MMA Fórum Brasil 2016 - Smox

1. The Facts about Mobile Advertising
April 2016
Greg Stuart
Global CEO
Mobile Marketing Association
greg@mmaglobal.com
Tom Daly
Group Director, Global Connections
The Coca-Cola Company

2. The Facts about Mobile Advertising in BRAZIL
For the first time ever; we now know value of mobile in Brazil
April 2016
Greg Stuart
Global CEO
Mobile Marketing Association
greg@mmaglobal.com
Tom Daly
Group Director, Global Connections
The Coca-Cola Company

3. Mobile is the greatest
transformation in
consumer behavior that
we will see in our life time

4. Which is why we developed….
SMoX.me = Smart Mobile Cross Marke3ng Effec3veness Studies

5. Exec Summary: What Have We Learned From SMoX?
1. Mobile works across the purchase funnel
through to sales – that’s now proven globally
2. There is lots to get right; and its different from
plain-old digital (video, na3ve, loca3on)
3. First mover has real compe33ve advantage
Let’s review….
5

6. SMoX : Industry Consortium Coming together to
understand business value of Mobile in advertising Mix
Awareness
Image
Purchase Intent
Foot Traffic
Sales
6
5 Brands
4Countries

7. TV
Print
Internet
FSI
Cinema
Social
OOH
Mobile Display Display,
video,
social
Display,
video, na3ve,
loca3on
Display, audio,
video social
Display,
video,
social
Display,
video,
social
Display,
video,
social
Display, RM,
Weather
targe3ng, social,
video
Variety of media in each campaign mix
7
1 1 1
Study not public yet 1

8. 8
Campaign Information Change in Campaign Due to Mobile
Company
(Brand)
Country
of
Study
Overall
Campaign
Goal &
Optimization
All Media
in
Campaign
Mobile
Formats in
Mobile
Portion of
Campaign
Impact on Campaign just
as Brand Executed Mobilei
Impact when Optimizing within
Mobile Mix Alsoii
Optimized %
of Mobile in
Mix vs. Total
Budgetiii
Boost in
Overall
Campaign
Perf.iv
Opt. % Of
Mobile in Mix
with Mobile
Best
Practices v
Boost in
Overall
Campaign
Perf.
AT&T
(MotoX)
U.S. Awareness
TV
Print
Desktop
Display
16%è
+12%
Increase people
aware of MotoX
by 2.5M
20%è
+18%
Increase for those
aware MotoX
MasterCard U.S.
Image
(“MC is good card
to use when
traveling”)
TV
Print
Desktop
Social
Display
Video
Social
8%è
+7%
Increase people
who know “MC is
good card for
Travel” 0.9M
12%è
+17%
Increase people
hold Image
statement
Walmart
(Back-to-
School
Grocery)
U.S.
Purchase
Intent
& Sales
TV
FSI
Desktop
Display
Native
Social
Location Targeting
11%è
+6%
Increase in sales
for whole
campaign
15%è +14%
Increase in sales
Coca-Cola
Co. (Gold
Peak Tea)
US
Awareness,
Image,
& Sales
TV
Print
OOH
Desktop
Display
Audio
Video 10%è
+4%
Increase in sales
for whole
campaign
15%è
+7%
Increase in sales
Coca-Cola
Co. (Red
Can)
UK Sales
TV
OOH
Desktop
Display
Video
Social 8%è
+7%
Increase in sales
for whole
campaign
15%è +16%
Increase in profit
What do we know – SMoX

9. In Summary – SMoX Proves:
Alloca8on to Mobile
in the Mix, when
mobile is done right
Produces an
Increase in
Brand Metrics
Produces an
Increase in Sales
or Profit of:
All Studies to
Date 12% to 20% +/-17% 7% to 16%
9

10. Capitalizing on Mobile is a 2-Step Process
10
1. Op8mize Mobile in the
Marke8ng Mix
That’s a law of the physics of media
2. Build capabili8es within
Mobile
Educa3on, test & learn, access to
industry,

11. The mobile toolkit to improve results
11
Audio
Video
Display
Rich Media
Na3ve
Coupons
FORMATS CHANNELS TARGETING CREATIVE
Websites
Apps
Push
SMS/MMS
Social
Search
Email
Audience
Context
Day part
Loca3on
Weather
Programma3c
Dynamic
Integrated
Closed loop
to payment

12. 12
Banners Full
Screen
Audio Na3ve Video
1. More engaging formats are
also more expensive. Do they
jus9fy their premium?
Audience
Content genre Day part Loca3on Weather
2. What is the value of
targe9ng in mobile?
Two examples:

