Digital Disruption
Why no one is equipped for the New Era of Marketing




 Shiv Singh
 Global Head of Digital
 PepsiCo Beverages

 @shivsingh

                                                      1
What does digital do for us today?




  Equity                &            Sales


       Trips, Loyalty & Conversion
By managing the Digital Inflection Point
1                                                        1
                                                             Increased use of digital
       The “Anytime /
                                                                catalogs / coupons
    Anywhere” consumer
                                                               (with decline in FSI)
                             Consumers       Customers
2                                                        2
                                                                  Targeted and
    Growth in online media
                                                             personalized consumer
            usage
                                                             promotions and offers
                                     A Digital
                                    Inflection
3                                                        3
                                      Point
         Consumers
                                                              Digital innovation in
    participating in brand
                                                                      stores
          messaging

4                                                        4 Sophisticated digital
     Consumer advocacy                                      platforms for 360
        and influence                                       degree consumer
                                                              engagement
The Web as I envisaged it, we have
not seen it yet. The future is still so
much bigger than the past.




- Tim Berners Lee
5 IDEAS FOR THE 21ST CENTURY
IDEA 1: REAL-TIME MARKETING




                              6
Living in Real-Time




                      7
Real-Time Marketing Components



      Real-time          Real-time              Social         Trending
      INSIGHTS      x                           Graph
                         RESPONSE               Data             Data




      Real-time     x    Real-time               Digital      Interaction
   CONTENT STUDIO       CO-CREATION             Ad Data          Data




      Real-time     x     Real-time
    DISTRIBUTION        ENGAGEMENT               CRM              Sales
                                                 Data             Data


                            Geo-Culture frame              Privacy Protected



                                                                               8
Real-Time Live Events capturing NOW Culture
Here’s TAKEAWAYS
KEY an example of a
differentiated insight


1. Real-Time potential across every channel & platform
2. Participate through the lens of your brand only
3. Practice nimble, iterative and agile marketing
4. Create original, live and real-time scale experiences
5. Empower activation teams, liberate the lawyers
IDEA 2: EVERYTHING IS MEDIA




                              11
Celebrities as media. Ads as Content
Billboards as media and as distribution
                                          13
Packaging as media and for insights
                                 14
With data we could only dream of
Here’s TAKEAWAYS
KEY an example of a
differentiated insight


1. You probably have media you’re not using today
2. Link platforms and channels to create new media
3. Pace with consumer adoption of technologies
4. Connect disparate data to drive new insights
IDEA 3: MOBILIZE EVERYTHING




                              17
19
Are you doing any of the following?




                                      1.   Hyper-local targeting
                                      2.   Behavioral Targeting
                                      3.   Competitor Conquesting
                                      4.   Seasonal Mobi-blocks
                                      5.   Show-rooming & lists
22
Here’s TAKEAWAYS
KEY an example of a
differentiated insight


1. Don’t bet against mobile, lean forward into it
2. Marry product, engagement and hyper-targeting
3. Recognize that no one really knows this space
4. Think about it as an arbitrage opportunity
IDEA 4: BET ON FACEBOOK MATH




                               24
We need to compare these “posts”




                                   26
-
              2,000,000
                          4,000,000
                                      6,000,000
                                                  8,000,000
                                                              10,000,000
                                                                                        14,000,000
                                                                                                     16,000,000
                                                                                                                                                         18,000,000




                                                                           12,000,000
7/10/12
7/12/12
7/14/12
7/16/12
7/18/12
7/20/12
7/22/12
7/24/12
7/26/12
7/28/12
7/30/12
 8/1/12
 8/3/12
 8/5/12
 8/7/12
 8/9/12
8/11/12
8/13/12
8/15/12
8/17/12
8/19/12
8/21/12
8/23/12
8/25/12
8/27/12
8/29/12
8/31/12
 9/2/12
 9/4/12
 9/6/12
 9/8/12
9/10/12
9/12/12
9/14/12
                                                                                                             Facebook has scale for Pepsi week by week




9/16/12
27




9/18/12
9/20/12
An intense focus produces results


Average post engagement                       114%                      (Facebook)


Number of people engaging                     179%                 (Facebook)


