Generation Social
Agenda


     GenSoc


   Interactivity is media


 Opt-in advertising
Who are they?
Source: ORC International: AOL study 2012




                       GenSoc                                                                             A third of the US population
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.
                                                                                                                                                Page 4
Base: Millennials - ages 18-34
Spending power                                                         Influences another
                                                            exceeds $900                                                             $400 billion in
                                                               billion                                                                 spending




                                                               Biggest
                                                            generation in                                                           High life-time
                                                           spending power                                                               value
                                                              by 2015




                                                                                                                                           Source: Vice: Marketplace 2012




               Influence                                                       Guiding the future of the world’s consumption
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.           Page 5
Base: Millennials - ages 18-34
What are they doing?
Source: TRU, The TRU Study 2012 Spring Update U.S. Edition




         Consumption                                                                  TV is no longer number one… Many of the
                                                                                      top 10 tasks are now digital media tasks!
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.

Base: Millennials - ages 18-34
Play online games                                                                                                                                        Watch content
                                                                                                                                                                               online




                                 25%           16.6%                                                                                                             22.4%              13.2%




                                                                                             18-34              Adult


                       Online music                                                                                                                                      Instant messaging




                                 24.3%         12.7%                                                                                                             21.7%              12.8%




                                                                                           Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials.”, May 2011




                                                                               GenSoc are twice as likely to use on demand
        On-demand                                                              channels for entertainment and communication
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.
                                                                                                                                                                           Page 8                    Page 8
Base: Millennials - ages 18-34
Source: ORC International, “Teens and Young Adults”, June, 2012




            More time on social networks than portals.
Always on   Index search losing to content search.
Source: eMarketer: “Social Network Activities ofUS Teen Social Network Users”, July 2011




                                                                                    Social networks are aggregation platforms for
                            Opt in                                                  content and communication
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.

Base: Millennials - ages 18-34
GenSoc on advertising
Source: eMarketer: “Attitude toward the frequency of receiving digital ads/promotions according to US and UK Internet users”, January 2012




                      Even worse, excessive marketing made them less
Opt out               likely to ever see the brand positively
High impact   Users opt in to content that tell richer stories,
  formats     deliver experiences and are shareable
Source: eMarketer: “Preferred method of sharing positive experiences with a brand/product according to US Internet users”, September 2011




                      Where people speak about brand
P2P                   experiences
Interactivity is Media
From computer to device
2
                                                                                                     1




                                                                                                                                  Source: Morgan Stanley Research CQ1:12




                                 New ways of accessing the web
   1 Morgan Stanley Research
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.
   2 ComScore 2011
Base: Millennials - ages 18-34
2
                                                                                                     1




                                                                                                                                  KPCB estimates based on Apple data, 2012




                                 New ways of accessing content
   1 Morgan Stanley Research
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.
   2 ComScore 2011
Base: Millennials - ages 18-34
From portal to P2P
120
        Monthly Time Spent (Bs of Minutes)
                                             100
                                                                     Portals

                                             80

                                             60

                                             40

                                                          Social Networking
                                             20

                                              0
                                                   2008       2009             2010                2011
                                                                                           Source: Morgan Stanley Research and Gartner, 2011




                                                              Browsing from your mail, portal or via search is
     Distribution                                             losing out to social networks and applications
Source: Morgan Stanley Research and Gartner
Source: Wikipedia, June 2012




Demand for   Content is exploding
                                                Source: Oyala, 2011
             Interactivity and curation is the new media
 Curation    1bn new “micro” publishers in 5 years
Most viewed video on Youtube (+500m)
Native   2nd most popular man on Twitter (+22m)
         3rd all time views on Youtube (+2,5bn)
Social      Madison Square Garden in 30sec
               Entire US tour in 1 hour
Distribution   Where are the posters and the ads..?
From Daily Mail to Daily Me
Source(s): 1comScore; 2Gnip (includes all comments, tweets, posts in public and private instances)




 Social   Contain Video, music, apps, photos
          Links the internet (#Hashtags)
content   New formats (apps, 60-600sec)
Professional and P2P curation
Opt in advertising
90%



      Static ads
(Search, Display, etc.)
                            Dynamic assets
                          (Video, Rich media)
      $33.40 Bn                                                     10%
                              $6.16 Bn




                                                   Pre-roll   Content marketing




Business as                  Billions of impressions, little impact
                             Keywords for effect, little brand
  usual….                    90% of all online video is CPM based pre-roll
From individual to group influence
Source: Razorfish Social Marketing Report 2011




