Brand Asset Valuator

                    Project Banzai
Prepared for John Gerzema, Y&R, Global Insights Officer


              Submitted by Lee “Chappy” Chapman

                     September 28, 2010
Brief

Create a new revenue pipeline to amortize Brand Asset
Valuator’s proprietary brand and financial database
franchise. Create new demand for BAV modeling and
client engagement.




                                                        1
Brand Challenge

Separate the wheat from the chaff; distinguish BAV, the
empirical model, from what the data can do - Energize
Differentiation. Brand Asset Valuator’s brand proposition
and its product offering occupy similar positionings.




                                                            2
Examining the BAV Value Proposition

Many moving complex parts, introducing new language


                              POSITIONING
             POINT OF DIFFERENCE
       VALUE PROPOSITION




       PRODUCT PORTFOLIO


       REASON TO BELIEVE


                                                      3
Applying the BAV Methodology

Steep Learning Curve: Theory to System to Application




                                                        4
Current Brand Asset Consulting Product Portfolio is
Extensive and Comprehensive




                                                      5
Situation Analysis - Hypothesis

Universally, today’s business climate for brand and
financial management suffers low visibility; decisions made
today can appear as illusions tomorrow. How do
managers assess brand value in uncertain markets?

New metrics come and go as passing waves. Decision
makers require easy-to-use, accurate and reliable tools,
and systems more than ever. Confidence is achieved
through market-proven strategic validation.




                                                             6
U.S. Consulting Market by Product Revenue - 2009



                          CORPORATE STRATEGY
                               $26.2B




                          CORPORATE ADVISORY
                                $8.8B




MARKETING/SALES: $1.8B

                                               BRAND INSIGHT: $1B

Source: IBISWorld, 2010

                                                                    7
Brand Advisory Category & Marketplace




                                  2009 Brand Insight Revenue by Competitor, Millions
                                                 Source: AAAA, Adage.com
          $300



          $225



          $150



            $75



                $0


   Interbrand        Forrester   Mintel     Landor       FutureBrand       Futures Co   Greenfield   Iconoculture

                                                                                                                   8
Competitive Mapping

                                                           Innovation
                                                Trefis
                                                                                        BAV Franchise


                                            Iconoculture

          Interbrand                                       FutureBrand




                                                                          FutureBrand

                     Wolf Olins
                                      Agency Planning

        Consult              Landor                                                             Advise




                                                               Research
                                                                                             BCG
                                             Greenfield
          McKinsey
                                               Mintel


                                           Prescription

                                                                                                         9
Performance Sells

Market-proven results and track record are technical
benefits
                                        COMPETITIVE ADVANTAGE




                                                                10
Business Opportunity

Create the only pipeline strategically connecting brand
value to investment and capital markets, helping business
decision leaders recognize future growth value.

Young & Rubicam Brands introduces Brand Asset Index,
the largest composite of the world’s leading brand values
listed on one digital market space.




                                                            11
12
Idea

Use legacy data to build the foundation for the most
powerful, online, real-time brand reference tool in
business; index company and category data to exchanges
around the world, establishing Brand Asset Index as the
leading indicator and measure of intangible brand value.




1993                                                  2010+
                                                           13
An Authoritative Digital Brand Presence

Powerful, rich content-driven applications and solutions

• World’s Largest Brand Data Base
• Most Powerful Brand Model
• Brand Asset Index
• Mobility - Blackberry, iPad
• Stock Screening and Tracking
• Analyst Earnings Models
• Expert Bloging
• News and Information
• Decision Maker Community
• BAV Analysis, Applications, Resources and Tools
• Brand Asset Consulting
• On-Demand Research and workshops
• Partnerships: AAAA, CFA, CMO Council, FASB, NYSE , NYSSA, Wired
                                                                    14
An Application to Modern Business Thinking

User Interface




                                             15
User Benefit

The most accurate measure of brand value in the world.
Access to the most powerful consumer-based and
empirical brand valuation model, explaining how brands
grow, decline and recover.