13. 13
Banners Audio Na8ve Video
1. Good for selec3ve
use/awareness
2. Build impact
gradually
3. Benefit from
repe33on
1. Underpriced by 30%
2. Build impact
gradually
3. Stronger impact vs.
banners
4. Appropriate for
awareness and
considera3on
1. Underpriced up to 50%
2. Build impact at low
frequency
3. Strongest impact
4. Appropriate for image,
considera3on, sales
1. More engaging formats are also underpriced

14. 0%
2%
4%
6%
8%
10%
12%
Point Increase in Price Percep8on
Frequency
Frequency to LiZ Response
Mobile Video vs. TV*
Source: Walmart SC Survey; Data Collected from: 8/4-9/28
MOBILE VIDEO
CABLE TV
With the same creative, Mobile Video had more
impact than video on other platforms
14

15. 15
Depending on the category, Context Targeting
can also add significant value
1290
Day of the week*
130
100
Weekday vs. Weekend targeting
Without
targeting
With
targeting
Time of Day**
100

16. Jack Welch Once Said…
There are only two sources of compe66ve
advantage:
the ability to learn more about our customers
faster than the compe66on and;
the ability to turn that learning into ac6on
faster than the compe66on.
Jack Welch was chairman & CEO of General Electric between 1981 and 2001. During his tenure at
GE, the company's value rose 4,000%.

17. MMA Global Board of Directors
John Costello
President, Global Marke3ng & Innova3on
Dunkin’ Brands
Jack Philbin
Co-Founder & CEO
Vibes
Carolyn Everson
VP, Global Marke3ng Solu3ons
Facebook
Stephen McCarthy
Finance, Infrastructure
xAd
Cameron Clayton
President, Product & Technology
The Weather Company
Greg Stuart
CEO
MMA
Michael Baker
President & CEO
DataXu
Pete Blackshaw
Global Head, Digital
Marke3ng & Social Media
Nestle
B. Bonin Bough
Chief Media & eCommerce Officer
Mondelēz Interna3onal
Susan Canavari
Chief Brand Officer
Chase
Tom Daly
Group Director, Global Connec3ons
The Coca-Cola Company
Luis Di Como
SVP, Global Media
Unilever
Amit Gupta
Co-Founder
InMobi
Sanjay Gupta
EVP – Marke3ng, Innova3on &
Corporate Rela3ons
Allstate Insurance Company
Jack Haber
VP, Global Adver3sing & Digital
Colgate-Palmolive Company
Peter Hamilton
CEO
TUNE
John Kosner
EVP & General Manager,
Digital & Print Media
ESPN
Ilonka Laviz
Digital Marke3ng Director,
Global eBusiness
Procter & Gamble
William Lonergan
Chief Execu3ve Officer
RadiumOne
Peter McGuinness
Chief Marke3ng & Brand Officer
Chobani
Neal Mohan
VP, Display Adver3sing Products
Google
Gregory R. Raifman
President
Rubicon Project
Dipanshu “D” Sharma
Founder & CEO
xAd
Andrew Sherrard
Chief Marke3ng Officer
T-Mobile
Nada S3rrar
Chief Execu3ve Officer
Verve
John Trimble
Chief Revenue Officer
Pandora
Dan Rosen
Global Adver3sing Director
Telefonica
Herb Payan
SVP Digital Business
Sony Music Entertainment
Pedro Del Priore
Partner and CEO
Agência Ginga
Michael Donnelly
SVP, Group Head Global
Digital Marke3ng
MasterCard
Chair: Vice Chair: Secretary:
EMEA Regional Rep: NA Regional Rep: LATAM Regional Rep: LATAM Regional Rep:
Tom Chavez
CEO & Co-Founder
Krux
At Large: At Large: Treasurer: Chair Emeritus: MMA President:

18. Coca-Cola Brazil:
2015 Christmas Campaign – SMoX Results
April 2016

19. Video - TV / Mobile/ Desktop/ Cinema
MEASUREMENT
PARAMETERS
People
12-49
TARGET:
DATA
COLLECTION
2015
11/25 12/27
2015 Christmas Campaign Overview
Foot
Traffic
Awareness
Image
Purchase
Intent
Sales
(primary)
GOALS MEDIA AND CREATIVE
Click to play video
Display – Desktop/Mobile
Social – Desktop/Mobile
OOH
67%
3%
9%
0% 2.0% 2% 4%
7%
6%
TV
Cinema
OOH
Desktop Social
Mobile Social
Desktop Video
Mobile Video
Desktop Display
Mobile Display