                                                                  Social is the single most important influence at
            Influence                                             the consideration stage for GenSoc
Source(s): Razorfish Social Marketing Report 2011
Percentages do not add to zero because neutral respondents are not accounted for in the chart
Source:   Booz & Company Online Consumer Behavior Study (Spring 2011) as prepared for AOL, “Project Devil Quantitative Research Study,” comScore ARS (August 2010)




Building a                                   Social content creates a
 group                                       “brand multiplier” among the group
Interactive
                                  Content


Display


                               Video, Apps,
                                  Games
           Search



          From ads to assets      Source: Oyala, 2011
Video                 Services

                       Games            Applications
                                   Source: OOYALA, Global Video Index, Report Q1 2012




         New high impact content
Assets   Richer storytelling
                                                      Source: Oyala, 2011


         Allow re-distribution
CONTENT      MEDIA        Impact
                          Syndicate content
                            across a broad
                              landscape


          The Asset Ecosystem
                            Source: Oyala, 2011
Game           Ads are content and content are ads
                          Thinking like a media company
        From content to1300 eventsare media, media are apps
        The art of flight
         changers
                          Advertisersand ads to content
                           ads - yearly
                          Conversation is media
                          Film & game reviews, radio, music academy
Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011.

Base: Millennials - ages 18-34
Thinking likeby media company
                    Be inspired a Iceland…
  Content
The art of flight   1300 events yearly content
                    Positives stories and
                    Nature, people, music, food
                    Film & game reviews, radio, music academy
From advertiser to media
                    Thinking like a media company
Distribution
The art of flight   From media placements
                    1300 events yearly
                    to syndication
                    Film & game reviews, radio, music academy
Impact   Service that creates
         value, interaction and conversation
Content                   Media                    Impact

                                   Display, Search, Rich
                                                                 CPM, CTR,
 Simple    TV ads, display ads   media format placements
                                                                  CPC, CPV
                                        on Website
               Content                Syndication                Interaction
            Entertainment           Multiple channels           Engagement
Advanced    60-600s video             All platforms              Experience
           App’s and Games           Across devices        Real time conversation

             Tell your story          Take it places         Get people talking
Engagement   Interaction         Education     Consideration
Tell your                    The opt-in ecosystemVelocity, 2012
                   Just do it, make it count…
                                              Source: Oyala, 2011
                                                Source:


  story
ENTERTAINMENT
                                             ENGAGEMENT
                                               DIALOGUE
                                             RELATIONSHIP

                                        +100M Audience



 Engagement   Interaction       Education       Consideration
Take it                  The opt-in ecosystemVelocity, 2012
                  Nike has hundreds of media    Source: Oyala, 2011
                                                  Source:


places            channels across all platforms
Get people   Establish a relationship and
  talking    you don’t have to advertise again
                                          Source: Velocity, 2012
Ads                  Assets


 Media Spend                 Syndication



 Awareness                   Experiences


               We are experiencing a paradigm shift..
Take away      The rules are fundamentally changing
               Everyone compete at the same terms

