2. âTHE TWO CULTURESâ - C.P. SNOW
Scientists vs. Artists
â...of a problem which had been on my mind for
some time. It was a problem I could not avoid just
because of the circumstances of my life. The only
credentials I had to ruminate on the subject all came
through those circumstances... Anyone with similar
experience would have seen much the same things
and I think made very much the same comments
about them.â
3. MY CIRCUMSTANCES
Iâm an ad agency guy...
At a digital agency...
Who used to work at Internet startups...
After I went to art school...
4. I BEGAN TO NOTICE...
I was the only agency guy at a technology event
I didnât see marketing talent in startups
I heard arguments about the merits of advertising
and branding
5. I BEGAN TO NOTICE...
I didnât see startup folks at marketing events
I heard programmers not interested in agency careers
I saw good ideas die in agencies from lack of understanding
6. MADISON AVE VS. SILICON VALLEY
Brand builders and Business builders
Greater brand demands on Silicon Valley
Greater technology demands on Madison Ave
See themselves as distinct, but the lines are blurring
7. WHATâS TODAY ABOUT?
A simple premise...
Startups need a little more marketing chops
Agencies need a little more technology chops
Focus on whatâs working
5 lessons from each
Begin the conversation
9. 1. PROVE YOUR CONCEPT
Ad agencies are often too stuck on the âbig ideaâ, and sink
huge advertising budgets into single campaigns
What if you treated campaigns more like how startups create
proof of concepts?
Smaller, more âiterativeâ campaigns
11. PROCESS ITERATION
Much conversation about how agencies can adopt an
âagileâ methodology
Created for software development
How can it be adapted within an agency model?
Client involvement
12. 2. DRIVE EARLY ADOPTION
Agencies are often fast-followers, not early adopters
If you only look at what your customer are currently
comfortable with, youâll always be behind
Silicon Valley is great at pushing adoption
13. APPLE AND APPS
Downloading applications was a foreign experience
Now, 27% of mobile phone users download apps
Apps downloads surpassing iTunes music downloads
Source: Deloitte, 2009; Asymco, 2010
15. 3. MARKETING WITHOUT MEDIA
Agencies are conditioned to believe media spending is how
you drive traffic
How can you explore more than just media spending?
Silicon Valley looking more to partnerships, word-of-mouth
and PR to drive growth
16. TWITTER AT SXSW
SXSW in 2007 one of the tipping points for Twitter
Partnership with SXSW to have Twitter on screens in the
Austin convention center
Tripled user-base over that weekend
Source: Twitter blog, 2007
17. APPLE AND EDUCATION
In the early 80s, Apple had huge success through partnership
with education
Donating a computer to every public school in California,
prompting additional purchases
18. REVENUE WITHOUT MEDIA
Startups exploring new ways to get revenue through
partnerships as well
Doesnât have to be expected online âadâ formats
Custom integrations that make sense
19. 4. STRUCTURE FOR INNOVATION
Agencies have a narrow definition of creative teams, that
often doesnât include technology
Question standard ârolesâ
Collaboration at every stage
Give a vested interest in success
20. T-SHAPED PEOPLE
âWe look for people who are so inquisitive about the
world that they're willing to try to do what you do. We
call them "T-shaped people." They have a principal skill
that describes the vertical leg of the T... But they are so
empathetic that they can branch out into other skills
and do them as well.â - Tim Brown, IDEO
21. HOW CAN THE CROWD HELP?
Crowdsourcing doesnât mean you have to get rid of the
creative department... or lose control
When might it be appropriate?
22. 5. EXPLORE NEW PRODUCTS
Agencies are service businesses... compensation is based on
hours put in
Many agencies create products to help them service clients
Agencies have ideas beyond marketing
Agencies need to explore new products, just as startups
explore new products as they grow
23. TWITTER FROM ODEO
âWe were forced to reinvent ourselves.
Reinventing the company started with a daylong
brainstorming session where we broke up into teams to talk
about our best ideas.â - Dom Sagolla
Are agencies meeting on a regular basis to âreinventâ
themselves? Or explore new products/services?
24. GOOGLEâS PRODUCT MACHINE
Googleâs commitment to r&d and lots of product releases and
new iterations... not all are successful
iGoogle
Google Alerts
Google Blog Search
Google Images
And many more...
25. NOT JUST PRODUCTS, BY-PRODUCTS
Jason Fried, Rework
37 Signals and Coudal Partners a nod towards how agencies
might branch out beyond a service business
Zappos Insights is a by-product
26. LESSONS FROM SILICON VALLEY
1. PROVE YOUR CONCEPT
2. DRIVE EARLY ADOPTION
3. MARKETING WITHOUT MEDIA
4. STRUCTURE FOR INNOVATION
5. EXPLORE NEW PRODUCTS
28. 1. MAKE BRANDING TOP PRIORITY
You can build traffic
You can build revenue
But are you building a brand?
Branding should be intentional... not figured out as you go
29. WHAT IS A BRAND?
A brand is not a logo...
A brand is not a tagline...
