Trends Influencing Traditional Approaches to Marketing


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It's chaotic out there. Slow down and breathe.

It's time to rethink traditional approaches to marketing.

Our inaugural issue provides a brief overview of some of the different trends that are influencing how marketers connect with their audience.

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Trends Influencing Traditional Approaches to Marketing

  1. 1. ISSUe 1 VOL 1
  2. 2. + I ISSUe1 VOL1 CONTENT Collide Labs K DEsigN/LayOuT 3 Dogz Creative inc. Chris Elkerton Dave Gouveia Roberta Judge EDiTOr Nish Shah PrOPs Dorothy Lee Fayyaz Hemani All photos © CSA Images It’s chaotic out there. Slow down and breathe. Our inaugural issue is here to help. XX% Cert no. XXX-XXX-000
  3. 3. It’s 2010 and there’s IC Off! no question that as marketers we live in K interesting times. K Many of the technological advances that were created in the past decade are now at a critical mass, offering marketers more meaningful ways of We hope that you choose the latter. That’s why our inaugural issue is focused on bringing many of the advances that we are seeing to the connecting with people. Broadband, mobile and social are only now fore-front. starting to present us with their full range of possibilities. If you require It’s important to note that we are not suggesting you need to shift your proof, look no further than this year’s CES Conference in Las Vegas entire marketing budget. We do believe that now is an opportune time where some of the largest marketers showed us what lies ahead. And to re-think traditional approaches to marketing and experiment with new one thing’s certain; we’re in for a treat. technologies and trends that can compliment your current initiatives. As At the same time, keeping up with the implications of these changes for you will see, it’s very rarely an either/or equation. marketers can be a daunting task. However, in order to stay ahead of the We hope that at a minimum it starts a conversation. competition we absolutely must be aware of these changes, understand how they impact our businesses and the very industries that we operate in. A fundamental shift is taking place in nearly every industry and we are right in the middle of it. Nobody knows exactly what will happen to the It truly is a great time publishing, music, ____________ (fill in your industry here) industries but we know that these changes are not a fad. They are real. Deny it or to be a marketer. embrace it.
  4. 4. ChaNgiN ThE CONsumEr LaNDs
  5. 5. The dreaded ‘R’ word. We promised we wouldn’t say this word in 2010, unfortunately it continues to rear its ugly head. The Recession. Globally, we anticipate the recovery to be slow and consumers will continue to be cautious with their discretionary income. What impact does a permanent downward shift in the Ng demand curve have on your business? As a marketer how should you respond? The natural initial reaction is to respond through price promotions and incentives. However, that might not be the wisest approach. Despite conventional wisdom and what the long lines suggest during Black Friday and Boxing Day people still get excited by innovative approaches of connecting with them. Look no further than the buzz around Apple’s iPad for proof. The opportunity exists to look beyond simple margin-eating price promotions and toward baking the marketing right into the product experience. sCaPE The Proliferation of Media: The other force shaping the new consumer landscape is a fundamental shift in how we consume and interact with media. The numbers below should come to no surprise, as media continues to fragment and accessibility becomes ubiquitous. Chart source: Did You Know 4.0
  6. 6. The implication? The supply of media That is until the next “big new and shiny” idea comes along. Don’t be fooled. is infinite, the amount of attention we have is not. As marketers, the changing consumer landscape is also altering the way we have traditionally viewed consumers. We will continue to see growth rates in traditional media decline but not Thinking of our target audience as simply consumers instantly limits your to the demise that many are predicting. The market is currently trying to marketing initiatives. find equilibrium and it likely won’t happen in 2010. Similar to most technological introductions there is often a “bandwagon” The very word suggests that all effect as marketers are led to believe that this could be the “silver bullet” consumers only consume. answer. We should know better. There are no silver bullets. After the We know that’s no longer true. In fact, it hasn’t been true for a long time, dust has settled and the hype cooled, the growth rates of the new we’ve just been slow to respond as marketers. medium typically level off into more realistic single-digit figures. “It IS Very rareLy an eIther/ Or eqUatIOn. It IS aLmOSt aLwayS an ‘and’ eqUatIOn. ” The key questions you should be asking is “how can this new technology compliment what we are currently doing?” “how can we conduct a low-risk test to determine if it can add to our marketing mix?”