The viral reach generated                     1133%                (Facebook)


Engagement comparison                              7X              (Colligent)


Active via mobile comparison                       40%             (Mashable)


Next step not just tying the impact to brand equity measures but to sales
Here’s TAKEAWAYS
KEY an example of a
differentiated insight


1. Facebook is a scale platform and its here to stay
2. Betting on powerful content + advertising works
3. Taking it real-time but not all the time is powerful
4. It is more measurable than we often recognize
5. Mobile will be a huge unlock for Facebook and you
IDEA 5: WORSHIP DATA




                       30
15 years ago          Today

Demographics          Demographics
Psychographics        Psychographics
Product Consumption   Loyalty Behavior
                      Social Influence
                      Historical behavior
                      Interaction Behavior
                      Habits and Interests
                      Lifestyle Preferences
                      Product Consumption
We have new ways to understand brands now
As well as media performance across platforms
5 IDEAS FOR THE 21ST CENTURY

 1. REAL-TIME MARKETING

 2. EVERYTHING IS MEDIA

 3. MOBILIZE EVERYTHING

 4. BET ON FACEBOOK MATH

 5. WORHSHIP SOCIAL DATA
What does this all mean?

  1. The marketing ecosystem is changing faster than we realize

  2. Question your assumptions. Pace with changing user behavior

  3. Don’t depend on the past to predict the future. Make mistakes

  4. Digital is all about being more personal, and human too

  5. Manage digital both nationally and locally in different ways
Thank you!

               @shivsingh
   shiv.singh@pepsico.com
http://goingsocialnow.com

1 b. shivsingh

  • 1.
    Digital Disruption Why noone is equipped for the New Era of Marketing Shiv Singh Global Head of Digital PepsiCo Beverages @shivsingh 1
  • 2.
    What does digitaldo for us today? Equity & Sales Trips, Loyalty & Conversion
  • 3.
    By managing theDigital Inflection Point 1 1 Increased use of digital The “Anytime / catalogs / coupons Anywhere” consumer (with decline in FSI) Consumers Customers 2 2 Targeted and Growth in online media personalized consumer usage promotions and offers A Digital Inflection 3 3 Point Consumers Digital innovation in participating in brand stores messaging 4 4 Sophisticated digital Consumer advocacy platforms for 360 and influence degree consumer engagement
  • 4.
    The Web asI envisaged it, we have not seen it yet. The future is still so much bigger than the past. - Tim Berners Lee
  • 5.
    5 IDEAS FORTHE 21ST CENTURY
  • 6.
    IDEA 1: REAL-TIMEMARKETING 6
  • 7.
  • 8.
    Real-Time Marketing Components Real-time Real-time Social Trending INSIGHTS x Graph RESPONSE Data Data Real-time x Real-time Digital Interaction CONTENT STUDIO CO-CREATION Ad Data Data Real-time x Real-time DISTRIBUTION ENGAGEMENT CRM Sales Data Data Geo-Culture frame Privacy Protected 8
  • 9.
    Real-Time Live Eventscapturing NOW Culture
  • 10.
    Here’s TAKEAWAYS KEY anexample of a differentiated insight 1. Real-Time potential across every channel & platform 2. Participate through the lens of your brand only 3. Practice nimble, iterative and agile marketing 4. Create original, live and real-time scale experiences 5. Empower activation teams, liberate the lawyers
  • 11.
    IDEA 2: EVERYTHINGIS MEDIA 11
  • 12.
    Celebrities as media.Ads as Content
  • 13.
    Billboards as mediaand as distribution 13
  • 14.
    Packaging as mediaand for insights 14
  • 15.
    With data wecould only dream of
  • 16.
    Here’s TAKEAWAYS KEY anexample of a differentiated insight 1. You probably have media you’re not using today 2. Link platforms and channels to create new media 3. Pace with consumer adoption of technologies 4. Connect disparate data to drive new insights
  • 17.
    IDEA 3: MOBILIZEEVERYTHING 17
  • 19.
  • 20.
    Are you doingany of the following? 1. Hyper-local targeting 2. Behavioral Targeting 3. Competitor Conquesting 4. Seasonal Mobi-blocks 5. Show-rooming & lists
