Conférence à la Tsinghua University de Beijing (Chine)

The Future of Commercial Communications

The Future of Commercial Communications Conference given at Tsinghua University School of Economics and Management - Beijing - P.R. of China by Bernhard Adriaensens May 2005

Most national and international university rankings place Tsinghua as one of the best universities in mainland China. Admission to Tsinghua is extremely competitive. Tsinghua has a reputation for hosting some of the most distinguished guest speakers of any university in the world, with international leaders such as Bill Clinton, Tony Blair, Henry Kissinger, Carlos Ghosn..., all recently giving lectures to the university community. The Tsinghua School of Economics and Management (SEM) is consistently ranked one of the best among business schools in China. It is currently the only mainland Chinese institution outside of Hong Kong to have achieved the prestigious AACSB and EQUIS accreditations for its business and accounting programs. Founded in 1984, SEM was the ﬁrst economics and management school in China. Its Founding Dean, Professor ZHU Rongji, later became the ﬁfth Premier of the People’s Republic of China.

The conference of today is a ﬁrst for Asia and China

The conference of today is a ﬁrst for Asia and China The key results of a fundamental research made in North America and Europe about the behavior of the new consumer

The new consumer and the implication for marketeers

Global Marketing Communication Expenditures in 2004 Major Media

Global Marketing Communication Expenditures in 2004 Major Media 45 %

Global Marketing Communication Expenditures in 2004 Major Media 45 % 55 %

Global Marketing Communication Expenditures in 2004 Directories BtoB Direct Mail Sponsorship Public Major Relations Media 45 % 55 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 45 % 55 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 % 1 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 % 1 % 9 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 % 1 % 3 % 9 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 % 41 % 1 % 3 % 9 %

Global Marketing Communication Expenditures in 2004 TV Cinema Radio Internet Directories Print Outdoor BtoB 5 % Direct Mail Sponsorship Public Major Relations Media 42 % 45 % 55 % 41 % 1 % 3 % 9 %

World Advertising Expenditures Major Media Forecasts in US$ million

World Advertising Expenditures Major Media Forecasts 500,000 375,000 250,000 125,000 0 1995 1996 1997 1998 1999 2000 2001 2002 2003 2004 2005 2006 2007 in US$ million

World Advertising growth 2002 - 2007 Actual Forecast Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 1.25 0 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 1.25 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 1.25 +0,5 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 +4,1 1.25 +0,5 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 +4,1 +2,9 1.25 +0,5 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 +4,1 +2,9 +4,1 1.25 +0,5 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

World Advertising growth 2002 - 2007 Actual Forecast 5.00 3.75 2.50 +4,1 +2,9 +4,1 +3,6 1.25 +0,5 0 -1,1 -1.25 -2.50 2002 2003 2004 2005 2006 2007 Source : WARC

2004 Internet Advertising Expenditures in € million

2004 Internet Advertising Expenditures Some selected countries in € million

2004 Internet Advertising Expenditures 6,000 Some selected countries 4,500 3,000 1,500 0 USA Japan UK Germany France Sweden Italy in € million

2004 Internet Advertising Expenditures 881 305 197 137 130 94 75 in € million

2004 Internet Advertising Expenditures 900 881 675 450 305 225 197 137 130 94 75 0 UK Germany France Sweden Italy Spain DenmarkNetherlands Finland Belgium in € million

2004 Internet Advertising Expenditures 900 881 675 450 305 225 197 137 130 94 65 75 0 UK Germany France Sweden Italy Spain DenmarkNetherlands Finland Belgium in € million

2004 Internet Advertising Expenditures 900 881 675 450 305 225 197 137 130 94 65 26 75 0 UK Germany France Sweden Italy Spain DenmarkNetherlands Finland Belgium in € million

2004 Internet Advertising Expenditures 900 881 675 450 305 225 197 137 130 94 65 26 19 75 0 UK Germany France Sweden Italy Spain DenmarkNetherlands Finland Belgium in € million

2004 Internet Advertising Expenditures 900 881 Selected European countries 675 450 305 225 197 137 130 94 65 26 19 75 0 UK Germany France Sweden Italy Spain DenmarkNetherlands Finland Belgium in € million