  7. 7. trend [trênd] People don’t merely consume. They create, collaborate A new way of unlocking and connect… Why should we care as marketers? Shouldn’t we only or servicing an existing care about consumption? If only it were that simple. customer need, want It matters because while people are creating, participating, collaborating and connecting – sometimes and/or desire** it involves your brands. And here’s the core reason why we can’t simply define our market as consumers. 77% trust businesses less.* People have always talked about brands. The difference is that today it is extremely easy to spread both negative and positive stories with friends, families and even strangers from around the world. Bottom-line? People trust people – That’s “we are not in the business of why you need to pay attention now more than ever before. supporting a media industry; we are in the business of connecting with consumers. ” TREVOR EDWARDS *Source: Edelmen Trust Barometer **Adapted from: Trend Watching VP, Global Brand and Category Management, NIKE
  8. 8. If t am her e eVe OUnt IS O hO r-In Of a nLy a w S Cr t L ++ hO eaS tent ImIte ++ U In IO d + + Ld w g S n a + e r Upp nd a + eS Ly O n + + pO nd f nO + + ++ ? ISe + + ++ + +++ + ++ the ++ ++ fIght ++ ++ + + + + + + fOr ++ + +++++ + +++ + + + attentIOn + + ++++ ++++ + + ++ +++ ++ ++ ++ ++ ++ ++++ ++ + +++++ +++
  9. 9. tIO+n.+ qUeS+ + + + gOOd+ + + + + + ++ + +++ ++ + ++ ++ + + Let’s begin with where we’ve spent a disproportionate amount of our The result is an endless cycle of chasing attention. + time and resources – the experience. An alternative to buying “eyeballs” each time you run a campaign is to own Think about it. As marketers we spend a significant amount of resources the “eyeballs” through a digital platform that provides on-going utility. convincing people to buy our products and services through sales For examples, look to for an on-going rewards platform or to promotions, incentives and ad campaigns. Nike’s Head to Head platform that allows high school football players to get instant visual stat comparisons with other players in their team, division But isn’t That The Point? and even pro-football players when they were their age. The platforms The problem with focusing solely on the pre-purchase experience is that provide a way for marketers to continuously interact with people. we’ve limited ourselves to a very small portion of a person’s life. If we are fighting for attention, does it not make more sense to play in a space where we have a greater amount of time to interact with people – the actual interactions a person has with a product or service? Best-in-class marketers are realizing that there is significant value in looking for ways of enhancing the product experience and the interactions someone has with the actual product. the new This thinking is a fundamental shift from the traditional ways in which we have viewed the role of marketing. It still is ultimately, as Theodore Levitt VaLUe eqUatIOn IS abOUt prOVIdIng + suggests in his ground-breaking book nearly 30 years ago called + added UtILIty In Marketing Imagination about, “getting and keeping a customer”. + The difference is in the ways in which we do that. And marketers are ++ responding in a number of distinct ways... exChange fOr attentIOn. + + + Digital Platforms Marketing has generally been focused on creating and executing campaigns. Attention is high when the campaign is in-market, as Today, people don’t just want you ++ measured by unaided awareness, but it typically falls once the campaign to tell them how great you are and media buy is over. they want you to prove it. + + +
  10. 10. CrEaTiNg BETTE Alex Bogusky and John Windsor, in their book Baked-In advocate aligning marketing with product innovation to help create better product experiences. The marketing for the product moves from simply an after-thought to becoming a critical part of the experience. In 2010 and beyond look for innovation to come in the form of products that marry marketing insight with product development. Easier said than done! It will require a coordinated approach with marketers acting as “idea champions” balancing the conflicting demands between sales, legal and R&D. The organizations that win, will figure out how to balance these demands without compromising the desired vision. We’re seeing innovative examples in highly regulated industries, which makes it increasingly difficult to argue that the barriers cannot be overcome. Bayer’s Didget is a good example of creating a better product experience. Didget is a blood glucose monitoring system for children that rewards consistent testing by connecting the device to a Nintendo DS system. Children join the Didget community and play games earning points for blood glucose test results along with earning bonus points for consistent testing. Making a child’s life just a little bit better. Brilliant. That’s the power of marketing innovation and creating better experiences.
