Why am I doing this?!Itʼs
an important debate, but also a complex one.!Itʼs a lot easier to go along with jargon and sound-bites thaninterrogate the data, the essays and the facts.!It seems that a lot of people are doing the former.!And so Iʼve tried to make it a bit more lighthearted and bite-sized.!Itʼs not perfect, but hopefully it helps having a proper look atall this a little bit easier.!
Me!Iʼve spent half my career
in agencies that primarilydeal in “engagement”! And in making this thing, Iʼve also plundered enormously from Martin Weigel, Ed Booty and Bob Hoffman..! Iʼve spent half my career in agencies that primarily deal in “interruption”! Iʼm trying to be fair from the start…!
Engagement marketing is a marketing
strategy that directly engages consumers and invites and encourages consumer to participate in the evolution of a brand.Advertising, in its purest form, is just Rather than looking at consumers asgetting attention ! passive receivers of messages, engagement marketers believe thatAlex Bogusky consumers should be actively involved in the production and co-creation of marketing programs, developing a relationship with the brand. Frederic P Miller, Agnes F Vandome, John McBrewster h9p://books.google.nl/books?id=__1fYgEACAAJ&hl=nl&sitesec=reviews
Big brands need to communicate
to signiﬁcantnumbers of people in order to grow.!This is a comparison of communication.!Iʼm not talking about improving the product, orthe necessary conversion or service tools likewebsites, or shops.!Iʼm just asking:!Which is a more effective means for big brandsto market to signiﬁcant numbers of people?!
Sometimes, the people who believe
in two-way marketingcan come across as a bit self-righteous!“Interruption marketing is doomed as a mass communication tool”!“Everyone wants a conversation. They want inspiration. Inspire people with yourwebsite. Donʼt just interrupt, but interact. Asking about Return on Investment is thewrong question today. You should be asking about Return on Involvement”!“Many people in traditional marketing roles and organizations may not realizetheyʼre operating within a dead paradigm”!“Interruption Marketing leaves a bad taste in the mouths of your target audience”!“And spending millions feels good. Seeing your billboard downtown, or yourcommercial on television seems like a strategic win. At least youʼre doingsomething, right?”! Sources are sometimes in the appendix!
But we all have the
same end!Making a business richer.!Brands are not altruistic champions of the people. !They are businesses.!
Whether you impact people with
a one-waymessage, or a two-way idea, itʼs not, primarily, forthe beneﬁt of people.!Itʼs about creating something that steals intohuman attention / action for the beneﬁt a brand*! *Thatʼs not necessarily evil, although it often is – but thatʼs for another debate!
Yes. Itʼs a whipping boy.!But
in terms of a two-way marketing replacing one-way marketing,PEPSI refresh is a robust example:! BIG BRAND! +! $20m SPEND!2009: Pepsi spend the $20m on one-way Superbowl ads !2010: Pepsi spend the $20m on a two-way campaign and actuallyGAVE THE MONEY AWAY TO GOOD CAUSES. !
It didnʼt work.! TheW StreetJournal
reported that Pepsi-Cola and Diet Pepsi had each a! lost about 5% of their market share in the past year. $ For the Pepsi-Cola brand alone this represents a loss of over $350 million. $ For both brands, the loss is probably something in the neighborhood of 400 million to half-a-billion dollars.$ For the first time ever Pepsi-Cola has dropped from its traditional position as the number two soft drink inAmerica to number three (behind Diet Coke.)$ In 2010, Pepsis market share erosion accelerated by 8 times compared to the previous year.$ Source: Wall Street Journal andAdcontrarian – see appendix!
80+ million votes registered; almost
3.5 million "likes" onthe Pepsi Facebook page; and almost 60,000 Twitterfollowers arenʼt enough.!These numbers arenʼt that big really…!3.5 million fans arenʼt so relevant when your competitorserves Americans 335 million drinks every day.! Source: See appendix!
A few killer stats…!Of 200
brands studied, Ehrenberg-Bass have shown thaton average less than 0.5% of Facebook fans engage withthe brand they are fans of. Only 10% of brands manage toget over the 1% of fans engaging mark.!80% of branded apps get less than 1,000 downloads, andmost have barely any active users.!50% of click-throughs on online ads come from the same6% of people, who tend to come from low income groups.! Sources: See appendix!
