With the advancing tide of social engagement sweeping through Madison Avenue, Main Street and Wall Street, there is a rise of a particularly destructive disease, Brand Blindness. Brand Blindness occurs when brand blindly leverage these low cost, broad reach platforms to drive the wrong message to the wrong audience for the wrong offering. The brands are blind to context, blind to who we are and what it means to live our lives. Most companies have spent millions trying to create recommendation engines that tell what offer retailers should shove in our face next, predictive analytics to determine which path through the maze of offers and coupons is mostly likely to get us to buy, endless scenarios of A-B testing, all devoid of context. A-B testing does not help find C. Recommendation engines are based on what others bought not what consumers enjoy. And predictive analytics can only optimize the road most traveled. This presentation walks through some of the symptoms of Brand Blindness and what brands can do to avoid driving their customers away.

1. Brand Blindness Brainweave
Dr. John Feland, CEO
Digital Marketing Exchange, 22 Sep 2013

2. “Apple is unlikely to make much of an impact on this
market … the iPhone won’t make a long term mark
on the industry”
Matthew Lynn - Bloomberg
“The iPhone is a niche product”
Olli-Pekka Kallasvuo – Nokia CEO in April 2008
“The iPhone will not substantially alter the fundamental
structure or challenges of the mobile industry”
Charles Golvin – Forrester Insights, Inc. Confidential: Do Not Distribute
© 2013 Argus Research
Page 2

3. “If you can not measure it,
you can not improve it.”
Lord Kelvin
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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4. Others predict based on what consumers bought,
Argus Insights predicts based on what consumers love
7000
Argus Insights 60
Estimate Based
Apple’s Actual Q2
iPhone Unit Volume
6000
50
5000
40
4000
30
3000
Morgan Stanley
20
2000
1000
10
Consensus
0
0
Qtr1
Qtr2
Qtr3
Qtr4
Qtr1
Qtr2
Qtr3
Qtr4
Qtr1
Qtr2
2011
2011
2011
2011
2012
2012
2012
2012
2013
2013
Copyright© 2013 Argus Insights, Inc.
Apple iPhone 4
Apple iPhone 4S
Apple iPhone 5
Apple iPhone 3GS
Apple iPhone 3G
Millions of iPhones; Billions of dollars in
Revenue
Buzz Volume for iPhone Models
Argus Insights Beat Wall Street Estimates for
Q2 2013 iPhone Sales
Apple iPhone
Quarterly iPhone Sales
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5. Measuring the Gap Between Brand Promise and Consumer
Reality
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6. Brand Blindess…

7. Photo from www.flickr.com/photos/ joaomiguelsilva/
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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8. © 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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9. © 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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10. © 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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11. • Wrong Target?
• Wrong Channel?
• Wrong Message?
• Wrong Product?
• Plain Arrogance!
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12. Missing the Point

13. Can you spot the Brand Blindness?
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14. Consumer Participation: Web Comic Campaign
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15. Anarchy Graphic Novel, an ongoing real-time web comic campaign, is not
being echoed in social media.
Percentage of Tweets (line graph)
0.9%
Total Tweets
Anarchy Graphic novel
Anarchy Mentions
Peak of Graphic Novel
Engagement
0.8%
0.7%
0.6%
6000
5000
4000
Peak of Anarchy mentions are on average less than half of the Web Comic Campaign
0.5%
3000
0.4%
0.3%
Tweets per day (bar graph)
1.0%
Peak of Anarchy Mentions
0.2%
2000
1000
0.1%
0.0%
0
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
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16. “Dear axe body
spray, please out
a suggested
serving size on
your bottle.
Sincerely, chokin
g girls
everywhere.”
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17. Skynet is Here,
Humans are Under Rated

18. Bot or Not: Problem of Machine to Machine Social
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19. Across Both Segments Of Undead Even More Telling
15% of
Brand Related
Tweets Proven
Bots
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20. False sense of insecurity

21. Apple’s Falling Mindshare a Symptom of Brand Blindness?
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22. iPhone 5S launch Draws Half The Attention of 5
“Where’s the Kaboom?”
Consumers looking for the
big idea were disappointed.
900000
800000
Mentions per hour
700000
Peak is lower than
iPhone 5 launch.
Less of the market is
interested in Apple.
iPhone4s
600000
iPhone5
500000
400000
300000
200000
iPhone5S&C
And continue
to share their
disappointment
Pre Launch Leaks
drive social chatter
higher
100000
0
-24 -22 -20 -18 -16 -14 -12 -10 -8 -6 -4 -2 0
2
4
6
Hours before and after Apple iPhone launch Event
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
8
10
12
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23. Tracking Apple Related Tweets in Silicon Valley
Apple mentions as % of Silicon Valley Tweets
18.0%
16.0%
14.0%
12.0%
10.0%
8.0%
6.0%
4.0%
2.0%
0.0%
17 19 21 23 1
9/8/13
3
5
7
9 11 13 15 17 19 21 23 1
9/9/13
9/9/13
3
5
7
9 11 13 15 17 19 21 23 1
9/10/13
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
9/10/13
3
5
7
9 11 13 15
9/11/13
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24. Silicon Valley Twitter Users Most Active at Night
10% of Silicon Valley Tweets
1600
1400
Apple
Launch
1200
1000
800
600
400
200
0
17 19 21 23
9/8/13
1
3
5
7
9
9/9/13
11 13 15 17 19 21 23
9/9/13
1
3
5
7
9
11 13 15 17 19 21 23
9/10/13
© 2013 Argus Insights, Inc. Confidential: Do Not Distribute
9/10/13
1
3
5
7
9
11 13 15
9/11/13
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25. What Else Are Consumers Engaging With If Not Apple?
Silicon Valley Tweets 8-11 Sept 2013
Apple Specific Tweets 8-11 Sept 2013
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26. Your Turn!