• Share
  • Email
  • Embed
  • Like
  • Save
  • Private Content
Digital brand strategy - Ugo Orlando
 

Digital brand strategy - Ugo Orlando

on

  • 1,201 views

Preview Version - Can be downloaded via http://tiny.cc/ugosthesis ...

Preview Version - Can be downloaded via http://tiny.cc/ugosthesis

---

Managing a brand strategy through the digital medium, is it better done in-house or outsourced to a communication agency?

A reflexion on the current state and the future of digital communication strategies from experiences in new media communication agencies and in the marketing department of a social gaming company.

Ugo Orlando, November 2011.

---

Preview Version - Can be downloaded via http://tiny.cc/ugosthesis

Statistics

Views

Total Views
1,201
Views on SlideShare
1,201
Embed Views
0

Actions

Likes
1
Downloads
29
Comments
0

0 Embeds 0

No embeds

Accessibility

Upload Details

Uploaded via as Adobe PDF

Usage Rights

CC Attribution License

Report content

Flagged as inappropriate Flag as inappropriate
Flag as inappropriate

Select your reason for flagging this presentation as inappropriate.

Cancel
  • Full Name Full Name Comment goes here.
    Are you sure you want to
    Your message goes here
    Processing…
Post Comment
Edit your comment

    Digital brand strategy - Ugo Orlando Digital brand strategy - Ugo Orlando Document Transcript

