Climate change. Ad:tech presentation 2013


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A point of view on how to deal with the new media landscape. How to command an audience you can no longer interrupt. How does 'digital' change the way we market? Or does it?

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Climate change. Ad:tech presentation 2013

  1. 1. CLIMATE CHANGE managing the modern marketing landscape jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 1
  2. 2. THE IRONY OF TALKINGABOUT AUDIENCE WHENNOBODY EVER LISTENS TO YOU jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 2
  3. 3. WHY SOCIAL MEDIADOESN‟T WORK WHEN YOU‟VE GOT NO FRIENDS, JON jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 3
  4. 4. BIGMOUTH STRIKES AGAIN jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 4
  5. 5. FUUUCCCKKK! jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 5
  6. 6. CLIMATE CHANGE managing the modern marketing landscape jon bradshaw, marketing novice ad:tech tuesday 12th march 2013 6
  7. 7. Why Climate Change? • The data is indisputable. There‟s a seismic shift underway. • A large number of people, especially the manufacturers of marketing fossil fuels, are in total denial about what‟s happening. • Nobody has a clue about what to do instead. • There are a heap of snake oil salesmen selling the marketing equivalent of wind-farms and hybrid cars.#ATSYD 7
  8. 8. Today • Setting the platform on fire. • Why does some advertising work, but much of it doesn‟t? • How do we need to think to deal with the new environment?#ATSYD 8
  9. 9. Jon BradshawMarketing Novice#ATSYD 9
  10. 10. The role of marketing has not changed • Change consumers behaviour • To make the organisation more successful • For the long term#ATSYD 10
  11. 11. There are only four tasks • Acquire new consumers. • Get current consumers to buy more (frequency or weight). • Keep those consumers loyal. • Increase the value of the brand so that we can charge more.#ATSYD 11
  12. 12. The overarching process also hasn‟t changed Motivation Insightpositioning Truth Difference Brand Competition Positioningidentity Identity Engagement Connectionexecution Idea Channel Comprehension Execution#ATSYD 12
  13. 13. Our role and process hasn‟t shifted, but our audience has begun to disappear#ATSYD 13
  14. 14. We are screwed…#ATSYD 14
  15. 15. The media landscape is changing fast#ATSYD 15
  16. 16. It‟s easy to still believe in TV  52% say most memorable medium (Deloitte 2010)  87% reach of all Australians  Are we still warming ourselves when our house is on fire?#ATSYD 16
  17. 17. The TV landscape in Australia is fragmenting beyond all recognition % Australians reached by media type Broadcast Time Shift All Online Streaming Pirate Online catch Up 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100%• Traditional broadcast still has the best reach at 87% of all Australians.• But one third of those are watching time shifted TV.• 86% of time shifters skip ads.• Online viewing already has surprisingly good reach at 43%.#ATSYD 17
  18. 18. „New‟ media not only has reach, it has depth Media hours viewed per week Broadcast Time Shift All Online Streaming Pirate Online catch Up 0 2 4 6 8 10 12 14 16 18 • Looking at actual consumption of media, online viewers consume as heavily as traditional viewers. • And are currently sourcing up to 6 hours a week of content from pirate channels.#ATSYD 18
  19. 19. International data suggests time shifted will become the norm in broadcast media • Foxtel iQ penetration is around 35% • DVR / TiVo penetration in the US reached 63% of households with income over $100k. • 86% of viewers said they fast forwarded through the ads. DVR Penetration in the USA 60 50 40 30 20 10 0 2007 2008 2009 2010 2011 2012 2013#ATSYD 19
  20. 20. Interruption is dead, (well at least very poorly) The audience is online, on demand and in control.#ATSYD 20
  21. 21. The Problem with Target Tooheys Hahn and XXXX beers drunk in any one year = 1.5 billion Current total number of Facebook fans = 177,000 DNPFBFPD Index = 23.2#ATSYD 21
  22. 22. The Problem with Aussie Gov‟t healthy drinking guidelines = 2 standard drinks / day FBFRTHT@2SDPD = 2.1 million A 1,200% increase#ATSYD 22
  23. 23. The Problem with  3 x the number of fans of Coke in Australia  4 x the fans of McDonalds  13 x the number of fans of Julia Gillard or the Wallabies  25% of all active Facebook users in Australia#ATSYD 23
  24. 24. The Problem with#ATSYD 24
  25. 25. Digital is not (yet) the messiah “He‟s not the messiah, he‟s a very naughty boy”#ATSYD 25
  26. 26. We have to change the question  From just  “what shall we say and do?”  “where shall we say it?”  To  “why will anyone want to listen and engage?#ATSYD 26
  27. 27. We need to begin to think about „advertising‟ in four connected but different ways Story Telling story-telling Relationship Management relationship But the audience has different management reasons to engage in each of these four „nodes‟ System Building system building E-Commerce E-commerce Managing engagement is the secret to making it all work #ATSYD 27
