From Hollywood to Madison Avenue

“A tale of fundamental changes in advertising”

Cannes Lions 2010

1 The state of media

2 How does engagement look?

3 A typology of online video

4 Nokia’s approach to content

5 Why agencies should worry

6 The future of content

Agenda

 

Online video vs other medium

The rise of the YouTube generation

The evolution of video formats

Online vi

deo evolution

YouTube - the tip of the iceberg!

Source: Comscore Video matrix // Techcrunch

Online advertising by format

Video improves branding

Source: Dynamic Logic & Doubleclick study, June 2009

Publishers and online video

Source: Brightcove and Tubemogul, q1 2010

Video has ‘critical mass’

86m 112m 114m 116m170m

Source: GlobalWebIndex.net and ComScore

More than 170 million US viewers watch an average of 182 videos

online, or a total of 35bn videos in Feb 2010

How does engagement look?

What the users are telling us

Consumers play the game

Engagement = action

Content is ‘king’

Tim Armstrong, 2010

CEO of AOL

The old walls are broken down

A typology of online video3 ways to get a brand involved…

The ‘video’ funnel

The sponsored model‘X-sessions’

The sponsored model

Sponsor premium content – music, sport etc.Sponsor premium content (68 videos)

Connect to a music audience

Access to a lot of quality content

Adding legitimacy and aspiration

The branded content model‘Chrome Speed Test’

Produce narrative stories around brand values(100s of videos in multiple channels)

Google stories, google fans

A way to connect with key audience

Internally driven film, made with Glue and DDB to celebrate the new Chrome 5

The product model‘Apple Ipad’

Produce narrative stories around product values(19 videos)

Let the product be the star

The brand, the products & the people

Information can be as valuable as entertainment

Making a ’difference’

Nokia’s approach to contentEmbracing online for branding

The Online Evolution

2000-2007Nokia is slowly moving to

digital, but remains largely traditional in choice of

formats

2008Nokia get’s first real

online video success with “Get out and play” and “Bruce Lee ping pong”

gathering 5-10mil views

2009-2010Nokia’s creation teams are

adopting increasingly strategic models for

working with content and distribution.

A Chinese icon

N96: The sponsored model’N96 Ninja - 2006‘

Creating our own narratives, relating to the world around us

N8: The Brand model’N8 Fossball – 2010’

Presenting a product doesn’t have to be boring

N8: The Product model’ N8 Design’

User learnings

655

13418 105

Sharing and CTR

Opinion

Viewing patterns

Distribution

Owned Media

Paid Media

Earned Media

Implications for ’our’ agencies

Content Creative concepts can come from many sources(both internally and from ’new’ external sources)

Media Online video is moving from tactical to strategic(content for both earned, bought and earned)

Audience One lead piece is not enough to satisfy users(A dandelion approach to content)

Why agencies should worry

from 30sec spots to partnerships

Agencies lose monopoly on content

The driving forces

Partnerships

Partners + -

Advertisers Media budget Audience & Content

Media companies Audience Media & Content

Content creators Content Audience & Media

The production companies

A total of 196 videos have been produced and launched for Tourism New Zealand since 2008 using different content partnership models

- Source: 100% New Zealand on Youtube

Hollywood’s product love

Hollywood

Product placement and integration set for a 10-15% CAGR from 2008-2012 from its base of 3,81bn USD in 2008

- Source: PQ Media

The Music industry

Premium content destination launched in Dec 2009April 2010: 44mil UU, 350mil streams

- Source: Comscore video matrix

4 world records‘Stratos project - 2010 (ongoing)’

Partnerships between brand, tech and media

The evolution

1984Lead brand spot

2010Full funnel strategy

From 30 secs to full funnel content strategies and sourcing content through partnerships

The future of content…is more for less

Froms ads to content

The road ahead…

Expand own capabilities to cover full funnel and

planning/media

Partnerships to supply own capabilities in key areas

The “evolution” of a giant…

1960-2005Unilever perfects

traditional TV advertising, beginning with their 1961

OMO Cannes Lion

2005-2006Simon Clift takes over as

Unilever CMO and Dove’s “Evolution” marks the

start of a branded content era.

2007-2010In the motherhood sets the

standard for branded entertainment. Multiple projects

follow. Unilever named advertiser of the year 2010

“I would certainly single out the task of getting our brand messages heard in an environment of breathtaking media fragmentation. We may be ahead of our competitors, but we’re most definitely behind consumers. This internet thing is much bigger and more interesting

than just finding successors to TV advertising. “

- Simon Clift, outgoing Unilever CMO