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Brand building DNA- global Fortune 50 B2C brand builder that shifted to Silicon Valley funded start-up- not a ‘digital native’ … am a ‘hybrid’ brand marketer … stay current, curious, courageous- strong belief in understanding people & their user experience WW Director WW VP Strategic Brand Marketing, SVP, CMO Brand Marketing Biz Dev & Innovation U.S., Canada, Mexico Global CMO & Biz Dev Contributing writer Contributing writer
Brief- digital BRAND marketing state of union - 2013 forecast
Goals: I hope our discussion does one or all:- validates your current beliefs and strategic activity- gives you additional business case proof points to advance your digital brand marketing initiatives inside your company or with your clients- gives you something new to think about- gets your juices flowing and your mind racing- gives you additional reasons to connect with Neustar AdAdvisor & Legolas Media
How would you characterize the era that we’re in now with regard to the relationship between digital and brands? “Brands for the last 15 years have been looking at online as anothermedia channel to buy ads on. So they buy or rent eyeballs or audiences oruniques from the media properties that provide them.Now you’ve got with all of this user generated content and userinteraction and user engagement is the opportunity to build brands in adifferent way.We believe that brands will get built in the future off the back ofmeaningful, trusted, authentic and transparent engagement with a set ofconstituents, and then the amplification of those interactions by thoseadvocates on behalf of those brands in a trusted, authentic andtransparent way.And that engagement at scale we believe is what’s going to drive brandbuilding for the future.” Jeff Dachis, digital marketing pioneer, Co-founder, Razorfish
We are beyond trends. Shift_ happened. Fundamental sustained strategic shifts have happened that will continue to accelerate people power… and change their behaviors and expectations… powering potential for brand’s to deliver increased value. trend • general direction in which something is developing or changing or has a tendency to move • popular taste at a given time shift • to exchange or substitute one thing for another of the same class • to move or transfer from one place or position to another • to alter (position or place) • to change position, direction, place, or form
Important changed brand building perspective to drive value today and tomorrow…A Brand’s traditional ‘target audience’ has been focused on:consumer/customera person or entity who buys, acquires, consumes goods/services for personalneeds, direct use, ownership &prospect a poten(al customer, client, or purchaser I believe a sustained strategic shift has occurred in our rapidly transforming digital era that requires us to adopt a new focus from consumer/customer/prospect to people.
Why focus on people … what are the shifts?push > pull > powered = >potential
Why focus on people … what are the shifts?push > pull > powered = >potential >potential for people & brands
driving brand value pre-digitalpush prospect 1-way A dv Tec hbrand customer /
driving brand value pre-digital push prospect 1-way A dv Tec h brand customer / 2016 2009 2010 20112008 2013 2014 2012 2015 powered potential people brand
Buckle your seat belt… significant shifts_ are accelerating.“This cycle of tech disruption is materially faster and broader than prior cycles.No industry or business is immune. We will see the re-imagination of nearlyeverything… powered by new devices, connectivity, UI, and beauty.” Mary Meeker, General Partner at Kleiner, Perkins, Caufield, & Byers
The digital thread connecting us all is getting longer… quickly.
Accelerated adoption in 2013+ … digital Brand marketing will play pivotal roles to increase potential for people and brands.- Digital is everywhere and should elevate marketing and business priorities forConsumer (people) benefit.- Digital is not just an ad medium - it now is an interaction & engagementmedium.- Leading CMOs embracing digital disruption - creates remarkable potential tobulldoze traditional sources of competitive advantage faster, with greater power, atless cost than any force that came before it.
Accelerated adoption in 2013+ … digital Brand marketing will play pivotal roles to increase potential for people and brands.- Digital media solutions will provide CMOs the advantages expected online:precise targeting, measurability, and pay-for-performance pricing.- Brands will no longer simply explore/test technologies, but employ them at scale,moving emerging digital ad strategies from the margins to the mainstream.- To win… brands and agencies must understand levers within digital-marketingmix that lead to success, and commit to wide-scale implementation.
Some of the shifts_ CMOs will have to work through:- integrate important traditional fundamentals with digital into ever-changing channels of communication with consumers- stop thinking about digital as another media channel- overcome the current divide between digital marketing and brand marketing to successfully develop and implement compelling brand experiences- master investments in marketing technology and marketing innovation- drive their brands to deliver cohesive brand experiences that use digital to augment and extend their engagement with people in other channels and media- connect with people in a way that differentiates the brand from competitors
Growth in digital forecast to remain in double digits through 2015 accounting for One in Five Ad DollarsWorldwide in 2012, digital ad spending passed $100-billion mark for the first time.