  28. 28. We used to rely on being entertaining to get people to care about our marketing brand story-telling entertainment source approach reason to engage• A brand creates stories that entertain.• The best ads work when we craft an entertaining, unexpected story about the brand that people can relate to. #ATSYD 28
  29. 29. When you can interrupt the formula hasn‟t changed much Engaging, emotive story telling that simply and powerfully dramatizes a believable, motivating brand truth.#ATSYD 29
  30. 30. Is this the last great ad I‟ll ever make? 30
  31. 31. Digital creates opportunities and challenges. brand story-telling entertainment source approach reason to engage• Story telling in the digital channels, especially in owned media means we can make it participatory and always on• But always on creates a hungry content mouth to feed• Participation, whilst more effective is complex and hard to get right. #ATSYD 31
  32. 32. XXXX Island – always on is hard (and can be expensive!)#ATSYD 32
  33. 33. Relationship marketing relies on reward relationship brand reward management source approach reason to engage• Service brands have developed this discipline to a sophisticated level.• But historically product brands have at best dabbled round the edges of managing loyalty #ATSYD 33
  34. 34. In relationship management, digital has again driven significant change relationship brand reward management source approach reason to engage• Digital has transformed this node from generic mass DM• To highly tailored data driven conversations with customers• But the increasing need for data has continued to intimidate brands who do not own the transactional relationship with the end user#ATSYD 34
  35. 35. Service brands have been really building this capability#ATSYD 35
  36. 36. Some product brands are now getting into loyalty and reward#ATSYD 36
  37. 37. In the latter half of the noughties we saw a new advertising approach emerge – system building system brand utility building source approach reason to engage• In the mad rush of excitement about a new medium the question of why would anyone care has often been lost.• The best examples of software as advertising deliver real usefulness to the consumer, giving them a reason to engage.• Without that you‟re just another useless app in the trash folder.#ATSYD 37
  38. 38. Investorville is useful!#ATSYD 38
  39. 39. What about gamification?#ATSYD 39
  40. 40. There is a growing aspect for many brands – e-commerce brand E-commerce transaction source approach reason to engage • Currently dominated by retail and service brands. • But as the Coles and Woolworths duopoly gets tougher • We may see many other players in this space.#ATSYD 40
  41. 41. FMCG is moving into e-commerce#ATSYD 41
  42. 42. As such marketing has evolved into four approaches or nodes. Each of the different ‘nodes’ works in a different wayAdvertising approach Consumer Behaves Reason to engage is Media is Digital facilitates Consumer result is (node) as Story Audience Entertainment Pushed Participation Consideration tellingRelationship management Recipient Reward Pushed and Pulled Personalisation Retention System User Utility Pulled Socialisation Involvement building E-Commerce Buyer Transaction Pushed Ease Consumption #ATSYD 42
  43. 43. Introducing… ©™ The Hyper-connected Advertising Ecosystem ® (I told you I wasn‟t good at titles)#ATSYD 43
  44. 44. Brand and Data connect all four nodes into an ecosystem Utility Real (social) usefulness System Building Personalised reward for loyalty Data fuelled insights Entertain Story Relationship ment telling brand Management Reward Always on, interactive story telling Data fuelled insights E- commerce Simple easy intuitive shopping Transaction#ATSYD 44
  45. 45. What does it all mean? We need to develop Hyper-connected Advertising Ecosystems  BRAND. We have to get super tight on positioning and identity in order to have the freedom to be in all four nodes.  DATA. We have to scrape data at every interaction and make it useful and useable.  CONNECTION. Connecting the nodes is where the power is. Each approach builds the strength of the other. You have to build an ecosystem.#ATSYD 45
  46. 46. “A slow sort of country” Change is inevitable. Truly successful brands have to move faster than the speed of change to stay in front. "Well, in our country," said Alice, still panting a little, "youd generally get to somewhere else — if you run very fast for a long time, as weve been doing.” "A slow sort of country!" said the Queen. "Now, here, you see, it takes all the running you can do, to keep in the same place. If you want to get somewhere else, you must run at least twice as fast as that!” Lewis Carroll, Through the Looking Glass.#ATSYD 46
  47. 47. Hyper connected advertising in practice#ATSYD 47
  48. 48. thank you 48