Internet Champions in percentage of Ad Spend 881 305 197 137 130 94 75 % Source : ZenithOptimedia

Internet Champions in percentage of Ad Spend Australia 881 Canada Estonia Japan Israel S.Korea UK 305 Denmark 197 USA 137 130 94 75 Sweden 0 2 4 6 8 % Source : ZenithOptimedia

Internet Champions in percentage of Ad Spend World average Australia 881 Canada Estonia Japan Israel S.Korea UK 305 Denmark 197 USA 137 130 94 75 Sweden 0 2 4 6 8 % Source : ZenithOptimedia

Internet Champions in percentage of Ad Spend World average Australia 881 Canada Estonia Japan Israel S.Korea UK 305 Denmark 197 USA 137 130 94 75 Sweden 0 2 3 4 6 8 % Source : ZenithOptimedia

Internet Advertising Expenditures in Belgium 25 22 19 18 13 11 11 5 3 in € million Source : Zenith Optimedia, May 2005

Internet Advertising Expenditures in Belgium 30.0 22.5 25 22 19 15.0 18 13 11 11 7.5 5 3 0 1998 1999 2000 2001 2002 2003 2004 2005 2006 in € million Source : Zenith Optimedia, May 2005

Advertising expenditures are up.

Advertising expenditures are up. Internet advertising expenditures are up.

Good news

Good news Where is the bad news?

Good news Where is the bad news? Have a look at what consumers think about media and advertising....

The trust gap Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? • Nurses : 79 % Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? • Nurses : 79 % • Teachers, Chemists,Military Ofﬁcer : 70 % Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? • Nurses : 79 % • Teachers, Chemists,Military Ofﬁcer : 70 % • Lawyers : 18 % Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? • Nurses : 79 % • Teachers, Chemists,Military Ofﬁcer : 70 % • Lawyers : 18 % • Advertisers : 10 % Source : USA, Gallup Poll, 2004

The trust gap Who do American Consumers trust ? • Nurses : 79 % • Teachers, Chemists,Military Ofﬁcer : 70 % • Lawyers : 18 % • Advertisers : 10 % • Used car sales men : 9 % Source : USA, Gallup Poll, 2004

The trust gap

The trust gap Advertisers are just a little better than second hand car salesmen

The trust gap Compared trust in media USA/EU Source : EU : Eurobarometer Feb-March 2004 USA : National Harris Poll - Autumn 2004

The trust gap Compared trust in media USA/EU EU USA Press Trust 47 % 22 % Do not trust 46 % 62 % Radio Trust 62 % 43 % Do not trust 29 % 33 % TV Trust 54 % 22 % Do not trust 39 % 58 % Source : EU : Eurobarometer Feb-March 2004 USA : National Harris Poll - Autumn 2004

The advertising trust gap

The advertising trust gap According to the Yankelovich Partners consumer survey

The advertising trust gap According to the Yankelovich Partners consumer survey • the effectiveness of ad campaigns is deteriorating because negative perceptions about advertising have substantially increased.

The advertising trust gap According to the Yankelovich Partners consumer survey • the effectiveness of ad campaigns is deteriorating because negative perceptions about advertising have substantially increased. • People have a love-hate relationship with advertising.

The advertising trust gap According to the Yankelovich Partners consumer survey • the effectiveness of ad campaigns is deteriorating because negative perceptions about advertising have substantially increased. • People have a love-hate relationship with advertising. • But a far greater percentage are saying they have concerns, primarily related to its growing obstrusiveness.