    • Ugo Orlando November 2011
    • 2
    • ESPEME IS A SCHOOL WITHIN THE EDHEC GROUP, ACCREDITED BY EQUIS, AAACSB AND THE FRENCH STATE. MANAGING A BRAND STRATEGY THROUGH THE DIGITAL MEDIUM, IS IT BETTER DONE IN-HOUSE OR OUTSOURCED TO A COMMUNICATION AGENCY?A REFLEXION ON THE CURRENT STATE AND THE FUTURE OFDIGITAL COMMUNICATION STRATEGIES FROM EXPERIENCES IN NEW MEDIA COMMUNICATION AGENCIES AND IN THEMARKETING DEPARTMENT OF A SOCIAL GAMING COMPANY UGO ORLANDO YEAR-GROUP GRADUATING IN 2011 THESIS ADVISOR: MR. DENNIS DAVY Thesis submitted in partial fulfillment of the EDHEC-ESPEME degree 2011 3
    • The opinions expressed in this documentare the sole responsibility of their author. 4
    • A CKNOWLEDGEMENTSThanks to: • D e n n i s D a v y , Thesis Advisor, for his time and his precious pieces of advice. • F a r i d H u m b l o t , Student at Edhec/Espeme, for the discussion we have had. • L . J . , Digital Planner in a large digital company, for the interview we have had. • O l i M a d g e t t , co-Founder of We R Interactive, for the discussions we have had. • J é r ô m e R é m i n i a c , ex-Head of New Media at TBWAAuditoire, for the interview we have had. • F r a n c e s c o T o s a t o , Game Designer at wooga, for the discussions we have had. • C é l i n e V e r l e u r e , Founder at Olfactive Studio, for the interview we have had. • T h o r b j ö r n W a r i n , ex-Head of Marketing at wooga, for the interview we have had.And also: 5
    • 6
    • “THE BEST WAY TO PREDICT THE FUTURE IS TO CREATE IT.” PETER DRUCKER (1909-2005) 7
    • I NTRODUCTIONW e are all digital brand strategists. While searching for a flat, a job or love, we do this on the Internet: not expecting a direct response, but managing a global brand image, involving contacts, building relationships and showing in different spheres who we are. Beyond promoting ourselves, we will see here how to do this with a real brand: an emotional relationship between a product and its customer. A brand should be recognizable and meaningful. Some might think the digital medium is just another tool to communicate the brand to the customer. However, the digital medium itself opens a wide range of opportunities. In a few years, no brand will be communicating to consumers anymore, but with the customer instead. This shift has been happening for a few years and is turning advertising into a bi- directional communication-relationship. 8
    • Customers already communicate through brands. Ifsomeone checks-in a Starbucks, s/he is communicatinganother message compared to someone who is posingwith a McDonalds hamburger.The whole issue is then to communicate through thecustomer or the potential customer, trying to drivedialogues and to enhance talkability , constantly givinghim/her the opportunity to be exposed to the brandimage, to enjoy a meaningful brand experience andeventually to share brand content. Even though thebrand can orchestrate the customer, it will never ownhim/her.Throughout this thesis, we will try to ascertainwhether a company can manage its digital brandstrategy in-house or should call in a specializedcommunication agency, and which kind of agency.First, we will analyze the working atmosphere,comparing the methods, the processes and the peopleat the agency with those at the advertiser.The next part will acknowledge that the digitalmedium is much more complex than the other mainforms of advertising (film, radio, print, event, street).Therefore, a communication campaign using acomplete set of different digital tools would deservethe label “360° Digital”, just like one involving film,radio, print, event, street and digital is currently called“360°”. 9
    • We will then focus on the future of gaming mechanicsin the advertising world, as well as in the world ingeneral.This thesis explores the present and the attempts ofbrands in the digital medium, which openopportunities for talented people to shape them. 10
    • T ABLE O F C ONTENTSA C K N O W L E D G E M E N T S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5  I N T R O D U C T I O N . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8  FOREWORD ................................................................................... 14P A R T 1 . H O W D O T H E Y W O R K ? . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 8  1 . 1 . T H E P E O P L E I N T H E R E . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 2 0   1.1.1. Working Atmosphere ...................................................................................................... 20   1.1.2. Strategy Mindset ............................................................................................................... 23   1.1.3. Product Knowledge .......................................................................................................... 27  1 . 2 . T H E C R E A T I V I T Y P A T H . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 3 1   1.2.1. Who Is The More Creative? ......................................................................................... 31   1.2.2. The Decision-Making Process ..................................................................................... 35   1.2.3. Relationship With ROI ................................................................................................... 38  WHO IS WHO? ............................................................................. 42P A R T 2 . 3 6 0 ° D I G I T A L . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 5  2 . 1 . T H E C O N T E N T I S I N T H E H O U S E . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 4 7   2.1.1. The Corporate Website ................................................................................................. 47   2.1.2. Who Should Be The Community Manager? .......................................................... 48   2.1.3. Pushing & Pulling .............................................................................................................. 51  2 . 2 . M A S T E R T H E T O O L S F I R S T ! . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 5 6   2.2.1. Community Management: Let The Conversations Start .................................. 56   11
