Professional Documents
Culture Documents
Digital Marketing
Digital Marketing
Digital Marketing
Introduction
HOW CAN YOU STAND OUT?
BRAND COMMUNICATION
HOW DO
PLAN ON STANDING OUT?
YOU
THE WORLD IS CHANGING
… WHETHER WE LIKE IT OR NOT
“If you don’t like change, you’re going to like irrelevance even less.”
General Eric Shinseki, Former Chief of Staff, U.S. Army
CONFUSION
Female Fever
YOUNIVERSAL BRANDING
Eco-ecosystem
Post-consumerism
HOME TROTTING
5*STAR*LIVING
Counter-Googling
Too many trends, and not a lot you can do about them
CHANGE
IT’S ABOUT
FUNDAMENTAL CHANGES
ELVIS HAS LEFT THE BUILDING
The marketing rule book has been torn up and thrown out the window
HYPERREALITY
Las Vegas
HYPERREALITY
Young people are scorning social interaction for virtual relationships.
Resources
Goods/services
Solutions
THE NEW VALUE CHAIN
Resources Goods/services Solutions
EXPERIENCES
EXPERIENCES = KNOWLEDGE!
“OPPOSITE”-ISM
=
THE COMMUNICATION MODEL
ORGANISM ???
RESPONSE INDIFFERENCE
BRAND X
CUSTOMERS
BRAND
RESPONSE CUSTOMERS
+
COMMUNICATION
or
APATHY
Do your customers care about what you try to tell.. and SELL?
EVOLVED COMMUNICATION
BRAND X
THE CUSTOMER
CUSTOMERS
CUSTOMERS
BLOGS
GAMES
DIGITAL CHANNELS
INSTANT MESSAGING SEM
PODCASTS
Contact
Viral videos
VIRAL MARKETING
Viral videos
INSTANT MESSAGING
Confirmed revenues:
$20 million +
INTERACTIVE POSTERS
58% 50% 45% 41.3% 38% 31% 28% 23% 19% 10% 13.5% 15.6% 47% 51% 53% 54%
60%
62%
6%
8%
Dec 1995
Jun 1996
Dec 1996
Jun 1987
Dec 1997
Jun 1998
Dec 1998
Jun 1999
Dec 1999
Jun 2000
Dec 2000
Jun 2001
Dec 2001
Jun 2002
Dec 2002
Jun 2003
Dec 2003
Jun 2004
Dec 2004
Jun 2005
CAGR: 31%!
Source: Quantum-Web
Newspaper subscription Cell phone Radio TV Large supply of books Computer with
Internet access
1% 4% 6% 6% 18 % 64 %
INTERNET
Base = 1,000 online households Source: Ipsos U.S. Express, August 2004
Telecommunications Retailers
Automobile
2005
Why Use Digital Marketing?
WHY USE DIGITAL MARKETING?
Message association
measuring how messages are linked to brand
Brand favourability
see if respondents have positive opinions to brand
Purchase consideration
likelihood of consumer purchasing the brand
Actual purchase
5.1
Point Change
4 3.4 2.9
3.9
0 1 2 3 4 to 9 10 +
Exposure Frequency
Effective frequency
DIMINISHING RETURNS
Internet
Television
Marketing spend
TV
Ca. 20 %
AWP %
Source: MINDSHARE
Using the Internet is the most cost-efficient way to create your first 20%
awareness
COST/BENEFIT
+5.4%
68.9 72.6
Control Exposed
80
Which of the following [brands, products] have you heard of before?” • Of those who
had not seen the online ad, 68.9% were aware of the brand • Of those who had seen
the online ad, 72.6% were aware of the brand • So, the ad caused a 5.4% increase in
awareness
60
Percent
40
20
Brand Awareness
Ad Recall
Message Association
Brand Favourability
Purchase Intent
Source: Dynamic Logic MarketNorms MarketNorms data through June 30, 2004; N=199
European campaigns, n=163,262 respondents
+5.4%
80
68.9 72.6
Control Exposed
+5.6%
60
Percent
40
+45.3%
34 23.4
+21.6%
33.2 27.3
44.6
47.1
+5.0%
38.3 40.2
20
Brand Awareness
Ad Recall
Message Association
Brand Favourability
Purchase Intent
TV only
Online only
TV + Online
Source: NFO/Infratest Study
Both media impact key brand attributes separately yet are more powerful together
PERCEPTION AND BEHAVIOUR
As a result of using the Internet
Changed their mind about a brand they were going to buy and switched to a different
brand Have personally researched and looked for information about a product or
service before making a purchase Felt that the internet helps them make a more
informed purchase decision Agreed that if they saw a negative review on the
internet about a product or brand they would think twice about buying it
