of the bold red SIM marketing<br />
campaign and also Vodafone live! . The integrated<br />
campaigns were executed through national TV,<br />
radio, cinema, press and outdoor adve1tising, as<br />
well as below-th- line and media relations suppmt.<br />
Through its global sponsorship of the Ferrm·i<br />
Formula One team, Vodafone has a strong<br />
association with the <strong>Australia</strong>n Grand Prix, which<br />
is held in Melbourne each yem·.<br />
Vodafone live! was the official paitnerofRobbie<br />
Williams' December tour of <strong>Australia</strong>. Vodafone live!<br />
customers were able to access a Robbie Willicuns<br />
mini-site with exclusive Robbie Williams polyphonic<br />
ringtones, backgrounds, and PXT greeting ccu·ds<br />
to personalise their mobile phones.<br />
The company also sponsors the AFL team Port<br />
Adelaide Power, the soccer team Pe1th Glory and<br />
the Vodafone Arena in Melbourne.<br />
Vodafone' s sports sponsorship w·mmd the world<br />
extends to some of the leading names in global<br />
sport including Manchester United football team,<br />
David Beckham, the England Cricket team and the<br />
Fen·ari Formula One team.<br />
BRAND VALUES<br />
What makes Vodafone <strong>Australia</strong> really special is<br />
that it is a values-based organisation. This means<br />
the core values of the company m·e the focal point<br />
for all operations and decision-making, with staff<br />
invited to regulm workshops to track progress and<br />
revisit how their behaviour aligns with bringing<br />
the values to life in the customer experience.<br />
The values w·e sepcu·ated into two categories.<br />
Foundation values (how you and I interact) -<br />
excellence, suppmtive, fair dinkum and fun, and<br />
inspirational values (how we differentiate ourselves<br />
from other businesses) - hungry, gutsy and<br />
different. These values me all linked together by<br />
the Vodafone Global drives of passion for people,<br />
customers, results and the world mound us.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
VODAFONE<br />
0 The ncune Vodafone was devised from<br />
the first two letters of the words 'voice'<br />
and 'data'. This is as relevant now as it<br />
was in 1985.<br />
0 A qumter of all the world's mobile<br />
users me connected to a Vodafone<br />
network.<br />
0 A Vodafone <strong>Australia</strong> employee, Jcu11es<br />
Trusler, holds the Guinness World<br />
record for TXT messaging. James set a<br />
new record of 2 minutes 6 seconds for<br />
a 160 chm·acter TXT message.<br />
0 The Vodafone <strong>Australia</strong> Foundation is<br />
a chmitable trust, which contributes<br />
approximately $1 million each yew· to<br />
help Vodafone and its people<br />
contribute to the <strong>Australia</strong>n<br />
community and make a difference to<br />
the world mound them.<br />
133
THE MARKET<br />
The WHISKAS® brand is the leading brand of cat<br />
food in <strong>Australia</strong>, partly because of its history but<br />
mainly as a brand consumers can trust. It also tastes<br />
great and is one of only a handful of cat foods that<br />
offer a complete and balanced nutritional diet.<br />
WHISKAS is also dedicated to providing<br />
consumers with quality cat care products for all<br />
occasions.<br />
A typical WHISKAS customer is hard to define.<br />
They represent all ages, both sexes and, in most<br />
cases, view their pet as a family member or<br />
companion! In fact, WHISKAS cat owners enjoy<br />
the knowledge that their cats lead an independent<br />
life. It means a great deal to them that their eat's<br />
natural instincts and need for freedom is respected.<br />
By developing a greater understanding of<br />
customer needs, WHISKAS has been able to<br />
generate strong growth_over the past five years<br />
through product and packaging innovations such<br />
as WHISKAS VITA-BITES®, the taste<br />
breakthrough cats 'go crazy for' and WHISKAS<br />
SINGLES®, the convenient fresh, single-serve meal<br />
for all occasions.<br />
In addition, WHISKAS continues to grow<br />
outside the main meal market in areas including<br />
snacks, treats and milk as cat owners become better<br />
educated about the health benefits offeeding from<br />
across the entire WHISKAS range.<br />
ACHIEVEMENTS<br />
WHISKAS is <strong>Australia</strong>'s and the world's favourite<br />
and therefore the largest cat food brand. WHISKAS<br />
is the leading authority on cats. In fact, its<br />
overwhelming market share makes it the most<br />
preferred brand for everyday feeding.<br />
The brand consistently strives to bring product<br />
and packaging innovations and new levels of<br />
understanding to all areas of cat care, often<br />
satisfying needs not even recognised by other<br />
brands.<br />
Its insight into the needs and behavioural<br />
characteristics of cats of all ages, as well as the<br />
benefits of cat ownership, stem from the knowledge<br />
accumulated during many years at the<br />
WALTHAM® Centre for Pet Nutrition.<br />
HISTORY<br />
WHISKAS cans were first manufactured in<br />
Wodonga, Victoria, in 1967. Production of the<br />
WHISKAS Dry range, originally known as<br />
WHISKETTES®,began in Bathmst,NSW, in 1974.<br />
Both were branded with a cat mask in the<br />
background and the word 'WHISKAS' or<br />
'WHISKETTES' over the top in white- the same<br />
iconography used today.<br />
Since the launch of both products, WHISKAS<br />
has continued development in all areas of main meal,<br />
snacks and treats. More recently this has also<br />
included pet care, with items such as collars, bowls<br />
and beds. Over the past three years the brand has<br />
become even more accessible to all age groups of<br />
cat lovers via the Internet.<br />
The WHISKAS brand major distTibution points<br />
m·e traditional outlets such as supermm·kets but, as<br />
the market grows and diversifies the brand is also<br />
becoming a prominent feature in agricultural stores.<br />
More recently it has also become available through<br />
a channel of mass merchandisers to ensure<br />
WHISKAS reaches customers in all geographic<br />
areas.<br />
There have been both major and minor changes<br />
to the packaging over the years, but the brand fl ag<br />
and the famous cat mask have remained relatively<br />
constant.<br />
One of the most dramatic changes was the<br />
change of branding colour from blue to purple in<br />
2000 - a change that was suppo1ted by the famous<br />
campaign "cats see purple" . At this time, the<br />
fmnous British Shorthair Silver Tabby was also<br />
incorporated into all the packaging. It has since<br />
statTed in the brand's highly popular television<br />
commercials.<br />
During this colour change the dry range also<br />
underwent significant change. It was rebranded as<br />
a WHISKAS product rather than WHISKETTES.<br />
Since then the populm·ity of the range has continued<br />
to grow. It is now available in a number of pack<br />
sizes and convenient forms such as the easy-pom<br />
box with spout.<br />
134
In 1999, WHISKAS became the first cat food<br />
brand to introduce single-serve meal sachets into<br />
the pet food category, with WHISKAS SINGLES.<br />
This was soon followed by other innovations in<br />
the snacks and treats range, with functional snacks<br />
such as WHISKAS DENTABITSTMfor teeth and<br />
taste sensations such as WHISKAS CRAVERS®<br />
In 2003, the brand flag ofWHISKAS was slightly<br />
modified from a red mask to a purple one as patt of<br />
a global move towards more<br />
consistent branding - but the ever<br />
famous Silver Tabby remains and is<br />
now even more consistent across all<br />
packaging and product formats.<br />
THE PRODUCT<br />
WHISKAS manufactures top quality<br />
cat food in three main meal groups.<br />
These are cans, containing a greattasting<br />
wet food that is both complete<br />
and balanced; WHISKAS SINGLES,<br />
delicious recipes gently cooked to<br />
pe1fection and sealed in foil to ensure<br />
a fresh taste and m·oma every time;<br />
and WHISKAS VITA-BITES, a<br />
delicious and nutritious dry food that<br />
is crunchy on the outside and deliciously tender<br />
on the inside.<br />
Outside these three main meal options there is<br />
also a great range of snacks and treats such as<br />
WHISKAS MILK PLUS®, a lactose-reduced milk,<br />
specifically developed for cats, that is gentle on<br />
sensitive stomachs; WHISKAS CRA VERS, a great<br />
tasting dry snack; and WHISKAS DENTABITS, a<br />
delicious, chewy snack that helps keep teeth clean.<br />
Each product also offers vm·ieties to suit different<br />
stages of a eat's life, whether it be the specially<br />
formulated WHISKAS Kitten range or WHISKAS<br />
Senior - a nutritious and easily digested range of<br />
food specifically for cats over eight years of age.<br />
All WHISKAS main meal products provide<br />
complete and balanced nutrition for cats and are<br />
developed in accordance with the WHISKAS Food<br />
Pyramid to ensure every meal has the right balance<br />
of nutrients cats need to stay in the best of health.<br />
This focus on the health benefits of a fully<br />
balanced and nutritious diet is important for the<br />