    • 2.2.2. Social Media Advertising: Facebook Ads ............................................................... 58   2.2.3. Dedicated Websites: A Personal Experience ....................................................... 60   2.2.4. Viral Films ........................................................................................................................... 60   2.2.5. Mobile Apps: Brand Content At Your Fingertips ................................................ 65   2.2.6. Flashcodes: Connect To Real Life ............................................................................. 67   2.2.7. Captchas: To Transform The Existing Tools ........................................................ 69  WHO IS THE MORE 360° .............................................................. 71PART 3. THE GAME LAYER ON THE TOP OF THEA D V E R T I S I N G W O R L D . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 6  3 . 1 . I N - G A M E A D V E R T I S I N G . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 7 8   3.1.1. The Old Schools ................................................................................................................ 78   3.1.2. The Social Era ................................................................................................................... 80   3.1.3. Which Structure? .............................................................................................................. 83  3 . 2 . A D V E R G A M I N G . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 8 5   3.2.1. I AM PLAYR: The Perfect Match ................................................................................ 85   3.2.2. “If You’re Going To Crash The Party, Bring Some Champagne” ................ 89   3.2.3. This Is Real Life ................................................................................................................ 91  3 . 3 . T H E G A M I F I C A T I O N O F T H E W H O L E B U S I N E S S . . . . . . . . . . . . . . . . . . . . . . 9 3   3.3.1. Great Gaming Mechanics ............................................................................................. 94   3.3.2. Under Construction ........................................................................................................ 96  WHO WILL MASTER THE GAME? ................................................... 99CONCLUSION & RECOMMENDATIONS .................. 103T A B L E O F I L L U S T R A T I O N S . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 0 9  L I T E R A T U R E R E V I E W . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1 1 1  APPENDICES ................................................................................. 119 12
    • 18
    • Agency-people have different mindsets than their clients. Let us compare the atmosphere atthe advertiser with that at the agency and see which process is the best fit for which communication issue. Who are the people in there? What is creativity going through? How are decisions made? 19
    • 1.1. THE PEOPLE IN THERELet us compare the workforce and methods of the agency with those of theclient (=advertiser). Pragmatism versus imagination? Fun versus formality?Jeans versus ties? Some statements given are just clichés, other ones arequite true, but are agency and advertiser people so different? 1.1.1. W ORKING A TMOSPHERE What is a good working atmosphere?Digital-communication-wise, a company offering a welcoming workingenvironment would be: • All-ears to best practices • Open to new ideas • Not stuck in old-fashioned corporate offline communication • Ambitious about its brand equity • Stable enough to build a long-term strategy • More into PowerPoint than Word • More into Instant Messaging than Emails • Understanding of the product and the communication tools. Do we have more fun in the agency? 20
    • comparing revenues after a few weeks should design the perfect data-driven user funnel.This is very easy to do in IT industries, as you can give two different users acompletely different version of your product, which can hardly be done fora brick-and-mortar retailer. Amazon is commonly known as the inventor ofthe A/B tests. “We don’t mind testing a lot of weird ideas. At the end of the day, numbers tell you how good your idea was.” Interview with Thorbjörn W. Coming from Sweden, Thorbjörn Warin was hired at wooga as the Head of Marketing. He then moved moved onto a new startup in Berlin: Hitfox.More and more companies do not try to understand facts any more, theyjust run tests and figure out what to do next. This is the case of wooga, onthe startup landscape, but some advertisers from the old economy arefinding out the benefits of the “trial and error” method.A/B tests are a very common thing to do in the IT industry. According toTim Harford, a British economist, this is spreading out to the whole ofsociety 7.7 Watch Tim Harford’s TED Talk, 2011: http://www.ted.com/talks/tim_harford.html 26
    • In these situations, the advertiser does not need a bunch of surveys beforecreating a campaign: one less field to take care of for the agency - one lessreason to be needed. 1.1.3. P RODUCT K NOWLEDGE We know what we are doingThe advertiser’s marketing people work, have lunch and attend meetingswith their co-workers - the ones who make the products. They know aboutevery aspect of them, they know about improvements, potential newproducts, they know about the strategy and the most valuable sectors totarget. They can see the product growing and often suggest improvementsto it. “In some gaming companies, we really feel the influence of the marketing department on the products. Working close to each other is very precious. The agency, on the other hand, doesn’t usually come up with very relevant ideas of improvement. But they come in with completely fresh eyes!” Interview with Thorbjörn W.Advertisers know exactly what they are selling and whom they are selling itto. They are not bothered by other accounts from other industries. At thesame time, they are less experienced at selling different kinds of products.They know their market extremely well but are less in touch with trends onthe global market. Nowadays, almost any kind of product needs to be new!Every product launched needs to be innovative and every old product needs 27