The advertising trust gap USA EU

The advertising trust gap “I buy products because of ads for them” USA EU

The advertising trust gap “I buy products because of ads for them” USA EU 68 %

The advertising trust gap “I buy products because of ads for them” 32 % USA EU 68 %

The advertising trust gap “I buy products because of ads for them” “Accepters” 32 % USA EU 68 %

The advertising trust gap “I buy products because of ads for them” “Accepters” 32 % USA EU 68 % “Rejecters”

The advertising trust gap “I buy products because of ads for them” “Accepters” 32 % USA EU 68 % 77 % “Rejecters”

The advertising trust gap “I buy products because of ads for them” “Accepters” 23 % 32 % USA EU 68 % 77 % “Rejecters”

The advertising trust gap “I buy products because of ads for them” “Accepters” “Accepters” 23 % 32 % USA EU 68 % 77 % “Rejecters”

The advertising trust gap “I buy products because of ads for them” “Accepters” “Accepters” 23 % 32 % USA EU 68 % 77 % “Rejecters” “Rejecters”

The advertising trust gap According to the Yankelovich Partners consumer survey • 54 % of consumers told they avoid buying products that overwhelm them with advertising and marketing.

The advertising trust gap According to the Yankelovich Partners consumer survey • 54 % of consumers told they avoid buying products that overwhelm them with advertising and marketing. • 60 % underlined that advertising is much more negative than just a few years ago.

The advertising trust gap According to the Yankelovich Partners consumer survey • 54 % of consumers told they avoid buying products that overwhelm them with advertising and marketing. • 60 % underlined that advertising is much more negative than just a few years ago. • 61 % agreed with the statement that the amount of advertising to which they are exposed is out of control.

The advertising trust gap According to the Yankelovich Partners consumer survey • 65 % believe they are “constantly bombarded with too much advertising”

The advertising trust gap According to the Yankelovich Partners consumer survey • 65 % believe they are “constantly bombarded with too much advertising” • 69 % said they are “interested in products and services that would help them to skip, block or opt-out of ads”

The advertising trust gap According to the Yankelovich Partners consumer survey • 65 % believe they are “constantly bombarded with too much advertising” • 69 % said they are “interested in products and services that would help them to skip, block or opt-out of ads” • For online ads the percentage grows to 80 %.

The advertising trust gap According to the Yankelovich Partners consumer survey :

The advertising trust gap According to the Yankelovich Partners consumer survey : • 33 % “would be willing to have a slightly lower standard of living to live in a society without marketing and advertising”

The advertising trust gap According to the Yankelovich Partners consumer survey : • 33 % “would be willing to have a slightly lower standard of living to live in a society without marketing and advertising” • Nearly 50 % of consumers use “Spam blockers” and 40 % use “banner blockers”.

The advertising trust gap The Top 5 areas needing further governmental regulation are :

The advertising trust gap The Top 5 areas needing further governmental regulation are : Water pollution

The advertising trust gap The Top 5 areas needing further governmental regulation are : Water pollution Toxic waste

The advertising trust gap The Top 5 areas needing further governmental regulation are : Water pollution Toxic waste Air pollution

The advertising trust gap The Top 5 areas needing further governmental regulation are : Water pollution Toxic waste Air pollution Advertising

The advertising trust gap The Top 5 areas needing further governmental regulation are : Water pollution Toxic waste Air pollution Advertising Nuclear safety

The advertising trust gap Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

The advertising trust gap The consumers perception in Europe is not better than in North America. Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

The advertising trust gap The consumers perception in Europe is not better than in North America. 77 % of Europeans say that “there is too much advertising” Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

The advertising trust gap The consumers perception in Europe is not better than in North America. 77 % of Europeans say that “there is too much advertising” 66 % of Europeans think that advertising “tempts people to buy products they do not need” Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

The advertising trust gap The consumers perception in Europe is not better than in North America. 77 % of Europeans say that “there is too much advertising” 66 % of Europeans think that advertising “tempts people to buy products they do not need” 54 % of Europeans believe that “advertising provides a stereotype giving an unbalanced view of women” Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

The advertising trust gap The consumers perception in Europe is not better than in North America. 77 % of Europeans say that “there is too much advertising” 66 % of Europeans think that advertising “tempts people to buy products they do not need” 54 % of Europeans believe that “advertising provides a stereotype giving an unbalanced view of women” 16 % of Europeans believe “advertising is credible” Source : GfK Opinion Poll in 28 European countries, Oct. 2003)

Other key challenges for advertisers

Other key challenges for advertisers Speed : any ﬁrm that wants to differentiate must got to the market quickly with message and products. Marketing must become more proactive to changes in ther business environment and dynamically re-tool messages and channels.