strength of the WHISKAS brand.<br />
RECENT DEVELOPMENTS<br />
One of the most significant developments in recent<br />
yem·s has been the introduction of the WHISKAS<br />
SINGLES range, which has benefits for both cat<br />
and owner. Sealed in foil and gently cooked, this<br />
innovative range is convenient and offers the very<br />
best in freshness and flavour. The simple 'open<br />
and pour' packaging provides a no-mess feeding<br />
option for owners.<br />
WHISKAS also leads the innovation in dry food<br />
segment thanks to its pioneering Vita-Bites product.<br />
These nutritional bites are crispy on the outside<br />
and soft in the centre to create a great taste<br />
sensation.<br />
WHISKAS was also one of the first cat food<br />
brands to recognise the different nutritional needs<br />
at various stages of life. The development of a Kitten<br />
and Senior range of foods has been a major move<br />
for WHISKAS. It is the only brand that offers both<br />
Wet and Dry foods for both of these life stages.<br />
Today WHISKAS continues to move towm·ds a<br />
strong image in retail outlets with consistent design<br />
across all packaging formats. This 'new look' is<br />
intended to help customers identify both the brand<br />
flag and the complete range of offerings and feeding<br />
solutions.<br />
PROMOTION<br />
Effective promotion is especially complex when the<br />
brand is the mm·ket leader. Mm·ket leadership means<br />
competitors are constantly seeking to share the<br />
'consumer mind space' that WHISKAS owns. As a<br />
result, WHISKAS actively evolves the way in<br />
which it represents itself.<br />
A good example of this is the communication<br />
challenge confronting the brand in television<br />
adve1tising which, until recently, has been formulaic<br />
(that is, call the cat; cat running to the bowl; cat<br />
eating enthusiastically).<br />
WHISKAS chose to differentiate itself by going<br />
beyond the basics of taste and nutrition and<br />
acknowledging the 'cat and owner relationship'.<br />
This approach proved to be extremely successful<br />
with customers around the country responding to<br />
compelling insights into the relationship.<br />
WHISKAS has also tackled the traditionally<br />
difficult task of bringing 'news' to the category by<br />
turning 'news items' into events such as the 'first<br />
commercial ever for cats' campaign and the 'Pmrrple<br />
Promotion' in 2000.<br />
The national and international awm·d-winning<br />
WHISKAS 'mouse' campaign has also spem-headed<br />
the growth and development of not only the<br />
WHISKAS VITA-BITES dry product range, but of<br />
the entire dTy category.<br />
The brand has also been able to redefine how<br />
people feed 'wet' cat food with the WHISKAS<br />
SINGLES offering. The campaign<br />
brings to life a consumer insight by<br />
getting inside the cat' s mind. Sales<br />
have responded exponentially.<br />
BRAND VALUES<br />
WHISKAS fully understands cats<br />
and can deliver products to meet their<br />
idiosyncratic needs and changing<br />
preferences.<br />
WHISKAS has established itself<br />
as the brand that cat lovers trust by<br />
producing products that taste great,<br />
are nutritionally complete and<br />
balanced and m·e affordable.<br />
a socially responsible business by actively<br />
supporting cat and kitten re-homing programs<br />
m·ound the country and promoting responsible pet<br />
ownership.<br />
WH ISKAS® , WHISKAS SINGLES®. W HISKAS VITA-BITES®. WHIS K ETTES® .<br />
WALTH AM®. WHISKAS® DENTABITSn 1 • WHISKAS CRAVER$®. WH ISKAS MILK<br />
PLUS®® Registered Trademnrk 1 ~ 1 Trademark ~ Ma l> t er Food~<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
WHISKAS<br />
0 WHISKAS has helped more than<br />
30,000 needy cats find loving homes<br />
by actively sponsoring cat re-homing<br />
progran1s m·mmd the country.<br />
0 The WHJSKAS website<br />
(www.whiskas.com.au) is consistently<br />
among the top five most visited Fast<br />
Moving Consumer Goods websites in<br />
<strong>Australia</strong>.<br />
0 WHISKAS products are developed in<br />
conjunction with WALTHAM - the<br />
world' s leading authority on pet cm·e<br />
and nutrition.<br />
0 The fatnous WHJSKAS 'mouse'<br />
television commercials has won<br />
people's favourite adve1tisement<br />
awm·ds two yem·s running and received<br />
an international adve1tising awm·d<br />
(Silver Clio) in the category of TV &<br />
Cinema for the entertai11ing Bungee<br />
Mouse creative.<br />
135
White Pages®<br />
THE MARKET<br />
The way we contact people has<br />
changed dramatically over the last ten<br />
years. Once there was just the home<br />
telephone and maybe a fax machine,<br />
these days everyone seems to have a<br />
mobile phone, use SMS, have one or<br />
two e- mail addresses and surf the<br />
Internet. And with more ways to<br />
communicate, come more ways to be<br />
contacted.<br />
In this fas t-moving and<br />
increasingly mobile market, the White<br />
Pages® directory has consistently<br />
provided comprehensive contact<br />
information. Available via print, online,<br />
CD and telephone, the White Pages®<br />
products have grown with the times<br />
to keep <strong>Australia</strong>ns connected.<br />
ACHIEVEMENTS<br />
The White Pages® directory is the prime source of<br />
contact information in <strong>Australia</strong>. Research shows<br />
that 72 per cent of consumers surveyed between<br />
the ages of 18 and 64 in <strong>Australia</strong>n metropolitan<br />
directory markets referred to the White Pages®<br />
directory in the month preceding the Market<br />
Research. 1<br />
Whitepages.com.au on average receives over<br />
1.8 rnillion unique visitors to its site each month 2<br />
and is consistently ranked as the number one site<br />
in directory category rankings. 3<br />
HISTORY<br />
The White Pages® brand was born in 1958. The<br />
Melbourne and Sydney telephone directories had<br />
become so thick that they had to be split into two<br />
di stinct directories: an alphabetical directory, the<br />
White Pages® directory, and a cl assified directory,<br />
the Pink Pages (later to become the Yellow PageSiD<br />
directory).<br />
For many years, White Pages® directory<br />
products were managed by National Directory<br />
Services, an internal business unit of the then<br />
Telecom <strong>Australia</strong>, also responsible for the printing<br />
and distribution of both White Pages® and Yellow<br />
Pages® directories. In 1997, Telst:ra Corporation<br />
Limited outsourced the White Pages® directory<br />
services to Sensis Pty Ltd (formerly known as<br />
Pacific Access Pty Ltd), a subsidiary of Telstra,<br />
giving it full responsibility for the day to day<br />
management of both White Pages® and Yellow<br />
Pages® directory products, on behalf of Telstra.<br />
THE PRODUCT<br />
The White Pages® brand sits across a product<br />
range that comprises the White Pages® directory,<br />
whitepages.com.au, the White Pages® directory<br />
on CD and Electronic White Pages® product. In<br />
addition Telstra Call Connect utilises the White<br />
Pages® information to provide a search engine via<br />
the telephone. These products are constantly<br />
evolving in order to reflect changing communication<br />
methods.<br />
The White Pages® directory is made<br />
available to almost every home and business in<br />
<strong>Australia</strong> each year and is an alphabetical listing<br />
of nearly every business, government and<br />
private residence with a telephone connection.<br />
There are a total of SS directories, 46 of which are<br />
co-bound with Yellow Pages® directories,<br />
containing over 8 million listings.<br />
In the printed directory, every first<br />
appearance of a telephone number<br />
qualifies for a complimentary entry of<br />
name, address and telephone number.<br />
Additional fields such as fax, email or<br />
web address can be purchased.<br />
Businesses can help reinforce and<br />
strengthen their business presence<br />
through a range of enhancement<br />
listing options such as:<br />
• Bold,<br />
• Superbold,<br />
• Business logo and<br />
• Colour options.<br />
Businesses can also take<br />
advantage of quarter, half and fullpage<br />
listings.<br />
The White Pages® OnLine site<br />
ftrst became operational in September 1995. It offers<br />
access to a comprehensive and up-to-date contact<br />
information database with over 8.76 million 4<br />
residential , business and government listings,<br />
<strong>Australia</strong>-wide.<br />
Contact details include e-mail and website<br />
hyperlinks, as well as traditional address<br />
information, telephone, fax and mobile numbers.<br />
Details such as company description, parking<br />
directions, hours of operation, and methods of<br />
payment have only added to the user friendliness<br />
of the site.<br />
As wel l as including all natio nal contact<br />
information published in the printed directories, the<br />
si te also includes <strong>Australia</strong>n postcodes,<br />
international times, world dialing codes and date<br />
and time details. In addition, the mapping service<br />
136
on www.whitepages.com.au details the exact<br />
