Slide of Hugues Rey speech - Connect Alliance - 8th of september 2016 - Genval

1. MEDIA (DIGITAL) TRANSFORMATION
MUST BE A ‘4 WINNERS’ GAME !
LET’S CREATE MEANINGFUL CONNECTIONS
THROUGH DATA & CONTENT
HUGUES L. REY
Genval 8th of September 2016

2. NICE TO MEET YOU
1968 – Ixelles (BE) – Married to Geneviève
Solvay Business School 1992
CEO Havas Media Group BeLux (2010)
25 years of experience in communication agencies (WPP/IPG/Havas)
Active in digital marketing since 1996
Founding father of Interactive Advertising Bureau (IAB) (1998)
Centre Information Media President (CIM):
Internet (2000-2011)
TV (2011-2013)
Strategy (2016 - …)
Teach Marketing at SBS (2006 - …) + International MarCom
Active Blogger: I’m A Bridge – www.huguesrey.com
Follow me on twitter + Instagram: @huguesrey

3. INSTAGRAM @HUGUESREY
3

4. HAVAS MISSION
DESIGNED FOR TODAY & TOMORROW
Our aim is to be the world’s best company
at connecting brands with people using
creativity, media and technology

5. 5
Setting the Scene
Turbulence is the new norm …
& is full of opportunities
Thesis + Case studies
Combine Data & Content is key to
develop meaningful connections
Conclusion
Media (Digital) Transformation must be
a ‘4 Winners’ Game

6. TURBULENCE IS THE
NEW NORM !1
… AND IS FULL OF
OPPORTUNITIES

7. Entertainment Industry Transportation Industry IoT Industry
Travel & Hospitality
Industry
Social Media Industry
E-Commerce Industry
$47 B Market Value $40 B Market Value $3.2 B Market Value
(A Google Company)
$22 B Market Value
Source: angel.co as on 08/27/2015
$242 B Market Value $172 B Market Value
Uber, the world’s largesttaxi companyowns no vehicles, Facebook the world’s most popular
media owner creates no content, Alibaba, themostvaluable retailer has no inventory & Airbnb
the world’s largest accommodationprovider owns noreal estate
SOFTWARE IS DISRUPTING ACROSS
ALL THE INDUSTRIES

8. HUMAN
DATA DRIVEN
COMMERCIAL
OFFER
HUMAN
ALGORITHM
DESIGN
CONTENT
WE LIVE IN AN ORGANIC WORLD
WHEN 2.5 BILLION PEOPLE ARE CONNECTED
ON THE SAME PLATFORMS
DATA IS
EATING THE
MARCOM
INDUSTRY

9. 9
Data (& Content)
leads the Hype
Curve

10. IN 2017, X% OF THE ADVERTISING
WILL BE PROGRAMMATIC

11. IT‘S NOT ABOUT BLIND AUTOMATION
OF PUSHING MORE BAD CONTENT
ON NEW STACKS THROUGH A
PIPELINE

12. LESS VOLUME, BUT BETTER QUALITY
R.O.I. MULTIPLIED
16%
57%
84% 96%
43%
Budget Traffic Conversion
Programmatique
Comportemental
Traditionnel socio-
démo x3

13. COMMUNICATION (STILL) MATTERS
13

14. THE RISE OF AD-BLOCKING
14

15. DO YOU DISLIKE ADS ?

16. MAJORITY AGREE ADS ARE MORE
INTRUSIVE & PREVALENT TODAY

17. 17

18. 18

19. 19
VALUE PERCEPTION &
MONEYTIZATION

20. Most people would not care if 74%
of brands disappeared
Less than28%
of brands notably improve our quality of life
TRADE OFF WITH BRANDS IS WEAK
THERE IS LITTLE VALUE FOR PEOPLE IN THE CURRENT VALUE EXCHANGE
WITH BRANDS
20

21. HAVAS ž 4 ž HEINEKEN
75%brands could
disappear
tomorrow

22. E. EUROPE
42%
N. AMERICA 22%
LATAM
69%
31%W. EUROPE
MIDDLE EAST
79%
EMERGING ASIA
83%
36%
DEV. APAC
50%
of brands
are trusted
globally
TRUST IS WEAK
22

23. A “minimum” level of trust is necessary for
consumers to allow brands play a role in
their lives.
Brands that make a positive tangible impact
on what matters to us significantly contribute
to our lives.
Brands we care about are Rewarded with
strong Attachment and deeper
connections that, in turn, help reinforce
trust.
“TRUST IS A PRE-REQUISITE FOR BRANDS TO DEEPEN CONNECTIONS
AND BE ALLOWED TO PLAYA MEANINGFUL ROLE IN PEOPLE’S LIVES”
?Why do I care?
23
TRUST IS NO LONGER ENOUGH…

24. UNDERSTANDING WHAT MATTERS
Personal wellbeing
Exploring how brands tangibly improve
peoples’ lives
Collective wellbeing
And the role they play in society
Marketplace
Going beyond
the product
MB INDEX = Brand Performance + Brand KPIs
24
WHY DO I CARE ?