Other key challenges for advertisers Speed : any ﬁrm that wants to differentiate must got to the market quickly with message and products. Marketing must become more proactive to changes in ther business environment and dynamically re-tool messages and channels. Channel proliferation : technological evolution opens new communication channels. Which ones will resonate at the appropriate times? Which one should be de-emphasized or even dropped?

Other key challenges for advertisers Expanding market place : multinational companies have since long understood that they had to go from local concerns to global ones. This is now true fort most players.

Other key challenges for advertisers Expanding market place : multinational companies have since long understood that they had to go from local concerns to global ones. This is now true fort most players. Outsourcing : work is increasingly outsourced and corporations are looking for partners with deep expertise, specialized skills and/or geographical knowledge.

Other key challenges for advertisers Government oversight : regulators and policy makers are checking the claims ﬁrms can make (or not) about their products. Most corporations have incorporated severe legal review during the advertising development process (this costs time and money).

Other key challenges for advertisers Government oversight : regulators and policy makers are checking the claims ﬁrms can make (or not) about their products. Most corporations have incorporated severe legal review during the advertising development process (this costs time and money). Customers are in command : customers feel inundated with so many messages in their daily life that they use the new weapons they have to tune out advertisements.

The future of marketing

The future of Marketing Jim Stengel, Global Marketing Ofﬁcer, P&G

The future of Marketing “Today’s traditional marketing model is obsolete. Jim Stengel, Global Marketing Ofﬁcer, P&G

The future of Marketing “Today’s traditional marketing model is obsolete. Holistic marketing is driving our business. Jim Stengel, Global Marketing Ofﬁcer, P&G

The future of Marketing “Today’s traditional marketing model is obsolete. Holistic marketing is driving our business. But we are going along somewhat reluctant and blindly. Jim Stengel, Global Marketing Ofﬁcer, P&G

The future of Marketing “Today’s traditional marketing model is obsolete. Holistic marketing is driving our business. But we are going along somewhat reluctant and blindly. We are applying antiquitated thinking to a new world of possibilities.” Jim Stengel, Global Marketing Ofﬁcer, P&G

The future of Marketing

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !)

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !) Four tools :

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !) Four tools : Holistic marketing

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !) Four tools : Holistic marketing Breakthrough connections

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !) Four tools : Holistic marketing Breakthrough connections Measurement

The future of Marketing The future of marketing is depending on ﬁnding a better way of meeting consumer needs... (nothing new under the sun !) Four tools : Holistic marketing Breakthrough connections Measurement Collaboration

Effective Holistic Marketing

Effective Holistic Marketing Starts with a deep knowledge of the targeted consumers

Effective Holistic Marketing Starts with a deep knowledge of the targeted consumers Marketeers must understand how their brands and products ﬁt in the consumers life

Effective Holistic Marketing Starts with a deep knowledge of the targeted consumers Marketeers must understand how their brands and products ﬁt in the consumers life With effective holistic communication multiple effective channels have to connect when consumers are most receptive

Holistic Marketing and the multimedia consumer Source : Forester International, North America users, 2004

Holistic Marketing and the multimedia consumer How do consumers use media? Source : Forester International, North America users, 2004

Holistic Marketing and the multimedia consumer How do consumers use media? What else were you doing watched listened to read a used the talked on when you last... ? TV the radio newspaper internet the phone watched TV * 9 % 38 % 17 % 54 % listened to the radio 13 % * 21 % 16 % 30 % read a newspaper 43 % 21 % * 2 % 14 % used the Internet 20 % 17 % 2 % * 19 % talked on the phone 57 % 25 % 14 % 18 % * Source : Forester International, North America users, 2004

Holistic Marketing and TV commercials

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy?

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy? • Does this mean that the we are going to see the decline of the traditional TV commercial?

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy? • Does this mean that the we are going to see the decline of the traditional TV commercial? • TV will remain for a foreseeable period the best single tool to build awareness.