location of the searched listing, through Whereis®<br />
interactive maps (where available). Listing details<br />
are updated daily, giving the site currency of<br />
information equal to that of directory assistance.<br />
Whitepages.com.au can also be accessed<br />
anytime, anywhere using a WAP (Wireless<br />
Application Protocol) enabled mobile phone.<br />
Whitepages.com.au gives WAP mobile phone 5<br />
users access to <strong>Australia</strong>'s residential listings and<br />
postcode information from their mobile phones.<br />
The White Pages® directory on CD contains all<br />
55 directories and allows the user to search by<br />
business or residential li sting across single or<br />
multiple directories. With search features 'sounds<br />
like', 'starts with' and ' nearby' and the ability to<br />
enter postcode or locality, it's easy to find what<br />
you are looking for. There is also the facility to<br />
create a personal address book on the hard drive of<br />
your computer and print address labels for mailing.<br />
The Electronic White Pages® service is a<br />
subscription service that provides sub-second<br />
responses to queries via connection to a White<br />
Pages® database service. Robust and reliable, it<br />
provides instant access to the most up-to-date<br />
White Pages® information available. It is a useful<br />
business tool for locating and verifying customer<br />
details and can also be used to provide Directory<br />
Assistance services.<br />
RECENT DEVELOPMENTS<br />
Recent innovations in product development,<br />
especially in regards to electronic commerce, are<br />
instrumental in moving the White Pages® brand<br />
to being positioned in the marketplace as the<br />
ultimate and complete source of contact<br />
infonnation. White Pages® is a significant brand<br />
that can represent all contact details, be they fixed<br />
or mobile telephony, physical or e lectronic<br />
addresses.<br />
In 2001 , some changes were made to the 200 I /02<br />
Perth White Pages® directory, to help make it easier<br />
to use and faster for people to find what they are<br />
looking for. A separate business section was<br />
included, where all business and government<br />
listings were sorted alphabetically. This section<br />
appeared at the front of the directory and was<br />
highlighted by a red tab. The residential section<br />
followed with every unique surname appearing<br />
once as a bold heading making it easier to use.<br />
Each listing pertaining to that surname was listed<br />
underneath by initial/first name, address and<br />
contact details. Following the success of the trial<br />
this format was extended into all mqjor metropolitan<br />
markets in 2002/03.<br />
Fwther innovation has been implemented in the<br />
2003/04 Perth market, providing directory users with<br />
a White Pages® Business/Government directory<br />
and separate White Pages® Residential directory.<br />
This makes it even easier to access the contact<br />
information needed.<br />
PROMOTION<br />
Through the late 1990s, White Pages® began a<br />
high-profile campaign to reinforce its role as the<br />
most comprehensive, relevant and user-friendly<br />
information tool. For the first time the brand used a<br />
combination of television, radio and direct mail to<br />
connect with its growing user and customer base.<br />
The campaign included reuniting the workers of<br />
the well-known Snowy River Scheme to<br />
demonstrate how easy it is to contact past friends<br />
with the White Pages® directory.<br />
In 2000, the focus shifted to highlight a series of<br />
product innovations, known as 'enhanced listings'.<br />
These included bold, coloured and logo listings,<br />
as well as e-mail and web addresses. To demonstrate<br />
the benefit of a coloured listing, one print ad shows<br />
a man in army camouflage hiding in the jungle -<br />
only thing is his camouflage is bright pink.<br />
In 2003, a successful tTial was implemented in<br />
the Pe1th market, splitting up the White Pages®<br />
directory into Business/Government and<br />
Residential volumes. A supporting press ad<br />
graphically communicates this shift by showing<br />
the two separate directories as bookends on a<br />
bookshelf with the headline, 'We've split up our<br />
books' .<br />
With this significant change, White Page:®<br />
returned to television with an ad featuring its<br />
business listings section. Using the line, 'If you<br />
know the business name, we'll help you contact<br />
them' the ad shows two detectives solve a bank<br />
robbery case with the help of the White Pages®<br />
directory. It turns out that one of the robbers wore<br />
his work shirt to the bank, complete with the<br />
business name and logo on the pocket.<br />
The ad also works to differentiate the White<br />
Pages® directory from the Yellow Pages® directory.<br />
That major difference being, the White Pages®<br />
directory used a known name search whereas the<br />
Yellow Pages® directory used a known category<br />
search.<br />
BRAND VALUES<br />
As the world continues to change at an accelerating<br />
rate, there is an increasing need for a trusted means<br />
of easily accessing accurate, thorough contact<br />
details, whenever and however you need them.<br />
Like the world it operates in, the White Pages®<br />
brand continues to change and evolve, offering<br />
more and more practical and efficient ways of<br />
delivering on its core promise of helping people<br />
get and keep in touch.<br />
The White Pages® directory has long been<br />
there for you. You turn to it when you know your<br />
local pizza shop's name but not the number, or when<br />
a friend's address is on the tip of your tongue. It' s<br />
been around for ages, but it's up-to-date with the<br />
most practical and helpful contact information .<br />
You 're sure to find the White Pages® directory on<br />
everyone's bookshelf at home as well as in their<br />
Internet bookmarks at work.<br />
I Independent research of people aged 18-64 conducted by T NS in (Sydney. Melbourne.<br />
Brisbane. Adelaide. Perth) Metropolitan Directory Markets (April 2003 to June 2003) 2<br />
Red Sheriff. Customer Intelli gence (U niqu e users Apri l 2003-Septcm ber 2003) 3 Red<br />
Sheriff Market Intelligence (Direc tory Category Ranking Janu ary 2003 - September 2003)<br />
4 White Pagei!D OuLiu(' database. October 2003 5 White Page~ OnLin(' site WA P access<br />
availabl e onl y via Telstra' s WAP service 6 Independ ent researc h of people aged 18-64<br />
condu cted by TNS in (Syd ney. Melbourn e. Bri sbane. Ade laide. Pe rth ) Me tropoli tan<br />
Di rectory Markets (A pri l 2003 to June 2003) 7 Red Sheriff. Customer Intelli gence (U nique<br />
use rs April 2003-Scpternbcr 2003) 8 Red Sheriff Market Intelli gence (Directory C llcgory<br />
Ranking January 2003 - September 2003)<br />
I<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
THE WHITE PAGES<br />
0 The first <strong>Australia</strong>n telephone directory<br />
was issued in Melbourne in June 1880.<br />
It listed the names of the 23 Edison-Bell<br />
telephone subscribers, and the<br />
location of their phone lines.<br />
0 A different theme for the 55 covers of<br />
the White Pages® directory is decided<br />
each year, and these range from<br />
historical events, environmental issues,<br />
sp01t, lifestyle, people and places,<br />
reflecting the locality of the book.<br />
0 Research shows that 72 per cent of<br />
consumers surveyed between the ages<br />
of 18 and 64 in <strong>Australia</strong>n metropolitan<br />
markets refe1Ted to the White Pages®<br />
directory in the month preceding the<br />
Market Research 6 .<br />
0 On average, whitepages.com.au<br />
receives over 1.8 million unique visitors<br />
every month 7 and is consistently<br />
ranked the number one site in the<br />
directory category rankings. 8 137
(T/u f~ FtxxJ PetJ te)<br />
!!!!WOOLWORTHS ~<br />
THE MARKET<br />
The <strong>Australia</strong>n grocery market is not for the faint<br />
hemted. It is very competitive and accompanied by<br />
low margins.<br />
It may appem· that the major players dominate<br />
the food and liquor market, but the figures show<br />
that smaller supermarket operators will actually soon<br />
have more than 50 per cent of the $70 billion mm·ket.<br />
Despite all thi s competition, and in an<br />
increasingly discerning market, Woolworths'<br />
steadfast policy of "the best product at the best<br />
price with the best service" has produced an<br />
<strong>Australia</strong>n brand so robust that it can claim to be<br />
an impmtant part of the nation's economy.<br />
Woolworths' sales results reflect customer<br />
acceptance of the total offer of range, freshness,<br />
quality, competitive pricing, convenience and instore<br />
service.<br />
ACHIEVEMENTS<br />
Woolwmths has more apprentices and trainees than<br />
any other <strong>Australia</strong>n company. It invests many<br />
millions of dollars every yea~· in staff training instore.<br />
During 2003, The "Fresh Obsession" staff<br />
training progrmn involved 75,000 supermarket staff<br />
and is a prime example ofWoolwmths' corrunitment<br />
to developing employee skilJs and cultivating talent.<br />