42% 74%
76%
77% 42
Lots of case studies, research and data showing that online advertising improves
brand metrics such as awareness and favourability
THE BENEFITS
Measurable ROI
THE BENEFITS
10 – 15%
Optimal media mix includes 10 – 15% spend on digital
Online advertising spend SPEND CURRENT DIGITAL MEDIA
US: 6%
UK: 7.8%
As a percentage of total advertising spend
UK TOP 20 ADVERTISERS
Total spend Top 20 advertisers Unilever UK Ltd Procter & Gamble Ltd COI
Communications 1,757,128,753 217,374,235 183,764,561 168,949,805 Internet spend
30,683,912 467,782 531,664 1,536,482 % spent online 1.75 0.22 0.29 0.91 % spend on
all other media 98.25 99.78 99.71 99.09
BSkyB Ltd
L'Oreal Golden Ltd DFS Furniture Masterfoods Orange Plc BT Ltd Nestle Reckitt
Benckiser Ltd Vauxhall Motors Ltd Tescos Plc Ford Motor Company Ltd Renault Uk Ltd
Kellogg Company Lloyds TSB Plc Sainsbury's Vodafone Ltd Capital One
104,769,013
103,712,826 93,461,848 79,091,280 77,778,373 76,469,097 68,510,585 67,473,880
63,460,028 62,885,215 62,807,418 60,126,322 58,840,448 56,139,386 52,925,167
50,572,728 48,016,538
9,832,258
171,439 0 381,082 5,842,074 1,494,089 283,873 10,324 497,881 197,954 867,839
709,243 0 161,677 80,653 300,328 7,317,270
9.38
0.17 0.00 0.48 7.51 1.95 0.41 0.02 0.78 0.31 1.38 1.18 0.00 0.29 0.15 0.59 15.24
90.62
99.83 100.00 99.52 92.49 98.05 99.59 99.98 99.22 99.69 98.62 98.82 100.00 99.71
99.85 99.41 84.76
BT Ltd
Nestle
76,469,097
68,510,585
1,494,089
283,873
1.95
0.41
98.05
99.59
67,473,880
63,460,028 62,885,215 62,807,418 60,126,322 58,840,448 56,139,386 52,925,167
50,572,728 48,016,538
10,324
497,881 197,954 867,839 709,243 0 161,677 80,653 300,328 7,317,270
0.02
0.78 0.31 1.38 1.18 0.00 0.29 0.15 0.59 15.24
99.98
99.22 99.69 98.62 98.82 100.00 99.71 99.85 99.41 84.76
50 % 6% 9% 13 % 8% 9% 3% 2%
UK data 2005
BUT
There is ONE major problem afflicting traditional advertising…
Falling marginal advertising EFFECTIVENESS!
IN THE GOOD OLD DAYS…
THESE DAYS…
CONSUMERS ARE TIRED OF LISTENING!
… Unless your story is very compelling to them or it has been promoted by a trusted
third party consumer
INSTEAD OF TELLING YOUR STORY…
LET CONSUMERS TELL THEIRS!
GIVE THEM A PLATFORM
Do you know what can be done with a bottle of Diet Coke and a handful of Mentos?
CO-CREATION
CONSUMERS… Are not just about CONSUMPTION It’s as much about PARTICIPATION
THE PARTICIPATION ARENA
We’ve all heard about
Generation X
Generation Y
And then came
Now it is all about…
GENERATION C
GENERATION C(ONTENT)
Self-broadcast
GENERATION C(ONTENT)
Self-publish
GENERATION C(ONTENT)
Self-publish
Generation C changes the rules of consumption
CURATED CONSUMPTION
Bill
CURATED CONSUMPTION
Josh
CURATED CONSUMPTION
And Josh II
DANGERS DANGERS
BIG AD
Great reach… shame about the target market
How Can You Use Digital Marketing?
WHAT IT IS USED FOR? DANGERS
• • • • Branding Acquisition / Lead Generation Direct Response / Promotions CRM
CORPORATE TOUCHPOINTS
Executive Club
BRITISH AIRWAYS
Executive Club
BRITISH AIRWAYS
E-mail newsletters
BRITISH AIRWAYS
Banner advertising
BRITISH AIRWAYS
Content sponsorships
BRITISH AIRWAYS
B2B advertainment
EXAMPLE
NIKE FOOTBALL
NIKE FOOTBALL
Branded games
NIKE FOOTBALL
Marketing, advertising, PR
THE STRENGTHS
Branding
Acquisition/Direct Response Dynamic/Interactive
Measurable/Accountable
THE PROCESS
DIGITAL MARKETING
Traditional on- and off-line communication Above the line
TTL
BRAND
TTL
DIGITAL MARKETING
CRM
BRAND
Digital
Information requested
search
SEO PPC
visit
Sponsorship Partner Viral Advertising Etc.
info
Campaign Product Service Brand Company
action
STRATEGY
CONCEPT
DESIGN PRODUCTION EXECUTION
Channel independent
Channel dependent
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