Category: Advertising

Advertisers will pull or pause campaigns amid backlash over ads appearing next to inappropriate content, says Group M

Advertisers will pull hundreds of millions of pounds in spending from Google and Facebook this year over concerns about ads running next to inappropriate content such as extremist sites and fake news.

Sir Martin Sorrell’s GroupM, which buys more than $75bn (£60bn) of advertising space on behalf of clients globally, has slashed its growth prediction for UK digital advertising and has blamed some of the adjustment on an advertiser backlash over the inability of Silicon Valley giants to stop ads appearing around inappropriate content.

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In a preview of more pain to come for US, and global, workers, moments ago Nike announced that it will soon be parting ways with approximately 2% of its 70,700 global workforce, or roughly 1,500 employees.

Nike introduced the Consumer Direct Offense, a new company alignment, resulting in leadership and organizational changes as part of which the company would see an overall reduction in about 2% of the company’s global workforce to "streamline and speed up strategic execution."

In addition to the mass layoff, Nike is realigning its regional units as it focuses on driving growth in its most important markets and getting new products to market more quickly. Among the details:

  • Cutting product styles by 25%, but will offer deeper selection of key franchises
  • Aiming to cut creation cycle in half to speed new products to market
  • Consumer Direct Offense program under NKE Brand President Trevor Edwards to focus on improving growth in New York, London, Shanghai, Beijing, Los Angeles, Tokyo, Paris, Berlin, Mexico City, Barcelona, Seoul, Milan
  • Sees targeted cities accounting for 80% of projected growth through 2020
  • Realigning geographic segments to 4 regions from 6; will report results under North America, EMEA, Greater China and Asia Pacific and Latin America starting in fiscal 2018

Discussing the corporate overhaul, Trevor Edwards, President of the NIKE Brand said that "today we serve our athletes in a changing world: one that’s faster and more personal. This new structure aligns all of our teams toward our ultimate goal — to deliver innovation, at speed, through more direct connections.”  It will also deliver what is likely the start of many layoffs.

Full press release below.

NIKE, Inc. today introduced the Consumer Direct Offense, a new company alignment that allows Nike to better serve the consumer personally, at scale. Leveraging the power of digital, Nike will drive growth — by accelerating innovation and product creation, moving even closer to the consumer through Key Cities, and deepening one-to-one connections.

“The future of sport will be decided by the company that obsesses the needs of the evolving consumer,” said Mark Parker, NIKE, Inc. Chairman, President, and CEO. “Through the Consumer Direct Offense, we’re getting even more aggressive in the digital marketplace, targeting key markets and delivering product faster than ever.”

Consumer-focused Growth

Trevor Edwards, President of the NIKE Brand, will drive the Consumer Direct Offense through integrated category, geography, marketplace, product, merchandising, digital, and direct-to-consumer teams.

In the new alignment, the company will drive growth by deeply serving consumers in 12 key cities, across 10 key countries: New York, London, Shanghai, Beijing, Los Angeles, Tokyo, Paris, Berlin, Mexico City, Barcelona, Seoul, and Milan. These key cities and countries are expected to represent over 80 percent of Nike’s projected growth through 2020.

Nike is moving closer to the consumer—creating a local business, on a global scale. To improve efficiency, all key cities and countries are supported by a simplified geography structure, changing from six to four—comprised of North America; Europe, Middle East and Africa (EMEA); Greater China; and Asia Pacific and Latin America (APLA). The leaders of the newly-formed geographies are: Tom Peddie VP/GM of North America, Bert Hoyt VP/GM of EMEA, Angela Dong VP/GM of Greater China, and Ann Hebert VP/GM of APLA.

As such, financial results for the NIKE Brand will be reported based on these four operating segments beginning in fiscal 2018.

The geography leaders will report to Elliott Hill, President of Geographies and Integrated Marketplace.

Nike’s Triple Double

The Consumer Direct Offense is fueled by Nike’s Triple Double strategy: 2X Innovation, 2X Speed and 2X Direct connections with consumers.

