The Fall of AOR (Advertising Agency of Record)
Ming Chan
CEO/CTO, The1stMovement
http://www.the1stmovement.com
Software/Web Developer – Silicon Valley
Work
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I worked in the Ad Industry
About The1stMovement
The Advertising Industry
The Consumers
Maslow’s Hierarchy of Need
Consumers are now Co-Creators of products
Brands / Advertisers
• 110-year-old
• Over 40 flavors of Pepsi Worldwide
• 11 logo redesigns since 1898
• Over 30 different slogans since 1930
• $142 million Ad Spending in 2006
History of Pepsi Ad
The Ad Agency – The Influencer
• $142 million spent in 2006
• $94 million spent in 2007
• $60 million spent in 2008
• BBDO out, TBWAChiat in (2008)
• Pepsi Digital left TBWAChiat (2009)
Pepsi Ad Trend
• Pepsi Digital – Moved to Huge
• Gatorade – Moved to VML
• Sobe – Moved to FirstBorn
• Ditch 2010 Super Bowl Ad
($33 million spent in 2009)
• Refresh Everything – Social Campaign
($20 million year-long campaign)
Pepsi in 2010
Projected Global Ad Spending for 2010
Traditional AOR
New Breed of Agencies
Work
• Launched in 5 languages in 9 countries in Asia Pacific
• 4 Million unique visitors in 3 months
• Over 15k visits per day
• Over 20 minutes time-spent on average
• Still one of the most successful Nike Football Ad campaign
ever done
Nike – 90 Days of Football
• Download proceeds generated $1 million for Team USA
• Over 20k visits per day on English & Spanish Microsites
• 27k downloads of Soundtrack widgets
• Over 3k iTunes click through per day on iPhone
• 2 million Video content views
• Most-recalled sponsor feature during the Olympic game
AT&T Team USA Soundtrack Campaign
Work
• Launched in 5 languages in 9 countries in Asia Pacific
• 4 Million unique visitors in 3 months
• Over 15k visits per day
• Over 20 minutes time-spent on average
• Still one of the most successful Nike Football Ad campaign ever done
Nike – 90 Days of Football
• Over 500 Band Submissions (4x last year)
• 86,000 votes casted
• 50 million impressions online; 125 million impressions offline
• 30k visits in 4 months; 60k visits in 6 months; and 7x Pass
Along
• Most successful online competition of its kind
Airwalk – Unsigned Hero
Advertising on Traditional Media is NOT Dead
AOR Model Is Dated
Ming Chan
ming_chan@the1stmovement.com
http://www.the1stmovement.com
http://twitter.com/mingAtT1M

The Fall of AOR (Agency of Record)