The document discusses the need for integrated marketing and communications planning. It notes that traditional siloed approaches to different marketing disciplines like advertising, digital, PR, etc. are no longer effective given changes in technology and customer behaviors. With people getting information from various sources and interacting with brands across multiple channels, an integrated approach is required to ensure consistent messaging. The world is now more globally connected, so cultural understanding is also important for communications.

1. Marketing Communications – Integration in Planning a Necessity MICHAEL MENDENHALL PRESIDENT AND COO, LIPMAN A MARKETING AND ADVERTISING SERVICES COMPANY MAY 18, 2011

2. “ A Camel is a Horse Designed by Committee” Despite a singular vision to achieve a specific goal, the various participants can't (or won't) selflessly bring their expertise to bear on the problem

3. Today's brand marketers have bought themselves a football field full of spitting camels that were meant to be thoroughbreds

4. SILOED APPROACH = SILOED MENTALITY Marketers ignored the need for fluidity and nimbleness in the changing customer experience and focused too much on separation of marketing disciplines (advertising, digital, e-commerce, PR) Advertising Digital Ecommerce Direct Placed-Based

5. And, PR was down the hall…

6. MOBILE & TABLETS 9 out of 10 Americans have a cell phone (half will be using a smartphone by end of 2011 Expected 800% increase in tablet ownership 2010-2015 SOCIAL MEDIA Social media grew by 56% YOY (2009-10) 63% of Gen Y affluents use social media to engage with brands SOCIAL NETWORKING Facebook: has over 550,000,000 active users Facebook: Users share 30 billion pieces + of content (web links, news stories, etc.) each month THEN WHAT HAPPENED? THE WORLD GOT A LOT SMALLER Sources: The Nielsen Company; Nielsen Wire, March 2010, L2 Thinktank Gen Y Affluents Media Survey Dec 16 2010, Forrester, “Welcome to the Era of Agile commerce,” , Social media access measure, comScore 2010 Mobile Year in Review report, Facebook Statistics; http://www.facebook.com/press/info.php?statistics

7. BLOGS Blogs: Nearly half of Gen Y affluents read at least one blog daily, making blogs as popular as newspapers LOCATION-BASED SERVICES Twitter: 460,000 new sign-ups daily; 155,000,000 tweets per day; 200,000,000+ registered users SEARCH 11.1 billion searches were conducted on Google during March 2011 THEN WHAT HAPPENED? THE WORLD GOT A LOT SMALLER Source: L2 Thinktank Gen Y Affluents Media Survey Dec 16 2010, Twitter; http://business.twitter.com/basics/what-is-twitter , comScore; comScore qSearch, April 2011

8. THEN WHAT HAPPENED? THE WORLD GOT A LOT SMALLER Mobility Your customers do not distinguish between ‘brand’ and ‘channel’ Personalization & Customization Know your customer; recognize her taste, preferences and reward her with rich and relevant experiences Global Citizenship Consumers believe in the power of community and accountability, and make decisions based on shared values Community “ What drives change and motivates people to act is other people.” David Fischer, Facebook VP Advertising and Global Operations (Advertising Age, Feb 2011)

9. COMMUNICATIONS INTEGRAL IN REACHING STAKEHOLDERS CUSTOMERS Existing Lapsed Prospective INDUSTRY Editors Bloggers Stylists Press STRATEGIC PARTNERS Co-brands Designers Suppliers FINANCIAL STAKEHOLDERS Analysts Shareholders Bankers CITIZENSHIP AUDIENCES Social innovators Labor relations/practices Ethics governance NGO’s Community leaders EMPLOYEES Current staff Recruits Attracting top leadership Talent

10. IN THIS NEW GLOBAL ECONOMY Cultural, geopolitical, economic nuances can impact an organization’s reputation Need to understand the way people communicate in other countries Communications plays an enormous role in succeeding Cross-culturally and across stakeholders

11. NEW CONSUMER TOUCH POINTS REALITY 3,000 marketing messages a day Internet Democratization Social media grew by 56% YOY (2009-10) Brands cannot hide Use social media to understand / address issues Values matter 71% agree: “I buy brands from companies whose values are similar to my own.” The experience matters A bad experience forced 22% of consumers to stop doing business with a brand in Q3, Q4 2010 An increasingly cluttered, fragmented world ACTION Be clear and consistent Become better “listeners” Be authentic & transparent Be clear what you stand for Make it easy, engaging, to advocate

12. NEW CONSUMER TOUCH POINTS Customers getting information from a variety of sources The consumer now decides where and how to buy (online, bricks and mortar, tablet, mobile, social) They are connected and interacting with brands – and they expect an excellent experience no matter when or how they do it For the consumer, there is no " moment in time " where and when they can be communicated with and marketed to They can glide by classic forms of advertising and communications if they want to

13. CONSUMERS TAKE ACTION TO SUPPORT COMPANIES WITH PURPOSE 66% BUY its products of services 66% RECOMMEND its products or services 64% SHARE positive opinions and experiences Edelman goodpurpose study, 2010

14. COMMUNICATIONS INTEGRAL IN REACHING STAKEHOLDERS Customers getting information from a variety of places – analysts, suppliers, employees Need to communicate with stakeholders – not just customers Communications plays key role in managing reputation with stakeholders, who ultimately inform your customers

15. LINES STARTING TO BLUR Brand reputation and brand equity Integration of CCO and CMO Brand and Communications teams Stakeholders consuming across channels

16. INTEGRATED MARKETING AND PR IS: Embedded in a holistic approach Agile Globally -minded

17. OARS NEED TO PULL TOGETHER

18. INTEGRATED BRAND MARKETING AND CORPORATE REPUTATION LEADS TO… Aligned messages across channels Qualitative & quantitative research Mitigating risk - 1 risk to reputation will devalue entire brand Edelman 2011 Trust Barometer: “ More than 70 percent of consumers need to be exposed to a message more than three times to accept it as true. A company with a message can’t simply put it “out,” but rather must put it “everywhere”

19. SEAT AT THE TABLE Communications is critical as marketers bring new products to market – especially in global markets Critical for communications to be integrated into all stages, from planning to market and beyond Not just in a crisis!!

20. IN THE C-SUITE Blurring lines between CCO and CMO – more and more executives are pulling together these roles One person has accountability for brand & reputation

21. WHO OWNS DIGITAL AND SOCIAL? All digital activities have to work in lock-step together in order to succeed

22. SOCIAL MEDIA HAS USHERED IN COLLABORATION “ Most communicators agree that social media has really forced collaboration—and it’s fitting, really, given that social media is all about blurring historical lines and creating forums for new types of collaboration and communication .” - Corporate Executive Board

23. CASE STUDY: HP Communications and PR worked with brand teams directly Qualitative and quantitative measurements of how we’re doing on reputation Ability to benchmark results and see what drives reputation Enhanced ability to monitor strengths, weaknesses and potential risks to brand reputation

24. If you want to build a better horse, first build a better barn. Preferably without silos.

25. If you want to build a better horse, first build a better barn. Preferably without silos.