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy? • Does this mean that the we are going to see the decline of the traditional TV commercial? • TV will remain for a foreseeable period the best single tool to build awareness. • TV is not dead...

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy? • Does this mean that the we are going to see the decline of the traditional TV commercial? • TV will remain for a foreseeable period the best single tool to build awareness. • TV is not dead... • But the good old 30 seconds commercial is dying!

Holistic Marketing and TV commercials • Holistic marketing is using all marketing communications together in full synergy? • Does this mean that the we are going to see the decline of the traditional TV commercial? • TV will remain for a foreseeable period the best single tool to build awareness. • TV is not dead... • But the good old 30 seconds commercial is dying! • And TV has already more difﬁculties to reach mass audiences

Holistic Marketing and TV commercials Sweden Vietnam UK France S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden Vietnam UK France S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden Vietnam UK France S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 0 275 550 825 1,100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden Vietnam UK France 370 S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 0 275 550 825 1,100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden Vietnam UK 300 France 370 S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 0 275 550 825 1,100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden Vietnam 190 UK 300 France 370 S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 0 275 550 825 1,100 Source : MindShare, 2003

Holistic Marketing and TV commercials TV commercials endured per week Sweden 150 Vietnam 190 UK 300 France 370 S. Korea 450 Italy 480 China 600 Hong Kong 700 USA 950 Japan 1.100 0 275 550 825 1,100 Source : MindShare, 2003

Too much advertising

The Consumer has taken over the control

The digital revolution

The digital revolution 100 90 Games 80 Mobile 70 Outdoor 60 Digital radio Cinema 50 40 Analogue radio Digital TV 30 Analogue TV 20 10 Internet 0 Print 1900 1920 1940 1960 1980 2000 2020

The digital revolution A lot is still to come... 100 90 Games 80 Mobile 70 Outdoor 60 Digital radio Cinema 50 40 Analogue radio Digital TV 30 Analogue TV 20 10 Internet 0 Print 1900 1920 1940 1960 1980 2000 2020

The digital revolution A lot is still to come... 2008 100 90 Games 80 Mobile 70 Outdoor 60 Digital radio Cinema 50 40 Analogue radio Digital TV 30 Analogue TV 20 10 Internet 0 Print 1900 1920 1940 1960 1980 2000 2020

Holistic Marketing and TV commercials 450 480 600 700 950 1.100

Holistic Marketing and TV commercials A decade ago, Procter & Gamble used to put about 90 % of its advertising budget into TV, but now it spreads the money more widely. 450 480 600 700 950 1.100

Holistic Marketing and TV commercials A decade ago, Procter & Gamble used to put about 90 % of its advertising budget into TV, but now it spreads the money more widely. 450 480 For some new products, TV may account for 600 only 25 % of total spending. 700 950 1.100

Holistic Marketing and brands 450 480 600 700 950 1.100

Holistic Marketing and brands For brands it is hard to stay out of the crowd. 450 480 600 700 950 1.100

Holistic Marketing and brands For brands it is hard to stay out of the crowd. Everyday an astonishing 400 to 700 new brands are added to the 2,1 million brands tracked by TNS Media Intelligence.450 480 600 700 950 1.100

Holistic Marketing and brands For brands it is hard to stay out of the crowd. Everyday an astonishing 400 to 700 new brands are added to the 2,1 million brands tracked by TNS Media Intelligence.450 480 It is very easy to get a brand on the market, but there 600 is no guarantee that any of them will be noticed. 700 950 1.100

Holistic Marketing and brands For brands it is hard to stay out of the crowd. Everyday an astonishing 400 to 700 new brands are added to the 2,1 million brands tracked by TNS Media Intelligence.450 480 It is very easy to get a brand on the market, but there 600 is no guarantee that any of them will be noticed. 700 950 1.100 Consumers’ attention is becoming a scarce economic ressource.

Too much brands

Holistic Marketing and brands

Holistic Marketing and brands Do consumers need brands?

Holistic Marketing and brands Do consumers need brands? • With so much choice and information available, why don’t consumers simply ignore brands and make purely rational economic decision about what to buy?