    • to receive a new image once in a while. Sometimes these products are soldby old industries, and in this specific case, the company needs to hire peoplewho are more up-to-date with the current trends - but not too much. Over-trendy people in the agency?Agencies tend to apply a “winning” and “trendy” communicationrecommendation to any kind of advertiser. This sometimes works, butpeople from the agency sometimes become too comfortable with this andthink a magic recipe can work all the time. They want to be first to share aset of photographs, possibly a day or two before the usual trendy blogs -which their co-workers check daily - do. This unfortunately does not makethem efficient ad-men & ad-women. In reality, light painting + Facebookconnect + street art + blog activation does not result in an “epicadvertising win” all the time.This is good for an agency to keep a constant eye on trends. It is a threatfor them to be too focused on “what’s hot” – for egocentric purposes - andto forget about marketing basics: linking the product and the customer.Agencies need both people with egocentric drivers (often juniors) and otherpeople with ROI and customer satisfaction drivers (often seniors).This way, juniors will tend to be innovative and follow trends - for the heckof it - and seniors will put this into the customer’s perspective - for the goodof the business. Agencies need to balance their workforce this way. A lot ofthem do. Those who do not, do not stay alive for long, as advertisers cannot see any added value in asking them for digital communicationstrategies. Different People, Different Areas of Expertise 28
    • • A woman is more likely to find benefits in lipsticks. In the illustration below, secretaries from the fictional agency Sterling Cooper were asked for inputs, as the Creative department was only run by men. Source: AMC’s Mad Men (2007)In addition, everyone feels very useful to the company and involved in afinal creation. In the end, feeling creative , even if one is not part of thecreative department, is very important, from an HR perspective. …And at the Big Agency?Bigger agencies tend to be less flexible and to involve only the mostrelevant people in the process. Reasons are simple: • As there are more accounts, someone who would like to attend every brainstorming would not have time for his/her regular job. • As there are more employees, brainstormings would be very messy.However, if you have heard about a project, nothing prevents you fromsharing an idea with the relevant people. This process is partly the reasonwhy Jérôme Réminiac believes what follows… 37
    • “Some agencies with aging management are giving very valuable communication advice, but are bringing no added value on digital topics. Smaller agencies are usually more dynamic and more relevant to get involved with digital topics: their consultants being digital natives.” Inteview with Jérôme R. Jérôme Réminiac was the founder of the New Media department at TBWAAuditoire. He has now moved to freelancing projects. 1.2.3. R ELATIONSHIP W ITH ROI 14 Pragmeativity at some advertisersIn ROI-oriented companies which do not need advertising agencies,creativity is only a nice-to-have bonus: pragmatism being a more valuablecompetence. “In our field of advertising, creativity is important, but if it comes down to a creative person or an analytic person, I would rather hire an analytical person. It is fun making assumptions, but in the end, data will always tell you where to go. So it’s good14 ROI = Return On Investment 38
    • WHO IS WHO?Advertisers may have the knowledge - agencies have to know how. At thispoint, a few things are obvious: • Old-fashioned companies need small and dynamic digital agencies or independent consultants to carry out their digital strategies. • Modern companies can either hire an agency or build a whole digital communication department with disruptive people, who are getting the right budget (as La Redoute did). • Old-fashioned agencies need to hire persons who understand the digital landscape. • Startups do not need (and can not afford) anyone.It all is a matter of culture and flexibility. Would this mean thatentrepreneurs and small companies are better able to do business?Here is a comparative SWOT chart summing up this first part. This showsStrength and Weaknesses of In-house employees in carrying out a digital 42
    • brand strategy. The second part shows Opportunities and Threats inoutsourcing to advertising agencies. 43
    • 45
    • The digital medium is so rich and important that no brand can possibly do without it. Let us announce it: a communication campaign can be called “360°”, even though it is 100% digital. In fact, the digital media are plural. 46
    • 2.1. THE CONTENT IS IN THE HOUSEA brand has to be present on every relevant digital medium and to deliverits message in a specific way, but it is not about focusing on the tool. Fromthe in-house perspective, the corporate culture is the most important, as ithelps to bring brand content. 2.1.1. T HE C ORPORATE W EBSITE Content is KingIn a corporate website, a user-friendly interface and some well-writtencontent are very important, but it is not only about a campaign or asmooth shopping experience. A corporate website’s main strength is itsopportunity of giving valuable information. The content is king and theadvertiser knows this better than anyone else. The Old-fashioned Ones are Not So DemandingOld-school advertisers will believe they absolutely do not need advertisingagencies to write content for them. They know their company better thananyone else and they disagree with the saying “ It’s not what you say, it’show you say it ”. 47
