‘Personalization’ proves polarizing
The Association of National Advertisers has named “personalization” as its marketing word of the year, based on voting from 341 ANA members. Stated one member: “Personalization is the holy grail of brand marketing. It provides the ability to speak directly to the consumer or shopper with the right message, at the right time, in the right medium.”
But business research firm Gartner has a decidedly different view on the topic. In a report out this week, it projects that “80 percent of marketers who have invested in personalization will abandon their efforts due to lack of ROI by 2025.” The report finds that data collection is a major obstacle to personalization, as data practices face new scrutiny by regulators. Charles Golvin, senior director analyst in the Gartner for Marketers practice, states: “Consumers have developed an increasingly jaundiced eye toward marketers’ efforts to embrace them. Their increasingly cluttered email inboxes and mobile phone notification centers may lead them to ignore even the most carefully personalized and contextualized message. Marketers must really adopt the basics when it comes to test and learn before investing in personalization technology and new tactics.”
Hostess bites into wafers
Hostess Brands Inc. plans to buy Voortman Cookies Limited, a maker of wafers and cookies, for about $320 million. The deal gives the maker of Twinkies and Ding Dongs a broader lineup including some better-for-you products, such as sugar-free breakfast biscuits. Voortman says it does not use artificial colors or flavors, high-fructose corn syrup or trans fats in any of its cookies. The acquisition is expected to close in early January.
PepsiCo’s latest pop (not a soda)
In another snack deal announced this week, PepsiCo Inc. plans to buy BFY Brands, the maker of PopCorners snacks. PopCorners adds some better-for-you (that’s what that BFY stands for) snacks to the Frito-Lay North America salty-snack lineup. PepsiCo also plans to use BFY’s production capabilities to support the growth of its existing more-nutritious snack brands, PepsiCo Foods North America CEO Steven Williams said in a statement.
Too exclusive for you
Lots of girls might have Nike’s latest sneakers on their holiday wish lists—but they won’t find them under the tree. Nike announced this week that it had created a commemorative pair of cleats for soccer star Megan Rapinoe. In pink and gold, with stars to represent the team jerseys worn by Rapinoe and her teammates, the shoes are a young girl’s dream sneakers. “One-of-a-kind boots for a one-of-a-kind player, this special edition will not be sold at retail,” Nike wrote in a press release. A spokeswoman did not return a call requesting comment about possible other iterations of pink shoes for regular shoppers.