Brand marketing A European survey amongst marketing decision-makers: A positive image for Steel as a packaging material Since 1995, the European steel for packaging industry had become aware of the necessity to improve the image of steel as a packaging alternative amongst marketing & packaging decision-makers of major FMCG companies throughout Europe. To get a clear idea of the problem, qualitative and quantitative surveys were staged amongst representative samples of the following decision-makers : purchasing managers, packaging buyers and managers, production managers, general managers and packaging development managers from major FMCG companies in Europe. The aim : to understand their perception and evaluation of the parameters which play a role in their choice of a packaging material. The 1997 survey : many negative issues for steel The first survey in 1997 confirmed many of the traditional misperceptions regarding steel. When compared to other packaging materials such as aluminium, glass, PVC, PET and composites, steel was the only packaging material that had a negative balance. Indeed, when asked to sum up the advantages and the disadvantages of steel as a packaging material, decision makers stated more disadvantages than advantages ! The negative perceptions focused on “corrosion, limited in shaping and modelling, not flexible, difficult to open ..etc”. Although in the perception, steel obtained the best scores of all packaging materials for “strong, safe, protection, easy transportation”, steel scored worst of all on “modern, convenient, practical and easy to shape” ! The perception of aluminium was very like the perception of steel, but more positive. This was a clear indication that this group of decision makers amongst FMCG companies didn’t know enough about steel’s properties & characteristics. The 1999 survey : an impressive evolution in perceptions For the second survey in 1999, undertaken using the same methodology as the 1997 survey, the evolution of perceptions is impressive. Awareness of APEAL increases from 9% to 66% Firstly, the awareness of APEAL, which had initiated the concerted European action programme for the promotion of steel for packaging, is spectacular. Whereas in 1997, APEAL was nearly unknown by the relevant target group, in 99 it achieved the highest notoriety in response to the question “ Can you give me the names of packaging related federations you are in contact with?”. In total, 66% claim to have heard of APEAL, compared to 9 % in 97. Steel as a packaging solution: use increases three-fold Secondly, 41 % of the sample compared to only 11,5 % in 1997 claimed to use steel as a packaging alternative. This spectacular increase does not mean that steel consumption has tripled. Rather, this result means that the awareness of steel as a packaging material in the production process has tripled. This awareness is a condition which has to be fulfilled to achieve increased use of steel in the future. Compared to other packaging materials, steel now has the highest score. The balance for steel is very positive The analysis of the advantages and disadvantages mentioned spontaneously for each packaging material shows that the net balance (average response advantages – average response disadvantages) for steel has now become positive. When we consider the evolution in net balance for all packaging alternatives, the increase of steel was the second most important, namely +24,5 %. The perceived image of steel and its industry is improving In the analysis of the perception of steel, measured quantitatively through a list of items, we observe similar changes over all European countries. We observe that respondents, all active players in the final decision making process for the choice of a packaging material for their products, claim that steel as a packaging solution benefits from a better image. Moreover the parameters “light” and “easy shaping”, whose importance in the final decision making process has increased in recent years, have benefited from the communication by APEAL and its members. This implicitly means that steel as a packaging material is becoming more attractive as end-users better understand that it meets their expectations and aspirations. And last but not least, we observe that the image of the steel industry in general is improving. The industry is perceived as becoming more flexible and therefore more interesting as a potential partner. Efforts towards promotion The promotion and development efforts by the European steel industry are proving successful. Indeed, one of the practical conclusions drawn from the first survey in 1997 had been that marketing and packaging decision makers were not sufficiently aware of the improvements and new developments in steel for packaging as well as the differentiation opportunities through shaping and modelling. These elements were therefore added to the traditional messages for steel : durability and natural recyclability, in communication aimed at correcting misperceptions. Determined to enter into responsive dialogue with these decision makers, the major producers of steel for packaging in Europe had launched, through APEAL, their European association, a major dialogue marketing programme under the theme “ Steel for packaging – a great marketing idea”. The aim : to inform decision makers about the constant improvements to steel through ongoing research and development and foster the development of innovative packaging solutions in steel. High interest from market actors A first dialogue pack was sent to 3000 marketing and packaging decision makers from multinational filler companies in Europe, and over 500 decision makers returned the dialogue form, opting for the international programme of information and initiatives. This clearly confirmed that such information proves relevant to the marketing professionals of branded goods. This feed-back also allowed Apeal to gather precious information on the brands and the materials used to pack them, constituting a valuable basis for further dialogue. To respond to the needs of FMCG companies in terms of packaging solutions, the European steel industry also created, within APEAL, a number of European task forces, constituting specialists from various disciplines, to solve existing packaging problems and help foster innovative packaging solutions in steel for the various market segments : food, beverage, aerosol and general line.