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The Brand Management Dinosaur
How Outdated Thinking Hampers Brand Communications
                                         ...
When was the last time you bought one of these?   2
The way we (used to?) think…                            3




                awareness       assisted recall



         ...
How the world worked                                          4




                          Message control

          ...
Then and now                                                                          5




     Expanded number of chann...
Then and now                                                                   6




   Greater measurability, but blurre...
Then and now                                                 7




   Decreasing control over brand imagery and associati...
Then and now                                                                8




   Reduced audience density




       ...
“In times of change, learners inherit the earth
         while the „learned‟ find themselves beautifully
            equip...
So when was the last time you bought one of these?                  10




Initial Consideration Set                      ...
The customer decision-making journey     11




Source: McKinsey Quarterly
“The consumer decision-making journey” 2009 Vol...
The digital consumer                                                                                             12




  ...
Trusted channels     13




Source: TNS (2010)
Implications for brand communication


                 Digital is not (yet) entirely replacing traditional media
       ...
The integrated marketing dynamic                          15




                                     The goal is not to
 ...
Channeling audiences to content                                        16




                            Location-       ...
FROM THEORY TO PRACTICE
Nine simple rules for integrated brand communications




                1.   Define desired outcomes carefully
         ...
Define desired outcomes carefully                                                             19




                     ...
Build a strong brand narrative                         20



  Co-op marketing    Magazine ads    Viral video




TV Tie-i...
Create repurposable content                                        21




                                                ...
Put your home in order                                              22




                                            • C...
Listen obsessively   23
Shape the collective wisdom                                        24




                                   Heinz “Now We...
Be transparent

                                                  “When there exists a connection
                        ...
Measure appropriately                          26




                                     Outcome

   Define metrics rel...
Prepare to make mistakes



   Mistakes happen – acknowledge,
    apologize and move on




                      http://...
CLOSING THOUGHTS
“In times of change, learners inherit the earth
         while the „learned‟ find themselves beautifully
            equip...
Something to think about                                                             30




   The digital communications...
Steve Bowen
Managing Director, Brand Marketing
steve.bowen@bm.com

@BMAsiaPacific
www.facebook.com/BursonMarsteller.Asia
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The Brand Management Dinosaur

Presentation by Steve Bowen, B-M Asia-Pacific MD of marketing, on why marketing mindsets need to change to take advantage of digital and social media

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The Brand Management Dinosaur