                                                         16
Young & Rubicam Brands Benefit

New, Optimized and Scalable Revenue and CF Streams

Incremental Growth Code:

• Brand Asset Index Annual Listing Fee
• Multi-faceted and scalable index format
• Subscription service to access rich content
• Ancillary advertising revenue
• New penetration by Fortune rank, business, category, and brand value




                                                                         17
Brand Asset Valuation Consulting Revenue Model

A funnel of growth: List, Purchase, Retain




 LEVEL 1               LEVEL 2             LEVEL 3                LEVEL 4
 List on Brand Asset   Measure with BAV    Engage BAV             Realize benefit - Long
 Index                 tools and studies   Consulting for brand   term relationship
                                           management




                                                                                          18
Strategic Approach

Elevate the legacy of BAV from database to market space



                                       PRODUCT OFFERING

                                      Listing the World’s Most
                                       Powerful Brand Values




       PRODUCT              PACKAGE            PLACE               PRICE       PROMOTION

Original Brand Valuation,     B2B     Digital, Wireless, Mobile   Premium   Public Relations, B2B
      Rich Content                                                               Community




                                                                                                    19
Target

Executive and Institutional Decision Makers, Leaders, and
Managers who are fiduciaries of brand value and wealth

Fortune 1000
  •Domestic and Foreign-listed companies
Level
  •C: Decision Makers in Brand, Corporate Coms, Finance, Innovation,
  Investment, Marketing Coms, Media, Sales, Strategy, Ventures, etc




                                                                       20
High Profile Target Usage

Energizing brand strategies that impacts business
performance

•Brand Management
•Capital Expenditure Decision Making
•Board-Level Corporate Strategy, Governance and Policy
•Investment Thesis and Research
•Product Marketing & Sales Strategy
•Merger & Acquisition, Private Equity Buyout Suitor Identification
 •Brand Architecture, Portfolio Integration, Divestitures




                                                                    21
Considerations

How much more than $130M is Y&R willing to invest?
What is the future of BAV and Brand Asset Consulting?
Who will be responsible for new growth and development?




                                                      22
End




      BAV, Managing the World’s Brand Value.