Most senior Woolwmths managers have come<br />
through the ranks of the company and a university<br />
program has been developed with a leading tettim-y<br />
institution to accelerate training, establishing<br />
Woolworths as a corporate leader in people<br />
development.<br />
Woolworths' staff terms and conditions of<br />
employment, including wages, superannuation,<br />
employee share ownership plans and service<br />
contracts as well as D·aining and cm·eer paths have<br />
D·aditionally met and surpassed industry standm·ds.<br />
The development of Woolworths Petrol has<br />
enabled Woolworths to provide customers with an<br />
excellent, unique supplementm·y offer. They can<br />
save 4c per litre on peb·ol when spending $30 or<br />
more in a Woolwmths supermarket. The success<br />
of this offer has seen other supermarket retailers<br />
following suit.<br />
To reinforce Woolworths' fresh food leadership,<br />
the Woolworths Quality Assurance Program was<br />
developed to ensure that the best quality fresh<br />
merchandise is available to Woolworths' customers.<br />
Woolworths works with and sources products from<br />
quality assured suppliers who are dedicated to<br />
producing goods that meet Woolworths' quality<br />
standards. Woolworths' livestock buying team<br />
clocks up over 1.2 million kilometres a yea~· across<br />
<strong>Australia</strong> working closely with producers. The<br />
success of the Quality Assurance Progrmn has led<br />
other supermarket retailers to pursue similar<br />
programs.<br />
HISTORY<br />
Woolwmths has changed the face of retailing in<br />
<strong>Australia</strong>. The very first shop, "Woolworths<br />
Stupendous Bargain Basement" in the cramped<br />
basement of the Imperial Arcade ( 1924) heralded a<br />
new era in shopping. By 1933 Woolworths had<br />
developed the "chain" store with 31 stores in<br />
<strong>Australia</strong> and 9 in New Zealand. Even through the<br />
depression and war years Woolworths continued<br />
to grow and employ <strong>Australia</strong>ns with 25 stores<br />
opened in the first months of World War II. Ln<br />
1956, <strong>Australia</strong>'s first checkout style variety store<br />
opened at Beverley Hills offering "swift, cowteous"<br />
service. Nineteen fifty-seven heralded the first<br />
"Supermarket" at Dee Why in Sydney. Next,<br />
Woolworths' first Food Fair store led the<br />
diversification into food. Woolwo1ths pioneered<br />
the supply of a wide range of low-price, quality<br />
merchandise to rural <strong>Australia</strong>, most dramatically<br />
in Alice Springs and Darwin. Woolworths soon<br />
became <strong>Australia</strong>'s biggest retailer of fresh fruit and<br />
vegetables, which became the key factor in making<br />
retailing <strong>Australia</strong>'s second large t industry.<br />
TV corrunercials in 1983 sang of the "one stop<br />
shop that's got the lot". By 1985, acquisition of<br />
<strong>Australia</strong>n Safeway Ltd had made Woolwmths the<br />
market leader in grocery sales. The now legendary<br />
"Fresh Food People" strategy of '87 under the<br />
management of Paul Simons and Harry Watts<br />
rocketed Woolwmths into the position of <strong>Australia</strong> ' s<br />
largest retailer of quality fruit and vegetabl es,<br />
serving over 10 million customers every week. In<br />
two years profit went from $8 million to $136 million.<br />
In 1993, the $2,450 million Woolwmths share<br />
float was the biggest in <strong>Australia</strong>n hi story. The<br />
I ,000 million shares on offer were quickly snapped<br />
up by more than 330,000 investors, many of them<br />
everyday <strong>Australia</strong>ns including 19,000 Woolworths<br />
employees. The company has come a long way<br />
from the Stupendous Bargain Basement in the<br />
Imperial Arcade. Continuing growth suggests that<br />
138
there's a long, exciting and prosperous road ahead<br />
for this trusted <strong>Australia</strong>n institution.<br />
THE PRODUCT<br />
Currently Woolworths has over 700 supermarkets<br />
that serve more than 13 million customers nationally<br />
every week. Woolworths purchases 25 per cent of<br />
all fruit and vegetables grown in <strong>Australia</strong>, 14 per<br />
cent of all meat and just under 10 per cent of all<br />
dairy products, making Woolworths a significant<br />
supporter of rural and regional <strong>Australia</strong>.<br />
Woolwmths Liquor, along with Dan Murphy's<br />
and BWS, has brought significant competition to<br />
the liquor market and lower prices to customers.<br />
Woolworths Petrol has changed the landscape<br />
of <strong>Australia</strong>n supermarket retailing. More than two<br />
thirds of sites are conveniently located either in<br />
the carpark or adjacent to a supermarket.<br />
EzyBanking, a joint initiative ofWoolwmths and<br />
the Commonwealth Bank of <strong>Australia</strong>, provides<br />
more than 600,000 customers with convenient<br />
access to fee-free banking in Woolwo1ths, along<br />
with longer banking hours, further enhancing the<br />
one stop shopping experience by enabling<br />
customers to bank while they shop.<br />
Woolworths is not just about product and price,<br />
it's also about being a good member of the<br />
community, supporting many events and charities<br />
that benefit the country's children and education,<br />
plus rural and regional <strong>Australia</strong>. August 2003<br />
marked the launch of the Woolwmths Fresh Future<br />
Children's Hospital Appeal. Through the effmts of<br />
Woolworths' staff and generosity of<br />
Woolworths' customers over<br />
$3 ,000,000 was rai sed to aid<br />
children's hospitals and wards<br />
across <strong>Australia</strong>. Woolworths<br />
is also working with the Fred<br />
Hollows Foundation. Ban·y OtT,<br />
one of Woolworths' most<br />
experienced store managers,<br />
and hi s family have been working<br />
with several indigenous<br />
communities in remote areas near<br />
Katherine, in the Northern Territory, teaching<br />
them ski lls required to operate retail facilities and<br />
stock fresh and nutritious foods.<br />
RECENT DEVELOPMENTS<br />
"Being a Fresh Food Person is more than a job. It's<br />
an obsession," is the essence of the latest<br />
Woolworths conunercials. 1987 saw the first fresh<br />
food commercials, which impacted greatly on the<br />
retail environment and contributed to Woolwmths<br />
and "The Fresh Food People" being synonymous.<br />
The current "Fresh Obsession" campaign<br />
illustrates that Woolworths deli vers the best and<br />
freshest foods to its supermarkets by working<br />
closely with their suppliers and adhering to the<br />
Quality Assurance Program.<br />
Each commercial illustrates a stm-y that gives<br />
customers the facts behind the fresh food in store<br />
and demonsb·ates that Woolworths is obsessed<br />
about delivering the freshest food. Why does the<br />
orange farmer buy his apples at Woolworths?<br />
Because he knows the lengths he has to go to in<br />
order to get hi s oranges from the orchard to<br />
Woolworths to the customer.<br />
To reinforce Woolworths' commitment and<br />
passion, supermarket staff underwent a<br />
comprehensive "Fresh Obsession" training<br />
program to enhance their skills and product<br />
knowledge.<br />
Fwthermore an extensive range of information<br />
leaflets has been developed to enable<br />
customers easy access to recipes,<br />
product and nutritional<br />
information on fresh foods.<br />
" Woolworths Fres h"<br />
packaging has been refreshed<br />
to reflect the quality of the<br />
products it contains and<br />
includes the Woolworths<br />
Quality Assured tick to reinforce<br />
quality, freshness and the money<br />
back guarantee.<br />
Woolworths launched the "Supermm·ket<br />
Safm·i" website in October 2003 as a resource for<br />
parents and teachers to help educate young<br />
children about nutrition.<br />
Woolworths and FPC Magazines continue to<br />
work together and have added a new weekly<br />
magazine, Woolworths Fresh, to the already<br />
established monthly <strong>Australia</strong>n Good Taste and<br />
the bi-monthly <strong>Australia</strong>n Parents. Woolworths<br />
Fresh informs readers on the latest products<br />
available in Woolworths supermarkets plus<br />
recipes, hints and tips as well as wholesome aJticles<br />
on lifestyle, entettainment, health and beauty.<br />
Woolworths and Caltex have<br />
established an alliance, adding<br />
over 130 Caltex Woolworths<br />
outlets to the already existing 300<br />
Woolworths Petrol outlets<br />
enabling customers to redeem<br />
petrol discount offers in over 430<br />
outlets <strong>Australia</strong> wide.<br />
PROMOTION<br />
Advertising and promotions plus<br />
in-store point of sale have always<br />
been an important part of<br />
WoolwoJths' promotional mix. In recent times they<br />
have been fundamental in communicating the radical<br />
improvement that the company has made to its<br />
stores. The cun·ent "Fresh Obsession" commercials<br />
give customers proof that Woolworths goes to great<br />
lengths to deliver the freshest food.<br />
"Everyday Low Prices" are a prime focus of<br />