  1. The Brand Management Dinosaur How Outdated Thinking Hampers Brand Communications Steve Bowen Singapore 30 August 2010
  2. When was the last time you bought one of these? 2
  3. The way we (used to?) think… 3 awareness assisted recall familiarity top of mind awareness consideration conversion ratio preference sales ratio purchase loyalty repurchase ratio
  4. How the world worked 4  Message control  Limited channels  “Professional” endorsers  Big claims, largely unquestioned
  5. Then and now 5  Expanded number of channels to engage / monitor Number of spots needed to reach 85% of Number of spots needed to reach 85% of the U.S. population in 1975 the U.S. population in 2008
  6. Then and now 6  Greater measurability, but blurred correlation between spend and revenue Half the money I spend on advertising is wasted; the trouble is I don't know which half. John Wanamaker (attrib.)
  7. Then and now 7  Decreasing control over brand imagery and associations
  8. Then and now 8  Reduced audience density Which screen commands the most attention? By 2010, we estimate, television advertising could be only 35 percent as effective as it was in 1990. McKinsey Quarterly “Boosting returns on marketing investment”, May 2005
  9. “In times of change, learners inherit the earth while the „learned‟ find themselves beautifully equipped to deal with a world that no longer The modern reality exists” 9 Eric Hoffer
  10. So when was the last time you bought one of these? 10 Initial Consideration Set Research ? Purchase Active Consideration
  11. The customer decision-making journey 11 Source: McKinsey Quarterly “The consumer decision-making journey” 2009 Vol. 3
  12. The digital consumer 12 % effectiveness of consumer touchpoints Store/agent/dealer interactions 12% 26% •Word of mouth Consumer-driven marketing •Online research 21% 43% •Offline and/or print reviews Past experience 28% 37% 31% •Traditional advertising 10% •Direct marketing 5% Company-driven marketing •Sponsorship 39% •In-store product experience 26% 22% •Salesperson contact Initial Active Closure consideration consideration set Source: McKinsey Quarterly “The consumer decision-making journey” 2009 Vol. 3
  13. Trusted channels 13 Source: TNS (2010)
  14. Implications for brand communication  Digital is not (yet) entirely replacing traditional media • Digital channels are most effective as a vehicle of information exchange  Traditional push and pull marketing models do not translate into the digital space • Consumers are more cynical, discerning about “sales” messages • Search remain king  Budget is no longer a barrier to entry • Raising profile at the active consideration and closure phases is more cost effective than spending on top-of-mind awareness  A modern brand is not managed, it is curated • Marketers need to relinquish control of message in some areas to maintain credibility
  15. The integrated marketing dynamic 15 The goal is not to channel content to audiences, but audiences to content
  16. Channeling audiences to content 16 Location- Keyword based strategy Hosted Cloud content communities Social Multimedia communities Content streams
  17. FROM THEORY TO PRACTICE
  18. Nine simple rules for integrated brand communications 1. Define desired outcomes carefully 2. Build a strong brand narrative 3. Create repurposable content 4. Put your home in order 5. Listen obsessively 6. Shape the collective wisdom 7. Be transparent 8. Measure appropriately 9. Prepare to make mistakes
  19. Define desired outcomes carefully 19 Directly financial Financial perspective: Risk Management: Has revenue or profit Is the organization better increased or costs decreased? prepared to note and respond to attacks or problems that affect reputation? Short-term Long-term Digital perspective: Brand perspective: Has the company enhanced its Have consumer attitudes owned and earned digital assets? about the brand improved? Subservient Chicken Success or Failure? Indirectly financial Source: Forrester Research “The ROI of Social Media Marketing” July 2010
  20. Build a strong brand narrative 20 Co-op marketing Magazine ads Viral video TV Tie-ins Campaign Website Banner ads eDM Events Partnerships
  21. Create repurposable content 21 Microsites Streams Blogs http://media.opel.com
  22. Put your home in order 22 • Consistent look and Customer feel facing functions • Customer experience • Product / service Operational alignment divisions • Excellence of execution Senior • Message alignment leadership • Internal direction
  23. Listen obsessively 23
  24. Shape the collective wisdom 24 Heinz “Now We Can Eat” 47,248 views Brylcreem “Effortless” Heinz “It’s Not Just for Fries” 352,156 views 38,061 views
  25. Be transparent “When there exists a connection between the endorser and the seller of the advertised product that materially affect the weight or credibility of the endorsement (i.e., the connection is not reasonably expected by the audience), such connection must be fully disclosed.” Federal Trade Commission: Guides Concerning the Use of Endorsements and Testimonials in Advertising http://www.ftc.gov/os/2009/10/091005 endorsementguidesfnnotice.pdf Source: The Customer Collective Blog http://www.thecustomercollective.com/Home/36101
  26. Measure appropriately 26 Outcome  Define metrics relevant to the objectives of the outreach  Facebook fans are not ROI, Impact media clips have no value Output
  27. Prepare to make mistakes  Mistakes happen – acknowledge, apologize and move on http://socialmediatoday.com/SMC/104490 http://www.guardian.co.uk/media/pda/2009/jun/22/twitter-advertising
  28. CLOSING THOUGHTS
  29. “In times of change, learners inherit the earth while the „learned‟ find themselves beautifully equipped to deal with a world that no longer The modern reality exists” 29 Eric Hoffer
  30. Something to think about 30  The digital communications platform that will have the most significant impact on consumer perceptions of your brand five years from now… 2004 2006 2009 …probably doesn’t exist yet.
  31. Steve Bowen Managing Director, Brand Marketing steve.bowen@bm.com @BMAsiaPacific www.facebook.com/BursonMarsteller.Asia
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