    • Either not asking professionals or buying very bad work from one, led untila few years ago to really bad websites, precisely for brands that are wortha lot more, and deserve a lot better. The New Cool Kids Know How To Do ItSEO 16, Inverted Pyramid 17, fast-browsing, user funnel, social features, …some people know these words, some do not. Hiring people who do andare used to making good corporate websites is always useful, even in theB2B area. Yet, these competences do not have to be at the agency, ascreativity is really limited on these kinds of jobs. Internalizing web designersand content writers is totally fine: their decisions would not lose much oftheir meaning going though validation processes - while creative insightsmight. The main reason why editorial agencies exist and have work ismainly because of the lack of dedicated workforce at the advertiser’s. 2.1.2. W HO S HOULD B E T HE C OMMUNITY M ANAGER ? At the Agency: a ProfessionalNew jobs such as community management evolve within agencies, asconversations are about innovative tools.Digital agencies are specialized and the community manager has beenpresent for a few years already. Over time, agencies have tended to offermore and more permanent contracts.16 SEO = Search Engine Optimization17 Inverted Pyramid = Web writing technique enabling efficient user-catching and an enhanceduser-experience 48
    • 2.2. MASTER THE TOOLS FIRST!The content is king, and the king of content is in-house, but what wouldgreat content be without the right tools to wrap it, diffuse it and even sellit? If advertisers can usually deal themselves with content, agencies remainthe kings of the tools. Let us analyze what a 360° digital approach couldinvolve. 2.2.1. C OMMUNITY M ANAGEMENT : L ET THE C ONVERSATIONS S TART ViralityVirality is not just a buzzword for qualifying YouTube lolcats 22 or a lot ofsenseless retweets. Virality can be orchestrated for communicationpurposes; you only have to add a secret ingredient called talkability 23 toyour master recipe!22 A portmanteau from "lol" (laughing out loud) and "cats". This defines a YouTube trend,because the most watched and shared videos involve cats in funny situations.23 Ability for a story, film, campaign or brand to be shared and talked about. This factor isessential in today’s advertising landscape. 56
    • Below are the key performance indicators for one campaign managed bythe agency Buzzman for Tipp-Ex 24 “a hunter shoots a bear” (2010). TheseKPIs are all about sharing, the creative key being talkability. Source: Buzzman’s case study (2011)Almost any product can be sold and benefit from a great digitaladvertisement. Buzzman did it for Tipp-Ex, apparently rather boringproducts (correction fluids, pens or tapes). Another KPI – the ROI – wasalso very positive, as sales increased considerably a few weeks after thelaunch of the ad: 30% up, compared to the previous back-to-school period.24 Tipp-Ex is a brand from the Société Bic (France). The « a hunter shoots a bear » campaignwill remain an innovative best practice and still earns awards (in fall 2011). 57
    • Talkability can also be sustained from the offline side 25, but will always takeplace online. InfluenceThis is also a key competence at advertising agencies. Relationships withinfluencers are very valuable, and agencies often have to organize fairlyexpensive events or clever set-ups to perhaps obtain a blog post about aproduct launch, for instance. This is called, activation or influence. Asadvertisers typically do not have enough ideas, do not have contacts, didnot identify best practices and do not have time for influence purposes; anagency is therefore totally indispensable. 2.2.2. S OCIAL M EDIA A DVERTISING : F ACEBOOK A DS The Place to Be?Facebook Ads are known to be the most valuable and best targetableadvertising solution, in almost any industry, not exclusively online, but in thewhole physical world.In the other hand, Facebook ads constitute with flash banners the not-so-noble and not-so-creative side of digital communication. Consequently, ifone wants to bring traffic to a website from a dedicated audience, SocialMedia Advertising is the right thing to use, but activities which require morecommitment, and a less direct call-to-action probably will not always optfor Facebook ads.25 This operation from BMW China was very unexpected, but a bit awkward. The mediacoverage was negative as the culture is not used to very disruptive advertising techniques, theaudience did not appreciate being orchestrated: http://www.bmwblog.com/2011/08/31/bmws-crop-circle-marketing-campaign-confuses-chinese-media/ 58
    • “The vaguer the action, the more creativity is required in its marketing. We only require simple action.” Interview with Thorbjörn W.This quote appears in this thesis for the second time - but it is worth beinghighlighted twice. The End of DemographicsTargeting an audience according to their beliefs, behavior, connections,likes and interests is totally new in the advertising landscape and goes farbeyond typical demographics. According to Johanna Blakley 26, “ sharedinterests and values are a far more powerful aggregator of human beingsthan demographic categories. I’d much rather know whether you like Buffy Source: Johanna Blakley on TED (2010)26 The Deputy Director of the Norman Lear Center (California, USA). 59
    • The product not being present at all in the movie, only the advertisingworld noticed that Absolut produced it. Specialized blogs talked about it,but the video was then shared just like any other beautiful and well-produced short movie. Of course, outcomes in terms of sales will not beworthwhile – but is not a KPI for this kind of campaign. However, theresults in terms of brand image are not even guaranteed. Just Like the Other OnesCommercials that are alike are not new in advertising industry. However, toa certain extent, brands blend into the trend and lose their identity:consumers forget about a strong brand image and just see the same trendyfilms.A poem, catchy and fast-paced pictures showing youth and energy,products all through the movie without them being really noticeable, a“duty” tagline and a pure logo in the end. It seems that Nike 29 and Levi’s 3029 Cf. Nike’s commercial “Vive le football libre” (January 2011): http://vimeo.com/18911762(French) & http://www.youtube.com/watch?v=cH06ltXfhvA (English)30 Cf. Levi’s commercial “Go forth“ (June 2011): http://vimeo.com/27525961 63
    • have found a winning technique there: it indeed guarantees them a lot ofexposure.However, their respective agencies (Leg Agency, W+K) were of courseaware of the power of these short films, but they were probably not afraidof losing some brand uniqueness in the long run.Adidas Originals 31 somehow played on the same field, which has beenconfirmed by Magic Garden Agency , on its own fanpage. Source: Magic Garden Agency’s fanpageThis mindset can be held for a while, but will most likely lose effect overtime. Worse still, it may make the brand equity weaker, because of troublesfor the target to recognize the brand amongst all the other ones31 Cf. Adidas commercial "all originals” (September 2011):http://www.YouTube.com/watch?v=B5-fFNMXiLU 64
