The document discusses the future of marketing and major trends in the industry. It covers how marketers must adapt to changes like the explosion of information, declining attention spans, and the growth of digital and mobile marketing. Major trends include the rise of big data and analytics allowing for greater personalization and real-time marketing, as well as the growth of mobile marketing and the "quantified self" movement where people track personal data. The future of marketing requires marketers to engage customers across multiple channels using relevant content in this increasingly digital landscape.

1. Principles of Business: Stage 2
Lecture 4: The Future of Marketing

2. Overview
In this final marketing lecture in stage 2, we will learn
all about the future of marketing. We will look at some
of the major developments in this area and
understand how well marketers are facing up the
challenges presented.
2
We will thereafter look at the changing marketing
landscape and how some of the traditional models of
marketing are getting turned on their head.
In the final section, we will turn our focus to the major
trends in the marketing area and look at the impact
these have on consumers.

3. Learning Outcomes
3
• Communicating with the customer: a multi-channel
approach
• Detailed look at growth of digital, social and
mobile marketing
• Data and Analytics and CRM
• Understand and articulate how consumers are
impacted by the latest marketing trends

4. The Future of Marketing

5. The Sky’s the Limit (Literally)
View video:
https://www.youtube.com/watch?v=aiXGUDnbSqs&list=PLDYVec6pytXsTnpXwWobMljnI
xvnylh5c&index=9

6. However, the world is becoming more
complex

7. Explosion of choice and information
5000 advertising messages
experienced by a person during an
average day.
Average attention span has declined
from 12 minutes to 5 minutes.
64% of UK consumers use two or more
devices to research related subject-matter.
30% of UK mobile users prefer to shop
using their mobile device compared to
their PC.
So
what?!...
Cut-through
is ever more
challenging.
Relevant
and engaging
content is key.
7 Sources: Fast Company (2012), Lloyds TSB (2011), Microsoft (2013), InMobi (2011)

8. But actually there is ALWAYS opportunity in
adversity
View video: https://www.youtube.com/watch?v=Nj2its_KSAw

9. What are the major changes? Clue: Digital

10. Top of mind for CMO…
Source: IBM, 2013

11. Are we prepared?
Feeling the
pain: Most
CMOs are
underprepared
to manage the
impact of key
changes in the
marketing
arena.
Source: IBM, 2013

12. Are we prepared for it?
The situation is, if anything, worse than it was when we
completed our last Global CMO Study. In 2011, 71 percent of
the CMOs we interviewed told us they felt underprepared to
deal with the data explosion. Today, a full 82 percent feel that
way.

13. A new digital paradigm?
Permission Persuasion
Participation Personalisation

14. Permission & Persuasion
Contact preferences Churchill on Facebook

15. Participation & Personalisation
Churchill Sponsorship of
Animal Heroes Two Snap Quote

16. Mobile Data Marches to the Top
Smartphones and tablets have fundamentally changed consumer habits.
Mobile video is the fastest growing segment of mobile data traffic. Brands
need to think carefully and strategically about engaging with consumers on
their mobile devices. By 2014, mobile internet is predicted to take over
desktop Internet usage according to Microsoft Tag. According to GSMA
findings, consumer monthly spending on mobile content and services in
emerging markets reaches almost $1 billion, which presents an additional
significant marketing and data analytics opportunity.
Source: TDWI, 2014

17. So Lo Mo

18. Combining Data Sources – Big Data
What is it?
“Big data refers to datasets whose size is beyond the ability of
typical database software tools to capture, store, manage and
analyze. This definition is intentionally subjective and
incorporates a moving definition of how big a dataset needs to
be.” McKinsey (2011)
What is its worth?
• $300 billion potential value to US Health Care
• 250 billion Euros of potential value to Europe’s public sector
administration
• $600 billion annual consumer surplus from using personal
location data globally
Source: McKinsey (2011), “ Big Data: The next frontier for innovation, competition and productivity”

19. Implications – Greater Predictability

20. Big Data – Real Time Marketing (CRM)
View Video: http://www.youtube.com/watch?v=SwLjTXRv-a0

21. Cloud Analytics
Amazon Web Services (AWS), Microsoft Azure, and other cloud
computing platforms will continue to gain ground in 2014. Big data
analytics solutions that require a pay-as-you-go data storage and
computing-intensive analysis infrastructure can leverage these
platforms and go to market with much lower capital costs than ever
before.
Source: TDWI, 2014

22. And here are some major consumer trends…
1. The Internet of Everything

23. End of Inefficiency

24. The Quantified Self
View video: https://www.ted.com/talks/gary_wolf_the_quantified_self#t-137527

26. We should start by keeping it simple
View video: https://www.youtube.com/watch?v=aMfSGt6rHos

27. Essential work for next week
• Please consult the OLE for details of:
– Essential readings*
– Seminar/workshop preparation work*
– Recommended further readings
– Any additional learning
* Essential readings and preparation work must always be completed in time
for the next session
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28. End of presentation
© Pearson College 2013