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How QR Codes Will Save the Book Business Or How Publishing ONLY Already Famous People and Books About Vampires Will Save the Book Business HarperCollins Publishers BISG Annual Meeting September 9, 2009

AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

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Page 1: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

How QR Codes Will Save the Book Business

Or

How Publishing ONLY Already Famous People and Books About Vampires Will Save the Book Business

HarperCollins PublishersBISG Annual Meeting

September 9, 2009

Page 2: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

- Brian Williams’ replacement as head of NBC’s Nightly News? - Barack Obama’s new spokesperson for his health care reform proposal?- That woman who is Twittering to try to get a job in publishing? - Lauren Conrad, famous star of MTV’s #1 show, The Hills, author of bestseller L.A.Candy?

Who is this?

- A just-discovered Julia Child recipe? - A secret code that transports you to the upcoming film set of Dan Brown’s Lost Symbol? - “Truly Uncrackable”™ DRM in use on the Stephanie Meyer Twilight prequel? - An interactive Quick Response 2-D barcode, savior of all print media?

What is this?

Page 3: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

Factoids about QR codes OR why we might care about them

- Invented in Japan two years ago, popular in Asia Pacific, an emerging technology in U.S. (i.e far from mass market).

- Enables consumers to experience multi-media content related to print content “at an elevated speed.”*

- Requires consumers to download a “reader” to read the codes.

- Delivers mobile consumers to an interactive mobile website (optimized for the mobile experience).

- Can shorten distance between hearing about a book or author and experiencing or interacting with either.

- Can work with or as alternative to SMS codes.

- Enables print based “calls to action” for print ad viewers.

- Enables marketers to integrate print or “on the book” marketing with online efforts.

Page 4: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

QR codes will matter (to us book people)

as they can integrate books and authors as entertainment at scale

(for younger consumers)

on

devices they already own

Page 5: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

5Copyright © 2008 Deloitte Development LLC. All rights reserved.

Trailing Millennials13-18 Yrs Old • 1994-1989

Leading Millennials19-24 Yrs Old • 1988-1983

Xers25-41 Yrs Old • 1982-1966

Boomers 42-60 Yrs Old • 1965-1947

Matures 61-75 Yrs Old • 1946-1932

“Of products you indicated you own, which 3 do you value the most?”

Overall Preferred Media/Entertainment Equipment

Rank #

2nd Edition %

Millennials%

Xers %

Boomers %

Matures %

Desktop computer (PC or Mac) 1 62 49 54 73 79

Cellular phone 2 52 59 49 50 47

Laptop computer (PC or Mac) 3 28 32 35 25 14

Digital camera or camcorder (separate from your cell phone)

4 18 15 17 21 21

Non-Flat Panel TV (CRT or Tube TV) T5 17 10 14 21 28

DVD player (in the home) T5 17 12 19 19 18

Flat Panel TV (LCD or Plasma) 7 15 12 19 14 14

Videogame console system (Xbox, Xbox 360, PS2, PS3, GameCube, Wii, etc.)

8 13 25 14 4 1

Radio 9 11 8 6 14 18

Digital Video Recorder (DVR, TiVo) 10 10 7 16 10 8

Portable MP3 player (Zune, iPod, Samsung or similar)

11 9 20 9 2 1

Stereo system 12 8 5 6 12 11

Source: Deloitte / State of Media Democracy / Edward Moran / Oct 2008Source: Deloitte / State of Media Democracy / Edward Moran / Oct 2008

Page 6: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

6Copyright © 2008 Deloitte Development LLC. All rights reserved.

Trailing Millennials13-18 Yrs Old • 1994-1989

Leading Millennials19-24 Yrs Old • 1988-1983

Xers25-41 Yrs Old • 1982-1966

Boomers 42-60 Yrs Old • 1965-1947

Matures 61-75 Yrs Old • 1946-1932

Cell phones are now a primary entertainment device

• Strong increase from survey to survey• Each generation was, in part, responsible for the increase

Generational Comparison by Survey Edition (Summary of Agree Strongly/Somewhat)

Millennials 1st

Edition%

Millennials2nd Edition

%

Xers 1st Edition

%

Xers 2nd Edition

%

Boomers 1st Edition

%

Boomers 2nd Edition

%

I use my cell phone as an entertainment device.