    • 2.2.7. C APTCHAS : T O T RANSFORM T HE E XISTING T OOLSA captcha is a little box that asks users to type what they can see in animage in order to verify there are not robots. See a typical example below. Examples of captchas - Source: Public DomainOver time, some other forms of captchas have been seen. Sometimes, youhad to answer a very easy question or solve a very simple operation, whichactually made it interactive. Users had to pay attention to this “2+3”operation – mixed into random curves and rings in order to confuse robots– and finally type 5 into the text field.This might soon be taken over by advertising 37 – it was crazy leaving thisattention and engagement unused for so long – here as well with somegaming mechanics, to put a minimum amount of fun into it.As shown below 38, the user has to interact with a brand in order to enterthe website, either by just typing a slogan (engaging and memorizable), orby playing a mini-mini-game interacting with an image.37 Source: http://www.techi.com/2010/04/captcha-advertising-coming-soon-to-a-website-near-you/38 Examples from the provider http://www.adscaptcha.com/ (based in New York) for theadvertiser Philips. 69
    • Source: Adscaptcha.com (2011)Adcaptcha’s business development seems oriented to agencies, as they maywant big brands to advertise, they want their agency to pitch this idea first.Agencies are a great intermediary when it comes to canvassing somethinginnovative for the company. 70
    • WHO IS THE MORE 360°?The right content without the right tools will not reach the right audience.However, the best tools with no content are just empty Twitter accounts.Of course, both have to evolve hand-in-hand: clients have to surroundthemselves with social-media-aware people. Agencies and consultants needto understand communication issues beyond the scope of the tools. “The social networks do not have a good image with advertisers. I would say small agencies and freelancers are the best ones at understanding the marketing impact of a great Facebook strategy. This has to be explained to the advertisers.” Interview with Jérôme R. 71
    • Lots of banks 39 have now made it possible to open an account via Twitter.They were most likely advised by a consultant or an agency to make itpossible and known.However, if community managers are needed for debugging or customercare issues, changes have to be followed up quickly by product managers,and community managers need to have a deep understanding of howproducts are made. Therefore, gaming companies or e-business websitesneed to hire in-house community managers. No matter how large they are,it matters how large their userbase is – and it often is indeed large.The advertiser had better use an autonomous agency but must be willing tocommunicate with the people in there on a daily basis, deliveringinformation, validating their communication choices but also reactingquickly to their feedback from the community feeling.If the advertiser plans on communicating via the digital medium over thelong term, then they might consider hiring a creative, autonomous andexperienced person to carry out 360° projects. This person should then beable to have an influence on the company’s product. The top managementindeed tends to trust agencies rather than in-house people, and in-housepeople tend to pitch fewer out-of-the-box ideas than an externalworkforce. “Clients have become much more aware of the importance of digital marketing, even more so in the last few years - as we can see in the shift in how marketing budgets are allocated.39 At least Bnp Paribas or La Caisse d’Epargne in France, many more all over the world. 72
    • “But most of the big clients - with aging management - still need to be advised on the best way for them to use digital and that knowledge comes from agencies. “The agency expertise can vary a lot as well: the traditional agencies may not know enough about digital to come up with the best social media strategy, and some digital agencies do not have in- house technical knowledge to make a good mobile app, for example. “However, it is not rare to have 3 or 4 creative agencies working for the same client: 1 main ATL 40 agency which is responsible for the main brand strategy, a digital agency, a direct agency and possibly a small keen start-up mobile specialist added in if the digital agency is too expensive.” Interview with L.J.The following comparative SWOT chart aims to sum up this second part,showing how helpful and harmful can in-house or outsourcing solutions be,in the scope of how they use the whole set of digital communication tools.40 ATL for Above The Line: an advertising strategy targeting mass media to deliver messages toa large and mainstream audience - typically an offline TV + Radio campaign - while BTL (BelowThe Line) investments are usually less expensive and their ROI is much more accuratelymesurable - typically a 100% digital campaign. 73
    • 74
    • 76
    • Games and gaming mechanics are playing a bigger and bigger role in advertising campaigns. Beyond this, a whole “gamification” of the business is happening. Will advertisers need agencies to make this “mutation” happen?Seth Prietsbach’s TED talk (which will be introduced in this 3 rd part) called “The game layer on the top of the world” has to be given credit for the title of this part. 77
    • 3.2. ADVERGAMINGAny advertising operation that aims to fool the consumer will be a seriousfailure in the long run, if not also in the short run. Lots of advergames arein the form of a Facebook application, gathering personal data and tryingto “ make the buzz happen ”, but simply moving a canvas from a website toFacebook does not make a game “social”.Some other developers or agencies advocate respectful gaming mechanicsand end up offering a quality brand experience. 3.2.1. I AM PLAYR: T HE P ERFECT M ATCHI AM PLAYR is a game on Facebook which is about living a footballer’s life,literally through his own eyes, as it mixes game sequences, with POV 47 filmsequences. An InnovationWhat the British developer We R Interactive has done with I AM PLAYR 48(2011) is to make it fun to play, and moreover to make it fun to play withbrands.47 POV for Point Of View. Movie technique showing what the character is looking at.48 Know more about the game: http://www.contagiousmagazine.com/2010/11/i_am_playr.phpPlay the game: http://Facebook.com/iamplayr 85
