On Strategy Showcase: How McCain's Patient Commitment to Brand-Building Paid Off

Episode Release Date: November 18, 2024
Host: Fergus O’Carroll
Guests:

• Mark Hodge – Vice President of Marketing, McCain Foods, North Yorkshire, England
• Roisin Mulroney – Planning Director, Adam and Eve DDB, London

Introduction

In this compelling episode of On Strategy Showcase, host Fergus O’Carroll delves into McCain Foods' decade-long journey of strategic brand building. Joined by Mark Hodge of McCain Foods and Roisin Mulroney from Adam and Eve DDB, the conversation uncovers the pivotal decisions, challenges, and insights that fueled McCain’s transformation from a primarily functional brand to an emotionally resonant household name in the UK.

Background: McCain’s Market Position and Challenges

Mark Hodge sets the stage by outlining McCain UK's market landscape. As the largest producer and supplier of frozen potato products in the UK, McCain faced intense competition from private labels and discounters like Tesco’s own brands, Lidl, and Aldi. The rise of these competitors post-economic recession led to increased "discretionary thrift," where even financially stable consumers began downgrading their supermarket purchases.

Notable Quote:

Mark Hodge [10:21]: "From a share perspective, McCain's typically always been over 40% from a value sales perspective."

Strategic Shift: Emphasizing Brand Over Product

Recognizing that traditional tactics were insufficient, McCain undertook a significant strategic pivot in 2014. The allocation of their marketing budget was rebalanced from a 30% brand and 70% product split to a 60% brand and 40% product focus. This shift aimed to create a unified brand message that could generate halo effects across McCain's extensive product portfolio, fostering emotional connections rather than just functional benefits.

Notable Quote:

Mark Hodge [22:52]: "The objective was very much to reduce the price elasticity so that the demand or our market volume performance would be less influenced by price changes in the market."

Implementation: Building the Emotional Connection

Roisin Mulroney explains the collaborative effort between McCain and Adam and Eve DDB to redefine McCain's brand narrative. The team identified that existing advertisements were portraying unrealistic, polished British families, which did not resonate with the diverse and evolving family structures highlighted by recent census data.

Key Elements of the Strategy:

• Brand World Creation: Introduced themes of "Really Real" and "The Good Stuff," focusing on authentic portrayals of British families.
• Strategic Platform: Developed the concept of "The Joyful Reality of Family Tea Time," aligning McCain’s products with meaningful family moments.
• Creative Executions: Utilized relatable imagery and straightforward messaging to celebrate diverse family dynamics without over-romanticization.

Notable Quote:

Roisin Mulroney [30:24]: "We added this brand world of really real and then combined it together with... the strategic platform that was the joyful reality of family tea time."

Execution: Iconic Campaign Elements

One of the standout elements of McCain’s campaign was the use of Ricky Tomlinson as the voiceover narrator. His authentic and grounded voice captured the essence of the campaign, resonating deeply with the target audience.

Notable Quote:

Mark Hodge [34:32]: "We heard Ricky over the top of the visuals and everybody just went, yeah, that's it. A brilliant, characterful voice that he brings down to earth."

Creative Examples:

• Out-of-Home Ads: Simple yet powerful imagery accompanied by messages like "Here's to the moms who are two parents in one" and "Here's to the dads," celebrating various family configurations.
• Television Spots: Narratives that highlighted everyday family interactions, emphasizing McCain's role in facilitating joyful meal times.

Results: Long-Term Impact and Success

The campaign initially showed modest results in the first 18 months, with significant increases in sales volume and brand metrics becoming evident only after this period. The patience and long-term commitment to brand building eventually paid off, leading to sustained growth and a stronger emotional connection with consumers.

Key Outcomes:

• Brand Metrics: Ad awareness doubled over nine years, with key brand image statements improving by up to 61% from an initial 20%.
• Sales Performance: Sales began to rise significantly after the 18-month mark, supported by stabilized and increasing brand health indicators.
• Price Elasticity: Reduced sensitivity to price changes, allowing for more stable and profitable sales performance without excessive reliance on promotions.

Notable Quote:

Mark Hodge [40:07]: "If you look at percentage on deal or depth of deal and the discount we were given... we were able to change that quite significantly and invest more behind things that should drive more penetration."

Insights and Conclusions

Mark Hodge and Roisin Mulroney emphasize the importance of understanding price elasticity and its impact on brand strategy. By focusing on long-term brand building and measuring the right metrics, McCain was able to cultivate a loyal customer base willing to maintain purchase behavior despite price fluctuations.

Key Takeaways:

• Patience in Brand Building: Long-term strategies may not yield immediate results but are crucial for sustainable growth.
• Holistic Measurement: Assessing both brand health and business metrics provides a comprehensive understanding of marketing effectiveness.
• Emotional Connection: Authentic and relatable branding fosters deeper consumer loyalty and reduces price sensitivity.

Notable Quote:

Roisin Mulroney [43:35]: "Understanding what you’re measuring as a brand... is really important because when you’re evaluating it, knowing that it’s only accounting for xyz, but there are other factors contributing later."

Conclusion

McCain Foods' transformation underscores the power of a patient, strategic approach to brand building. By prioritizing emotional connections and maintaining consistency over a decade, McCain not only navigated a challenging competitive landscape but also established itself as a beloved brand in British households. This episode serves as an inspiring case study for marketers aiming to balance short-term gains with long-term brand equity.

For a deeper dive into the creative campaigns and detailed metrics, visit OnStrategyShowcase.com and explore the episode’s dedicated page.