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Apple WWDC 2017 Full Recap & Analysis

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Tom Edwards, Ad Age Marketing Technology Trailblazer and Chief Digital Officer, Agency @ Epsilon and his team including Steve Harries & Ian Beacraft, analyze trends and highlights from Apple's worldwide developer conference.

Trends include the evolution of Siri, the launch of Homepod, improvements to iOS11 and the impact it all may have for brand marketers to consider.

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Apple WWDC 2017 Full Recap & Analysis

  1. 1. Epsilon Agency June 6th, 2017 1 APPLE WWDC 2017 RECAP
  2. 2. APPLE WWDC 2017 When I think of Apple, 3 things come to mind: Industrial design of it’s hardware, interoperability across products, and of course millions of apps. After WWDC 2017, I need to add artificial intelligence (AI) enabled experiences, device level privacy and a new focus on augmented reality. AI was a the key theme of WWDC (mentioned 20 times in 2.5 hours). Apple highlighted how both machine learning and deep learning are now integrated across multiple products. From Apple Watch, Siri, facial recognition in photos and even hand written notes in iOS11. AI integrated experiences were one of the more important areas discussed during WWDC. WWDC also saw a new hardware launch in the form of the HomePod. HomePod is Apple’s entry into the Smart speaker market. While Siri is integrated into the device it’s to be determined the role it can play for brand marketers as the skills and actions we have begun to depend on in other product ecosystems was surprisingly absent. 
 Apple is also investing heavily into enabling augmented reality experiences through hardware and software. With the launch of ARKit, their strategy is to empower the millions of developers to take their AR building blocks and create immersive experiences that are closely mapped to the real world via world tracking for both 2D and 3D elements. 
 Apple is building a foundation for the future built on device level privacy, artificial intelligence, augmented reality and multimodal computing through evolving Siri beyond handsets into cars and the home with Homepod. 
 Tom Edwards Chief Digital Officer, Agency 2
  3. 3. 3 End To End Experience
  4. 4. Building End-To-End UX 4 Connection In the first half of 2017, we saw Google and Facebook shift away from mobile, albeit in different directions as if they both discovered a fork in the road and were forced to choose one path. Google chose AI, while Facebook set their sight on the camera as a platform -two new directions, two new platforms. This year’s WWDC showed us Apple chose to keep heading straight, unwilling to depart from their original course of focusing on hardware, apps, privacy, and the end-user experience. We saw Siri’s intelligence shift from reactive to predictive on both the iPhone and Watch, Safari leverage machine learning for privacy and website performance optimization, Amazon Prime TV launch on tvOS, the App store redesigned to look more like Apple News, and finally their Echo and Google Home competitor, HomePod, that cautiously emphasizes sound over speech. Implications: Apple focuses on hardware and enabling consumer experience via apps over traditional advertising. For brand marketers, building experiences means forgoing traditional advertising models and focusing more on building end user experiences that tap into three core behavioral territories of empower, enhance and feel. Apple is laser focused on creating a seamless end-to-end consumer centric user experience
  5. 5. 5 Empower Through Apps
  6. 6. Empower Through Apps 6 Connection Apple began this years WWDC with an apocalyptic view of a world without apps. To ensure this dystopian future never exists, apps became more central to the iOS experience as a way to empower device centric content creation and sharing. This fall the App store will receive a redesign that makes apps more discoverable via curation, highlights and contextual recommendations. Apple didn’t stop with only the App store. Apple is also enhancing elements of iMessage’s app drawer, while subtle is’s a significant step forward. Social messaging has overtaken social media as a core social behavior so it makes sense that Apple wants to push Apps as the foundation to create and share content within the iMessage experience. Next, Apple, seeing the popularity of image effects upgraded their photos app to include loops, bouncing, more filters and long exposures to give their customers more creative freedom via their device. Implications: Apple’s continued focus on making Apps the foundation for consumer empowerment and device specific behaviors is not surprising. Apps represented the second largest revenue stream for Apple. For brand marketers it’s important to define a strategy that takes into consideration all of the various ways to connect with consumers. Be it in app, through an app network, enabling experiences via iMessage or through the new ARKit. Apple is creating multiple points to connect with consumers Apple is redesigning multiple facets of how consumers will interact, discovery and engage with apps
  7. 7. 7 Differentiated Privacy
  8. 8. Differentiated Privacy 8 Connection Apple has stood as one of the few large tech organizations that has user privacy at the center of their product experiences. During WWDC 2017, Apple announced a number of privacy related statements tied to cracking down on intelligent tracking activities on the desktop version of safari as well as changes to how autoplay videos will respond in by stopping autoplay. Additionally, Apple showcased how they are using artificial intelligence to process personal data directly on the phone vs. being sent to remote servers. Voice interactions with Siri via HomePod will also be encrypted and removes any personally identifiable information. Implications: The current announcements are tied directly to safari on MacOS (desktop only) and do not impact mobile advertising at this time. One key takeaway though is to always focus on creating relevant and highly contextual advertising that will engage directly with a consumer and either entertain, or meet a known need state. Good creative will breakthrough. Apple is turning to Artificial Intelligence to further drive their approach to differentiated privacy
  9. 9. 9 P2P Payments