Sure there have been a
fewawards. But the transformationaleffectiveness case studies fortwo-way campaigns areconspicuously lacking.!
It is of course also
true that people are also pre-disposed to reject one-way marketing.!And indeed, they do. !Dave Trott tells us that of the £18.3 billion spent onadvertising in the UK last year, 89% is not evennoticed or remembered. 7% is rememberednegatively, leaving 4% to be remembered positively.!Looking at some of the work, Steve Henryʼsanecdote that the average return on a UK advertisingpound is 56p seems plausible.!
But the recent success stories
arethere for all to, robustly, see!Hovis – 2010 IPA Grand Prix!Chrysler – 2012 Grand Efﬁe!Johnnie Walker – 2008 IPA Grand Prix!The list goes on… Audi, Old Spice, Bravia,Compare the Meerkat (Go Compare, even), O2,Ovaltine…!
250 Case Studies from the
last 7 years: Traditional “one-way” fares pretty well Vs.“two-way”! Putting the models to the test: IPAdataMINE 2011!
I can remember watching afootball
match at University.!When the ad break came on,the Cadburyʼs Gorilla advertstarted to play. People actually“shussshed” other people. !The bar was quieter than atany other point in theafternoon. !People watched with realanticipation, genuinelyentertained – made happyeven. Some remarked uponhow good it was, and then theywent on with their day. !That was the moment Idecided I might be ok withworking for brands. !
Anyone who has evercontemplated getting
amuch-loved picture framed,or going to a colleague-that-we-actually-got-on-well-withʼs leaving drinkson Tuesday night, knowsthis. !We can barely be botheredto engage in two-waybehaviour with most thingswe like and most peoplewe know. !
Ehrenberg-Bass have shown, across 145
brandsand 13 categories: !Just 20% of a brandʼs customers hold about 40%of the image associations. !The rest of knowledge about the brand is spreadhazily across the other 80%. ! Source: Ehrenberg Bass / Martin Weigel – see appendix!
For that 80%, who make
or break a business, brandslargely exist as a low-involvement processingfunction, that allow us to make easy, safe choiceswithout the burden of “engaged” thought or activity. !They are more likely to function as a well-remembered red berry on a bush than a good friend. !A light guarantee of reliability and generalfavourability, not a deep or meaningful connection. !
Most of us are polygamously
promiscuous with virtually everybrand we ever buy. !Why?!Because not caring is a natural, human way of relating to a brand. !
In short, success for mostbrands
is largely dependentupon people who wouldprobably ﬁnd the thought ofparticipating in two-waycommunication with thatbrand quite horrible.!
Which feels pretty instinctively spot
on!Think about all the brands that you interact with,even buy and use, every day. !When was the last time you wanted to engage inany two-way interaction with any of them?*!*It doesnʼt count if you had to do it for your job. !
But at its biggest and
best, itʼs still light, one-waystyle communication in a slightly two-way channel! *Yes, I know people have to seek this stuff out, and they do like it and share it." But you have to wonder…" How many people explored the tunnels, compared to the tens of millions that watched the ﬁlm?"
Nike are actually quite similar
to most brands: They donʼt beneﬁt to any extraordinary degree from loyalcustomers! Source: Professor Dawes, UK SPORTSWEAR MARKET 2009, TNS Superpanel Via Martin Weigel – see appendix!
Because not even most Back
of fag packetcustomers of the ultimate high Nike calculations!interest brand are all queuing upto engage at a deep level. ! Sell 200,000,000 shoes alone perI love football, and running. I have year!Nike football boots, and running Nike + has less than 5,000,000shoes. ! active users.!I have watched their ﬁlms on TV It seems unlikely that deep two-way communications are driving all ofand online, and enjoyed them.! their success!! In fact, it seems unlikely that it isI have never deeply engaged with driving the majority of it.!Nike though. ! *Iʼm not saying current one-way communication is either – 30 years ofIʼd argue that the majority of their great branding, sponsorship,customers still fall into that camp.! advertising and distribution and some two-way marketing are, probably"
Can push two-way a lot
The real point is that a further than brands like rare brand like this:! this:!Almost NO brands are like this! AlmostALLbrands are like this!