  11. 11. Er ExPEriENCEs aCtIOnS SpeaK LOUder than wOrdS. The new “maas” – marketing as a service Actions speak louder than words. It’s an age old truth that a number of marketers are taking to heart in an effort to not only gain attention but provide people with tangible utility. Take for example Humana’s, a health insurance company, mission of improving the health and lives of people around the world. Instead of simply running ads that talk about their community involvement, Humana takes it a step further by creating a bicycle sharing program called “Freewheelin’”. The program encourages the use of bicycles for short commutes and the site calculates the number of rides, miles ridden, calories burned and carbon footprint reduced through the program.
  12. 12. weLCOme tO the dIgItaL age
  13. 13. Chart Sources (left to right): 1. Nielsen Global Online Survey 2. comScore Media Matrix 3. Infonetics Research This decade we expect to see technological innovation that uses the “It IS OnLy Internet in ways that we’ve never seen or thought about before. As technology becomes completely immersed in our daily lives, the less we when start thinking about it and the more we expect seamless experiences. thIngS beCOme Just look at the way we used to access the Internet. There was a time when we couldn’t answer the phone line because we were “surfing the InVISIbLe dO World Wide Web”. Now, we don’t even think about it. We expect a completely seamless experience. These expectations will continue they to increase. beCOme Why shouldn’t we be able to walk into a store and find exactly what we are looking for, and in which aisle, with a few clicks on our phone? Why shouldn’t we be able to get instant price comparisons, make one-click IntereStIng. ” purchases and get immediate discount coupons in-store? CLa ShIrKy y The implication for marketers is that we need to broaden our view of digital away from it simply being a media channel. Digital is not a silo. Digital will influence and have an impact on virtually everything we do as marketers because that’s what the market expects and demands. Chart Sources (left to right): 4. CNET 5. teamDigital, Promotions 2.0 6. Facebook User Data
  14. 14. Connecting the Offline marketers are already experimenting with interesting new technologies that bridge the online augmented reality United States Postal Service – Virtual Box Simulator • Real World = Goods that someone wants to ship If you haven’t heard of augmented reality (AR), we promise that will • Virtual World = Different 3-D USPS sized boxes change this year. AR bridges the online and offline worlds by creating a • AR Application = Hold up what you are planning on mixed reality. The technology merges computer-generated images with shipping and a virtual 3-D box appears over the object the real-world environment to create a dynamic experience for users. to help you determine what size box you need. The most notable executions are from marketers who do not use it simply as a new creative tactic but rather as a way to provide utility: Other examples to check-out: • Virtual Dressing Room by Zugara • Samsung’s LED Selector information + Context using augmented reality to provide information literally at our fingertips.
  15. 15. ONLiNE Worlds and offline worlds. here are three innovative approaches that you should be aware of: Qr Codes interactive Kiosks QR code technology has been widely used by retailers and advertisers Retailers have been using interactive kiosks primarily in an effort to in parts of Europe and Asia. The technology is starting to be used in speed-up lines from self-check-outs at grocery stores to dispensing North America and we expect to see continued growth as smart phones tickets at movie theatres. become more ubiquitous. Examples include downloading movie trailers, The next generation of interactive kiosks will go well beyond this core providing instant discounts, or offering additional nutritional information function, offering customers everything from “product specifications to on packaging. customer reviews – comparable to what they [customers] can find on Real Results: the Internet”. “Google has already seen results from a recent test of These kiosks will also be tied with loyalty programs in order to offer QR codes. Each ad contained a QR code and a response personalized service, discounts and offers based on individual preferences. tag, and was tested against the same ads without the tags. The code-enhanced ads ended up driving 6.5 For example, an interactive kiosk for BP (Nordstrom’s junior department) times more revenue than the ads without”. designed by Zeus Jones, enabled shoppers to try on clothes, take AdAge “Google, QVC Attempt to Revive QR Codes” professional photos and e-mail their images to friends all within the dressing room environment. Qr Codes + Traditional media help marketers create a channel for direct response Technology + in-store creates a better experience and aids in the BP Photobooth image courtesy of Zeus Jones. purchase decision for shoppers
  16. 16. we are by natUre SOCIaL anImaLS arIStOtLe It should come as no surprise that the Internet is moving rapidly towards a more social experience.
