Digital Marketing Trends Audience Environment Interactive HCMC – July 17, 2007 Prepared by: Russ Conrad Managing Director New Media Vietnam
Agenda Web 2.0 Trends Vietnam Internet Trends Marketing 2.0 Trends
Key drivers of online advertising Growth Time GDP Growth Lower Internet and ADSL Cost Increased Demand for Digital Advertising Higher Internet Penetration Improved Internet Infrastructure Greater Investment in Web Content Growth in Internet Advertising VIETNAM HAS IT ALL
Vietnam’s Digital Generation has a diverse user base
Factory Worker in Saigon Export processing district
Net Pay = $50 per month
$1.50 – haircuts
$1.00 Hair ties
$.18 per hr – Internet chat and gaming
Internet user growth pace in Vietnam in past 5 years (Source: Vietnam National Internet Center - http://www.thongkeinternet.vn/jsp/trangchu/index.jsp )
Vietnam is the leading SEA country in terms of # of users INCREASED ADVERTISING BUDGETS, AND THE MASS REACH OF THE INTERNET IN VIETNAM, WILL CREATE A LEAP FROM AFFECT IN ADVERTISING
Mobile Phone Consumption
Vietnam has the lowest Mobile Penetration in South East Asia
With the fastest growing GDP, Mobile penetration will not be far behind
4 local companies have been investing in Fixed WiMAX services: VNPT, FPT Telecom, VTC and Viettel since 2006.
Web 2.0 Video
Web 1.0 The mostly read only Web 250,000 Web Sites Published Content User Generated Content 1996: 45 Million Global Users The business 2.0 opportunities in S.E. Asia (Localization) Opportunity 2.0 Published Content User Generated Content 2006: 1 Billion + Global Users Collective Intelligence DoubleClick Ofoto Akamai mp3.com Britannica Online Personal Websites Domain Name Speculation Page Views Screen Scraping Publishing Content Management Directories(Taxonomy) Stickiness Adwords Flickr BitTorrent iTunes Wikipedia Blogging SEO & SEM CPC, CPA Web Services Participation Wikis Tagging (Folksonomy) Syndication
Webisodes Blog Marketing Flash Microsites Search Marketing Social Networking Web Seeding Viral Ads Advertorials Ad Serving Web Analytics Branded Games Globalization meets Web 2.0 MARKETING 2.0 Email Marketing Widgets
Red Bull Engages via a Can Sculpture Contest
Red Bull Art of the Can – young adults create sculptures out of red Bull cans and submit photos of their handiwork to the web. The prize is a trip for two to Switzerland.
Axe Launches brand Using Marketing 2.0 Best Practices
Formed a band like the pussy cat dolls
Created web only videos release on Youtube.
Utilize edgy humor that crosses borders
Boom Chicka Wah Wah USA Super market Boom Chicka Wah Wah USA home Boom Chicka Wah Wah Japan
Viral Ad reaches 2m visitors spending avg. 8:54 min
Axe Results Source: Business week July 2, 2007
USA – released 3 web based videos showing the Axe affect.Millions forwarded it to friends Axe grew from Zero to a $500 million business in 2006.
Japan – Axe entered the market with a viral video that showed teens snowboarding down a mountain with girls following. 6 weeks after launch, axe had 12% market share.
28.6% 1999 India 21.5% 1988 Chile 20.2% 1986 Argentina 19.5% 1991 Britain 19% 1985 Philippines 14% 2007 Japan 13.5% 2002 USA 11.2% 2003 Columbia 10.9% 1995 Thailand Market share Date entered Country
Mitsubishi tries “TV-to-Online” cross-media marketing 15 Second TV Advertisement drove over 11 million hits in the 6 hours to the seewhathappens.com Superbowl TV Commercial Mitsubishi website 66% of these people watched the full 50-second spot 2+ times
Case Study: Doritos ‘Crash the Super Bowl’ DORITOS stats 1,100 movies 2,149,762 streams 17,949 “loves” 14,775 comments Doritos asked users to create their own Superbowl Commercial 5,000,000 media impressions
Integrated Digital Marketing
“An Idea is nothing more nor less than a new combination of old elements” – Jack Foster
Being that about 50% of all ad budgets come from the brands represented in this room, then it’s important that everyone think about activities they can do with their 5% digital budget
Other Marketing 2.0 Activities
Axe - Viral- show axe feather, other
Red bull – “art of a can”
Mitsubishi – show offline to online
Doritos – yahoo Choose your ending
Web 2.0 video
Web 2.0- what is it? – wikipedia definition
Marketing 2.0 – What is it? – wikipedia definition
Examples of Marketing 2.0
Fotune article – mickey mouse
Biz week article – unilever.
Take the key points from the oreilly article and highlight and talk about them. - push this into marketing 2.0. lessons to take from web 2.0.
Ask a few questions to the audience
I’m honored to speak today. When roger asked me to help organize this event, I had no idea how many Agencies, companies and individual interest there would be in a seminar like this. I never expected to speak to a packed room, but I think it’s a testament to the interest and intrigue into the new form of media that is less than 1% advertising spend.
I sat down to put this presentation together on Saturday night. I was in a café that normally has internet. However the internet was having problems. I turned to my phone’s gprs function and spent 3 hours using wikipedia to compile all the content for this presetnation. While this is not a seminar that focuses on Mobile marketing, I want to put in a small plug.
I hope I can provide you with some information or insight into digital media that you can successfully implement in your marketing plans. When ever I am asked to speak at an event like this, I usually fight for the topic of New Trends. It is a very broad topic and allows me to brush up on what is the latest buzz words in the industry. Today, I havd chosen to focus on a few buzz words that may be mis understood.
Web 2.0, Markting 2.0 and Integrated digital marketing.
Internet advertising is the future. Take baby steps, test and learn before you invest big money. The knowledge of what works in Vietnam is being created by the individuals in this room.
What’s great in vietnam is that we don’t have to reinvent the wheel. We need to look at the pieces of global campaings that were effective and package it in ways that will connect with Vietnamese. For example instead of Pimp by ride = pimp my bike.
Where Web 2.0 Started
The web 2.0 phenomenon is what is taking hold right now in Vietnam and has lead to a huge grown in the internet. Examples include:
Yahoo 360 – over 1 million users
Clip.vn – video sharing that started
Flickr – Photo sharing – over 500,000 users
Web 2.0 lessons:
The service automatically gets better the more people use it.
Network effects from user contributions are the key to market dominance in the web 2.0 era