Woolwmths' core value of being the "first choice"<br />
for <strong>Australia</strong>ns because of the better service,<br />
friendlier people, greater range and unbeatable<br />
prices. And Everyday Low Price products are a<br />
significant pmt ofWoolworths' product and price<br />
promotions in store, through point of sale as well<br />
as in catalogues and press.<br />
Woolworths is ranked as one of the Top I 0 media<br />
buyers in <strong>Australia</strong>, using a variety of media to<br />
reach a broad target market. More than six Inillion<br />
catalogues are distributed to homes 52 weeks of<br />
the year. Brand and ptice advettising appem·s on<br />
all television networks. Up to I 00 newspapers<br />
feature Woolwmths advertisements at least once a<br />
week.<br />
BRAND VALUES<br />
CEO Roger Corbett sums up Woolworths' core<br />
values with the no-nonsense statement "the best<br />
product at the best price with the best service". To<br />
this end, the Fresh Food People line incorporates<br />
not just the promise of the biggest and best range<br />
of fresh food but more. Woolworths passionately<br />
believes that its people are the core of the company's<br />
success, as important to the shopping experience<br />
as the food itself. "The Woolwmths Way" was<br />
coined to express the pride staff have in "getting it<br />
right on the shop floor".<br />
Woolworths is down-to-earth, honest,<br />
approachable, <strong>Australia</strong>n and committed to<br />
ensuring customers a better shopping experience<br />
- each and every time.<br />
www. woolworths.com.au<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
WOOLWORTHS<br />
0 Woolwmths is the second-largest<br />
private employer in <strong>Australia</strong><br />
0 All staff shown in commercials m·e<br />
actual Woolwmths employees and all<br />
growers shown m·e actual Woolwmths<br />
suppliers.<br />
0 Woolworths has more than 320,000<br />
shm·eholders, 50,000 of whom m·e<br />
Woolwmths employees.<br />
139
WRIGLEY'S<br />
Extra®<br />
SUGARFREE CHEWING GUM<br />
THE MARKET<br />
Chewing gum has been one of the fastest growing<br />
consumer goods categories in <strong>Australia</strong>. Chewing<br />
gum accounts for 20 per cent of all non-chocolate<br />
confectionery sales in <strong>Australia</strong> with a total value<br />
of approximately $180 million each year. The<br />
majority of gum sales are impulse purchases with<br />
the heaviest consumers in the 15-30 year age group.<br />
The market is structured into sugar and sugatfree<br />
products and into single and multi pack purchases.<br />
Consumer benefits at·e segmented into Fresh Breath,<br />
Taste, Dental Cat·e and Kids.<br />
Wrigley is the lat·gest player in the chewing gum<br />
mat·ket, with market leadership across all segments.<br />
ACHIEVEMENTS<br />
EXTRA gum was the first sugatfree gum launched<br />
by Wrigley and was introduced in 1984 in the US.<br />
During the 'seventies, the growth of modified<br />
products led to the rise of attificial sweeteners to<br />
replace the sugars in many food products. However<br />
despite sugar's poor image and declining<br />
consumption, the sugarfree gum category failed to<br />
develop.<br />
In 1987 the State Health Authorities allowed the<br />
use of Nutrasweet as a sugar substitute. In the<br />
same yeat·, EXTRA gum was launched in <strong>Australia</strong><br />
-the first chewing gum to contain Nutrasweet.<br />
EXTRA gum is now the most recognised<br />
chewing gum brand on the <strong>Australia</strong>n mat·ket and<br />
the biggest non-chocolate confectionery brand in<br />
the country.<br />
At launch, Wrigley forecast, "the launch of<br />
EXTRA sugatfree gum has potential to achieve<br />
over 9 per cent of the total chewing gum market<br />
and this would be done in year three of mat·keting".<br />
This target was acrueved after only four months of<br />
television advertising and within only two yeat·s of<br />
its launch, EXTRA gum had become the lat·gest<br />
selling chewing gum brand on the market. The<br />
success of EXTRA gum's launch resulted in an<br />
impressive growth in the overall chewing gum market<br />
by 40 per cent in just four yeat·s.<br />
By 1992,EXTRAgum's sales volumeh
The aim of the creative strategy suppmting<br />
the Dental Care platform was to increase usage<br />
of chewing gum by changing social attitudes<br />
towards the category, that is, to inform the<br />
audience of the benefits of the chewing action<br />
and salivary stimulation. This was achieved<br />
by targeting two key audiences: the dental<br />
community and consumers.<br />
The campaign, comprising speakers at<br />
dental conventions, press advertising, direct<br />
mail and television advertising, proved<br />
successful.<br />
The number of dentists associating dental<br />
benefits with chewing gum increased<br />
significantly from only 20 per cent in 1988 to<br />
85 per cent in 1992.<br />
Consumer reactions to the advertising were<br />
also favourable, with results showing they<br />
found it informative, interesting and most<br />
impmtantly, believable with 55 per cent of gum<br />
consumers identifying a key category need<br />
as 'helping to prevent tooth decay'. The<br />
World Dental Federation endorsed the<br />
chewing of EXTRA sugarfree gum, with the<br />
endorsement s ubsequently featured in<br />
advertising.<br />
HISTORY<br />
Modern chewing gum began in the late 1860s when<br />
chicle, a substance from the latex of the sapodilla<br />
tree, was brought to the United States and used as<br />
a chewing gum ingredient. By the eat·ly 1900s, with<br />
improved methods of manufacturing, packaging<br />
and mmketing, chewing gum was well on its way to<br />
its current popularity.<br />
Williatn Wrigley Jr. mrived in Chicago in 1891.<br />
He was 29 years old with unlimited energy and great<br />
talent as a salesman. He statted out selling soap.<br />
As an incenti ve to merchants to carry Wrigley's<br />
soap, he offered them free baking powder.<br />
When baking powder proved to be more<br />
popular than soap, he switched to the<br />
baking powder business. One day, Mr.<br />
Wrigley had the idea to offer merchants<br />
free chewing gum as an incentive to cat-ry<br />
Wrigley's baking powder. Before too long<br />
he had switched again, to the chewing gum<br />
business, launching Wrigley's oldest<br />
brand, Juicy Fruit, in 1893.<br />
The first factory established outside<br />
North America was in <strong>Australia</strong> where a<br />
small factory was set up in Melbourne in<br />
1915. In 1919 the factory was moved to Rosebery,<br />
Sydney and again to a lmger factory in 1958 at<br />
Asquith, Sydney where it continues today to<br />
produce quality Wrigley chewing gums.<br />
THE PRODUCT<br />
Wrigley's EXTRA sugarfree<br />
products deliver a wide range of<br />
great tasting confectionery that at·e<br />
good for teeth. EXTRA products<br />
help keep teeth clean, white and<br />
strong and at·e highly regat·ded for<br />
their great taste and long-lasting<br />
flavours. Whilst the EXTRA brand<br />
has been known as a chewing gum<br />
brand, the brand has successfully<br />
extended into sugatfree Drops.<br />
EXTRA sugatfree chewing gum<br />
is available in pellets and tabs, singles and<br />
multipacks in a range of flavours including<br />
Spemmint, Peppermint, Sweet Mint, Peach and two<br />
children's vat·iants: Classic Bubblegum and Berry.<br />
EXTRA sugatfree Drops at·e a refreshing tasting<br />
sweet that a~·e good for teeth. They at·e available in<br />
a flip-top box in three flavours ; Wild Berry, Wild<br />
Mint and Lemon. EXTRA Drops contain no sugm<br />
so they me the low guilt alternative to traditional<br />
sweets.<br />
In late 2002 Wrigley felt it was time for a new 'brand<br />
presenter' for the EXTRA brand and Olympic Gold<br />
Medalist aerial-skier Alisa Catnplin was the perfect<br />
fit. A lisa displays well-suited qualities for the brand<br />
-as a wholesome, healthy, friendly,<br />
fresh athlete.<br />
The Alisa Camplin campaign<br />
began in 2003 with a television<br />
commercial for the EXTRA brand.<br />
Proving a success, Alisa's role as<br />
the face of EXTRA products was<br />
quickly extended across the range<br />
to EXTRA White and EXTRA for<br />
Kids in 2003 and for EXTRA<br />
Professional and EXTRA Drops in<br />
2004.<br />
Alisa has proved to be a huge success for<br />
the brand. Her personality and her great smile<br />
reinforce the comprehension of the dental<br />
benefits.<br />
PROMOTION<br />
EXTRA gum was launched with advertising<br />
support featuring Wimbledon champion Liz<br />
Smylie, comprising a total of four TV<br />
executions between 1987 and 1992. Liz Smylie<br />
was a personality with a perfect match to a<br />
female-skew tmget audience concerned with<br />
weight, appeat·ance and health. She correlated<br />
with the personality of the brand; healthy,<br />
wholesome, confident and contemporary.<br />
What's more, she has a great smile!<br />
In the six yeat·s from 1987 to 1992 Wrigley<br />
invested approximately $7 million in<br />
advettising the EXTRA brand, and by 1991<br />
the brand had grown to 35 per cent of the<br />
total chewing gum mat·ket.<br />