After consulting the facts, and
consulting ourinstincts, does it not appear that most people,quite reasonably, donʼt care very much at allabout most brands?!Therefore, does it not appear that most peoplecould well be largely pre-disposed to reject mosttwo-way marketing with most brands?!
One-way Vs Two-way!Is there a
moral difference? No.!Which is more effective? One-way. Often.!Why? !1. Most people donʼt want two-way with most brands!
A lot of one-way related
media still has majority reach! 1981! 2011! Average Brit watches 4 hours of TV a day. ! Average Brit watches 4 hours of TV a day. ! Favourite British show is a soap. ! Favourite British show is a soap. ! Favourite British news source is The Sun.! Favourite British news source is The Sun.! Americans get most of the video they watch Americans get 98% of the video they watch via TV! via TV! Americans with TVs watch almost all of their Americans watch almost all of their TV live, TV live! only 7% of total viewing is “timeshifted”! Americans sometimes make a sandwich Americans with TiVo skip 11.2% more ads. while the ads are on! But thatʼs only 1.2 and 5.6% of total ads*! Americans donʼt even know what Americans do 5% of their total purchasing Ecommerce is! online! *Americans also still eat sandwiches, possibly more – Other less funny footnotes in the appendix"
A lot of two-way related
media is still niche! Non-majority take-up! Not working for marketing! OR INTERACTIVE TV! FACEBOOK Only 5% in the UK have bought it, and less than Almost nobody interacts with brands on 50% of them have bothered to connect it – that Facebook! leaves almost nobody to even collect data from regarding interaction with brands! APPS! SMARTPHONES! Almost nobody downloads branded apps, or Even in the US, only 38% of people have the uses them more than once! Android or iOS phones that can offer good two-way experiences! ONLINE! TABLETS ! Click-throughs are dominated by relatively 11% of people in the UK have them! small numbers of generally less afﬂuent people. Itʼs rare that large numbers go to THE NON-FACEBOOK SIDE OF SOCIAL! micro-sites or campaign pages.! No other network has close to 50% of people on it! QR! Do we really need to go there?! Sources: See appendix!
Whilst one-way can impact the
disinterestedmajority who deliver growth ! SALES! Pantene:! Sales split by Customer Frequency! Most sales come from the most infrequent buyers! FREQUENCY! Source: Professor Dawes, 2009, TNS Superpanel Via Martin Weigel see appendix!
Social media, the internet and
technology has changed things for people.!But that doesnʼt mean that lots of things havenʼt stayed the same too.!And that certainly doesnʼt mean that the way brands can market tosigniﬁcant numbers of people has changed overnight.!
One-way Vs Two-way!Is there a
moral difference? No.!Which is more effective? One-way. Often.!Why? !1. Most people donʼt want two-way with most brands!2. One-way can reach and impact the majority!
The world has changed. Everything
is dead.The smart people are engaging consumerswith co-creative content that allows them toshare because people are in control of mediawhich is always on like them and brandshave to move all the time and never sleep andyour handwash product is not a product it isa perpetual quantum service that the peoplewant to participate in via transmedia likeeverything else and everything has changed.!
The gurus who still espouse
this makeit all sound so easy…! "...become social thru Pinterest ..." all of a sudden you become a magnet for whatʼs hot!”" Go to the appendix if you donʼt believe me!
At its best, one-way marketing
understands that it makes aplay for attention-lite from a position of enormousdisadvantage.!It sets out to throw something out to people that is goodenough to overcome the odds so steeply stacked againstit. !At its best, it remembers that its primary mission, if it is tohave any chance of making any impact, is to win theprecious and rightfully reluctant attention of people byoffering them something incredibly distinctive, beautiful,interesting, funny, poignant, or all of these things.!Without asking for something back. !
One-way Vs Two-way!Is there a
moral difference? No.!Which is more effective? One-way. Mostly.!Why? !1. Most people donʼt want two-way with most brands!2. One-way can reach and impact the majority!3. One-way can often actually feel more generous!