Holistic Marketing and brands Do consumers need brands? • With so much choice and information available, why don’t consumers simply ignore brands and make purely rational economic decision about what to buy? • Because, brands offer trust and enable people to navigate through complex markets.

Holistic Marketing and brands What do consumers want today ?

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication :

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct,

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, • friendly,

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, • friendly, • enquiring,

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, • friendly, • enquiring, • understanding

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, • friendly, • enquiring, • understanding • and supportive

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, Because that is • friendly, how people want • enquiring, relationship to be. • understanding • and supportive

Holistic Marketing and brands What do consumers want today ? What consumers want today is conversational communication : • direct, Because that is • friendly, how people want • enquiring, relationship to be. • understanding Dont’t you ? • and supportive

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship Mobile Phone

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship Mobile Phone Internet

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship Mobile Phone Internet In-Store Promotion

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship Mobile Phone Internet In-Store Promotion Coop Ad.

Holistic Marketing and brands Marketeers must integrate advertising with other touch points to create a total brand experience Mass media Direct Marketing Sponsorship Mobile Phone Internet In-Store Promotion Coop Ad. and many others

Holistic Marketing a difﬁcult task Advertisers need outside help

Holistic Marketing a difﬁcult task Advertisers need outside help • With pace of change in media environment, advertisers cannot afford to rely solely on their own expertise

Holistic Marketing a difﬁcult task Advertisers need outside help • With pace of change in media environment, advertisers cannot afford to rely solely on their own expertise • Media agencies, media suppliers, audience measurement companies also know their consumers and customers, viewers, readers, etc…

Holistic Marketing a difﬁcult task Advertisers need outside help • With pace of change in media environment, advertisers cannot afford to rely solely on their own expertise • Media agencies, media suppliers, audience measurement companies also know their consumers and customers, viewers, readers, etc… • All can help advertisers to innovate new opportunities and solutions to connect with consumers

Holistic Marketing “the consumer is in control”

Holistic Marketing “the consumer is in control” « … there needs to be a climate of acceptability, not just in content but in volume for advertising to work at it’s most efﬁcient… it has not to be just tolerated but welcome… » Andrew Cracknell - Bates UK

Holistic Marketing “the consumer is in control” « … there needs to be a climate of acceptability, not just in content but in volume for advertising to work at it’s most efﬁcient… it has not to be just tolerated but welcome… » Andrew Cracknell - Bates UK Permission Marketing

Holistic Marketing “the consumer is in control” « … there needs to be a climate of acceptability, not just in content but in volume for advertising to work at it’s most efﬁcient… it has not to be just tolerated but welcome… » Andrew Cracknell - Bates UK Permission Marketing Advertising so appealing, we’re invited by consumers

Holistic Marketing Let us recap...

Holistic Marketing Let us recap... Traditional mass marketing tools are increasingly ineffective

Holistic Marketing Let us recap... Traditional mass marketing tools are increasingly ineffective Media is more and more fragmented

Holistic Marketing Let us recap... Traditional mass marketing tools are increasingly ineffective Media is more and more fragmented Consumers are less attentive to mass media since new media like Internet compete for consumer’s time.

Holistic Marketing Let us recap... Traditional mass marketing tools are increasingly ineffective Media is more and more fragmented Consumers are less attentive to mass media since new media like Internet compete for consumer’s time. Consumers are empowered with technologies that enable them to control the medium and the message

Holistic Marketing Let us recap...

Holistic Marketing Let us recap... The marketing equation is changing through the consolidation of retailers. Signs are there that 2 or 3 large retailers will be the largest media companies by 2012.

Holistic Marketing Let us recap... The marketing equation is changing through the consolidation of retailers. Signs are there that 2 or 3 large retailers will be the largest media companies by 2012. Marketing has to be more focused and need to deﬁne targets more precisely.

Holistic Marketing Let us recap... The marketing equation is changing through the consolidation of retailers. Signs are there that 2 or 3 large retailers will be the largest media companies by 2012. Marketing has to be more focused and need to deﬁne targets more precisely. The current measurement of the single mass media do not allow precise targeting.

