Inland Revenue marketing video – OIA response to Taxpayers Union

7 May 2015

Today Inland Revenue responded to an OIA request from the New Zealand Taxpayers Union regarding the cost of this year’s video encouraging people to complete their tax returns online. We’ve attached that OIA response, showing the cost of the video.

The video is not what you might expect from Inland Revenue, being a bright and breezy parody of 1980s aerobics videos, complete with leotards and headbands! It is, however, proving very effective, and we’re more than happy to be interviewed about it.

In brief, the objective of the campaign is to take pressure away from our call centres at our busiest time of year, by encouraging people to get their tax returns done online. It’s targeted at 18-34 year olds who may have more than one job through the year.

In April we have seen the following results; 36,000 registrations for our online service, myIR, which is up 34% on last year 17,000 calls less than forecast to the line that deals with tax refunds 127,000 views of our campaign page, 22% up on last year The video has had 20,000 views The campaign runs through to July.

We think there is a fun and positive side to this story and it has been effective in achieving the business results aimed for.

Response:

7 May 2015

Dear New Zealand Taxpayers' Union

Thank you for your request made under the Official Information Act 1982, received on 9 April 2015. I have answered each of your questions below.

Background information

Each year Inland Revenue conducts a marketing campaign from April to July that encourages use of our online services. The objective is to reduce phone calls related to transactions that can be completed online. This ensures that our phone lines are available to deal with more complex issues in a timely manner. It also reduces our long term costs as more people are registered for and using online services.

The campaign this year targets 18-34 year olds, including part-time workers, those earning under $48,000 per annum and those who have more than one job as these people are more likely to phone Inland Revenue about refunds.

Given the youthful target audience, the campaign is predominantly online, and the format is engaging. The message is:

'Think you're due a tax refund? See if you qualify in 3 simple steps. Work it out here. ird.govt.nz/taxrefund'.

The message plays on 'working out' and 'three steps' by parodying an 80's style aerobic step workout.

Our website includes written content and a video detailing the three simple steps, and which step customers can take right now. The content and video changes over the three phases of the campaign which include nnyIR registration, requesting your Personal Tax Summary, and confirming your Personal Tax Summary.

Answers to your questions

1. What was the total cost of producing the Tax Refund Workout video?

2. How much money has been allocated to promotion of the video and campaign? Please provide details of funding allocated, e.g. Social media advertising, newspapers etc.

3. What was the total cost of creating the Tax Refund Workout webpage?

The total cost of the campaign is $418,308, which includes $40,912 for the creation of three versions of the video, for each phase of the campaign, and $21,920 for the creation of the campaign web pages.

As mentioned above, we run a campaign with similar objectives each year, and the total campaign cost this year is less than previous years.

www.ird.govt.nz

4. What are the KPIs or similar schedule against which the effectiveness of this

campaign will be evaluated?

The following measures will be used to track effectiveness by comparing figures for 2015 with 2014.

• Individual phone calls regarding Personal Tax Summaries

• Personal Tax Summaries requested and confirmed online

• myIR online registrations

Other measures being used include:

• Individual phone calls to the general queue

• Visits to the campaign webpage and associated activity Visitors arriving as a result of clicking on advertising

• Video views and engagement

• Feedback from customers and staff

• Post campaign market research checking awareness, recall & action taken.

As at the end of April, the campaign has been live for 24 days, and early results are encouraging.

• 17,000 calls less than forecast to the line that deals with tax refunds

• 36,000 registrations for our online service, myIR, which is up 34% on last year

• 127,000 views of our campaign page, 22% up on last year

• The video has had 20,000 views

This response fully covers the information you have requested. I hope the information I have provided is of assistance to you.

Yours sincerely

Andrew Stott
Group Manager Marketing and Communications

ENDS

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