REALISM Accepts that it begins at
a position of very great disadvantage!Is ridiculously mindful of the human disposition to disregard it !SCALE Maps to actual, not potential, human behaviours!Reaches the majority who make or break a brand!GENEROSITY!Rewards and entertains people to the nth degree!Asks and expects as little back from people as possible!
Secrets of successful Stumbling blocks
of badone-way communication?! two-way communication?!- It recognises that most - It depends upon mostpeople will never care much people caring about mostabout most brands! brands – they really donʼt!- It works with, not against, - Is often too focused onthe likely human behaviour of possible, not likely, humanmost people! behaviour of most people!- Is extremely generous and - Isnʼt often not beingasks very little back from generous enough, and ispeople! asking too much back!
The irony is… That two-way marketing
couldprobably do better by learning fromthe very principles of the“traditional” one-way marketing*that it has so often declared to bedead. ! *The amazingly good examples"
If it is to succeed,
two-way marketing will haveto seriously raise its game, and seriouslylower its opinion of itself.! And it will only do so by following the same, traditional, paths to success as good one-way marketing…!
Slide 12!Seth Godin!Permission Marketing. New
York: Simon & Schuster, 1999.!(I donʼt disagree with everything Seth Godin says. I do disagree with this. I singledhim in the picture because his glasses matched the halo)!Read more athttp://www.thedrum.co.uk/news/2012/04/25/marketing-dead-says-saatchi-saatchi-ceo#IVB5r9HUhly5YEqK.99 !http://www.tumblr.com/tagged/bill-lee!http://www.prdaily.com/Main/Articles/Advertising_doesnt_work_anymore_for_your_brand_11895.aspx !http://www.catalystmarketers.com/tag/interruption-marketing/!http://www.copyblogger.com/advertising-is-dead/!
Slide 58!1. Ed Booty -
http://bbh-labs.com/majority-report-looking-through-the-digital-hype !2. Ed Booty - http://bbh-labs.com/majority-report-looking-through-the-digital-hype !3. Ed Booty - http://bbh-labs.com/majority-report-looking-through-the-digital-hype !4. Adcontrian - http://adcontrarian.blogspot.nl/2010/09/amazing-invisible-tivo-effect.html & http://www.admavericks.com/2012/05/14/lessons-from-the-ad-contrarian/ and http://www.scribd.com/doc/92847814/The-Cross-Platform-Report-Q4-2011-Nielsen-May12 !5. SEE BELOW FOR THE MATHS: Adcontrian - http://adcontrarian.blogspot.nl/2010/09/amazing-invisible-tivo-effect.html & http://www.admavericks.com/2012/05/14/lessons-from-the-ad-contrarian/ and http://www.scribd.com/doc/92847814/The-Cross-Platform-Report-Q4-2011-Nielsen-May12 !6. SEE BELOW FOR THE MATHS: Adcontrian - http://adcontrarian.blogspot.nl/2010/09/amazing-invisible-tivo-effect.html & http://www.admavericks.com/2012/05/14/lessons-from-the-ad-contrarian/ !7. Adcontrian - http://adcontrarian.blogspot.nl/2010/09/amazing-invisible-tivo-effect.html & http://www.admavericks.com/2012/05/14/lessons-from-the-ad-contrarian/ !http://www.dukeresearchadvantage.com/laura/2010/05/04/tivo-is-not-kryptonite-for-tv-ads-after-all/#more-1166 !About 35% of households have DVRs. !They time-shift 5% of the time. !Total amount of time-shifted TV is 1.7%!People skip ads while time shifting 70% of the time.!Total percent of TV ads being missed in America is 1.2%.!(Ball Uni study actually has the ﬁgure at less than 5% of TOTAL viewing shifted.)!http://www.scribd.com/doc/92847814/The-Cross-Platform-Report-Q4-2011-Nielsen-May12!Nielsen report above has TVR shifting at 16%.!35% of people have TVR.!They time shift 16% of the time.!= 5.6% of total viewing is time shifted.!For the 35% of Americans with TiVo:!Those that do time shift do it 16% of the time, and when they time shift they skip ads 70% of the time.!So even the TiVo crowd are only skipping 11.2% more ads!!