46 62 29 47 9 17

Q. Please indicate how much you agree or disagree with the following statements

Summary of Agree Strongly/Somewhat

1st Edition %

2nd Edition %

Millennials%

Xers %

Boomers %

Matures %

I use my cell phone as an entertainment device.

24 36 62 47 17 4

Source: Deloitte / State of Media Democracy / Edward Moran / Oct 2008Source: Deloitte / State of Media Democracy / Edward Moran / Oct 2008

Page 7: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

7Copyright © 2008 Deloitte Development LLC. All rights reserved.

Trailing Millennials13-18 Yrs Old • 1994-1989

Leading Millennials19-24 Yrs Old • 1988-1983

Xers25-41 Yrs Old • 1982-1966

Boomers 42-60 Yrs Old • 1965-1947

Matures 61-75 Yrs Old • 1946-1932

Younger consumers use the widest range of features

Q. Thinking about the features included on your cell phone, please check the answer that best describes your usage of each cell phone feature.

Cell Phone Applications: Summary of Use Frequently/Occasionally

2nd Edition %

Millennials%

Xers %

Boomers %

Matures %

Digital camera (still pictures) 63 80 75 49 32

Text messaging 61 86 75 44 15

Games 44 65 55 28 11

Video camera 41 56 52 29 12

Internet access 35 45 46 25 11

Email 32 42 40 24 12

Music Download 29 48 36 15 3

MP3 player 27 45 33 12 4

Download additional games from online 24 37 32 14 3

Watch professionally created content (TV, movies, news) 19 26 26 12 5

Watch user-generated videos (like YouTube) 18 28 21 12 2

GPS (global positioning service) 12 16 18 8 3

• Overall, Millennials – who are less likely to be footing the cell phone bills, are using various cell phone applications the most… but Xers are close behind

Page 8: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

BASIC CAMPAIGN - 300k+ copies in the marketplace- Major national publicity and pickup - Author tour / appearance on Jimmy Fallon at kickoff- Major pickup on use of QR codes to generate publicity for title: USA Today et. al.- Forecasting over 80% sell through

Page 9: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

THE QR CODE COMPONENT

- 6000 + visits to mobile site from over 80 countries—2% response rate- 50% + of traffic to lacandy.mobi coming from PCs;- 25% coming from phones sans codes- 16% coming from QR code scans itself- 1000 scans of code; virtually all new users - Book jacket drove vast majority of these scans- Nearly half of mobile site visitors clicked on “read it”; 10% clicked on share it and 10% clicked on buy it

Page 10: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

Next? Find all vampires in backlist. Add QR codes. Add relevant TV partner. Mix.

Page 11: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

. . . and repackage with codes and “essence of Edward”

Page 12: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

Anyone else we know using these?

Source: Wearemoviegeeks.com

Page 13: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

How big will this be?

“I believe the technology will explode very soon in the US and will go from 0 to 60 just like Twitter. It's quick, easy and can be used in many ways (text message, video, audio, phone number, email, url). . . . I believe social networking will work it's magic in that regard – I meet you and ask for your phone number or email address. You take out your phone, show me your QR Code with that information and I scan it with my phone. Connection is made! – Val DiGiacinto / AceGroupNYC / comment posted on www.wearemoviegeeks.com

Page 14: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

Up next for us, SUPERFREAKONOMICS . . .

Page 15: AnnualMeeting09_Pittis, Carolyn ( Harpercollins)

Contact Info

Carolyn Pittis

SVP, Global Marketing Strategy and Operations

HarperCollinsPublishers

10 East 53rd Street

New York, NY 10022

212-207-7754

[email protected]

Twitter: carolynpittis