    • This game is definitely fun, disruptive and innovative. Even though it doesnot look like any other social game, several characteristics definitely make ita social game: • It is more fun to play with friends • You can purchase virtual items with real money • It has daily rewards • It is evolving and has an undefined lifetime • Users evolve along with their avatar. 86
    • Without losing any fun at all, the player visits Nike stores with his girlfriend,and he has to struggle to get a sponsorship contract with Nike – his agentputs pressure on him to score in key games and become famous.To make the user interact a lot with the Alfa Romeo brand, for instance,one has to select one by one the desired options for the car, as shownabove.All this brand content is put into a very high quality game, with customizedfilm sequences. The product placements are not annoying any more,because the consumer is respected, with expensive design. 3.2.2. “I F Y OU ’ RE G OING T O C RASH T HE P ARTY , B RING S OME C HAMPAGNE ” Respect the ConsumerThis is a very popular saying amongst agency people. The French agencyBuzzman has made it one of its mottos, acknowledging anyone a brandtries to interact with, should enjoy a high-quality experience.This was originally a quote from Bob Thacker, senior VP – Marketing &Advertising at OfficeMax: “The secret is respecting the consumer. You areinterrupting their life. All advertising is unwanted, so if you’re going to crashthe party, bring some champagne with you”.The right moment, the right medium and the right message are not enough:a very good production and the right moment is necessary to “borrow”some attention from the target.Respecting users by building quality gaming mechanics into a brandmessage is starting to be a standard for the industry as it shows greatinvolvement behaviors. However, this mindset currently is only wide-spread 89
    • within agencies. The “a hunter shoots a bear” Tipp-Ex campaign(mentioned earlier) is an excellent example of this 51.This philosophy goes against all the traditional above-the-line agenciesselling mainstream products by interrupting the consumers during their… • TV program: film • Radio program: audio • Way to work / Way home: billboards • Information gathering: press • Internet browsing: banners, pre-rolls, pop-ups.Here, the consumer chooses to consume the product, which makes themessage considerably stronger, and the brand much more memorizable.Hopefully, advertising will not be seen as an annoyance again, in the nextfew years. The Role of the AgencyAdvertising agencies can certainly reach out to game developers, likepublishers, to get their client’s brand into a game mechanic. However, asthis does not require being embedded in any further communication set-up,the client can just skip the agency step and go ask the publisher directly.There are only two prerequisites: • Knowing about these new advertising spaces and being able to identify the right support for the desired digital brand strategy • “Bringing the champagne” instead of being stuck to a short-term ROI objective.51 More details in 360° Digital > Master the tools first! > Community Management > Virality 90
    • Of course, the agency is able to fulfill those requirements, but if a companyis aware of these objectives, has sufficient skills in-house and has regularneeds, it is perfectly imaginable that it will skip the cost of an agency. 3.2.3. T HIS I S R EAL L IFEGet the Target to Play, Then Sell AuthenticityThe following talk by Jesse Schell - a very influential Game Designer -(2010) is about how brands manage to get their target into the virtualworld, for the “real” world to feel even better. The strategic insight isactually about reality , according to this talk (from 10’30’’): in other words,this is an authenticity driver.This also gives a short overview of how important the gaming industry is. Inaddition, there is a hypothesis about gaming and competition dynamicsbecoming closer and closer to our lives, at least in the Western world. Part of LifeGood games bring an actual service to their players. It is thus only a matterof time until they get a brand to enjoy it – and pay the developers, as did 91
    • 3.3.1. G REAT G AMING M ECHANICS The Daily AppointmentIn social games, this takes the form of a daily reward: every consecutive dayyou log into the game gets you a better gift, so you do not want to miss aday, otherwise you will get back to a small gift. This daily appointmentmakes the game (brand) part of users’ (consumers’) lives.For business, it can be used in pop-up stores for instance. Showing up at acertain time, between certain dates, allows you to either meet a star,receive free samples, get to know exclusive brand content or find help foryour current issues 55. GeolocationThis has been used since geolocation was made possible, starting forinstance with Geocaching, back in 2000 56. In communication, this takes theform of city quests, war games, exclusive retailing 57 or Coupons: severalstartups indeed offer deals via geolocation. T h e U n c e r t a i n R e w a r d 58The uncertain reward is known for being enlightening. Studies have shownthat being unclear about the aim of an action produces greater results thanwhen it is about a known reward.55 « Mes colocs »’s pop-up store in the heart of Paris, helping future flatmates to meet and dealwith paperwork. See in 360° Digital > Master the tools first! > Viral films > Web-series56 For more information : http://en.wikipedia.org/wiki/Geocaching57 See vitaminwater France’s iPhone App (by Auditoire, 2009)58 See Marketing Science/Vol.22, No.4, Fall 2003 > The Effects of Effort and Intrinsic Motivationon Risky Choice > Intrinsic Motivation as a Moderator of the Impact of Effort on PreferredRewards > The Role of Intrinsic Motivation: Discussion (p.487):http://bear.warrington.ufl.edu/centers/mks/articles/51d0762ea0_article.pdf as well as TomChatfield’s (Gaming theorist) TED talk (2010): http://tiny.cc/tom-chatfiled-ted-talk 94