SO… what do I think is on the road ahead? digital BRAND marketing 2013+ sustained strategic shifts_
13 digital BRAND marketing 2013+ sustained strategic shifts_Smart User Experience Social Media Mobile FirstMulti-Screen Omnichannel Big Data INNOlyticsContent & Context Social TV CMO ReinventionBrand Value Reimagined Brand Trust Brand Agility Digital Marketing Next
2013+sustained strategic shift_#SmartUserExperience Focus on people first – online & offline UI Digital is no longer a subset of the average persons life. Its just a part of everyday living thats expected and more accessible than ever. Marketers need to embrace how consumers engage digitally and integrate their message accordingly.
2013+sustained strategic shift_#SmartUserExperience Optimized & integrated online-offline user experiences. Digital marketers who succeed will focus on: -‘what’ people are doing … ‘what’ behaviors & expectations have changed, or could change/improve -probing to understand ‘why’ & ‘how’ of what they are doing -creating integrated personalized user experiences points -identifying new relevant valued benefits
2013+sustained strategic shift_#SmartUserExperience Shifts_ at CES From ‘Consumer Electronics Show’ to ‘Connected Everything Solutions’ One of this year’s CES themes was electronics brands focus on users, rather than the devices themselves as brands did a better job of communicating the consumer benefits and practical implications of their products rather than the technologies themselves.
2013+sustained strategic shift_#SocialMedia Social everything … everywhere … 24/7/365. Conversations + Content + Context + Connection + Community = Social Media Marketing Social technologies are now a central part of everyday life and work. Social Media Marketing has turned the corner and will accelerate as a strategic consumer engagement environment. Evolving from social platforms to social environments & conversations where brands can participate in ways that people value.
2013+sustained strategic shift_#SocialMedia Brand building in the social environment. Trusted, authentic, transparent engagement with a group of individuals, and then the amplification of the engagement with that individual’s followers and fans… and their friends and followers and fans.
2013+ At a Post PC ‘Mobile Majority’ inflection point.sustained strategic shift_#MobileFirst Online behavior rapidly moving to ‘mobility’.
2013+sustained strategic shift_#MobileFirst Behavior rapidly shifting to time spent using mobile devices Doubled in the past two years among US consumers. Time using mobile devices online grew 51.9% to an average 82 minutes/day, while time spent online for desktop, laptop, internet- connected TVs and other non-mobile connected devices only grew 3.6% to an average 173 minutes/day and slowing year-on-year growth.
2013+sustained strategic shift_#MobileFirst From ‘build-for-desktop-first’ to ‘build-for-mobile-first’ -2012: 45% of US adults own a smartphone -2013: mobile devices will pass PCs - be most common Web tools WW -2015: over 80% of handsets in mature markets will be smartphones -2015: tablet shipments will reach around 50% of laptop shipments
2013+sustained strategic shift_#MobileFirst Marketing Mix $ follows Mobility changed online behavior By 2016 - WW: spending on mobile advertising will quadruple - N.A.: mobile advertising could be bigger than today’s entire online ad market
2013+sustained strategic shift_#MultiScreen Multi-screen is our way of life. We all do it.
2013+sustained strategic shift_#MultiScreen Multi-screen behavior maximizes brand metrics. Simultaneous device usage while watching TV. Multi-tasking: when a consumer uses multiple devices to simultaneously perform unrelated activities, such as Facebooking while watching TV. Complementary usage: when a consumer uses multiple screens to perform related activities, such as viewing a live stream of in-game statistics on a tablet computer while watching the broadcast of the same game on a TV. Econsultancy - May 2012 - The Multi-Screen Marketer
2013+sustained strategic shift_#Omnichannel Commerce Loses Its Linearity. Omnichannel marketing is about being present or available across people’s online and offline behavioral path- each potential engagement and experience point integrated with all others. Omnichannel creates increased potential for brands to deliver integrated Moments of Engagement through sales funnel.
2013+sustained strategic shift_#Omnichannel OMNIchannel People " Optimized experience for People First"
2013+sustained strategic shift_ HOLY SHIFT_ !!!!!!#BigDataINNOlytics the growth of digital data will be 44 times greater in 2020 than it was in 2009.
