ATSYD 13 Jon bradshaw - Brand Traction

managing the modern marketing landscape

jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

CLIMATE CHANGE

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THE IRONY OF TALKING ABOUT AUDIENCE

WHEN NOBODY EVER LISTENS TO YOU

jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

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WHY SOCIAL MEDIA DOESN’T WORK WHEN

YOU’VE GOT NO FRIENDS, JON

jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

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BIGMOUTH STRIKES AGAIN

jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

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FUUUCCCKKK! jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

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managing the modern marketing landscape

jon bradshaw, marketing novice ad:tech tuesday 12th march 2013

CLIMATE CHANGE

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#ATSYD

Why Climate Change?

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•  The data is indisputable. There’s a seismic shift underway.

•  A large number of people, especially the manufacturers of marketing fossil fuels, are in total denial about what’s happening.

•  Nobody has a clue about what to do instead.

•  There are a heap of snake oil salesmen selling the marketing equivalent of wind-farms and hybrid cars.

#ATSYD

Today

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•  Setting the platform on fire.

•  Why does some advertising work, but much of it doesn’t?

•  How do we need to think to deal with the new environment?

#ATSYD 9

Marketing Novice

Jon Bradshaw

#ATSYD

The role of marketing has not changed

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•  Change consumers behaviour

•  To make the organisation more successful

•  For the long term

#ATSYD

There are only four tasks

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•  Acquire new consumers.

•  Get current consumers to buy more (frequency or weight).

•  Keep those consumers loyal.

•  Increase the value of the brand so that we can charge more.

#ATSYD

The overarching process also hasn’t changed

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Brand Competition

Insight Motivation

Positioning

Difference Truth

Identity

Execution Comprehension

Idea Engagement

Channel Connection

positioning

identity

execution

#ATSYD

Our role and process hasn’t shifted, but our audience has begun to disappear

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#ATSYD

We are screwed…

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#ATSYD

The media landscape is changing fast

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#ATSYD

It’s easy to still believe in TV

  52% say most memorable medium (Deloitte 2010)

  87% reach of all Australians

  Are we still warming ourselves when our house is on fire?

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#ATSYD

The TV landscape in Australia is fragmenting beyond all recognition

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0%   10%   20%   30%   40%   50%   60%   70%   80%   90%   100%  

Online  catch  Up  

Pirate  

Streaming  

All  Online  

Time  Shi?  

Broadcast  

•  Traditional broadcast still has the best reach at 87% of all Australians. •  But one third of those are watching time shifted TV. •  86% of time shifters skip ads. •  Online viewing already has surprisingly good reach at 43%.

% Australians reached by media type

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0   2   4   6   8   10   12   14   16   18  

Online  catch  Up  

Pirate  

Streaming  

All  Online  

Time  Shi?  

Broadcast  

Media hours viewed per week

•  Looking at actual consumption of media, online viewers consume as heavily as traditional viewers.

•  And are currently sourcing up to 6 hours a week of content from pirate channels.

‘New’ media not only has reach, it has depth

#ATSYD

International data suggests time shifted will become the norm in broadcast media

•  Foxtel iQ penetration is around 35% •  DVR / TiVo penetration in the US reached 63% of households with

income over $100k. •  86% of viewers said they fast forwarded through the ads.

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0

10

20

30

40

50

60

2007 2008 2009 2010 2011 2012 2013

DVR Penetration in the USA

#ATSYD

Interruption is dead, (well at least very poorly)

The audience is online, on demand and in control.

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#ATSYD

Target Tooheys Hahn and XXXX beers drunk in any one year = 1.5 billion

Current total number of Facebook fans = 177,000

DNPFBFPD Index = 23.2

The Problem with

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#ATSYD

FBFRTHT@2SDPD = 2.1 million

A 1,200% increase

Aussie Gov’t healthy drinking guidelines = 2 standard drinks / day

The Problem with

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#ATSYD

  3 x the number of fans of Coke in Australia   4 x the fans of McDonalds   13 x the number of fans of Julia Gillard or the

Wallabies   25% of all active Facebook users in Australia

The Problem with

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#ATSYD

The Problem with

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#ATSYD

Digital is not (yet) the messiah

“He’s not the messiah, he’s a very naughty boy”

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#ATSYD

We have to change the question

  From just

  “what shall we say and do?”   “where shall we say it?”

  To

  “why will anyone want to listen and engage?

