ANALYSIS: Can Guinness keep ahead? - With a well-established reputation for innovative and inventive advertising, the pounds 12m Guinness account represents a challenge and a prize. Harriet Marsh reports on why the stout brand is reviewing its work

The timing of Guinness’ decision to put its pounds 12m ad account up for pitch has surprised many in the industry.

The timing of Guinness’ decision to put its pounds 12m ad account

up for pitch has surprised many in the industry.



After all, this is the year in which Guinness achieved its highest ever

share of the UK beer market and its current ad campaign, ’Black and

White’, has gained the brand its highest ad awareness to date.



So why has Guinness decided to call time on a campaign which has

achieved such results?



As the incumbent agency of 12 years Ogilvy & Mather pointed out in the

current campaign, not everything in black and white makes sense.



O&M would be justified in feeling hard done by as it must now see off

Abbott Mead Vickers, TBWA Simons Palmer and HHCL & Partners, the agency

already responsible for advertising Guinness in Ireland, if it is to

retain its hold on one of the UK’s most famous ad accounts.



Staying fresh



Yet, the ultimate irony is that it is the recent success of the brand -

and the cult appeal of the advertising - which lies at the heart of the

decision to review.



The company believes the present campaign has run its course and the

onus is now on the Guinness marketing team to find the creative idea to

replace it. Yet it is a delicate task. Get it wrong and the negative

publicity could be overwhelming.



Two years ago, Marketing revealed that Guinness was planning to run an

ad featuring a gay kiss, as part of the ’Black and White’ campaign. The

ad was pulled but the ensuing uproar reminded Guinness executives of the

power of its advertising. It also dealt a blow to its long-standing

relationship with O&M, which it blamed for the leak.



Guinness Brewing is more aware than ever of the profound role that

advertising plays in persuading consumers - particularly the crucial

under-35 market - to drink a brand which is, after all, something of an

acquired taste.



When the company launched the ’Man with the Guinness’ campaign in 1987,

two-thirds of Guinness drinkers were over 35. By 1992, the majority were

younger drinkers and the company is keen to ensure it stays that

way.



’Advertising is a key driver for us,’ says Andy Fennell, marketing

controller for stouts at Guinness Brewing GB. ’Guinness is never the

beneficiary of a default purchase; you either want a Guinness or you

don’t, and advertising is key to developing that desire.’



Although Guinness is enjoying its highest share of the UK beer market to

date - 5.2% this year compared with 4.4% in 1995 - the company is still

aggressively pursuing a larger chunk of the market.



Guinness Brewing is at a crossroads following the merger of parent

company, Guinness Plc, with Grand Met. The iconoclasm of the Guinness

brand has also clashed with the conservatism of the parent firm. The

merger, and the decision to create the new company Diageo, frees the

brewing division from the constraints of its brand name.



Yet paradoxically, the key to growing draught Guinness’ share of the UK

market may be to move from its current ’contemplative’ positioning to

become more mainstream.



Alcohol by volume



The beer industry remains fiercely competitive, and industry-wide

volumes are expected to drop by as much as 2% by the end of the year.

Although Guinness is the dominant brand within the stout market, with

83% share, it is also competing with lagers, hybrid ales and alcopops

for a place in the portfolio of its core target market.



Furthermore, Guinness Brewing, with no retail division, needs to remain

strong in its own market if its to retain its position in the pubs of

competing brewers.



Last November, Scottish & Newcastle withdrew draught Guinness from 2600

of its pubs in favour of it own Beamish and Gillespie brands. Whitbread

is also pitching its Murphy’s brand against Guinness in many of its own

outlets.



’There is no reason why we can’t significantly improve on our current

position,’ says Fennell. ’It is because we have very stretching demands

in terms of growth that we are always looking at means to extend the

brand.’



The problem is that, after two years, consumers are losing interest in

the ’Black & White’ campaign. And, for a brand whose advertising strives

to become a talking point in the pubs in which it is served, consumer

complacency is a real threat.



’We want to review things before we’re in the corner,’ says Fennell.



’That is how we’ve grown the brand in the past, by constantly looking at

ways to leap forward and never becoming complacent.’



Advertising heritage

1928: Guinness started advertising using the slogan ’Guinness is good

for you’.

1955: The first Guinness television commercial appeared.

1969: The ’Talking Toucan’ was introduced. The advertising theme

continued until 1983.

1983: The ’Guinnless’ campaign was launched and achieved 87% of

awareness among all adults within three months.

1987: The ’Man with the Guinness’ campaign launched. It ran for seven

years and contained 21 different executions.

1995: Guinness Brewing GB launched the Irish ad campaign ’Anticipation’

in the UK following delays in the production of the ’Black and White’

commercials. It subsequently ran from November 1994 to March 1996 after

research showed the ad was extremely popular in the UK market.



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