  10. 10. P2P Payments Via Apple Pay 10 Connection One of the bigger iOS 11 announcements was that Apple Pay will support person-to-person (P2P) payments. The really smart play here is that Apple is embedding P2P payments directly within iMessage. This will allow Apple Pay to compete with various services from PayPal, Venmo, and Square. Because Apple is facilitating this through it’s own digital debit card, this can compete directly with banks and services that offer quick P2P payments. 
 Apple’s P2P offering is currently only available in the US, but there has been a rapid rise in P2P services that do not use traditional currency as part of a P2P exchange. In South America, there are P2P services that are based on phone minutes as the currency. Implications: Initially, the Apple Pay P2P feature will be limited to users of iPhones, iPads and the Apple Watch, but this is a bold move by Apple as they grow their physical retail footprint to attract younger consumers that don’t already have a traditional debit or credit card.Apple views Apple Pay as a long game to attack younger consumers and possibly disrupt the traditional banking relationship
  11. 11. 11 Siri’s Evolution
  12. 12. SIRI 2.0 12 Connection Apple announced Siri Intelligence, an upgrade to the artificially intelligent assistant that facilitates actions driven by an enhanced contextual understanding of what takes place both on and off the device. Utilizing a suite of machine learning (ML) tools including Machine Vision and Natural Language Processing built into a platform called CoreML, Apple is able to deploy features that automatically enhance activities through an understanding of the next desired action and how to apply the desired effect. Apple is making the shift from pushing Siri as a voice assistant, to a fully embedded AI that extends throughout the device ecosystem. Implications: Apple devices are becoming increasingly aware of context, which gets them ever closer to providing the predictive assistance inherent in the promise of AI. This also means that content will be increasingly filtered by algorithms and delivered to the user without them ever going to a search engine, or browsing the web themselves. Apple is looking to evolve Siri across consumer touchpoints. From in home, TV, smartphones, wearables, automobiles.
  13. 13. Siri + Contextual Awareness 13 Connection The new suite of APIs and SDKs are also enhancing Siri’s presence across Apple’s suite of smart devices, enabling the Apple Watch to auto play workout music, and provide the user with contextually relevant information on its watch face. 
 Apple also announced the ability for iOS to allow for two-way data exchange between the watch and gym equipment. Other examples of contextual awareness include providing an auto-response while driving, to adding foreign words to iMessage’s Autocorrect based on your Safari browsing history, Apple devices will aim to be one step ahead of the user. 
 Implications: Thankfully, Apple isn’t keeping all of this great tech to themselves. They’re opening access to many of these SDKs and APIs to the developer communities, which will allow them to apply machine learning to their own data sets on the device itself, while provide all sorts of new use cases and features to Apple consumers. Apple is on a path to predictive experiences by enhancing Siri across Apple operating systems.
  14. 14. 14 Apple’s Augmented Reality Future
  15. 15. ARKit 15 Connection For the past year, Tim Cook has been hinting at Apple moving into the AR space. Apple took the same approach as Google did with their Project Tango and released their ARKit for third-party developers. Unlike project Tango, which will be available on a few Android devices, ARKit will be available on all iPhones and iPads, making it the largest AR platform overnight. 
 AR kit was very impressive allowing for fast and stable motion tracking that makes objects fit snugly into their environment, instead of just hovering above them like Pokeman Go’s monsters. AR Kit taps into the iPads and iPhones advanced sensors to map surfaces and place objects from a realistic perspective. On the the other end of the immersive experience, Apple announced High Sierra (MacOS) will support external graphics hardware to allow users connect their HTC Vive or Oculus headsets. Implications: Today’s announcements shows Apple is laying the foundation for Augmented Reality. AR is considered the next consumer platform after mobile so it’s important Apple has a stake in the hardware market to remain competitive and aligned with their business model. 
 For brand marketers, the key will be to leverage AR platforms whether it’s the AR kit or Unity 3D engine to start building and testing AR experiences that can be ported to multiple devices and experiences. Apple views Augmented Reality as a core part of their hardware strategy moving forward
  16. 16. 16 Homepod
  17. 17. Homepod 17 Connection One of the lone new hardware announcements at WWDC came in the form of the HomePod. The HomePod is Apple’s entry into the hotly contested smart speaker race and with a $349 price point, the HomePod is targeting a very specific segment of the market. The newly announced HomePod will also leverage Siri to answer queries similar to the Amazon Echo and Google Home while leveraging machine learning to take the music experience to new heights with features like 3D beam-forming and spatial sound. 
 Implications: While the HomePod is aesthetically stunning, one of the core elements that was missing from the launch presentation is a marketers ability to create skills or actions via SiriKit for the HomePod. SiriKit allows access to certain API’s within Siri to integrate various functions across iOS, but brand enablement via HomePod use cases is currently TBD. Brands will have to prepare for a future where more content is requested via voice and navigation may not include a browser. On the other hand, Apple is now providing brands extremely powerful ML and AI tools that require only a few lines of code to embed within their apps, opening up a whole new world of data activation. Apple has officially entered the smart speaker market
  18. 18. GET GROWING
  19. 19. Questions or inquiries can be sent to: @BlackFin360 @Steve_Harries22@IanBCraft
  • bwrasa

    Aug. 20, 2017
  • tab8

    Jun. 16, 2017

Tom Edwards, Ad Age Marketing Technology Trailblazer and Chief Digital Officer, Agency @ Epsilon and his team including Steve Harries & Ian Beacraft, analyze trends and highlights from Apple's worldwide developer conference. Trends include the evolution of Siri, the launch of Homepod, improvements to iOS11 and the impact it all may have for brand marketers to consider.


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