1. The State of
Advertising in
Australia
Adknowledge Seminar
29 September 2009

2. The State of Advertising
The sub text: Social Media
New Technology
New Audiences
New Engagement

3. from
Shock & Awe
to
Hearts & Minds

4. penetration surround the
strategy consumer
coverage
impact
ambush
marketing campaign
weight guerilla
marketing

5. conversation intimacy
dialogue listening
engagement
touch-points
fulfillment connection

6. An evolution in the economics of
advertising
Limited Choice, Boundless Choice,
Boundless Attention Limited Attention
High Competitive Low Competitive
Entry Barriers Entry Barriers
Competitively Consumer focused
focused
Products with Claims Brands with Values
and Attributes

7. The Evolution
Product Claim
Values Based

8. The Cycle of Media
342
14000 331 335 350
12000
All Ad spend 1986-2009 ($million), 285
297
300
and indexed versus 1986 265 11720
12130
11865
10000 237 10527 250
225 10109
217
207 209 9387
199
8000 185 8395 200
168 7970
167 7682
7337 7423
153 7061
141 137 139 6587
6000 135 150
124 129
5915 5954
108 5414
100 4980 4870 4790 4923
4000 4392 4580 100
3843
3543
2000 50
0 0 Share of Ad spend 1986-2009 by media type
E
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
19
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20
20
20
100% 2.2 2.8
5.8 5.8 5.4 5.4 4.4 4.3 4.2 3.9 4.2 3.5 3.7 4.1 6.1
7.2 7.2 6.9 6.9 6.9 3.4 3.5
3.5 9.5 11.5
Ad spend ($m illion) Index versus 1986 14.1
7.9 8.6 3.5 16.5
9 9 8.8 8.6 8.8 8.8 9.4
8.9 8.6 8.8 9.2 8.2 9.1 8.8 3.6
8.9 9.3 9 3.7
8.9 3.7
8.8 3.6
80% 8.4
8.2
8
49.1 49.3 51.7 51.9 51.3 53.5 48.5
60% 48 48.3 50.2 50.4 51.7 50.4 53 52.8 52.6 49.9 49.3 47.9
47.2
44.8
43.6
42.4
37.9
40%
20%
34.2 34.7 33.8 35.7 34.7 35.8 34.5 34.2 35.2 34 34.4 34.6 34.8 34.8
33.4 32.7 34.2 33.4 33.5 33.4 32.5 32 30.7 28.4
0%
E
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
19
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20
20
20
TV Print Radio Cinema OOH Online

9. This is the confluence of cyclical and
structural influences
6000
Print has All fall
steepest fall except
5000 Radio hardly Online
affected
4000
3000
Ad spend 1986-2009 by media type ($million)
2000
1000 1174
1200 1200
1023
0
1000 Slower 1000
E
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
19
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20
20
20
growth,
Online spend versus all advertising 806
TV Print Radio Cinema OOH Online
800 spend 2002-2009 indexed versus 2002 but no fall 800
599
600 600
371
400 400
232
158 154 200
200 141 132 137 153
100
122
100 109
0 0
E
86
87
88
89
90
91
92
93
94
95
96
97
98
99
00
01
02
03
04
05
06
07
08
09
19
19
19
19
19
19
19
19
19
19
19
19
19
19
20
20
20
20
20
20
20
20
20
20
Online ad spend index versus 2002 All ad spend index versus 2002

10. The future where technology meets
psychology
Downturn has forced a tighter
coupling of
values & value conscious

11. Our future has two media trinities
Trinity 1
Bought
Multi-
Media
Earned Owned

12. Our future has two media trinities
Trinity 2
Interactive
Marketing
Orientation
Mobile Social

13. The Future Multi-media Game Play
2009
Personal
2014 Communication
Social Media
Mobile
Internet
PC
Internet
Low Reach High Reach
Analogue
TV
Magazines
Digital Newspapers
TV
Radio
Mass
Communication
Out of home

14. What if, in the future…..
Importance Ad Expenditure
Main Media
Social Media
2009 Time 2014

15. In the future
Who is king?

16. Holy Grail
• Measurement and recognition of multi channel
performance
• Data in everything to an increasingly granular level
• How do we use this data to generate knowledge
for our clients in terms of where and how they
should INVEST
ROI

17. Chemistry
+
Culture
=
Collaboration

18. Looking ahead
data/creativity

19. This future which has started is
about…..
1. An increasingly personalised opportunity to
effectively communicate
2. Technology meets psychology
3. Media in the forefront as a Holy Trinity of bought,
owned, earned or mobile, social or interactive
4. Investment patterns must and are changing
5. The Holy Grail is still knowledge of what is
working best