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#ATSYD

story-telling

We need to begin to think about ‘advertising’ in four connected but different ways

But the audience has different reasons to engage in each of these four ‘nodes’

  Story Telling

  Relationship Management

  System Building

  E-Commerce

relationship management

system building

E-commerce

Managing engagement is the secret to making it all work 27

#ATSYD

We used to rely on being entertaining to get people to care about our marketing

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•  A brand creates stories that entertain.

•  The best ads work when we craft an entertaining, unexpected story about the brand that people can relate to.

brand

source

entertainment

reason to engage

story-telling

approach

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When you can interrupt the formula hasn’t changed much

Engaging, emotive story telling that simply and powerfully dramatizes a believable,

motivating brand truth.

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Is this the last great ad I’ll ever make?

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#ATSYD

Digital creates opportunities and challenges.

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•  Story telling in the digital channels, especially in owned media means we can make it participatory and always on

•  But always on creates a hungry content mouth to feed •  Participation, whilst more effective is complex and hard to get right.

brand

source

entertainment

reason to engage

story-telling

approach

#ATSYD

XXXX Island – always on is hard (and can be expensive!)

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#ATSYD

Relationship marketing relies on reward

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brand

source

reward

reason to engage

relationship management

approach

•  Service brands have developed this discipline to a sophisticated level.

•  But historically product brands have at best dabbled round the edges of managing loyalty

#ATSYD

In relationship management, digital has again driven significant change

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brand

source

reward

reason to engage

relationship management

approach

•  Digital has transformed this node from generic mass DM •  To highly tailored data driven conversations with customers •  But the increasing need for data has continued to intimidate brands

who do not own the transactional relationship with the end user

#ATSYD

Service brands have been really building this capability

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#ATSYD

Some product brands are now getting into loyalty and reward

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#ATSYD

In the latter half of the noughties we saw a new advertising approach emerge – system building

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brand

source

utility

reason to engage

system building

approach

•  In the mad rush of excitement about a new medium the question of why would anyone care has often been lost.

•  The best examples of software as advertising deliver real usefulness to the consumer, giving them a reason to engage.

•  Without that you’re just another useless app in the trash folder.

#ATSYD

Investorville is useful!

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#ATSYD

What about gamification?

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#ATSYD

There is a growing aspect for many brands – e-commerce

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brand

source

transaction

reason to engage

E-commerce

approach

•  Currently dominated by retail and service brands. •  But as the Coles and Woolworths duopoly gets

tougher •  We may see many other players in this space.

#ATSYD

FMCG is moving into e-commerce

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#ATSYD

As such marketing has evolved into four approaches or nodes. Each of the different ‘nodes’ works in a different way

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Advertising approach (node)

Consumer Behaves as

Reason to engage is Media is Digital facilitates Consumer result is

Story telling Audience Entertainment Pushed Participation Consideration

Relationship management Recipient Reward Pushed and Pulled Personalisation Retention

System building User Utility Pulled Socialisation Involvement

E-Commerce Buyer Transaction Pushed Ease Consumption

#ATSYD

Introducing…

© ® The Hyper-connected Advertising Ecosystem ™

(I told you I wasn’t good at titles)

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#ATSYD

Always on, interactive story telling

Entertain ment

Story telling brand

Data fuelled insights

Data fuelled insights

Brand and Data connect all four nodes into an ecosystem

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Reward

Personalised reward for loyalty

Relationship Management

Utility

Real (social) usefulness

System Building

Transaction

E- commerce

Simple easy intuitive shopping

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What does it all mean? We need to develop Hyper-connected Advertising Ecosystems

  BRAND. We have to get super tight on positioning and identity in order to have the freedom to be in all four nodes.

  DATA. We have to scrape data at every interaction and make it useful and useable.

  CONNECTION. Connecting the nodes is where the power is. Each approach builds the strength of the other. You have to build an ecosystem.

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#ATSYD

“A slow sort of country”

Change is inevitable. Truly successful brands have to move faster than the speed of change to stay in front.

"Well, in our country," said Alice, still panting a little, "you'd generally get to somewhere else — if you run very fast for a long time, as we've been doing.” "A slow sort of country!" said the Queen. "Now, here, you see, it takes all the running you can do, to keep in the same place. If you want to get somewhere else, you must run at least twice as fast as that!”

Lewis Carroll, Through the Looking Glass. 46

#ATSYD

Hyper connected advertising in practice

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thank you

jon.bradshaw@brandtraction.com.au #ATSYD