The biggest match in Poland, er, no, not Euro 2012

A Marketing view of Poland's general election October 2011

 
A quick guide to the teams who played long and hard in the recent marathon leading up to the recent big play off on October 10th 2011.
 
For those not familiar with Polish Politics :-

The Teams 

http://www.platforma.org/pl/platforma/

http://www.pis.org.pl/main.php

http://www.psl.org.pl/

http://www.ruchpalikota.org.pl/

http://www.stronapjn.pl/

http://www.sld.org.pl/

What exactly are these teams battlling to win ?

http://www.prezydent.pl/

http://www.sejm.gov.pl/

http://www.senat.gov.pl/

A majority in the Sejm is 215 seats

A majority in the Senat is 50 seats

Pre Election the government was a coalition between Platforma Obywatełska (PO) and PSL.
 
The President of Poland -  Pan Bronisław Komorowski was a PO member but in accordance with tradition resigned party membership
 
Election to sejm by proportional representation requires a party to break a threshold of 3% share of total vote to gain representation. Election to senat is by first by the post method.

Match report by team 

PO potrayed themselves as a safe pair of hands to steer Poland through the crisis, based on their economic success , stabilty and record with getting huge grants from EU for Poland.

"we are building bridges"," we are building schools and Poland". Lots of positive images showing leadership and new things built, but lacking on economic data and plans for policies for jobs, school, health, education, and cutting public borrowing, and to stimulate business.

PIS  tried to show themselves as young surrounding their leader with young couples and families,  and repeatedly saying Poland and Poles deservce more, but failed to say more of what exactly Poles deserved more of though.
 

Many traditional images mixed with modern younger images this changed in to an attack on Ruch Palikota, warning voters, a vote for them, is a vote for PO, a campaign devoid of policies, dominated by the leader and his attempt to use the Smolensk tragedy for political ends, no details of plans for any of major subjects, PIS concentrated on negatising their oppnents campaigns and attempting to scare people living in smaller towns they would lose out out under PO.

Poland's former communists, and now social democrats tried a new approach of a younger leader promising to make Poland better and that Poland will have the best of this and that, when asked how he will pay for this embarrassing silence ensued.


A haphazard, badly planned, non connected campaign. Their early announcement they would form a coalition  with PO to get power neutered their effect. Their leader's attempt to appeal to younger people and 1st time voters descended in to an embarassing farce where he appeared at times like the perennial embarrassing uncle trying to be trendy.

The Polish Peoples party usually translated as the Polish Peasants party, and junior coalition partner in the previous government with PO, presented two faces in the election run up. One to show themselves as dependable patriotic politicians who represent the farmers, smallholders and people in smaller towns , however backed with a rap soundtrack from Funky Polaka who repeated his rap he made to Adamek a famous Polish boxer before a title fight.

""Do not forget where you came from. Don't forget where you were born. Because the memory is the power of the Enchanted, so remember well, my son." 

This rap ran behind images of Pawlak driving a combine harvester, talking with a young farmowner presenting himself as a strong leader to his tradtional voters and at a national football match portraying him as a partriot. PSl core values of work for all, energy independence and green energy plus social care were mentioned.

Ruch Palikota - lead by maverick millionaire ex PO mp Janusz Palikot, a former vodka distiller and a byword for controversy in  Poland, the movement appeared from nowhere . Its contentious and controversial programme appealled to first time voters students and younger people and those on the left wing disenchanted with SLD. 

From legalising cannabis, to throwing the catholic church out of schools; Palikot pushed all the emotional buttons. His campaign nagging at disaffected voters and some left wing supporters fed up with sld, their campaign was massively successful, achieving major coverage through ratings and outrage value. Support was building through out the campaign to the point where Pis realised RP would in effect prevent them having any chance to win the election, and Pis  launched a" Don't vote for them because you are voting forPO campaign, which actually seemed to boost Ruch palikota's popularity amongst youth and voters who were anti PiS.