The way forward

The way forward Marketeers need to bridge the divide between :

The way forward Marketeers need to bridge the divide between : existing media research data which media agencies are using to buy media,

The way forward Marketeers need to bridge the divide between : existing media research data which media agencies are using to buy media, and the existing market research data which marketeers use to deﬁne their marketing strategy.

Advertisers need new ways to measure the results of total holistic marketing TV Direct Marketing Internet Retail ? Mobile Phone

The way forward

The way forward The WFA Media Committee has developped a blueprint for a vision for a holistic.

The way forward The WFA Media Committee has developped a blueprint for a vision for a holistic. Large sample sizes to accurately measure targets,

The way forward The WFA Media Committee has developped a blueprint for a vision for a holistic. Large sample sizes to accurately measure targets, Better target group descriptions going beyond demographics,

The way forward The WFA Media Committee has developped a blueprint for a vision for a holistic. Large sample sizes to accurately measure targets, Better target group descriptions going beyond demographics, An adaptive system that moves at the speed of the marketing models

The way forward The WFA Media Committee has developped a blueprint for a vision for a holistic. Large sample sizes to accurately measure targets, Better target group descriptions going beyond demographics, An adaptive system that moves at the speed of the marketing models Single source information to link multi-media use and purchase data

The way forward

The way forward Shorter data delivery lead times,

The way forward Shorter data delivery lead times, Measurement of emerging media to stay at the forefront of expected consumer behavior

The way forward Shorter data delivery lead times, Measurement of emerging media to stay at the forefront of expected consumer behavior What we expect is the “next generation consumer understanding” which links multi-media and product consumption

The way forward

The way forward Who has a stake in this ?

The way forward Who has a stake in this ? Advertisers, of course, we are the users and must drive the improved system,

The way forward Who has a stake in this ? Advertisers, of course, we are the users and must drive the improved system, Agencies : as they can operate more efﬁciently if targets and media options are better understood,

The way forward Who has a stake in this ? Advertisers, of course, we are the users and must drive the improved system, Agencies : as they can operate more efﬁciently if targets and media options are better understood, Media suppliers : who want to offer integrated multi- media solutions.

The Apollo Project

The Apollo Project The ﬁrst initiative to meet this vision is about to be launched in the US

The Apollo Project The ﬁrst initiative to meet this vision is about to be launched in the US Project “Apollo” is a joint venture by Arbitron and VNU and seeks to merge multi-media exposure data with consumer behaviour data and provide sophisticated segmentation/lifestyle characteristics insight

The Apollo Project The ﬁrst initiative to meet this vision is about to be launched in the US Project “Apollo” is a joint venture by Arbitron and VNU and seeks to merge multi-media exposure data with consumer behaviour data and provide sophisticated segmentation/lifestyle characteristics insight It will be based on a portable peoplemeter data, HomeScan data on purchases and store visits as well as online survey data on attitudes and print readership.

The Apollo Project The ﬁrst initiative to meet this vision is about to be launched in the US Project “Apollo” is a joint venture by Arbitron and VNU and seeks to merge multi-media exposure data with consumer behaviour data and provide sophisticated segmentation/lifestyle characteristics insight It will be based on a portable peoplemeter data, HomeScan data on purchases and store visits as well as online survey data on attitudes and print readership. The panel will be composed of 30,000 households (70.000 individuals).

To succeed the strongest tool is

To succeed the strongest tool is collaboration

To succeed the strongest tool is collaboration without collaboration we will miss the key target

To succeed the strongest tool is collaboration without collaboration we will miss the key target “Please the consumer”

Many thanks to Prof. Zhao Ping for having given us the opportunity to present this conference to his MBA and PhD students.

Contact

Contact www.bestofmarketing.com

Contact www.bestofmarketing.com bernhard@baa-consulting.com

Conférence à la Tsinghua University de Beijing (Chine)

by Bernhard Adriaensens on Jan 05, 2010

Accessibility

Categories

Tags

Upload Details

Usage Rights

Statistics

Conférence à la Tsinghua University de Beijing (Chine) — Presentation Transcript