25. EARNING MEANINGFUL RETURNS
Value for the brand
+ Share of Wallet
+ Marketing KPIs
+ Financial value
Why do I Reward?
BUSINESS
RETURNS
MEANINGFUL
VALUE
FOR PEOPLE
Meaningful
Performance
25
=
WHY DO I REWARD ?

26. CONSUMER = EVALUATE & SHARE
35%
42%
42%
70%
92%
Ads (Average)
Editorial Content
Recommendation 'Framiliy'
TRUST

27. PROCTER & GAMBLE’S
3-STEP MARKETING MODEL IN 2005.
Stimulus 1st moment of
truth
2nd moment of
truth
At shelf – In a store Experience
Need for a product
(by seeing an ad
etc.)
Consumer is at the shelf,
in a store with a wide
number of options to
choose from.
After purchasing the product,
does the product live upto
expectation. What is the
experience with that product
Source : Procter and gamble 20

28. REVISED 3-STEP MARKETING MODEL
BY GOOGLE/SHOPPER SCIENCES
Stimulus 1st moment of truth 2nd moment of truth
At shelf – In a store Experience
Zero moment oftruth
Pre-shopping | i-store | In-Home
https://www.thinkwithgoogle.com/collections/zero-m oment-truth.htm
Whether we're shopping for corn flakes,
concert ticketsor a honeymoon in Paris, the
Internet has changed how we decide what to
buy. This online decision-making moment is
called the Zero Moment of Truth — or simply
ZMOT.

30. In a nutshell
The world is changing
The
consumer
has changed
Media has
changed
Agency
needs to
change

31. 2
DATA X CONTENT
TO DEVELOP
MEANINGFUL
CONNECTIONS

32. HOW TO S.A.V.E. THE 4 P‘S?
Focus on
SOLUTION
Define offerings by the needs
they meet, not by their features,
functions, or technological
superiority
Instead of
PRODUCT
Focus on
ACCESS
Develop an integrated cross-
channel presence that considers
customers’ entire purchase
journey instead of emphasizing
individual purchase locations
and channels
Instead of
PLACE
Focus on
EDUCATION
Provide information relevant to
customers’ specific needs at
each point in the purchase
cycle, rather than relying on
advertising, PR, and personal
selling that covers the waterfront
Instead of
PROMOTION
Focus on
VALUE
Articulate the benefits relative to
price, rather than stressing how
price relates to production costs,
profit margins, or competitors’
prices.
Instead of
PRICE

33. INSTEAD OF PROMOTION ...
Focus on
EDUCATION
Provide information relevant to customers’ specific needs at
each point in the purchase cycle, rather than relying on
advertising, PR, and personal selling that covers the
waterfront

34. MEANINGFUL CONNECTIONS PLANNING
FUELED BY DATA AND CONTENT
• End to end measurement
• 1st – 2nd – 3rd data source
• Responsive communications
• Across consumers and prospects
• More personalised
• Brand led experiences
• Targeted – Integrated – App
DATA DRIVEN
CONTENT POWERED
(MEDIA) AGENCIES ROLE EVOLUTION

35. TOP MEANINGFUL
CONTENT &
SOLUTIONS
Source: HMG Meaningful
Brands 2015
% People world wide
Music Sponsor.
50% Social in-person Gathering
50%
52%
Entertain. content
52%
Customized experiences
53%
Life tracking Apps
Co-creation
53%
54%
Active living Events
Contests
55%
Intve. earning, skills
55%
Apps
to enjoy life
55%
Personal.
content
55%
Peer
Reviews
56%
Experts’
advice
58%
Live Cust.
support
61%
Info to
know
61%
Incentives
& rewards
68%
41
LIVE & SHARE ENGAGING EXPERIENCES

36. How?
The Coach
A Better “You” A Better “World”
Entertaining, Social and Customized Experiences,
Empowering Solutions & Apps that enrich lives
+ +
Supporting ideas through technology,
to make a better global society
Why?
,
36
NIKE COACHES PEOPLE TO ACHIEVE THEIR
FULL POTENTIAL, MAKING EVERY
INTERACTION COUNT

37. Br. Website&Microsite
Br. Profile social media
Br. Youtube channel
Br. Apps
Brand Experience
Mail/Email/SMS/MMS
Brochure, catalogue
or newsletter
Promos, coupons,
merchandising
Samples
TV
Radio
Newspaper
Magazine
Celebrity
Cinema
Outdoor
Display (computer)
Display (mobile devices)
Online video
Search
Product placement
TV Sponsor
Sponsor Events
Sponsor CSR
Sponsored blogs
Branded Content
POS
Promotion (stores)
Leaflets
Comparison websites
Media Coverage
Articles
Consumer reviews
Recomm.
Friends&Family
See-know others
Recomm. Experts
3
9
7
20PAID
OWNED
EARNED
SHARED
+39
Touchpoints
Brand partnerships Co-branded loyalty
programs,
promos&discounts
Collaborative initiatives
TAILORING OSEP TOUCHPOINTS