Itâs a promise
It defines what you stand for
It can drive preference, and adds value
It can also begin to create culture
30. THE FACEBOOK BRAND
Brandz - Millward Brown annual study of top brands
Value a combination of earnings and brand perception
Facebook usage is ubiquitous, but how strong is the brand?
31. THE ZAPPOS BRAND
Zappos has a much clearer brand identity, but itâs a much
stronger inward-facing brand
âFor us our number one priority as a company is company
culture, and our whole belief is that if we get the culture right
then most of the other stuff like delivering great customer
service or building a long-term enduring brand will just
happen naturally on its own. It's one thing to read about our
culture, and it's another thing for me to talk about it, but
really the best way to get to know what it's like is to come and
take a tour.â - Tony Hsieh, NPR Marketplace
How do customers understand the brand?
32. WHATâS YOUR BRAND?
What promise are you making?
Are you meeting or breaking that promise?
In every touchpoint?
Is it part of your culture?
33. 2. ADVERTISING WORKS
It works as a way to build your audience
When done correctly, it can return a measurable, positive ROI
Many startups rely too much on word-of-mouth
34. ZAPPOS
âI'd rather spend money on things that improve the customer
experience than on marketing.â - Tony Hsieh
But less reliance on advertising and marketing doesnât mean
NO reliance on advertising and marketing
35. WHY ADVERTISING?
Advertising is a catalyst for word-of-mouth
Some of the most successful âviralâ campaigns had significant
advertising budgets behind them
âViralâ is what happens after you get exposed
36. YES, EVEN OFFLINE ADVERTISING
Sometimes offline advertising might work best
10% advertising spent online, but 21% still spent on
newspapers, almost 11% still spent on magazines
In some cases, online isnât always cheapest
Source: eMarketer, 2010
37. REVENUE GENERATOR
Advertising is also a revenue generator
Shift in the business models being used by startups?
Two biggest mobile ad networks bought by Silicon Valley
firms, and companies slated to increase mobile ad spending
dramatically over next several years
Charge for your app, or get ad revenue? Or both?
38. 3. BUILD RESEARCH INTO YOUR DNA
Beta isnât the only way to test
Test BEFORE beta
Agencies take consumer research seriously
Focus groups, brand tracking studies and more...
39. FIND SIMPLE WAYS TO DO RESEARCH
Small investments in research can have huge returns before
you spend on advertising
Market sizing
Segmentation studies
Price-resistance testing
40. A FEW TOOLS TO HELP
Online surveys: E-Rewards.com
Category research: Compete.com
Usability testing: Usertesting.com
Social Media Monitoring: ScoutLabs.com
41. 4. GET PITHY
Agencies are experts in communication
Masters of the âpithyâ
Sometimes itâs not what you say, but how you say it
42. FACEBOOKâS COMMUNICATION ISSUES
Facebook Beacon, 2007 - shut down
Brought back as Facebook Connect in 2008
Facebook Open Graph - Instant Personalization
43. MOST RECENTLY... FACEBOOK PLACES
**ACTION IMMEDIATELY** - Facebook launched
Facebook Places yesterday. Anyone can find out where
you are when you are logged in. gives the actual addressÂ
& map location of where you are as you use Facebook.
Make sure your kids know. TO UNDO: go to"Account",
"Account Settings", ... See More."Notifications",...then
scroll down to "Places" and uncheck the 2 boxes. Make
sure to SAVE changes and re-post this!
âThere is a false rumor that Facebook shares your location
without your knowledge or consent. You control your
information on Facebook. With Facebook Places, you choose
when to share your location by checking in or allowing friends
to check you in. Your location is never given to anyone
automatically.â - Facebook
44. 5. MARKETING LEADERSHIP
Most startup partnerships rely on technology and business
talent, but marketing should be core leadership
Agencies created a new role... account planner
Bridge between business and creative
Consumer insights and research
Make advertising more relevant
45. THE METHOD STORY
Method founded by an account planner, Eric Ryan
Saw a need in the marketplace
Began with brand building in mind and made a promise in
the marketplace
Creative as important as the product
Different approach to working with agencies
46. WHO IS THE MARKETING LEADER?
Many startups only consider advertising sales as the
marketing leadership within the business
âHe said that in the early days Facebook made a point of
hiring programmers even for jobs that would not ordinarily
consist of programming, like HR and marketing.â - Paul
Graham, What Happened to Yahoo
Who is the CMO of the startup?
If itâs you, should it be?
47. LESSONS FROM SILICON VALLEY
1. PROVE YOUR CONCEPT
2. DRIVE EARLY ADOPTION
3. MARKETING WITHOUT MEDIA
4. STRUCTURE FOR INNOVATION
5. EXPLORE NEW PRODUCTS
LESSONS FROM MADISON AVE
1. MAKE BRANDING TOP PRIORITY
2. ADVERTISING WORKS
3. BUILD RESEARCH INTO YOUR DNA
4. GET PITHY
5. MARKETING LEADERSHIP
50. CONVERSATION
What other lessons are there for agencies or startups?
Who else is doing it right?
More feedback at LinkedIn Group:
http://linkd.in/madisonvalley
jkeehler@clickhere.com
http://www.blog.clickhere.com
http://www.randomculture.com
@randomculture