New Media Part 1

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New Media Masterclasspart 1

New technologies and communication methods in the

context of their effects on the established mainstream mediaWikipedia

“”

New Media:

The traditional marketing model is being challenged, and (CMOs) can foresee a day when it will no longer work

McKinsey Quarterly, 2005, Number 2

“”

Futurelab

uniquely individualized info delivered to infinite number of people

all players involved share control over content

User Generated Media

Blogging

Train blog

Pets

The blog of death

Jihad blog

American Jihad blog

Podcasting

iTunes store

Gordon ‘F’ Ramsay

Wine Australia

French Maid TV

Wikipedia

Choose your hotel...

...based on other guests’ advice

MySpace

Second Life

Skoeps

> 9,000,000

> 9,000,000

30,000 - 1,500,000

> 3,000,000

> 22,000,000

Nielsen Rating Nov 6-12, 2006

> 55,000,000(posted April ‘06)

22.3 mln 22.0 mln 20,8 mln

200,000,000 blogs

Almost 4,000,000 articles(10 languages)

> 80,000,000 profiles

1.5 million residents

>100,000,000 videos(65,000/day)

5,000,000 songs /day

The Long TailPopularity

Products

We are creating

We are selecting

We are changing

Anything AnyhowAnywhere- -

The Good Ole Days of Corporate Media

Central editorial control

Government regulation (censorship)

One-way communication

Limited channels of information

We will decide what you want & need

Futurelab

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1980

2005

• % of adult evennig viewers that remembers brand in ad just watched:

• A US hour of prime time TV carried 21 minutes of advertising, Late Night network shows like Leno or Letterman carry 31:27

• US: People with PVR’s watch 12% more TV, yet 90% of them adskip (Germany : 88.2%)

• Germany: 78.2% are irritated by advertising, only 24% actually still watches it

• 54% of US consumers avoids products & services which “overwhelm” with advertising

• China: 85% stop watching TV during commercial breaks. More than half change the channel, while the rest do housework, eat, chat or use the bathroom

BRANDS

CONSU

MER

S

2000 9%1965 35%

Sources: Big Six, GfK Marktforschung, Yankelovich Partners, McKinsey & Co.

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76%Yankelowich

Futurelab

People trust people

Who do we trust?

“My friends,their friends...

...and all those we collectively respect”

People trust people

Source %In-store Sales Associate 49

In-store demonstration 36

Word-of-mouth from family & friends 33Newspaper Coupons 25

Internet 21

Product/Company Information 16Retailer information 14

Other 14Magazines 4

TV 4

Radio 3

Source: CMO Council’s Retail Fluency Report, 2005

People trust people

Edelman trust barometer %Academic 62

Doctor or similar 62

Person like yourself/peer 61

Financial Analyst 58

NGO Rep 58Accountant 53

Lawyer 36

Regular employee 33CEO 29

Union 19

Entertainer 17

PR person 16

0%

10%

20%

30%

40%

50%

60%

70%

2003 2004 2005 2006

33%

51%55%

61%

Person like yourself or a peer

2,000,000 BC 1,000 AD 1980 AD

Information Age

Writing

4,000 BC

PrintSpeech

Storytelling

Brands have to become storytellers, and then…

...let it go

Futurelab