20. Mobile Approach in detail
Mobile Social: Primarily
Video ads played on
Social Media sites.
Natural fall-out for
Reach between Mobile
& Desktop
Mobile Display:
Banner ads more focused on
Ponte Para Noel
Mobile Video:
The Majority of video ads
were focused on Ponte
Noel except for Mov.
Coletivo

21. KEY INSIGHTS

22. 1. Mobile was the most efficient driver of results
TV
OOH Desktop
Display
Mobile
Display
Mobile
Video
Cinema
Desktop
Video
Mobile
Social
Desktop
Social
Efficiency
Effectiveness
Mobile formats were very
effective and more efficient
than all other media
Area of circle represents volume impacted (Impact); Note:
Buying target, People 12-49

23. 2. Almost a fifth of the budget should go to mobile given
its performance
Optimal allocation of Mobile in
Coke Brazil Mix
19% of the budget should be
invested in mobile
Other
Mobile 19%
47%
Share of
sales from mobile
At that level mobile would
drive half the sales generated
by the campaign

24. 3. Mobile banners were almost twice as efficient
compared to desktop
Mobile
Display
Desktop
Display
Effectiveness
100
24
Cost
18095
100
*Cost Index is based on R $ spent ** Effec3veness Index is based on liw on Intent to Purchase

25. 4. Mobile social was even more efficient than mobile
banners
Mobile
Social
Mobile
Display
Effectiveness
100
25
Cost
20095
100
*Cost Index is based on R $ spent ** Effec3veness Index is based on liw on Intent to Purchase

26. 5. Across screens, Mobile Video was 6X more efficient
than TV and Desktop Video
Mobile
Video
Desktop
Video 100
26
370
Effectiveness
TV
215
Cost
61
207
100
*Cost Index is based on R $ spent ** Effec3veness Index is based on liw on Intent to Purchase *** Index is based on Number of people who had Purchase Intent of
Coca-Cola per R $1,000 spent
Efficiency
100
100
600

27. 6. Mobile Video should get increased allocation given
its efficiency
42%
42%
17%
Op8mal
Mobile Display Mobile Video Mobile Social
52%
34%
14%
Actual
*Op3mal alloca3on of Mobile w/ Best prac3ces is calculated by including the increase in people impacted by targe3ng
mobile video ads (assumed to be +400K in people impacted) combined with the op3mal alloca3on within mobile:
(shown to be +264K).

28. 7. Targe8ng and Crea8ve: Targe8ng Ponte Para Noel towards
younger people especially younger females would further
improve result for Mobile Video
Consumers demonstrated differentiated
response to the Choose Coke creative
Targeting the creative to the most
responsive groups would improve
Mobile Video performance.
Older
Female
Non-Coke
Drinker 18-24
Below
Average:
Sinta o
Sabor
Above
Average:
Sinta o
Sabor
Above
Average: All
Above
Average:
Ponte Para
Noel
Younger
Female
+13%

29. Increasing allocation to mobile would drive better
results with the same budget for Coke Brazil.
Optimal allocation of Mobile in
Coke Brazil Mix
XX%
Incremental Profit
Due to Mobile Spend
19% of the budget should be invested in
mobile to drive incremental profit
Other
Mobile 19%

30. 1. Mobile was one of the most efficient ROI drivers and has upside
remaining. Increasing it to 19% of the mix would bring an
additional 8% in profit.
2. All mobile formats excelled in terms of efficiency but video and
social ranked to the top, with mobile video being up to 6 times
more efficient compared to desktop and TV.
Coca-Cola Brazil: Key Insights
3. Targeting Ponte Para Noel towards younger people especially
younger females would further improve result for Mobile Video.

31. Opportunity knocks
31

32. Our current goal recommended percent mobile
allocation of mix overtime
10-15%
Today
15-20%
w/ Best
Practices
20-30%
w/
Increased
Smartphones
32

33. Our current goal recommended percent mobile
allocation of mix overtime
Nearly
20%
w/ Best
Practices
35-40%
w/
Increased
Smartphones
33
The Math: Mobile will be a +R$24+ Billion
in Brazil (just from big brands)

34. 34
Obrigado!
Seizing the Mobile Opportunity
Mobile Marketing Association
greg@mmaglobal.com

35. But what do you expect from a channel that
has this kind of influence?

36. Thank you to these Innovation Leaders
Supporters Partners
Associa3on of Na3onal Adver3sers
American Associa3on of
Adver3sing Agencies
36