                                               23

Brand Asset Valuation

  • 1.
    Brand Asset Valuator Project Banzai Prepared for John Gerzema, Y&R, Global Insights Officer Submitted by Lee “Chappy” Chapman September 28, 2010
  • 2.
    Brief Create a newrevenue pipeline to amortize Brand Asset Valuator’s proprietary brand and financial database franchise. Create new demand for BAV modeling and client engagement. 1
  • 3.
    Brand Challenge Separate thewheat from the chaff; distinguish BAV, the empirical model, from what the data can do - Energize Differentiation. Brand Asset Valuator’s brand proposition and its product offering occupy similar positionings. 2
  • 4.
    Examining the BAVValue Proposition Many moving complex parts, introducing new language POSITIONING POINT OF DIFFERENCE VALUE PROPOSITION PRODUCT PORTFOLIO REASON TO BELIEVE 3
  • 5.
    Applying the BAVMethodology Steep Learning Curve: Theory to System to Application 4
  • 6.
    Current Brand AssetConsulting Product Portfolio is Extensive and Comprehensive 5
  • 7.
    Situation Analysis -Hypothesis Universally, today’s business climate for brand and financial management suffers low visibility; decisions made today can appear as illusions tomorrow. How do managers assess brand value in uncertain markets? New metrics come and go as passing waves. Decision makers require easy-to-use, accurate and reliable tools, and systems more than ever. Confidence is achieved through market-proven strategic validation. 6
  • 8.
    U.S. Consulting Marketby Product Revenue - 2009 CORPORATE STRATEGY $26.2B CORPORATE ADVISORY $8.8B MARKETING/SALES: $1.8B BRAND INSIGHT: $1B Source: IBISWorld, 2010 7
  • 9.
    Brand Advisory Category& Marketplace 2009 Brand Insight Revenue by Competitor, Millions Source: AAAA, Adage.com $300 $225 $150 $75 $0 Interbrand Forrester Mintel Landor FutureBrand Futures Co Greenfield Iconoculture 8
  • 10.
    Competitive Mapping Innovation Trefis BAV Franchise Iconoculture Interbrand FutureBrand FutureBrand Wolf Olins Agency Planning Consult Landor Advise Research BCG Greenfield McKinsey Mintel Prescription 9
  • 11.
    Performance Sells Market-proven resultsand track record are technical benefits COMPETITIVE ADVANTAGE 10
  • 12.
    Business Opportunity Create theonly pipeline strategically connecting brand value to investment and capital markets, helping business decision leaders recognize future growth value. Young & Rubicam Brands introduces Brand Asset Index, the largest composite of the world’s leading brand values listed on one digital market space. 11
  • 13.
  • 14.
    Idea Use legacy datato build the foundation for the most powerful, online, real-time brand reference tool in business; index company and category data to exchanges around the world, establishing Brand Asset Index as the leading indicator and measure of intangible brand value. 1993 2010+ 13
  • 15.
    An Authoritative DigitalBrand Presence Powerful, rich content-driven applications and solutions • World’s Largest Brand Data Base • Most Powerful Brand Model • Brand Asset Index • Mobility - Blackberry, iPad • Stock Screening and Tracking • Analyst Earnings Models • Expert Bloging • News and Information • Decision Maker Community • BAV Analysis, Applications, Resources and Tools • Brand Asset Consulting • On-Demand Research and workshops • Partnerships: AAAA, CFA, CMO Council, FASB, NYSE , NYSSA, Wired 14
  • 16.
    An Application toModern Business Thinking User Interface 15
  • 17.
    User Benefit The mostaccurate measure of brand value in the world. Access to the most powerful consumer-based and empirical brand valuation model, explaining how brands grow, decline and recover. 16
  • 18.
    Young & RubicamBrands Benefit New, Optimized and Scalable Revenue and CF Streams Incremental Growth Code: • Brand Asset Index Annual Listing Fee • Multi-faceted and scalable index format • Subscription service to access rich content • Ancillary advertising revenue • New penetration by Fortune rank, business, category, and brand value 17
  • 19.
    Brand Asset ValuationConsulting Revenue Model A funnel of growth: List, Purchase, Retain LEVEL 1 LEVEL 2 LEVEL 3 LEVEL 4 List on Brand Asset Measure with BAV Engage BAV Realize benefit - Long Index tools and studies Consulting for brand term relationship management 18
  • 20.
    Strategic Approach Elevate thelegacy of BAV from database to market space PRODUCT OFFERING Listing the World’s Most Powerful Brand Values PRODUCT PACKAGE PLACE PRICE PROMOTION Original Brand Valuation, B2B Digital, Wireless, Mobile Premium Public Relations, B2B Rich Content Community 19
  • 21.
    Target Executive and InstitutionalDecision Makers, Leaders, and Managers who are fiduciaries of brand value and wealth Fortune 1000 •Domestic and Foreign-listed companies Level •C: Decision Makers in Brand, Corporate Coms, Finance, Innovation, Investment, Marketing Coms, Media, Sales, Strategy, Ventures, etc 20
  • 22.
    High Profile TargetUsage Energizing brand strategies that impacts business performance •Brand Management •Capital Expenditure Decision Making •Board-Level Corporate Strategy, Governance and Policy •Investment Thesis and Research •Product Marketing & Sales Strategy •Merger & Acquisition, Private Equity Buyout Suitor Identification •Brand Architecture, Portfolio Integration, Divestitures 21
  • 23.
    Considerations How much morethan $130M is Y&R willing to invest? What is the future of BAV and Brand Asset Consulting? Who will be responsible for new growth and development? 22
  • 24.
    End BAV, Managing the World’s Brand Value. 23