Ces 2018 - Trends and Insights

1. TRENDS
& INSIGHTS
CES 2018

2. INSIDE THE REPORT
This report highlights key trends and
innovations coming out of CES and their
implications for marketers in 2018 and
beyond.
Read on for the full report or click on the
links to go directly to a topic.
1
AI’s Essential Role in Digital Transformation & Growth
MICHAEL MIRAFLOR, BLUE 449
What Innovation in Auto Means for Brands
TOM GOODWIN, ZENITH
Behind the Voice Hype
KATE SIRKIN, PUBLICIS PEOPLECLOUD
2018 CES Trend Roundup
ANDREW KLEIN, SPARK FOUNDRY

3. 2
AI’s Essential Role in Digital Transformation & Growth
MICHAEL MIRAFLOR, SVP, GLOBAL FUTURES & INNOVATION, BLUE 449
Artificial Intelligence (AI) is a broad and expansive idea that it is often overwhelming in its terminology alone. This year we’ll see the evolution of the conversation from hype
to practicality, as smart marketers and brands explore ways to leverage AI to fuel business results.
GENERAL PURPOSE MINDSET
Investing in AI can be an intimidating prospect, especially if current business tools and processes result in profitable outcomes. Think about the AI space as the next
general-purpose technology that will change the way the world and businesses operate, like the steam engine, electricity and the internet did. Each of these innovations
spurred business and society to start economic revolutions, and AI should be treated in the same manner.
IT STARTS AND ENDS WITH DATA
AI has a layer of capabilities that can maximize its effectiveness when combined with a solid data foundation. This will increase in importance as technologies such as 5G,
voice UX/UI, and self-driving vehicle infrastructure continues to mature. This revolution in 1-to-1 marketing will give brands who have mastered data an unprecedented
competitive advantage in the future.
THINK PRAGMATIC, NOT PANACEA
While machine learning and neural networks are increasing in sophistication and are solving large and complex business problems, more pragmatic effects of an investment
in AI are felt in the automation of time-consuming, administrative tasks in the day-to-day workplace. This mirrors the consumer experience, where quick customer service
inquiries are increasingly addressed by AI-powered chatbots, freeing time to do more productive tasks.
USING VOICE AS A PROXY TO FRAME STRATEGY
Today, we look to the consumer technology landscape to see how consumers are already using AI in their daily lives. The uptick in adoption and subsequent voice-led
consumer behavior was largely a surprise, and is a great example of how AI can experience dramatic growth. It’s easy to marvel at this growth, as the beginning of a new
technological revolution, but it is also an opportunity for marketers to reflect and ask: do I want to be just a witness, or a participant in this AI revolution?

4. What Innovation in
Auto Means for
Brands
TOM GOODWIN
EVP, HEAD OF INNOVATION, ZENITH USA
It’s highly likely the automotive sector is about to undergo its most significant
shift in history as we see changes coming from all directions in a remarkably
short period.
3
E-MOBILITY
The plunging cost of batteries and rapid improvements in energy density means that the way cars
are propelled is changing rapidly. Electric cars usher in a new way of thinking about vehicles. The
lesson here for brands is clear: As a category leader it’s easy to gain comfort, but when a
fundamental shift happens, former strengths can fast become weaknesses.
SELF-DRIVING
Cars have offered augmented driving for years through lane departure warnings, adaptive cruise
control, and even self-parking. Self-driving cars change the very fundamentals of cars and life.
Brands need to look to this in many ways. What does advertising become in these new
environments? Many opportunities emerge.
BRAND IMPACT
More than anything else we can see a shift from ownership to access. If cars are self-driving, they
soon become more like an annual contract to a mobile phone plan than to a vehicle to own. Self-
driving cars create opportunities to focus more on the consumer’s needs at different moments in
their life and in time. When we pay to get from A to B, it becomes more about the quality of that
service, and the overall value brands deliver to the consumer.