To double innovation, Nike will accelerate the impact and cadence of new innovation platforms. As an example, over the past few months, Nike launched a cushioning revolution, featuring three new groundbreaking platforms: ZoomX, Air VaporMax and Nike React. And, to give consumers more choices of the products they love, Nike is editing to amplify — reducing its styles by 25 percent, and offering a deeper selection of key franchises.

To double speed, Nike is on a path to cut product creation cycle times in half. That starts with the Express Lane, which quickly creates, updates and fulfills products in response to consumer demand. Already operating in North America and Western Europe, a new Express Lane will be activated this summer in China, serving Shanghai, Seoul and Tokyo—some of the world’s most promising markets for sport.

To supercharge this faster pipeline, Michael Spillane is assuming the new role of President of Categories and Product—leading an end-to-end design-to-delivery organization, including Categories, Design, Product and Merchandising. This new integrated organization will place greater resources in the categories with the highest potential to fuel growth: Running, Basketball, Nike Sportswear, Men’s and Women’s Training, Global Football and Young Athletes. To build on the growth of the Nike Women’s business, a new dedicated Women’s team will complement each top-tier category.

To double direct connections with consumers and shape the future of retail, Nike is creating the new Nike Direct organization, led by Heidi O’Neill, President of Nike Direct, and Adam Sussman, Chief Digital Officer. This organization will unite Nike.com, Direct-to-Consumer retail, and Nike+ digital products to enhance and expand Nike’s membership experience on an increasingly global scale. Nike will also extend innovations to its strategic wholesale partners.

Leading with mobile, this team will unite physical and digital retail to serve consumers with the best of Nike. Two recent examples of innovative consumer connections are SNKR Stash, which unlocks access to exclusive Nike and Jordan product using mobile geo-locations; and Shock Drop, surprise alerts for coveted sneakers that allow consumers to buy instantly through the app or at their nearest Nike or wholesale store. Over the next several months, Nike is also launching its Nike+ and SNKRS apps globally to energize the sneaker experience in new markets.

Spillane, Hill, O’Neill and Sussman will all report to Edwards.

Nike’s leadership and organizational changes will streamline and speed up strategic execution. The changes are also expected to result in an overall reduction of approximately 2 percent of the company’s global workforce.

“Today we serve our athletes in a changing world: one that’s faster and more personal,” said Edwards. “This new structure aligns all of our teams toward our ultimate goal — to deliver innovation, at speed, through more direct connections.” 


Advertisers have begun appealing to the social justice wing of liberalism in an attempt to increase sales, according to the Guardian.

Board of world’s largest advertising group faces questions at AGM over who will take over if founder steps down

More than a fifth of WPP investors have voted against Sir Martin Sorrell’s £48m pay package, as the chief executive and his board faced a barrage of questions at the annual meeting over who will take over as head of the world’s largest advertising group.

A total of 21.3% of shareholders either voted against his pay or abstained, the lowest level of unrest over Sorrell’s pay since 2010; 20.79% voted against and about 0.5% abstained.

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Telecoms giant is right to stop relying on social media titans to prevent its adverts appearing next to inappropriate content

About time too: a major advertiser has become so frustrated with Facebook and Google’s limp attempts to police the content they publish that it has taken matters into its own hands. Vodafone will no longer rely on website “blacklists” drawn up by the social media titans and its own advertising agency. Instead, to prevent its ads appearing next to hate speech or fake news, Vodafone will issue a “whitelist” of sites on which it is happy for its commercial messages to appear.

The new approach is sensible. Indeed, it’s a wonder that major advertisers have been so slow to protect themselves from Facebook and Google’s failures. Vodafone spends £400m a year on online advertising. Even if 99% of that money ends up being directed to reputable sites, the other 1% can do serious damage to a brand while also generating revenue for some hideous websites.

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Telecoms company to work with Google and Facebook to set up a ‘whitelist’ of safe sites on which its advertising can appear

Vodafone is to introduce a tough new global policy to prevent its advertising from appearing on fake news and hate speech sites.