  • 22.
  • 23.
    Here’s TAKEAWAYS KEY anexample of a differentiated insight 1. Don’t bet against mobile, lean forward into it 2. Marry product, engagement and hyper-targeting 3. Recognize that no one really knows this space 4. Think about it as an arbitrage opportunity
  • 24.
    IDEA 4: BETON FACEBOOK MATH 24
  • 26.
    We need tocompare these “posts” 26
  • 27.
    - 2,000,000 4,000,000 6,000,000 8,000,000 10,000,000 14,000,000 16,000,000 18,000,000 12,000,000 7/10/12 7/12/12 7/14/12 7/16/12 7/18/12 7/20/12 7/22/12 7/24/12 7/26/12 7/28/12 7/30/12 8/1/12 8/3/12 8/5/12 8/7/12 8/9/12 8/11/12 8/13/12 8/15/12 8/17/12 8/19/12 8/21/12 8/23/12 8/25/12 8/27/12 8/29/12 8/31/12 9/2/12 9/4/12 9/6/12 9/8/12 9/10/12 9/12/12 9/14/12 Facebook has scale for Pepsi week by week 9/16/12 27 9/18/12 9/20/12
  • 28.
    An intense focusproduces results Average post engagement 114% (Facebook) Number of people engaging 179% (Facebook) The viral reach generated 1133% (Facebook) Engagement comparison 7X (Colligent) Active via mobile comparison 40% (Mashable) Next step not just tying the impact to brand equity measures but to sales
  • 29.
    Here’s TAKEAWAYS KEY anexample of a differentiated insight 1. Facebook is a scale platform and its here to stay 2. Betting on powerful content + advertising works 3. Taking it real-time but not all the time is powerful 4. It is more measurable than we often recognize 5. Mobile will be a huge unlock for Facebook and you
  • 30.
  • 31.
    15 years ago Today Demographics Demographics Psychographics Psychographics Product Consumption Loyalty Behavior Social Influence Historical behavior Interaction Behavior Habits and Interests Lifestyle Preferences Product Consumption
  • 32.
    We have newways to understand brands now
  • 33.
    As well asmedia performance across platforms
  • 34.
    5 IDEAS FORTHE 21ST CENTURY 1. REAL-TIME MARKETING 2. EVERYTHING IS MEDIA 3. MOBILIZE EVERYTHING 4. BET ON FACEBOOK MATH 5. WORHSHIP SOCIAL DATA
  • 35.
    What does thisall mean? 1. The marketing ecosystem is changing faster than we realize 2. Question your assumptions. Pace with changing user behavior 3. Don’t depend on the past to predict the future. Make mistakes 4. Digital is all about being more personal, and human too 5. Manage digital both nationally and locally in different ways
  • 36.
    Thank you! @shivsingh shiv.singh@pepsico.com http://goingsocialnow.com

Editor's Notes

  • #15 Physical Packages (100s of millions in market) + Real-Time Digital = Explosive Marketing Scale
  • #20 That little thing in your pocket – the mobile phone is the future
  • #22 17.4 million times during nearly 13 million minutes of gameplay“That’s Brisk, Baby”
  • #23 17.4 million times during nearly 13 million minutes of gameplay“That’s Brisk, Baby”
  • #27 For the X-Factor and subsequent media buys, we’ve started analyzing real-time social media conversations during that specific day part to see which TV show has the most share of conversation and what those conversations are about – awesmenness, the advertising, viewing intent etc. When combining this with GRPs we have both a qualitative and quantitative measures into TV programming. It’s just one example of how measurement is evolving. Needless to say, the more engaged consumers are with a TV program, the more it is valuable to us. The same philosophy applies to to TV advertising
  • #34 For the X-Factor and subsequent media buys, we’ve started analyzing real-time social media conversations during that specific day part to see which TV show has the most share of conversation and what those conversations are about – awesmenness, the advertising, viewing intent etc. When combining this with GRPs we have both a qualitative and quantitative measures into TV programming. It’s just one example of how measurement is evolving. Needless to say, the more engaged consumers are with a TV program, the more it is valuable to us. The same philosophy applies to to TV advertising