5. 4
A new study by Publicis Media takes a more human approach to understanding the opportunities that voice presents for brands and marketers. While still an emerging
sector for marketers, the study identified some key opportunities for brand engagement that are unique to voice.
NEW ENTRANT PACKS A MEMORY PUNCH
Two years in, smart speakers and voice interaction already boost unaided brand recall by 2X when compared to TV, putting them on par with native mobile. Marketers
should dial-up context to stimulate in-the-moment category connections, set utility and enjoyment goals for content creation and build discovery strategies to raise
awareness.
ROBOTS AREN’T GOOD STORYTELLERS, YET
Despite being one of the hotly-anticipated functionalities, storytelling in voice is very hard to achieve – primarily due to the lack of authentic emotional range, which results
in a drop in attention and interest as users get caught up in the voice mechanics. There is growth opportunity for marketers who invest in emotional range to increase
human-like interaction.
ALL PART OF THE FAMILY
There is a shared sense of ownership when smart speakers are used in the home. However, the presence of AI/robots in the home is also presenting new challenges for
parents to navigate from manners to appropriate content. Parents should be a priority audience for voice with content spanning the range of parenting experiences. Brands
should also capitalize on the reduced reliance on screens and facilitate shared moments via the smart speaker.
DRIVE-TIME UNLOCKED
Voice is unlocking a new freedom to multitask in the car, turning what has previously been downtime into productive uptime. Poor voice recognition while driving carries a
high irritation factor as there is less room for glitches in an environment where accurate information delivery is crucial. Reducing complication should be the first priority
when developing voice for in-car usage.
REINVENTING THE ROAD TRIP
We challenged users to hack their Alexa Dots into their cars, prompting drivers to reinvent their entertainment experiences on the road – particularly for longer trips and
commutes – and ultimately make it a more sociable experience. It was a welcome change from the individual use of mobile phones/tablets in the car. This provides
opportunity for brands to partner with car-makers, tech innovations and entertainment brands.
Behind the Voice Hype
KATE SIRKIN, EVP, DATA & PARTNERSHIP LEAD, PUBLICIS PEOPLECLOUD

6. 5
2018 CES Trend Roundup
ANDREW KLEIN, DIRECTOR, CONTENT INNOVATION, SPARK FOUNDRY
VR AIMS FOR MASS ADOPTION EMERGENCE OF AR CONSUMERS CONTROL HEALTH INSIGHTS
VOICE CONTROL RULES ALL CONNECTED & SMARTER COMMUNITIES BLOCKCHAIN & BRANDED CRYPTO
Wireless and all-in-one VR headsets will push the next
wave of VR adoption. With easier access, simpler designs
and greater mobility, VR use will increase and consumers
will crave content experiences.
Implications for brands:
With the emergence of stand-alone headsets, brands will
soon have more scale to reach consumers through VR.
With the launch of Apple’s ARKit and Google’s ARCore,
most new smartphones have full AR capabilities offering
branded digital content far beyond today’s filters, lenses
and gimmicky masks.
Implications for brands:
Leverage digital assets, and more importantly look to
digitize their physical products to implement within the
pending boom of AR platforms and experiences.
Wearables provide unique opportunities for brands to
understand health insights and provide additional care,
products or even lifestyle improvement tips.
Implications for brands:
Utilize unique data points to more precisely target
consumers with the right products, care and/or support.
CES showcased thousands of smart devices integrated
with smart assistant functionality, allowing consumers to
seamlessly control and operate with a few voice
commands.
Implications for brands:
Strategize and develop smart integrations with these
devices to meaningfully connect products, offerings and
utilities to these systems.
New smart security systems offer aggregated data to
share with communities, law enforcement and insurance
companies for real-time insights and proactive alerts.
Implications for brands:
Use this data to better understand audiences and
collective behaviors in specific communities, as well as
inform dynamic content, messaging and add a unique data
set on top of programmatic opportunities.
Kodak announced KodakCoin, to help photographers
utilize blockchain to control and track the usage of
intellectual property. More importantly, it provides payment
and royalties in the form of KodakCoin, if their images or
content are used.
Implications for brands:
Media-focused blockchain services offer secure and
transparent methods to distribute content and manage
user data while eliminating fraud.