CMOs understand importance…2013+sustained strategic shift_ …but feel unprepared.#BigDataINNOlytics Brand & Agency Teams have a big opportunity to provide value to their CMOs
2013+sustained strategic shift_ Transitioning From#BigDataINNOlytics ‘Big Data’ to ‘Smart Data’ Matters to Marketers
2013+sustained strategic shift_#BigDataINNOlytics How does Big Data change the agency relationship and what the agency must be? Roles going to shift in a lot of ways. You’re going to start to see a need for an agency skill set that is related to or based on the ability to analyze enormous sums of social interactions.” shift in the communication landscape from this one-way brand-building-at- you to building-brands-with-constituents is a shift Jeff Dachis, digital marketing pioneer, Co-founder, Razorfish
2013+ As we embrace Big Data and Metrics that Matter … remember …sustained strategic shift_#BigDataINNOlytics data means nothing without insight. Analytics ! ! ! ! I have a recommendation…!
2013+sustained strategic shift_#BigDataINNOlytics Raw Data & Un-INvested Analysis mean nothing without INNOlytics ! ! ! INsights! ! INtegration! INNOvations! INfuse emotions!
2013+sustained strategic shift_#ContentContext Late-2012 survey, 600 marketers-Content marketing is attracting its share ofmarketers budgets: 12% on average-55% marketers to spend even more in 2013-Ability to understand the effectiveness ofcontent marketing: 8% "very satisfied” 48% "somewhat satisfied”
Set integrated, strategic goals.2013+sustained strategic shift_ Build, buy or sponsor content that#ContentContext helps deliver brand goals & and deliver it in a contextually relevant way to add differentiated value.
2013+sustained strategic shift_#SocialTV An early, but very well informed, shift_ prediction SocialTV will emerge enabled by: -how people want to connect on content experiences … real-time synchronous -rapidly growing connected smart devices (TV, Tablet/Phablets, Smartphone, PC) -104,000,000 Smart TVs Now In Use Worldwide -US household penetration now exceeds 20% -emerging robust ecosystem: content, production, distribution, tech, brand, agency Social TV will end up doing what social media has done: It will get absorbed into daily life. It will stop being a separate thing. Social TV will become ... TV.
2013+sustained strategic shift_#SocialTV Hang with Friends & other Fans … & Experience Live Online Social Concerts on any internet connected device. Fans take & post photo to Fan social media Questions Invite Friends - even during the concert! Intelligent Display Comment Feed: “shout to the crowd” Conversation Bar: One of many ways to socialize on FanKix
2013+sustained strategic shift_#SocialTV FanKix delivers 3 customized real-time layers during online social concerts to engage consumers with relevant content, delivering a personalized, targeted user experience. Internet Device Brand Band Layer Experience available on any Mac/PC, Integration Band performs a unique up-close Mobile, Tablet, Connected TV & any OS and personal performance Interactive Layer Environment Layer Fans socialize with friends, other Profile-specific integrated Fans and directly with the branding delivered in HD Band & Brand
2013+sustained strategic shift_ It’s not ‘If’ … but … ‘When’ … ‘What’ … and ‘WOW’#SocialTV
2013+ New normal.sustained strategic shift_ These shifts have fundamentally#CMOReinvention changed CMO, Marketing Team & Agency partner roles. CMO.com 1.24.12: ‘It’s Time To Raise the CMO Bar’ Chief Marketing & Sales Officer Forum Editorial & reader pick: Editorial ‘Must Read’:12 Most Popular Posts of 2012 Q1 2012 www.cmo.com/articles/2012/1/24/its-time-to-raise-the-cmo-bar.html
2013+sustained strategic shift_ ‘It’s Time To Raise the CMO Bar’#CMOReinvention There is a ‘new normal’ for CMOs, Marketing, Agencies. We are at a tipping point to develop NEW & IMPROVED roles in the communication landscape from this one-way brand-building-at- shift for CMOs and their Marketing & Agency partner Teams to remain relevant, valued & connected… & is a shift on the you to building-brands-with-constituents focused highest value creation strategic opportunities. Shift from traditional CMO role & deliverables to ‘CGAR5’ … Commercial Growth Accelerator Relationships (‘people’ engagement) Reputation (authentic, transparent, trust) Relevant reimaging (compelling value prop, grow brand) Revenue & results (metrics that matter, MROI) Real-time (responsive, agile)
2013+sustained strategic shift_#CMOReinvention Are we over that fear of giving away our brand to consumers? “Absolutely not. We’re in the earliest of earliest of stages of this next sort of phase of development, the idea that brands don’t necessarily have control over where their brands live anymore. This shift is from ‘mass communications’ to a ‘mass of communicators’. Used to have this sort of one-way, I can talk at you and build my brand at you. Now I need to engage with you and build my brand with you because you’re going to say what you want to say anyway, whether or not I’m engaged in that conversation. So I might as well get engaged in that discussion, I might as well get involved in how you feel about the experiences that you’ve had and help you have an affinity toward my brand and help me amplify that affinity to the people who trust you.” Jeff Dachis, digital marketing pioneer, Co-founder, Razorfish
2013+sustained strategic shift_#CMOReinvention ‘Marketing’ is no longer a Department! People First! Come together … over me … right now. shift in the communication landscape from this one-way brand-building-at- you to building-brands-with-constituents is a shift
2013+sustained strategic shift_#CMOReinvention Yesterday Reimagine the Future Team Customer Strategic Digital ‘People’ Legolas Media & Support Partners Listening Lab Neustar AdAdvisor R&D R&D Agency Agency Marketing Marketing IT IT INNOlytics Finance Finance Sales Sales
2013+sustained strategic shift_#CMOReinvention What are the implications on the CMO’s job & role? CMOs have awareness of the shift in the communication landscape from one-way brand-building-at-you shift in the communication landscape from this one-way brand-building-at- to building-brands-with-constituents. you to building-brands-with-constituents is a shift You can’t buy audience anymore. Jeff Dachis, digital marketing pioneer, Co-founder, Razorfish
2013+sustained strategic shift_ Marketing Mind is not a choice between ‘Art’ or ‘Science’.#CMOReinvention
2013+ Marketing Mind is at a tipping point transition fromsustained strategic shift_#CMOReinvention ‘Art & Science’ to ‘Science & Art’.
