New rules of engagment

Some people don’t like change Change doesn’t much care

The mass market model The mass market model

The mass market model Advertising funded media

But now But it’s all changed now

TV is failing to deliver

Consumers are changing

Consumers are changing 85% have video players 68% have dvd players 65% have PCs 18% have PVR 10% mp3 players uk households, ofcom

Consumers are changing 2000/01 - 7.25hrs a week watching tv 2004/05 - 6.3hrs a week watching tv 18-34yr male , Nielson

So what are they doing? 22% surf 20% watch tv 16% play video games 9% go to the movies 6% watch dvds 6% read books/magazines 4% listen to music 18-34yr male, Nielson

Their behaviour is changing

We assault them with ads everywhere they look

And so they’ve fallen out of love with them

And so they’ve fallen out of love with them “ The ads are as good as the programmes” % who agree with this statement has halved in the last 10yrs

And so they’ve fallen out of love with them “ Nearly all TV advertising annoys me.”

And so they’ve fallen out of love with them “ Nearly all TV advertising annoys me.” 57% agree in 2003 94% agree in 2005

And so they’ve fallen out of love with them And they’re fighting back PVRS allow you to fast forward ads Pop up blockers do exactly that on the web You can opt out of DM & telephony

The model is changing In a milestone that singles a fundamental shift in the economics of the media industry, consumers now spend more on media than advertisers do Media Daily News

We now have to go where the consumer takes us

We now have to go where the consumer takes us Now not only must we consider what our communication objectives are but we must deliver them in a way that also delivers value

The platforms are changing % who were very/extremely interested in these TV enhancements

The platforms are changing % who were very/extremely interested in these TV enhancements DVR features VOD features

The clients are changing “ It’s clear we need new channels to reach consumers. Brands that rely too heavily on mainstream media, or that are not exploring new technologies and connection points, will lose touch.” Jim Stengel P&G

The clients are changing “ Where will Coke go? To accelerate the convergence of Madison & Vine, a convergence of the trinity in brand building; content, media and marketing.” Steve Heyer, Coca Cola

The clients are changing “ Interruption advertising is in question, but I believe it will continue in to be in the marketing mix. The challenge is to engage whole sets of consumers who are not convinced by traditional advertising methods.” Michael Wolf, McKinseys

And TV continues to suffer P&G Unilever Heineken

And TV continues to suffer Carat USA predicts a $55billion switch out of TV in 2009

And TV continues to suffer McKinsey predicts TV will be 35% less effective in 2010 compared to 1990

And TV continues to suffer Cap Gemini say, TV doesn’t work for car brands

And TV continues to suffer Deutsche Bank say, TV no longer works for established brands

So what are the smart people doing?

Subservientchicken.com Burger King - Crispin Porter + Bogusky, Miami http://www.subservientchicken.com

Haircut Virgin - Crispin, Porter + Bogusky, Miami http://virginatlanticjetset.com/haircut/

Come Clean - Method Cleaning Crispin Porter + Bogusky, Miami www.comeclean.com

Counterfeitmini.com Crispin Porter + Bogusky, Miami

This is only the beginning

“ Consumers are beginning in a very real sense to own our brands & participate in their creation….. We need to learn to let go.” AG Lafley CEO, P&G

Coke v Mentos http://www.youtube.com/watch?v=nrCaONL0X9U

Mentos

25.10.07

“ Tell me and I’ll forget, Show me and I’ll remember. Involve me and I’ll understand.” Confucius

Sony v Adidas

Adidas

“ Coca Cola isn’t a drink it’s an idea, like music, it’s a feeling. We’re headed to ideas…. Ideas that bring entertainment value to our brands, ad ideas that integrate our brands into entertainment. We’re moving to ideas that elicit emotion and create connections” Stehen Heyer CEO, Coca Cola

BMW v Halo2

Rule 1: the brand

Rule 2: all advertising is interactive

Wassup 8 years later

Rule 3: integration is a state of mind

Obama ringtones

Rule 4: everything is media

Rule 5: there are no rules

It worked

It’s time to experiment

New rules of engagment

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