38. HAVAS ž 4 ž HEINEKEN
UNDERSTAND
KEY
TOUCHPOINTS
TO ENGAGE
INTO A
JOURNEY
38 Source: HAVAS Connect Global Wave (Total Beer Category)
INFLUENCE ASSOCIATION
PAIDP
O OWNED
SHAREDS
EARNEDE

39. THE 5 AGES OF MEDIA DIGITALIZATION
39
Period
Promiss
Pre-Digital
Before
1995
Mass
Target
Web 1.0
1995 -
2001
The 6th
Medium
User
Interaction
Age
2002 -
2010
Age of
the
Prosumer
Data +
Content
Age
2011 -
2016
Data
Driven
Phygital &
A.I. Age
2015 - …
Trans
Human

40. ACCELERATION ON INNOVATION

41. EMERGING TECH & ADVERTISING KPI
41
Emerging
Tech
Com
KPI
Pre-Digital
Reach
Freq.
Affinity
Web 1.0
WWW
CPM
CPC
CPA
User
Interaction
Age
Social
Mobile
Local
Engage
Data +
Content
Age
Programatic
x
Native
Omni
Channel
Convert
Phygital &
A.I. Age
IOT
A.R.
A.I.
Real Life
Integration

43. AUDIENCE IS THE NEW REACH
Born in 1948
Grew up in UK
Married 2nd Time
2 Childrens
Successful in
Business
Wealthy
Of WALES
Prince
Of DARKNESS
Prince

44. IN A CHANGING WORLD YOU NEED A
FUTURE- PROOF FRAMEWORK
Insight Cookie ID
Preparing you for planning addressable media

45. How do we access
and manage
consumer data
across OSEP?
How do we arrive at
a single view of the
customer?
How do we manage
buying across all
consumer
touchpoints?
How do we deliver
the optimal
customer
experience on all
channels?
4 KEY CHALLENGES
1 2 43
Listen Identify Engage Personalise
Data BuyingID Content

46. META
DSP
TRAFFIC
REAL USERS
EXPERIENCE
USER EXPERIENCE
IMPACT
INVESTMENT
EFFICIENCY
CONTEXT
BRAND SAFETY
COMPLIANCE
QUALITY PLACEMENTS
ACROSS ALL VENDORS AGNOSTICALLY
DISPLAY
DSPS
OOH
DSPS
PRINT
DSPS
AUDIO
DSPS
VIDEO
DSPS
DISPLAY
INVENTORIES
OOH
INVENTORIES
PRINT
INVENTORIES
AUDIO
INVENTORIES
VIDEO
INVENTORIES
AGNOSTIC ARCHITECTURE
IS THE FUTURE OF BUYING

47. CDJ & DATA MANAGEMENT PLATFORM

48. CDJ & DATA MANAGEMENT PLATFORM

49. OPTIMIZE, EVOLVE WITH DATA
Data is the cornerstone of the
modern business’s ability to
innovate, right down to how it
uses its workspace

50. STELA – STORY AND EVENTS
ANALYTICS” — NYT
Stela: In-house analytics dashboard with the goal of making
audience engagement data easy to find, simple to understand,
and even fun to use.

51. LANTERN – EDITORIAL ANALYTICS
DASHBOARD FOR THE NEWSROOM
The goal:
Bring data into the
newsroom in a clear,
practical way.
Aim is to demystify
data and empower the
journalists in real time.

52. Interfaces for filtering and
accessing massive data
BOTS AND AI

54. 3
CONCLUSIONS
MEDIA (DIGITAL)
TRANSFORMATION
MUST BE A
4 WINNERS GAME
54

55. M
E
D
I
A
A
D
V
E
R
T
I
S
E
R
A
G
E
N
C
Y
C
O
N
S
U
M
E
R

56. C
O
N
S
U
M
E
R
#Experience
#Tradeoff
#unpollued

57. A
D
V
E
R
T
I
S
E
R
#ROI
#Transparancy
#lessismore

58. M
E
D
I
A
#premium
#yieldmanagement
#unsoldinventory

59. A
G
E
N
C
Y
#adedvalue
#datamagementvalue
#DMV

60. #experience
#tradeoff
#unpollued
#adedvalue
#datamagementvalue
#DMV
#premium
#yieldmanagement
#unsoldinventory
#ROI
#transparancy
#lessismore
Some of the 4 winners keywords !

61. hugues.rey@havasmg.com
@huguesrey
+ 32 496 26 06 88
www.huguesrey.com
THANK YOU
FOR
YOUR ATTENTION !