  17. 17. We are inherently social and always have been. The difference is that social shopping now, more than any other time in our history, it is unbelievably easy to If you think about the retail, bricks socialize with friends, family and strangers regardless of proximity. and mortar shopping experience, it has always been a very social Don’t Overcomplicate it. experience. You go to the mall with your significant others, family Regardless of what the self-proclaimed social media experts tell you. and friends asking for opinions in “real-time” and making decisions First let’s get a few things out the way: based on the influence of others. • Social media is not the silver bullet. • Social media is not going to single-handedly save your business. In contrast the online shopping • Social media is a powerful way for brands to listen experience has been designed, to their customers. for the most part, as an isolated experience. You shop online, compare Wait. You mean people are talking about my brand right now? prices, read reviews and make your purchase rarely interacting Here’s what you should remember when piloting through the with anyone in the process. social world: We see that experience rapidly “peOpLe dOn’t changing through the emergence of social shopping – integrating read adS. real world elements which make shopping an enjoyable social they read what experience in the online world. IntereStS them real Examples Dell Swarm – “Buy in a Group and SOmetImeS and Save”. Users are encouraged to join a swarm for exclusive It’S an ad”. discounts on different Dell products. Discounts are based on having a pre-determined number hOward gOSSage of people join the swarm. Taste Casting – A new service Mr. Gossage, born in 1918, was clearly a man before his time. His thoughts that connects restaurants with pre-date the Internet and many of the technological advances we now people through “taste tests”. In take for granted; nonetheless, his wisdom is more relevant than ever. exchange for an evening of free food at the actual restaurant’s Adding a “tell-a-friend” function and thinking you’ve added “social” to location these social networkers your program is a flawed approach for countless reasons. Unfortunately, then blog, tweet and post videos we continue to see this as common practice in many organizations. of their experience. Social should be baked right into the design of the program. Here are a few examples:
  18. 18. Design thinking is already an early candidate for buzzword of the year. It seems that everyone loves talking about it conceptually but what exactly does it mean? We define design thinking as a fluid process that merges rational, emphatic and visual thinking to reach optimal solutions. Design thinking is certainly not new; in fact, designers have been using the process to solve problems for centuries. deSIgn thInKIn great deSIgn IS aS mUCh abOUt reaChIng the fInaL graphIC and COLOUr COmbInatIOnS aS It IS abOUt the thInKIng behInd the SOLUtIOn. When thinking of any type of creative, worthy studios do more than just sketch – they draw from experience. Colour combinations they know don’t work. Typography they know won’t read. Various things that won’t help propel this original idea ahead of a competitor’s. They know the pitfalls to avoid and the decisions to make that will get you closer to your objectives – and they take all that thinking into consideration throughout the entire process. Our design process in action...
  19. 19. nOw Ing what? We hope that you’re inspired. Inspired enough to start a conversation within your organization about how these ideas can help you connect with your customers. here are some immediate questions to help start the conversation: What are all the situations where people may want to interact with your brand? (Be as specific as possible) What are their needs in each of these situations? How do these needs change when they are with other people. (Hint: No focus group will ever tell you this answer; you have to start paying attention to how people behave in their natural environments) How can your brand help in each of these situations?
  20. 20. we wOULd LOVe tO heLp yOU Start appLyIng theSe trendS. It’s the reason why we are offering a free design thinking workshop to the first five (5) people who contact us. Learn how to apply design thinking to help you and your team solve problems, develop innovative ideas and give you a competitive advantage. 1.5 hr workshop · $1500 value · No strings attached Learn mOre here: www.COLLIdeLabS.COm/trendS taLK tO US: 416-845-6474 · OptImIze@COLLIdeLabS.COm Interactive learning. Access videos of every example within these pages. 1. If you don’t already have one, download any QR code scanner onto your smart phone. We recommend the free one offered at: 2. Open the QR code scanner application on your phone. 3. Scan the QR code and you will automatically be taken to a page with the video examples.