Richard Pollin discusses the evolving landscape of consumer behavior, emphasizing that the first reaction of consumers upon learning about a product is to search for more information online. He explains the concept of the 'zero moment of truth' (ZMOT), which highlights that consumers increasingly conduct research and make decisions before entering stores. The document presents data showing how many consumers rely on online reviews and search for product information before purchasing, underscoring the critical need for brands to optimize their online presence.

1. Richard Pollin
Head of New Business
UK & Ireland
September 21st, 2012
Google Confidential and Proprietary

2. “When consumers hear about a product today, their
first reaction is ‘Let me search online for it.’
And so they go on a journey of discovery: about a
product, a service, an issue or an opportunity.
Today you are not behind your competition. You are
not behind the technology. You are behind your
consumer.”
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3. CommWorld 50th Conference
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4. CommWorld 50th Conference
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5. Mental Models Drive Our Game
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6. Roger Bannister and the Four Minute Mile
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7. Build a Great Product
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8. Tell Your Target About It
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9. Win at Point of Decision
According to Procter &
Gamble, shoppers make
up their minds about a
product in three to seven
seconds, just the time it
takes to note a product
on a store shelf.
This time lapse is called
(by P&G) the “First
Moment of Truth," and
it's considered the most
important marketing
opportunity for a brand.
— Wall Street Journal, 2005
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10. The Traditional Mental Model of Marketing
Stimulus First Moment of Second Moment
Truth of Truth
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11. Historical “Interrupters”
of Three Moment Model
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12. The New “Four Moments” Mental Model
Stimulus First Second
Moment of Moment of
Truth Truth
Which becomes the
next person’s ZMOT
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13. More Decisions Made Before
Entering Store
Where Purchase Decisions Are Made (% of Shoppers)
17% 15% 15%
25% 24% 30%
40%
83% 85% 85%
75% 76% 70%
60%
2007 2008 Mid 2009 End of 2009 Early 2010 Mid 2010 2011
Before Going to the Store While Shopping in the Store
Source: Symphony IRI Economic Update, August 2010, Shoppers n = 1000, SymphonyIRI;
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FMI Economic Survey Dec 2009, IRI AttitudeLink, Shoppers n = 1340

14. New Behavior Drives
a Surge in Search Volume
Reviews
+98% Coupons +339%
Local Searches Weight Loss
+177% +154%
Source: Google Internal Data, Jan 2007 – Dec 2010; US, UK, Brazil, France and Germany Google Confidential and Proprietary 14

15. The New Path to Purchase
78%
of US Internet users go
online to search for
information about products
and services.
32%
have posted product
reviews or comments online.
Sources: “Online Product Research,” Pew Research Center, September 2010 Google Confidential and Proprietary 15

16. Consumers Are More
Discerning Than Ever
83%
Number of consumers that rely on trusted places like
user ratings or product review sites (buyers read 4 to 7
reviews before feeling comfortable with a purchase)
Source: Google Touchpoints Consumer Survey, 01/09. “Online Consumer Reviews Significantly Impact Consumer Purchasing Google Confidential and Proprietary 16
Decisions,” Opinion Research Corporation, 06/08

17. More Insights Than Ever
"I Always do research.”
44% 64%
36% Baby
Food & Fashion
Beverage
31% 39%
Health &
Consumer
Beauty
Electronics
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18. More Insights Than Ever
“How much influence did you research have on your purchase”
58% 36%
6%
A lot Some None
I’d buy this The research My research
product because played a part didn’t give me any
of what I found in in my decision new information
my research
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19. Analyzed 50+ Drivers Across 11 Categories
Saw advertisements on television 37%
Received mail at home from a brand / manufacturer 31%
Saw an ad in a newspaper / newspaper insert 29%
Read newspaper articles / reviews / information 28%
Read magazine articles / reviews / information 27% Stimulus
Looked at / read magazine advertisements 24%
Read information in an email received from a brand/manufacturer 23%
Noticed advertising while browsing online 22%
Received mail at home from a store / retailer 22%
Searched online, used online, used search engine
Searched search engine 50%
Talked with friends / family about the product 49%
Comparison shopped products online 38%
Sought information from a product brand / manufacturer website 36%
Read product reviews or endorsements online 31% ZMOT
Sought information from a retailer / store website 22%
Read comments following an article / opinion piece online 22%
Became a friend/follower/”liked” a brand 18%
Looked at the product package in the store 41%
Read brochure / pamphlet about the product in the store 37%
Talked with a salesperson or associate in the store 33%
Looked at signage / display about the product in the store 30% FMOT
Talked with a customer service representative on the phone 20%
Tried a sample / experienced the product in a store 19%
Q2 When you were considering purchasing [PRODUCT], what sources of information did you seek out to help with your decision?
Base: N=5,003 Google Confidential and Proprietary 19

20. Across All Categories, Shoppers Are
Using Stimulus, ZMOT and FMOT Equally
All three moments critical to the shopping process.
76% 84% 77%
Stimulus ZMOT FMOT
Q2 When you were considering purchasing [PRODUCT], what sources of information did you seek out to help with your decision?
Base: N=5,003 Google Confidential and Proprietary 20

21. ZMOT: Now an “Equal” Fourth Moment
Searched online, used search engine
Searched online, used search engine 50%
Talked with friends / family about the product 49%
Comparison shopped products online 38%
Sought information from a product brand website 36%
Read product reviews or endorsements online 31%
Sought information from a retailer website 22%
Read comments following an article opinion piece online 22%
Became a friend/follower/ ”liked” a brand 18%
Q2 When you were considering purchasing [PRODUCT], what sources of information did you seek out to help with your decision?
Base: N=5,003 Google Confidential and Proprietary 21

22. TV? It Prompts More Action At ZMOT
of Mums search on a
83% product after being
exposed to a TV ad
Q: Have you ever seen a new brand or product advertised on TV, and then searched for more information on it later using an
online search engine? (N =721) Google Confidential and Proprietary 22
Source: BabyCenter Study on Google Search, Nov 2009

23. Proof Point: Mobile is NOW and
will only grow in importance
74%
purchased due to using
their smartphone
while shopping
79%
of users use
smartphones
to help shop
Up to 20%
of our searches on
Black Friday
were from mobile
Source: Google User Behavior Study 2010, Google Internal Data 2010 Google Confidential and Proprietary 23

24. Word of MOT
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25. Word of MOT
Will it save me money?
Will it save me time?
Will it improve my life?
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26. Word of MOT
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27. Winning the ZMOT
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28. How to Win at ZMOT:
1 Put someone in charge
2 Find your Zero Moments
3 Answer the questions people are asking
4 Optimize for ZMOT
5 Be fast
6 Don't forget video
7 Jump in!
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29. 1 Put Someone
in Charge
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30. 2 Find Your
Zero Moments
[Your Brand] Search
[Your Brand] Review Search
Best [Your Category] Search
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31. 3 Answer the Questions
People are Asking
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32. 4 Optimize
for ZMOT
60M+
Mobile Internet
users in the UK…
…only 21%
of our top advertisers have
a mobile-optimized website
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Source: eMarketer 2011; Google Internal Data

33. 5 Be Fast
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34. 6 Don't Forget
Video
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35. 7 Jump in!
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36. MOTs Next?
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37. What are in your
plans to win ZMOT?
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38. Richard Pollin
Head of New Business
UK & Ireland
Contact me on
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