The Liz Smylie campaign was highly<br />
successful in generating awat·eness of the<br />
brand, and registering the brand's positioning.<br />
From 1992 television advertising for the<br />
EXTRA brand shifted focus to the Dental Cme<br />
message. Using the now well-known graphic<br />
representation of a pH curve, the<br />
communication illustrates how chewing EXTRA<br />
helps neutralise plaque acids after eating to cme<br />
for teeth.<br />
BRAND VALUES<br />
The core 'EXTRA' brand values at·e encapsulated<br />
in the statement 'EXTRA. Cat·e for Healthy Teeth'.<br />
EXTRA products, in all forms, have dental cat·e<br />
central to its promise. The entire range is sugatfree<br />
and the action of saliva stimulation acts not only to<br />
balance plaque acids and thus help to prevent<br />
cavities, but remineralisation actually strengthens<br />
teeth too. So whichever vmiety of EXTRA products<br />
you choose, you can be sure it's taking care of<br />
your teeth.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
GUM<br />
0 The Ancient Greeks chewed resin from<br />
the bat·k of the mastic tree.<br />
0 Modern gum was developed in the US<br />
in the 1800s when two brothers, Henry<br />
and Frank Fleer, experimented with<br />
chicle, the sticky substance found in<br />
the sapodilla tree. Hemy called his<br />
invention chiclets, while Frank<br />
produced his Blibber Blubber Bubble<br />
Gwn<br />
0 To grow all the mint Wtigley needs for<br />
its mint-flavoured gums would take<br />
more than 30,000 football fields.<br />
0 Reseat·chers have found that the act of<br />
chewing improves short and long-term<br />
memory by up to 35 per cent.<br />
0 Americat1s chew more gum per capita<br />
than anyone else - more than 170<br />
sticks of gum each per yeat·.<br />
0 The EXTRA brand has grown to<br />
become the lat·gest non-chocolate<br />
confectionery brand in <strong>Australia</strong>.<br />
51
Yellow Pages<br />
THE MARKET<br />
In today' s marketplace we are swamped with choice.<br />
There are more products and services than ever<br />
before. There are countless brands, countless<br />
places to get them and numerous ways to find, to<br />
compare and to wind up thoroughly confused.<br />
New technology has also broadened the market<br />
for information. For instance, internet search<br />
engines allow you to search for anything, anywhere<br />
in the world. Where once printed directories owned<br />
the informati on marketplace - today on line,<br />
telephony and printed media are all competing.<br />
Muhanunad Ali once said: "Wisdom is knowing<br />
when you can't be wise." It would not be wise to<br />
sort through all of today's information clutter and<br />
that is why the Yellow Pages® directory exists. It is<br />
there to help you find things quickly by bringing<br />
together buyers and sellers. The Yellow Page:@<br />
brand is made up of directory, online and voice<br />
products to reflect the different information<br />
channels people use. Now you can find<br />
the products and services<br />
you are looking for<br />
wherever you are,<br />
whenever you want.<br />
ACHIEVEMENTS<br />
the smallest country towns.<br />
Inside the Yellow PageSID<br />
directory there are over 2,500<br />
classified headings.<br />
This translates to<br />
more than 57,500<br />
individual pages<br />
of advertising<br />
which, when printed,<br />
become 21 billion<br />
pages, bound and<br />
delivered as over 15 million<br />
directories 2 - that's one directory to<br />
almost every home and business in <strong>Australia</strong>.<br />
The Yellow Pages® brand is popular. Research<br />
shows that 73% of consumers surveyed between<br />
the ages of 18 and 64 in <strong>Australia</strong>n metropolitan<br />
directory markets used<br />
the Yellow PageSID<br />
directory in the month<br />
preceding the research. 3<br />
Furthermore, the<br />
yellowpages.com.au site<br />
is <strong>Australia</strong>'s most<br />
visited online business<br />
directory4 with over 1.4<br />
million unique users<br />
visiting the site each<br />
month. 5<br />
Sensis decided to<br />
create the Yellow Pages®<br />
Small Business Index- a<br />
quarterly survey that<br />
measures the c urrent<br />
climate of small business and repmts on projections<br />
for the fmthcoming quarter. In 2000, the Yellow<br />
Pages® Small Business Index was expanded to<br />
include medium businesses, and in 2003 was rebranded<br />
as the Sensis TM Business Index - Small and<br />
Medium Enterprises. Today, the Sensis TM Business<br />
Index is accepted as a leading - and truly<br />
independent - barometer of business opinions for<br />
the SME sector of the <strong>Australia</strong>n economy.<br />
Similarl y, the Ye ll ow Pages:!!) Business ideas<br />
Grants program is one of a number of Sensis<br />
initiatives designed to support <strong>Australia</strong>' s small<br />
and medium enterprises. It is an annual award<br />
program supporting new business ideas at the<br />
concept, product development and business<br />
development stages.<br />
Another service Sensis initiated is the<br />
BookMuncher® Directory Recycling Program to<br />
ensure the responsible environmental management<br />
of old directories. The program enables residents<br />
and businesses to recycle their old White Pages®<br />
and Yellow Pages®directories through established<br />
council kerbside and commercial paper recycling<br />
collections. In 2002, a record 66 per cent of old<br />
directories were recycled through the program into<br />
e nvironmentall y friendly products such as<br />
cardboard packaging, kitty litter and housing<br />
insulation. 6<br />
HISTORY<br />
The world's first telephone directory was published<br />
in Connecticut in 1878, only two years after Mr Bell<br />
made the first telephone call. As telephone usage<br />
began to grow and spread, naturally so did the<br />
140
I<br />
directories. In some cities, what began as a humble<br />
sheet of paper soon required two comprehensive<br />
volumes.<br />
The directory that became the Yellow Page:@<br />
directory officially began in 1924, except that back<br />
then it was actually pink. And all 40 pages were<br />
neatly contained within the standard telephone<br />
book. The first fully classified directories were<br />
launched in 1935 in Sydney and Melbourne. But it<br />
wasn't until 1975 that the colour of the directory<br />
was changed from pink to yellow, primarily because<br />
of a worldwide shortage of pink paper. Yellow was<br />
also the colour recognised internationally for<br />
classified telephone directories. 7<br />
The Yellow Page®OnLine site-the first online<br />
Yellow Pages® directory- was launched in 1994.<br />
New applications for the directory product did not<br />
cease there and the voice directory service, 'Hello<br />
Ye llow', was launched in 1993 and it was renamed<br />
as the Yellow Pages:!D Direct service in 1997. This<br />
product was enhanced and relaunched at the end<br />
of 2000 as the Ye llow Pages:!!) Connect service.<br />
THE PRODUCT<br />
The pace of life is getting faster and faster and as<br />
we become more time poor, new technology<br />
channels are attempting to provide us with more<br />
efficient ways of communicating and obtaining<br />
information. For example, over l 0 million people,<br />
aged 14 years and over, own or use a mobile phone. 8<br />
In addition, over 82 per cent 9 of all <strong>Australia</strong>n<br />
businesses and 61 per cent 10 of all <strong>Australia</strong>n<br />
households are connected to the Internet.<br />
Despite all this change, people want to retain a<br />
sense of stability, they seek direction fro m trusted,<br />
familiar brands. In this context, the Yellow Page®<br />
directory remains <strong>Australia</strong>' s most trustworthy and<br />
reliable business directory. 11 In addition, the Yellow<br />
Pages® delivery channels have adapted to suit<br />
changed conditions.<br />
The metropolitan directory sti ll represents the<br />
foundation of the Yellow Pages® brand. The Yellow<br />
Pages® brand also extends to Yellow Page:@<br />
regional directories which cover the nonmetropolitan<br />
areas of <strong>Australia</strong>, acting as an<br />
information source and buying guide for regional<br />
areas throughout <strong>Australia</strong>. Sensis also produces<br />
localised Yellow Pages® directories for 22 selected<br />
markets in Brisbane, Sydney and Melbourne with<br />
an extra two local directories in Adelaide and Pe1th<br />
being launched in 2004. The Yellow Pages® local<br />
directories are smaller and more compact than the<br />
normal directories making them easier to handle.<br />
They contain li stings of local businesses, street<br />
maps and information pages relevant to their local<br />
community.<br />
As consumers and adve1tisers are increasingly<br />
using the Internet, there is an oppoltlmity to direct<br />
users toward the Yellow Pages:!DOnLine site. There<br />
are already over 1.4 million unique users who visit<br />
the yellowpages.com.au site each month. 12 The site<br />
enables consumers to locate and profile businesses<br />
24 hours a day, 7 days a week.<br />
Finally, the Yellow Pages:!D Connect service<br />