 PJN (Polska Jest Najwazniesza, this was a  breakway party from Pis after Kaczynski lost the last presidential election. They were dubbed Pis lite by the media and when first formed commanded enough support to have a parliamentary prescence.  During the election run up they were exterminated. Weakened by a failed defection of one of their most senior leaders to PO , they failed to gain any media visibility.  They could not differentiate themselves from the PIS full strength bigger varaint. As Pis's vote was squeezed by Ruch Palikot Pis core voters who may have voted PJN went back to Pis. PJN failed to meet the 3% vote threshold to enter the sejm

So a resounding victory for the coalition teams PO and PSL who were the first government to be returned for a second term in post comunist Poland.
An excellent entry to the piitch for for Ruch Palikot, red card for SLD+ PJN.
Red card for Grzegorz Naperalski who resigned after the SLD's bad result.
Yellow card for Jaroslaw Kaczynski+Pis for losing their 2nd election in a row
In the next episode we will look at who voted for who, by sex, age, place of residence, income etc. 

Visit our blog for the big match part 2 - Who was supporting who !

If you are interested in how Octoplus analyses and thinks its way through problems to discover opportunities and solutions for brands and businesses contact us by clicking in the chat window on the left or visit our website www.octoplus.com.pl

Octoplus would like to thank our sources
Panstwowa Komisja Wyborcza - http://pkw.gov.pl/Gazeta Wyborcza - www.gazeta.pl Telewizja Polska -  www.tvp.plTVN  "Fakty" - Fakty na TVNTVN "Kropka nad i" - Kropka Nad i na TVN24TVN24 - www.tvn24.pl
Tomasz Liz na Zywo na TVP2 - http://www.tomaszlisnazywo.pl/
Platforma Obywatelska - http://www.platforma.org/pl/platforma/
Prawo i Sprawlidnosc - http://www.pis.org.pl/main.php
PSL - http://www.psl.org.pl/
SLD - http://www.sld.org.pl/
Ruch Palikota - http://www.ruchpalikota.org.pl/
PJN - http://www.stronapjn.pl/

Success caused by distress – how to get out from under a cloud

Escape from under the cloud

The question which should be burning everyone’s lips is, why marketing isn’t taken seriously in the majority of retail developments , whether it be shopping centres or retail parks.

The Burning Question on your lips

Simply put, how can we as an industry reject a source of asset improvement, which increases income streams and increases the value of our investment?

 

As ever, we need to look to history to learn why. In the explosive times recently, when Central and Eastern Europe (CEE) was on a massive high, developments were being built, filled, flipped or refinanced for big profits. The process was fuelled by banks that were only too eager and willing to lend money to build.

Developers, seeing the conditions and possibilities for a huge, quick return on their investment drove the explosion, and managed it with minimal or no marketing input or support. They didn’t see any need to market or brand something they had no intention of investing in or retaining longer than it took to flip it, i.e. to sell whilst in the process of building for a profit. 

Flipping not possible in this market

This was possible in a rising market, rocketed by a rush of people willing to invest at top prices and cheap, available debt.

The industry basked in the sunshine of this success. Perhaps this success blinded us to the fact that although big money was being made, we actually let that stop us making more. Or perhaps we forgot that times don’t stay golden or great forever.

We forgot that marketing and branding is our insurance against increasing competition, changing times, and changes in economic circumstances.

It’s also just possible that short-term profit takers had little interest in sustaining and building long-term value.

While some might say marketing companies didn’t help the process or offer their help, this isn’t the case. Many in fact tried to offer advice, but were confronted by people making quick profits in fortuitous circumstances without any help from marketing. These people failed to see the value being offered, or with their short-term vision didn’t understand the need for it. Few saw that the situation would change.

After the last economic crash and banking debacle, weak marketing or the complete lack of it, has been a key factor in the misfortunes of some shopping centres. We often see today that with increased competition, reduced consumer spending and uncertainty on financial markets, some are failing to deliver on promises made to their banks, owners, tenants and shoppers.

Today, all has changed. Banks are far less eager to lend, and when they do, they do so with far more stringent conditions and more stringent monitoring and control.