The telecoms company, which spends close to £400m of its £750m annual global ad budget on digital ads, is thought to be the first to move beyond relying on Google and Facebook’s automated technology.

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Google hopes it can improve browsing experience and protect its business model by only blocking the most annoying ads

Google has confirmed it will build an adblocker into its Chrome browser from next year as it targets the most intrusive online adverts.

The web giant is working with the Coalition for Better Ads, an independent group comprised of tech companies, publishers and major advertisers and agencies, that aims to improve the experience of web browsing.

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Military financial services organization will also start advertising again on other programs where it suspended ads, including shows on CNN and MSNBC

Military financial services organization USAA is reinstating its advertising on Sean Hannity’s Fox News Channel program after receiving heavy criticism for its initial decision to pull ads from many of the military members and veterans that it serves.

The San Antonio, Texas-based company said Tuesday it will also start advertising again on other programs where it had suspended ads, including Hardball and The Rachel Maddow Show on MSNBC, and Jake Tapper’s The Lead on CNN.

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Latest fine highlights how tech giants no longer seen as constructive but also destructive and obstructive, be it on tax, privacy or competition law

Facebook’s €110m fine by the European commission for providing misleading information about data-sharing between Facebook and WhatsApp is just one of a growing number of regulatory battles the US social media giant is fighting.

Related: Facebook fined £94m for 'misleading' EU over WhatsApp takeover

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After series of complaints, fast food giant withdraws advert that showed boy being told of dead father’s liking for Filet-O-Fish

McDonald’s has pulled its new advert from TV screens and apologised for any upset caused after it was accused of exploiting childhood bereavement.

The advert, first screened last week, shows a boy asking his mother about his dead father. As she tells him what his dad was like, the boy looks sad as they do not seem to have much in common. His face lights up once they arrive at a McDonald’s and, as he eats a Filet-O-Fish, his mother says: “That was your dad’s favourite too.”

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Transport for London bids to make millions from the classic logo, map and Routemaster buses after link-ups with Nike and Lego and deals in Japan

Nothing says London like the Routemaster bus, the tube roundel logo or Harry Beck’s schematic underground network map. Now the capital’s transport authority is seeking to generate cash to reinvest in its hard-pressed tube, train and bus services, using the design classics to sell branded products overseas.

Transport for London has struck its first global licensing deal, aiming to create a £100m-a-year branding business. From designer chairs using tube seat patterns and lamps inspired by bus headlights to London Underground map tea towels, its own fashion brand and limited edition sets of Scrabble, Tfl is aiming to take its successful UK licensing programme to global markets.

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Facebook executives have warned investors about overestimating sales growth prospects, stating that the platform is limited in the number of ads that they can display.

Medic hit and demonstration shut down as Portland protesters mock theme of Kendall Jenner advertisement where she handed drink to police officer

A May Day protest in Portland has been shut down after demonstrators threw full cans of Pepsi at officers, with one hitting a medic, according to police in the US city.

Related: Diet Woke: how Pepsi’s ad backfired for Kendall Jenner

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Even WPP’s guiding light is having his pay cut as pressure increases from corporate investors to rein in salaries and bonuses

For more than three decades, Sir Martin Sorrell has run WPP – the world-leading advertising group he built from scratch out of a small maker of wire baskets – with an iron grip. Since jacking in his job as finance chief at Saatchi & Saatchi to start his own business at the very un-dotcom age of 40, Sorrell has built Wire & Plastic Products – the shell company he used as his vehicle for global domination, and which still makes metalware to this day – into a business with a stock market valuation of £22bn.

Investors have been rewarded handsomely: £1,000 invested at WPP’s inception in 1985 would be worth £63,000 today. Sorrell has been rewarded too. Two years ago he took home more than £70m, one of the biggest pay deals in UK corporate history, and over the last five years has pocketed £210m.

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Who can I activate the advertising packets on hm-10 bluetooth as the data sheet does not contain how does it work


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