‘Authenticity’ key to Coles crisis response and higher marketing spend

Despite sales booming during the coronavirus crisis, supermarket giant Coles has increased its marketing and advertising spending.

Coles marketing boss Lisa Ronson: ‘We had to do a lot more. We did a lot more press, radio, emails, we did a lot more one-to-one communication as well.’ Picture: Britta Campion

Despite sales booming during the coronavirus crisis, supermarket giant Coles has increased its marketing and advertising spending to reach customers during the uncertainty.

The retailer’s marketing boss Lisa Ronson said it brought on two additional agencies to help with its communication at the beginning of COVID-19, given the unprecedented health crisis.

“We’ve spent a little bit more, and that’s mainly on the COVID communication because our customers were looking to us for vital information around safety in our stores, sanitisation, opening hours and the basic communication,” Ms Ronson said.

“We had to do a lot more. We did a lot more press, radio, emails, we did a lot more one-to-one communication as well,” she said.

Coles, which has worked with agency Big Red for several years, brought on board DDB and TBWA, which had been working on Coles Financial Services since last year.

“Because there was such great demand, I had to divide the marketing team into two, one was focused on the hourly COVID communications and the other was looking more longer term at when we started up trade-driving and seasonal events,” she said.

As well as a rush on essential food and household items such as pasta, rice and toilet paper during COVID, baking products have also proved popular with shoppers, many of whom were stuck at home during the pandemic.

Ms Ronson noted it had been a “big 18 months” since joining Coles, navigating the retailer’s marketing strategy through drought, floods, bushfires and COVID.

Her advice to fellow marketers was to be authentic and help consumers during the uncertainty.

“Authenticity is key, stick to your purpose and the role that you play in the community.”

Her comments come ahead of her appearance at the Australian Association of National Advertisers annual conference RESET next month, together with her boss, Coles chief executive Steven Cain.

Ms Ronson, who is an AANA board member, said the chief marketing officer and CEO relationship was “really important” because it was the customer facing aspect to the CEO role.

“The key to any relationship is openness and great communication, and really getting to the nub of what customer problems you’re trying to solve and how you’re solving them,” she said. The pair could sometimes speak up to 10 times a day if there was a new campaign or service set to hit the market.

The seventh RESET conference will be held on November 27.