The owners of assets which didn’t deliver their original promise are now deemed distressed.

Loans aren't easy to come by now

These owners need to plan revamps, building alterations and tenant mix changes if their business is going to have a chance to survive. All this requires money, bank acceptance and resources, plus planning.

Seldom, however, is true marketing seen as a pre-requisite to turning around a centre. Instead, a rather half-hearted re-opening campaign ticks the marketing box, but misses the mark. It’s usually not sustained and more often than not, the revamp meets with little more success than the first attempt.

There is one ray of light, however breaking through the cloud of distress.

Get planning before doing anything else

Prior to throwing money at re-leasing, redesign and reconstruction, prepare a properly formulated strategy which quantifies, analyses and proves the need for changes, which demonstrates the benefits it will bring the investment and which justifies the costs. The strategy should announce the intention to change, inform consumers of the new brand and of the new tenants with new offers.

Above all, this new strategy should deliver a surge in footfall and put the centre clearly on the local map and it should set the retailer tills ringing. That’s the lifeblood of the centre and its tenants. And surely, it’s what besieged owners, asset managers and results-oriented banks want to see. A fully planned and researched proposal with a strategy to execute the new way forward should be central to the proposed changes.

Fund and bank managers understand plans which quantify the need for action, and which justify the need to invest so long as it safeguards their outstanding loan.

The first question which needs answering is: “Is there a demand and need for this building in the new form?”  

Octoplus can help answer that question yet, but they need to be involved from the beginning of intention to plan a revamp, or makeover, or wholesale change.

Octoplus can carry out research into the concept, and can see how the tenant mix you propose actually stands up to demand and local needs and desires, how it fares versus the competition, and how it meets the needs of potential tenants. Sure, the tenant mix needs to be built based on delivering the rental income the owner requires but it’s equally important to establish a tenant mix which serves and delivers local consumers’ desires and needs.

Marketing needs to develop that mix into an identity which transforms the building in to a brand which its users identify with, a brand which is borne out in reality in shaping the retail space and the shopping experience. Crucially, this new brand must have the ability to attract consumers who don’t use the building, or who don’t use it frequently enough.

The strategy needs to be developed to take the centre through the phases of the makeover and redesign, to handle any negative PR, to show the local media, politicians and community that positive changes are on the way, and to target and aid the recruitment of new tenants.

Once that has been achieved, the buildup must be continued until launching the building to ensure the makeover succeeds. After this, marketing must be maintained to support the centre and its tenants to keep it delivering income and value.

Rebuilding the brand isn't this difficult !

This way, a brand is built which is connected to tenants and consumers’ aspirations, needs and desires. Most importantly, the building delivers on its promise to tenants and the brand delivers to shoppers. This ensures the building delivers revenue to its owners and moves out of distress, becoming a successful, growing business. The marketing works to ensure the turnover and footfall stabilizes and then rises.

 Marketing brings to life a real shopping experience, a brand experience delivered to shoppers in reality, evidenced by the increase in retailer turnover, and for the owner an increase in rent from those on  turnover rents.

Marketing adds value by increasing the life of the asset, by increasing its income through rent and adding other revenue streams, and therefore its overall worth.

Increased asset value and increasing revenue to decrease debt combined with ongoing planned marketing ensures the distress is short-lived; the project is saved and lives on.

In a market where economic restraint and pressure push downward on disposable income and therefore spending, retailers are affected accordingly: fierce competition intensifies and the weak are pushed to extinction - unless you  take out insurance and build a strong brand to defend and increase our value.

For Further details on how to increase value in your retail park or shopping centre contact us via the blog by clicking Chat on the left and sending us message or visit our website

Web :www.octoplus.com.pl  Blog : http://octopluscommunications.blogspot.com

This article was published previously in CIJ Central and Eastern Europe where Steve Whittle Of Octoplus writes a regular marketing column to see more of their magazine go to http://www.cijjournal.com/Main/Default.aspx where you can sign up for an electronic version of the  magazine to your lap top or phone.