goviral Cannes 2012, Generation Social

  • 1.
  • 2.
    Agenda GenSoc Interactivity is media Opt-in advertising
  • 3.
  • 4.
    Source: ORC International:AOL study 2012 GenSoc A third of the US population Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Page 4 Base: Millennials - ages 18-34
  • 5.
    Spending power Influences another exceeds $900 $400 billion in billion spending Biggest generation in High life-time spending power value by 2015 Source: Vice: Marketplace 2012 Influence Guiding the future of the world’s consumption Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Page 5 Base: Millennials - ages 18-34
  • 6.
  • 7.
    Source: TRU, TheTRU Study 2012 Spring Update U.S. Edition Consumption TV is no longer number one… Many of the top 10 tasks are now digital media tasks! Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Base: Millennials - ages 18-34
  • 8.
    Play online games Watch content online 25% 16.6% 22.4% 13.2% 18-34 Adult Online music Instant messaging 24.3% 12.7% 21.7% 12.8% Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials.”, May 2011 GenSoc are twice as likely to use on demand On-demand channels for entertainment and communication Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Page 8 Page 8 Base: Millennials - ages 18-34
  • 9.
    Source: ORC International,“Teens and Young Adults”, June, 2012 More time on social networks than portals. Always on Index search losing to content search.
  • 10.
    Source: eMarketer: “SocialNetwork Activities ofUS Teen Social Network Users”, July 2011 Social networks are aggregation platforms for Opt in content and communication Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Base: Millennials - ages 18-34
  • 11.
  • 12.
    Source: eMarketer: “Attitudetoward the frequency of receiving digital ads/promotions according to US and UK Internet users”, January 2012 Even worse, excessive marketing made them less Opt out likely to ever see the brand positively
  • 13.
    High impact Users opt in to content that tell richer stories, formats deliver experiences and are shareable
  • 14.
    Source: eMarketer: “Preferredmethod of sharing positive experiences with a brand/product according to US Internet users”, September 2011 Where people speak about brand P2P experiences
  • 15.
  • 16.
  • 17.
    2 1 Source: Morgan Stanley Research CQ1:12 New ways of accessing the web 1 Morgan Stanley Research Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. 2 ComScore 2011 Base: Millennials - ages 18-34
  • 18.
    2 1 KPCB estimates based on Apple data, 2012 New ways of accessing content 1 Morgan Stanley Research Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. 2 ComScore 2011 Base: Millennials - ages 18-34
  • 19.
  • 20.
    120 Monthly Time Spent (Bs of Minutes) 100 Portals 80 60 40 Social Networking 20 0 2008 2009 2010 2011 Source: Morgan Stanley Research and Gartner, 2011 Browsing from your mail, portal or via search is Distribution losing out to social networks and applications Source: Morgan Stanley Research and Gartner
  • 21.
    Source: Wikipedia, June2012 Demand for Content is exploding Source: Oyala, 2011 Interactivity and curation is the new media Curation 1bn new “micro” publishers in 5 years
  • 22.
    Most viewed videoon Youtube (+500m) Native 2nd most popular man on Twitter (+22m) 3rd all time views on Youtube (+2,5bn)
  • 23.
    Social Madison Square Garden in 30sec Entire US tour in 1 hour Distribution Where are the posters and the ads..?
  • 24.
    From Daily Mailto Daily Me
  • 25.
    Source(s): 1comScore; 2Gnip(includes all comments, tweets, posts in public and private instances) Social Contain Video, music, apps, photos Links the internet (#Hashtags) content New formats (apps, 60-600sec)
  • 26.
  • 27.
  • 28.
    90% Static ads (Search, Display, etc.) Dynamic assets (Video, Rich media) $33.40 Bn 10% $6.16 Bn Pre-roll Content marketing Business as Billions of impressions, little impact Keywords for effect, little brand usual…. 90% of all online video is CPM based pre-roll
  • 29.
    From individual togroup influence
  • 30.
    Source: Razorfish SocialMarketing Report 2011 Social is the single most important influence at Influence the consideration stage for GenSoc Source(s): Razorfish Social Marketing Report 2011 Percentages do not add to zero because neutral respondents are not accounted for in the chart
  • 31.
    Source: Booz & Company Online Consumer Behavior Study (Spring 2011) as prepared for AOL, “Project Devil Quantitative Research Study,” comScore ARS (August 2010) Building a Social content creates a group “brand multiplier” among the group
  • 32.
    Interactive Content Display Video, Apps, Games Search From ads to assets Source: Oyala, 2011
  • 33.
    Video Services Games Applications Source: OOYALA, Global Video Index, Report Q1 2012 New high impact content Assets Richer storytelling Source: Oyala, 2011 Allow re-distribution
  • 34.
    CONTENT MEDIA Impact Syndicate content across a broad landscape The Asset Ecosystem Source: Oyala, 2011
  • 35.
    Game Ads are content and content are ads Thinking like a media company From content to1300 eventsare media, media are apps The art of flight changers Advertisersand ads to content ads - yearly Conversation is media Film & game reviews, radio, music academy Source: eMarketer, Jenks, Jared, Jennifer Pearson, and Hilary Rengert. "Demographic Profile--Millennials." EMarketer, May 2011. Base: Millennials - ages 18-34
  • 36.
    Thinking likeby mediacompany Be inspired a Iceland… Content The art of flight 1300 events yearly content Positives stories and Nature, people, music, food Film & game reviews, radio, music academy
  • 37.
    From advertiser tomedia Thinking like a media company Distribution The art of flight From media placements 1300 events yearly to syndication Film & game reviews, radio, music academy
  • 38.
    Impact Service that creates value, interaction and conversation
  • 39.
    Content Media Impact Display, Search, Rich CPM, CTR, Simple TV ads, display ads media format placements CPC, CPV on Website Content Syndication Interaction Entertainment Multiple channels Engagement Advanced 60-600s video All platforms Experience App’s and Games Across devices Real time conversation Tell your story Take it places Get people talking
  • 40.
    Engagement Interaction Education Consideration Tell your The opt-in ecosystemVelocity, 2012 Just do it, make it count… Source: Oyala, 2011 Source: story
  • 41.
    ENTERTAINMENT ENGAGEMENT DIALOGUE RELATIONSHIP +100M Audience Engagement Interaction Education Consideration Take it The opt-in ecosystemVelocity, 2012 Nike has hundreds of media Source: Oyala, 2011 Source: places channels across all platforms
  • 42.
    Get people Establish a relationship and talking you don’t have to advertise again Source: Velocity, 2012
  • 43.
    Ads Assets Media Spend Syndication Awareness Experiences We are experiencing a paradigm shift.. Take away The rules are fundamentally changing Everyone compete at the same terms