    • This is used a lot in community management: when a brand is organizing amini-contest, users become more involved when it does not say specificallywhat is to be won. The binary call-to-action Source: Tipp-Ex Experience on YouTube (2010)Using the same uncertainreward mechanic, the sameway, the opposite campaignshows a binary choice at theend of a teaser video. Thisinvolves an uncertain end,which is much moreappealing than one simple “continue the experience” call-to-action button.This minimum amount of gaming dynamics still participates a lot in makinga promotional message both successful and respectful to its users. “Level Up!” In business, badges were widely used by Foursquare first (2009), and a lot of other actors have been following this trend, which makes it die by itself – or will have done so by the time this document is 95
    • WHO WILL MASTER THE GAME? The Target ShiftA typical social games paying player is a 43-year-old woman, not a 15-year-old boy 63.The usage of the web has shifted in the last few of years from consumingcontent to creating and sharing content. On a medium where self-esteemwithin a semi-private audience is a more important driver than ever,sharing positive results – in any game – is a strong motivation to spreadbrand content.Brands should acknowledge this shift, as users have already done. Agenciesare communication professionals, experienced in target definition, whoseem to be more able to drive the change. However, very pragmatic and63 Commonly known fact in the gaming industry. Read more about it (2011):http://www.slideshare.net/ctrottier1/designing-games-for-the-43yearold-woman/ 99
    • disruptive advertisers such as small companies in a new market can totallysurprise everyone and innovate in this area. Advertiser + Agencies + Gaming CompanyIn addition to their dynamics, game designers should really be watched bythe whole economy as their business models usually are very valuable andtheir marketing techniques are most of the time very efficient andinnovative.Gaming companies are therefore the first ones to efficiently build on thisgame layer. It is very strategic for marketing people to observe gaming-people and perhaps to do business with them.Just like almost every new trending topic, agency-people are typically moreaware of it and keener to make unusual partnerships than in-house people.Here as well, startups or flexible companies can easily do it efficiently if theywant to. The future of advertising-people depends on what the gaming-people are currently inventing. Let us get into the game.The following comparative SWOT highlights that both advertisers andtraditional advertising agencies surprisingly do not know a lot aboutgaming yet.Just like TV in the 60’s, the web in the 90’s, the social media in the 00’s, theadvertising will most likely take a while before integrating this trend of thedecade to come. Its reactivity is exemplary within the whole economy,though. What is for sure is that first 360° to integrate gaming layers in theircampaign recommendations will soon master the game, alongside theirclients. 100
    • This chart shows that agencies need to integrate gaming mechanics – notonly a minimum amount of it – in order to keep providing an added valueto their clients. 101
    • 103
    • C ONCLUSION & RecommendationsM ost brand managers advertising agencies to act on the digital medium, do not do it for direct sales but for a brand image calling on p u r p o s e 64 . I f i t i s n o t f o r r e p u t a t i o n , i n - house traffic managers, for instance, monitor ROI data more efficiently. “No agency can do user acquisition as well as we do it. But my department would not be good at building a brand.” Interview with Thorbjörn W. Partly for the reason described above, 50% of brands employ social-media dedicated people 65. This does not mean they do not ask agencies to work with them, but it still implies that brands give a growing credit to their digital strategy.64 Source: Marketing Magazine UK (2011): http://marketingmagazine.co.uk/news/1098242/Brands-social-media-long-term-investment-finds-study/65 Source: New Media Age (2011): http://www.nma.co.uk/news/half-of-brands-employ-dedicated-social-media-staff/3030935.article 104
    • There is work to do for these people, as they currently are not present enough for members of their communities on social networks. Too few complaints and questions are solved (29% on Twitter 66, 5% on Facebook 67). It is the agency’s job to advise their clients on reaching out to their customers. But, once this educational work is over, it is the advertiser’s job to interact with its communities. Below is a summary of strengths, weaknesses of advertisers in managing their own digital brand strategy, and of the opportunities and threats of outsourcing it to an advertising agency.66 The Drum (2011): http://www.thedrum.co.uk/news/2011/10/13/71-companies-ignore-consumer-complaints-twitter67 Source: Social Bakers (2011): http://econsultancy.com/uk/blog/8149-companies-respond-to-just-5-of-questions-on-facebook 105
    • 106
    • Of course, the final advice on whether one shouldoutsource one’s strategy depends on theadvertiser’s size, budget and objectives, but it alsodepends on the agency’s evolution.In a digital world in which everyone has controlover everything, agencies need to progress byintegrating competences from the startups’ universe,the gaming universe and the high-tech businessuniverse.Advertisers also need to evolve and hire moremanagers with advertising backgrounds, which ishelpful when keeping smooth process and goodrelationships with agencies.This shift is exciting. Not everyone will be part of it. 107
    • “IT IS NOT THE STRONGEST OF THE SPECIES THAT SURVIVES, NOR THE MOST INTELLIGENT THAT SURVIVES.IT IS THE ONE THAT IS THE MOST ADAPTABLE TO CHANGE.” CHARLES DARWIN (1809-1882) 108
    • Not Enough Yet?Full Version Of This Thesis (123 Pages): Tiny.Cc/Ugosthesis Contact:Ugo.Orlando@Toutattache.Com Ugo Orlando, Community Manager November 2011, ugo Orlando, All Rights Reserved 109