places the entire Yellow Pages® directory database<br />
a single phone call away. The Ye ll ow Page:@<br />
Connect service is the only 'live' service featuring<br />
the Yellow Pages® directory listings, with access<br />
to 1.8 million businesses <strong>Australia</strong>-wide and with<br />
the ability to directly connect customers with most<br />
of them on the spot. This national dial-up directory<br />
service currently provides approximately 112,000<br />
refeiTals each week. 13 Watch this space as the Yellow<br />
Pages® Connect service is developed further to<br />
offer even more information options over the phone.<br />
Find pawnbrokers at<br />
yellowpages.com.au<br />
PROMOTION<br />
The Yellow Pages® brand is one of <strong>Australia</strong>'s most<br />
loved and memorable brands. Research has shown<br />
that the Yellow Pages® brand is considered reliable,<br />
trustworthy and knowledgeable. 14 Due to the<br />
inherent natme of information giving, the Yellow<br />
Pages® brand risks being seen as dull and boring,<br />
dry and factual. The role of advertising is to<br />
counter-balance this by using humour to build the<br />
brand personality and engage the audience. Each<br />
ad has helped to make the brand more likeable and<br />
more human. The characters in the ads are not<br />
pe1fect and this enables us to relate to them and in<br />
a sense, laugh at ourselves.<br />
Many <strong>Australia</strong>ns fondly recall consistently<br />
humorous and creatively outstanding Yellow<br />
Pages® ads. Over the years, the Yellow Page:@<br />
brand has won many prestigious <strong>Australia</strong>n and<br />
International creative awards. These include 8<br />
awards at the Cannes International Advertising<br />
Festival, an achievement unprecedented in<br />
<strong>Australia</strong>n adve1tising history. The Yellow Page®<br />
brand has also been a dominant outdoor advertiser<br />
in the past few years. Executions promoting the<br />
headings in the Yellow Pages® directmy and Yellow<br />
Pages® OnLine service have illustrated innovative<br />
use of the medium with campaigns recognised at<br />
Cannes, the New York Festival and other award<br />
shows.<br />
It all began with the Goggomobile ad promoting<br />
the directory. Its popularity with consumers was<br />
overwhelming, with "G-0 -G-G-0" becoming part<br />
of everyday language. For many years the directory<br />
ads were the face of the Yellow Pages® brand.<br />
Favomites include: Danny ripping up the Yellow<br />
Pages® directory while packing to move; the man<br />
in his dinner suit standing under a leaking sprinkler;<br />
and the man who uses the Yellow Pages® directmy<br />
to stop his broken-down ute rolling backwards<br />
down the hill.<br />
Perhaps the most famous Yellow Pages® ad was<br />
"Not Happy, Jan", the commercial was so popular<br />
that the phrase became pmt of the vernacular. The<br />
campaign's effectiveness was recognised in the<br />
Advertising Federation of <strong>Australia</strong>'s Effectiveness<br />
Awards in 2003 where it was a finalist.<br />
Two recentconunercials include 'Skip' and 'Dog'.<br />
'Skip' shows a man who has hired a skip for his redecorating<br />
rubbish and who later discovers that<br />
hi s neighbours are making full use of it. After<br />
consulting the Yellow Pages® directmy, late one<br />
night he puts an end to this freeloading by<br />
installing a high-powered security floodlight<br />
system.<br />
In 'Dog' , we see a man and his dog taking their<br />
daily walk m·ound the suburbs. As pmt of this<br />
everyday ritual our canine friend has made a habit<br />
of defecating on one of his nei ghbour's pristine<br />
lawns. After many clean-ups the lawn owner spots<br />
the perpetrator and consults the Yellow Page@<br />
directory to find an appropriate deterrent- a remote<br />
activated sprinkler system.<br />
The follow-up campaign to 'Not Happy, Jan'<br />
explores the ridiculous lengths people go to when<br />
trying to remind themselves to do things. It includes<br />
a woman leaving herself a number of phone<br />
messages to remind herself to pl ace her ad in the<br />
Yellow Pages® directory. Another commercial<br />
features an overly confident businessman, who<br />
walks through a door and a Yellow Pages® directory<br />
fall s onto his head as a reminder to book his<br />
advertising.<br />
BRAND VALUES<br />
The overwhelming fondness that users feel for the<br />
Yellow Pages® brand is reflected in the array of<br />
attributes that they readily associate with the brand.<br />
Consumers see it as helpful, genuine, and downto-emth.15<br />
For millions of <strong>Australia</strong>ns, the vm·ious<br />
Yellow Pages® products m·e the first place they<br />
look when they need anything. In short, it's a brand<br />
they rely on and trust. 16<br />
I f,.,ol«l) p,"fo, A
THE MARKET<br />
When Yoplait was launched into the <strong>Australia</strong>n<br />
market in 1982, annual yogurt consumption was<br />
quite low at 0.9 kilograms per head. The total market<br />
size was only 14,000 tonnes. By 2003, the market<br />
for yogwt had grown to 114,000 tonnes, valued at<br />
$521 million, and consumption per head is more<br />
than six kilograms. Household penetration is 80 per<br />
cent, and is even higher in households with<br />
children.<br />
The strong annual growth that yogurt has<br />
experienced in the years between 1982 and 2003<br />
owes much to Yoplait. It took only six weeks after<br />
its launch for Yoplait to become market leader, and<br />
the brand has been instrumental in driving market<br />
growth by encouraging market segmentation. In<br />
the early 1980s, the yogwt products on the market<br />
were designed to have reasonably broad family<br />
appeal. In 1985, Yoplait was the first to offer a light<br />
yogurt, and in the ensuing years the brand has<br />
continued to meet the lifestyle demands of<br />
consumers, especially in regard to convenience,<br />
health, great taste, flavour and variety.<br />
Key segments of the yogwtmarket now include<br />
Regular, Light, No Fat/Diet, Natural and Probiotic<br />
yogurts with their extra health benefits, and<br />
children's yogwts.<br />
Currently, the highest consumption of yogwt is<br />
by children. It is anticipated that these younger<br />
generations will continue to enjoy yogurt well into<br />
adulthood, fwther growing the market by increasing<br />
penetration and consumption.<br />
<strong>Australia</strong>n adults were not brought up with<br />
yogmt but a large propmtion has incorporated it<br />
into their diet. The main reasons adults eat yogmt<br />
are because it is a healthy,<br />
nutritious, convenient snack<br />
and it tastes good.<br />
Yogwt is largely eaten as a<br />
snack or p3.11 of a meal and is<br />
increasingly eaten as a desse1t<br />
instead of ice cream. Natural<br />
yogurt is often used in<br />
cooking for dips, spreads and<br />
as a more healthy substitute<br />
for cream, coconut cream and<br />
sour cream.<br />
ACHIEVEMENTS<br />
Yoplait offered the first true<br />
national brand of yogurt with<br />
substantial consumer appeal.<br />
Prior to the launch of Yoplait<br />
there was limited choice and a<br />
general focus on full fat and natural yogurt products<br />
with a t3.11 or tangy taste. Yoplait made available a<br />
range of fru ity flavours with innovative packaging<br />
in user-friendly twin packs, and the yogmt market<br />
has never looked back.<br />
The Yoplait brand has been a pioneering force<br />
in the market helping to define the segmentation<br />
through innovative products specially developed<br />
to meet different consumer needs.<br />
In 1984, Yoplait was the first brand to launch a<br />
four pack, while introducing the concept of a v3.l·iety<br />
of flavours in the one pack. A year later, Yoplait<br />
launched its Fresh 'n'Light range (now called Yoplait<br />
Lite), successfully offering consumers a greattasting,<br />
low-fat choice. By 1986, Yoplait multipacks<br />
were the top five national sellers and the launch of<br />
multipack themes, such as Berry Delights in 1987,<br />
continued to encourage growth in this segment.<br />
Yoplait made additional health benefits available<br />
with the launch of the Yoplus brand in 1990, which<br />
incorporated the now well-known probiotic cultures<br />
acidophilus and bitidus. In the S3.lne year Yoplait<br />
launched a Diet yogwt brand specially designed<br />
to meet the needs of weight-conscious consumers.<br />
The introduction of Yoplait Petit Millin in 1991<br />
was an opportunity to provide a healthy snack,<br />
especially for children. Petit Miam was the first<br />
children's fro mage frais on the m3.1·ket and also the<br />
first product to really meet the specific needs of<br />
children. This brand has set the benchmark in kids<br />
nutrition and children's adve1tising in the yogurt<br />
category. Petit Miam. It's French for Yum.<br />
Taking yogurt to even younger consumers,<br />
Yoplait launched Petit Mian1 Baby, a range of<br />
specially-formulated yogurt products for babies<br />
from six months of age. Yoplait provide the only<br />
fresh yogurt formulated especially to meet the<br />
nutritional needs of babies and it comes in a<br />