Editor's Notes

  • #5 eMarketerDemographic Profile—MillennialsPew Research CenterMILLENNIALSConfident.Connected.Open to Change.Note: 18-34 is a commonly used age bracket among research firms
  • #6 eMarketerDemographic Profile—MillennialsPew Research CenterMILLENNIALSConfident.Connected.Open to Change.Note: 18-34 is a commonly used age bracket among research firms
  • #8 The top two time sucks for Millennials include using the internet (20 + hours per week), and watching TV (15 hours). Social networking (9 hours/week) and listening to MP3s come in as close seconds (8.5 hours/week). Playing console videogames is also a significant time-consuming hobby for Millennials (8.5 hours/week), especially when looking at just males (10.5 hours/week). Estimated 87% of Millennials watch online video monthly, 63% watch online video weeklyMillennials also spend significantly less amount of time with traditional TVWhile many still watch TV, there is less importance among Millennials than other age groupsTraditional TV will become even less important as Netflix, Hulu, and Amazon Instant continue to grow and improve
  • #9 Note: in the past 7 days; *ranked by respondents ages 18-34Source: Experian Simmons, "National Consumer Study," Feb 16, 2011126221 www.eMarketer.comNote: I’ll insert a chart comparing Millennials to general population later, just can’t be bothered to format it right now.
  • #17 We are going to this new device but what is it?? We don’t know… Must find opportunities to integrate content with first distribution channelOptimize performance to mitigate potential Homepage declineSocial networks are mandatory content distribution platforms
  • #24 On the 6th of June 2012 Justin Bieber sold out his two shows at Madison Square Garden in 30 seconds. And his whole “Believe” Tour in North America in 1 hour.
  • #25 Pointener at vi nu hardirekteadgangtilvores sources, peers and curated content
  • #29 Please note that total in 2012 was 39.50 and if you add our numbers it’s 39.56. I strongly believe that this time my calculation is correct =) I think the problem here is that if you actually add the percentage it comes up to 100.1% Whoever created that table did it. Also I added “thing” to “we mostly do the same” I don’t think you can have that without “thing” it just doesn’t sound right
  • #32 The reason social content is so powerful is that it creates a brand multiplier. It’s more friends, more sharing, more engagement, and more influence. It’s a lean-forward consumer that isn’t just reading or watching, they’re acting. Their social and participatory. And THEY are the kinds of consumers that move brands forward.
  • #35 ** In short versionOur strategy really capitalizes on those three core consumer insights and enables us to take full advantage of our deep commitment to original content. That approach enables us to move marketers’ brands forward. Our approach to original content is uniquely defined around:High impact experiences that engage consumers around preeminent content brands and powerful editorial approachesA cross-platform approach to programming that enables our experiences to move from one form to the next like our consumers doAnd a truly unique capability to drive conversation inspired by content, driven in no small part by the Huffington Post which is so core to the DNA we have in the social content spaceAnd while we know we have competitors who play in each of those spaces – a Conde Nast or Viacom in content, for example – or an iAd or Group-on across mobile or local platforms respectively, or of course Facebook and Twitter in terms of conversation, we are so inspired by the opportunity to think of those three elements TOGETHER as we build ideas for you at AOL.As you think about our unique value in being able to build solutions for your brand, I hope you’ll find that we are well poised to help you:Tell your story,Take it places, andGet people talkingAnd ultimately not even just talking…really taking action based on the inspiration we can provide.
  • #36 The top two time sucks for Millennials include using the internet (20 + hours per week), and watching TV (15 hours). Social networking (9 hours/week) and listening to MP3s come in as close seconds (8.5 hours/week). Playing console videogames is also a significant time-consuming hobby for Millennials (8.5 hours/week), especially when looking at just males (10.5 hours/week). Estimated 87% of Millennials watch online video monthly, 63% watch online video weeklyMillennials also spend significantly less amount of time with traditional TVWhile many still watch TV, there is less importance among Millennials than other age groupsTraditional TV will become even less important as Netflix, Hulu, and Amazon Instant continue to grow and improve
  • #38 In 2011 alone, it filmed movies, signed a partnership deal with NBC for a show called Red Bull Signature Series, developed reality-TV ideas with big-time producer Bunim/Murray, honed its own web and mobile outlets, and became a partner in YouTube’s new plan to publish original content. It also expanded its magazine, Red Bulletin, into the U.S., giving it a global distribution of 4.8 million.