2013+sustained strategic shift_#BrandValueReimagined Power has shifted from the producer to the people. Consumers (people) are winning the fight to own the new ‘consumer’. Value is being re-defined. The increasingly sophisticated and highly-connected consumer expects more from brands; he or she wants personalization, relevance, convenience, simplicity, and proximity. To stay competitive, brands need a new approach to consumer engagement and conversion. They need an integrated digital marketing strategy.
2013+sustained strategic shift_#BrandValueReimagined First Moment of Truth … online & offline. Listen & watch. Identify & innovate hidden value. Value creation potential will flow away from traditional brands that don’t accelerate their adoption and commercialization of these sustained strategic shifts. It will flow towards brands, communities and individuals that understand and act on the big trends shaping our future. Marketers will realize that technology doesn’t really add value unless it adds value for the customer. Leading companies will embrace technology as a tool to help build customer relationships and create enduring connections.
2013+sustained strategic shift_#BrandTrust Trust has to be earned more than ever - every day, every time. Edelman Trust Barometer: business implications of having a trusted reputation and, conversely, the devastating impact of a negative reputation: -85% of respondents report they have bought products/services of a company they trusted -conversely, 73% say they refused to buy products or services from one they did not trust In our connected digital age, we will see an acceleration of ‘Reputation Management’ tools. Building an authentic, transparent, trusted reputation for a company/brand and ensuring that all messaging consistently reinforces it across all online and offline touch points is a critical marketing stewardship and communications role given the speed and transparency of our global, interconnected digital world.
2013+sustained strategic shift_#BrandAgility Survival of the quickest … real-time, fluid, agile! "I dont believe in futurists that much anymore - they are usually wrong," he says, responding to a label that is often applied to him. "Im calling myself a nowist, and Im trying to figure out how to build up the ability to react to anything. In other words, I want to create a certain agility. The biggest liability for companies now is having too many assets; you need to learn how to be fluid and agile. Its kind of a spiritual thing," he continues. "You want to have your peripherals wide open and adapt as quickly as you can. I think that will be an important survival trait of people and companies in the future.” Joi Ito, MIT Media Lab Director
2013+sustained strategic shift_#BrandAgility Successful orgs recognize need to be highly agile, flexible. Real-time media buying takes hold. The intersection of location awareness, social media, and mobility is finally delivering the ability to target customers with incentives and coupons at the point of decision-making. This is compressing buying cycles and creating the need for more agile thinking and actions. But these tools are also providing a powerful way to listen to customers and understand trends and micro-trends as they pop up. Real-time marketing and listening platforms demonstrably works … not just in social channels… but across the marketing spectrum.
2013+sustained strategic shift_#DigitalMarketingNext And… the next sustained strategic shift is… The one we dont even know about yet that will resonate with people ... changing their behaviors, connections, expectations, desired value … which will power increased value creation potential for brands and agencies that are ‘people first’, listening, innovating.
What do you think? #DBForum @NeustarInfoSvcs @Legolas_Media @StevenCook" What sustained strategic shifts are you going to champion to drive brand value in 2013+? 2016 2009 2010 20112008 2013 2014 2012 2015 powered potential people brand
#DBForum Thank you.I am interested in listening to your perspective. @StevenCook CMO