convenient format for mothers.<br />
To continue the innovation Yoplait launched the<br />
first yogurt in tubes for kids, Go-Gurt. A truly<br />
portable yogurt that kids love to eat on the go and<br />
mums al so love because it is so great for the lunch<br />
box . YoplaitGo-Gwt is specially made for freezing<br />
so it is ideal as a summertime, go-anywhere snack.<br />
In 2003 Go-Gurt was successfully introduced in<br />
popular l OOg tubs, so now kids have more ways to<br />
eat their favourite yogwt.<br />
Fwther brand expansion came with the highly<br />
innovative new brand Yoplait LeRice, a healthy<br />
dairy snack made from a blend of rice and milk with<br />
premium fruit or sauces. Perfect for a quick and<br />
healthy snack LeRice is a popular addition to the<br />
Yoplait brand portfolio.<br />
The latest innovative launch came in 2003 with<br />
Yoplait Optimal which is a delicious probiotic yogwt<br />
drink that has been specially developed for people<br />
with busy lifestyles. Yoplait Optimal has been<br />
specially formulated with a synergistic combination<br />
of active cultures, culture booster and natural<br />
antioxidants from green tea. Yoplait Optimal comes<br />
in a convenient 90ml bottle, is made from all natural<br />
ingredients, is 99 per cent fat-free and has a light<br />
and refreshing taste. Yoplait Optimal. Do one good<br />
deed for your body.<br />
Yoplait has a range of delicious yogurt products<br />
that meet a wide variety of consumer needs, it is a<br />
well reg3.1·ded and trusted brand that has always<br />
taken a market leadership approach by driving<br />
market growth through innovation in both product<br />
and brand communication.<br />
Yoplait. It's Frenchfor<br />
Yogurt.<br />
HISTORY<br />
The story of yogurt<br />
begin s with Middle<br />
Eastern nomads and the<br />
Persians. The first yogurts<br />
were made from the milk of<br />
various animals, concentrated<br />
by heat and<br />
fermented naturally to<br />
produce a s mooth,<br />
delicious product known<br />
the n as 'sour milk' . The<br />
fermentation process in<br />
these predecessors of our<br />
yogurt destroyed u nde-<br />
142
sirable micro-organisms and left the beneficial<br />
lactic acid bacteria which gave the pleasant aroma<br />
and flavour which yogurt lovers appreciate to<br />
this day.<br />
It was believed that the Biblical character<br />
Abraham derived his viri lity and longevity from<br />
yogurt. Some scientists regard modern yogwt, a<br />
blend of nutritious milk and beneficial cultures, as<br />
one effective tool for dealing with many health<br />
problems. Yogurt provides an excellent source of<br />
calcium and other essential nutrients. It is also<br />
suitable for people with lactose intolerance, since<br />
the bacteria which create yogurt use lactose as an<br />
energy source and lower its levels substantially.<br />
Today's consumers enjoy all types of yogurt<br />
not only for health giving benefits but for its texture,<br />
taste, nutritional values, variety and versatility.<br />
THE PRODUCT<br />
The Yoplait brand originated in France and is now<br />
sold in 68 countries. It is the second l3.1·gest fresh<br />
dairy brand in the world. In <strong>Australia</strong>, Yoplait is<br />
manufactured and marketed under li cense to<br />
National Foods Limited, the l3.1·gest supplier to<br />
the supermarket dairy case in <strong>Australia</strong>.<br />
Yoplait has a wide range of yogurt products<br />
that provide consumers with very important<br />
nutrients such as calcium for strong bones,<br />
cultures for a healthy digestive system and a great<br />
selection of delicious fruit v3.1·ieties in smooth and<br />
creamy yogurt that tastes great.<br />
The Yoplait range of products covers the<br />
consumer life span with a product offering that is<br />
relevant for people in every age group. A quick<br />
overview of the range is:<br />
Yoplait Petit Miam Baby is suitable for babies<br />
from 6 months.<br />
Petit Miamis made with the goodness of milk,<br />
real fru it puree and nothing artificial. It<br />
comes in tubes, Little pots and larger<br />
I OOg pots, pe1fect for growing children<br />
and their growing appetites.<br />
Go-Gwt is smooth, cre3.lny, colomful<br />
yogurt for kids on the go. This unique<br />
product comes in tubes and is speciall y<br />
made for freezing so Go-GLut is ideal<br />
for the lunchbox. Made with real fruit<br />
and natural ingredients.<br />
Yoplait Original is thick, creamy<br />
yogurt that is 97 per cent fat-free. A<br />
family favourite that comes in a range<br />
of fruity varieties and pack sizes from<br />
2x200g tubs, Multipacks with 3 different<br />
flavours in 200g tubs and the 1 kilo<br />
packs for larger appetites.<br />
Yoplait Lite is s mooth, creamy<br />
yogurt that is 99 per cent fat-free. This<br />
is the biggest range ofYoplait products<br />
and includes more than 20 flavours.<br />
YoplaitNoFat is cre3.lny, fruity<br />
yogmt that is 99.9 per cent fatfree.<br />
This yogwt is made for those<br />
who are shape conscious and 3.1·e<br />
looking for lower calorie products.<br />
Yoplait Yoplus is natural yogwt<br />
that is mild, thick and creamy and<br />
it has the added goodness of<br />
probiotic cultures, acidophilus,<br />
bifidus and casei, and is high in<br />
calcium.<br />
Yoplait Optimal is a delicious<br />
probiotic yogwt drink that contains<br />
active acidophil us, bitidus and casei<br />
cultures to keep the digestive<br />
system strong and healthy.<br />
Yoplait LeRice is a healthy dairy<br />
snack with a unique and delicious taste<br />
and texture. A rice custard with premium<br />
fruit or sauces that can be eaten straight<br />
from the fridge or heated for a winter<br />
warmup.<br />
RECENT DEVELOPMENTS<br />
Yoplait is constantly introducing new<br />
products to the market and just as<br />
frequently makes improvements to<br />
existing products to meet the<br />
changing needs of <strong>Australia</strong>n<br />
consumers.<br />
For the first time in many years<br />
Petit Miam has had a face lift. With<br />
a ll new pack design featuring<br />
happy, healthy, growing<br />
children . The new<br />
design reflects the<br />
brand position that<br />
encourages children to<br />
grow up big and strong.<br />
Go-GLut now has a big<br />
brother with the recent introduction of<br />
Go-Gurt in tubs. The l OOg tubs will feed<br />
a larger appetite, especially in that allimportant<br />
after school snack time.<br />
Yoplait Lite has recently been relaunched<br />
with a thicker, creamier yogwt<br />
that tastes even better than before. A<br />
new development in the Yoplait range<br />
has been the successful introduction<br />
of dessert-style yogurt flavours. This<br />
first began in 2000 with the really great<br />
Cre3.111y Vanilla yogwt, followed in 200 l<br />
with Cre3.111y Latte, in 2002 with Caramel<br />
and in 2003 with French Cheesecake.<br />
Yoplait Original has always been<br />
0<br />
0<br />
0<br />
0<br />
popular with all members ofthe<br />
family so in an effo1t to please<br />
everyone, a unique new multipack<br />
called Cust3.l·d Craze has<br />
been launched.<br />
The recent launch of Yoplait<br />
Optimal has been the latest in the<br />
long line of product innovations<br />
that Yoplait has brought to<br />
<strong>Australia</strong>n consumers. Yoplait<br />
Optimal is the latest entrant in<br />
the fast-growing probiotic<br />
yogmt drinks market and is set<br />
to drive the market to new<br />
heights.<br />
Yoplait provides consumers<br />
with a wide range of products in<br />
market segments that cater to<br />
babies through to adults 60 and<br />
older.<br />
PROMOTION<br />
The Yoplait brand has always<br />
had strong, consistent<br />
adve1tising that is fun to watch,<br />
supporting the brand and<br />
building brand values. The<br />
commercials have focused on a<br />
French setting with French<br />
people. Yoplait. It 's Frenchfa: ..<br />
mmmm. The unique and<br />
appealing adve1tising has been one of<br />
the reasons for the e3.1·ly overwhelming<br />
and continued success of the Yoplait<br />
brand. Brand awareness has always<br />
been very strong.<br />
Yoplait brand promotional activities<br />
extend beyond TV advertising into<br />
activities that surround the consumer,<br />
such as outdoor event sampling, instore<br />
tastings, billbo3.l·ds, radio and<br />
magazine advettising.<br />
Yoplait utilises a mix of adve1tising<br />
media to ensure the brand message<br />
reaches consumers at v3.l·ious times<br />
in their day, at home, at the train<br />
station, in-store, in the c3.1·, at leisure.<br />
BRAND VALUES<br />
Yoplait has consistently maintained<br />
its brand values of French, Fun and<br />
Family.<br />
THINGS YOU DIDN'T KNOW ABOUT<br />
YO PLAIT<br />
Every year, Yoplait produces enough<br />
tubs of yogmt to stretch from<br />
Melboume to P3.l·is when lined up side<br />
by side.<br />
Yoplait is available in 68 countries<br />
3.1·ound the world.<br />
To make its range of products, Yoplait<br />
uses around 30 million litres of fresh<br />
milk eve1y ye3.1·.<br />
There 3.1·e two trillion live bacteria in<br />
every 200 gr3.111 tub ofYoplait yogmt.<br />
143