This document discusses the digital transformation of business and society. It notes that digital Darwinism is occurring as technologies and society change faster than brands can adapt. Everything that can be digitized, connected to a network, or automated will be. The app economy enables new business models and dematerializes old economies. The marketing and advertising industry faces disruption from data-driven approaches and the demands of big advertisers. To address challenges, the solution is cultural change to simplify processes and create value from data through an integrated, data-driven workflow.

1. Digitale Transformation
So verändert sie Wirtschaft und Gesellschaft

2. Für Zahlenfreunde
1978 107 13,7 17. 1gegründet festangestellte
Mitarbeiter
Millionen Honorarumsatz in
2016
Platz im Ranking der
inhabergeführten
Werbeagenturen
Deutschlands
Villa
Wasserturm
Neubau
2

3. About Roland
Core Competencies
Marketing + Data + Consulting

4. 4
Digital Transformation?
What? How?
Who?

5. Adapt or die!
It is more like digital darwinism.

6. „Digitaler Darwinism
happens, when
technologies and society
change faster
than brands´ abilities to
adapt to these changes“

7. „Anything that can be
digitized and stored in
datasets WILL BE
digitized and stored in
data sets.!“
„Anything that can
be connected to a
network WILL BE
connected to a
network.!“
„Anything that can
be automated WILL
BE automated!“

8. In the year 2020, the "Internet
of Things" will contribute
$1.9 trillion to the economic
value added.
Over 30 billion
networked devices will
be used in 2020.
Half of these activities are
driven by start ups, 80 percent
will come from the service area
rather than from the product
area.
„The way we build cars and
machines today - we have to
think service & software in the
future.“
Source: (Gartner November 2013)
Karl-Heinz Land
No boundaries,
global
competition.

9. New client mentality (sounds familiar?)
Me Everything
ImmediatelyEverywhere
Appreciation as a must
Correct personalization
Customized offers
Contact only with permission
Great variety
High quality
Low prices
Good service
Independence of time
Independence of space
Independence of time
Independence of Technologies,
channels, devices
Immediate contact
Fast transaction
Short reaction times

10. App economy enables new business models, dematerializes old economies

11. Example of dematerialization

12. Three examples for radical disruption of classical industries
• Likeable brands, hip (PR)
• Thrive for monopoly (winner takes it all)
• Product & Service 10x better than #2 comp.
• Regulation, legal boundaries: we don´t care
• Recurring revenue streams (profitable!)
• “take no prisoners“ attitude

13. How to identify the right Digital Transformation Strategy: 3 pillars
RelevanceDigital business
model
How can a company benefit
from the digital opportunities?
Sales and profit
Strategy and vision Brand Organization and processes
What does the digital
fingerprint look like?
Which products and services
provide the necessary
innovation impulses?
How relevant ist your brand and
your offering in the digital
economy?
Who and where is tomorrow's
competition?
How can a company use the
possibilities of digitalization in
order to generate new sales?
How can an organization use
the efficiency of digital value
creation?
Innovative impulses?

14. Let´s take a look at
the
marketing &
advertising industry

15. Minefields
• Chaos and disruption in the Marketing
Ecosystem
• Creativity vs. Data driven
• Business goals and marketing strategies often
disconnected
• Measurement of success often with arbitrary
metrics
• The fox is guarding the henhouse
• Transparency vs. intransparent contracts

17. 17

18. Advertiser
Media
Agency
Ad Network
/Exchange
Sales House Publisher
Classic Advertising Value Chain
100% 1,5%
98,5%
$$$
$$$
EBIT 10-30%

19. Advertiser
Media
Agency
RTB Tool
/Campaign
Mgmt
Publisher
Realtime Advertising
Value Chain what agencies want
100% Ca. 40% Ca. 10% 50%

20. Demands from big
advertisers

21. Advertiser
Inhouse
Team
RTB Tool
/Campaign
Mgmt
Publisher
Future Realtime Advertising
Value Chain
(what big advertisers will do)
100% Ca. 10% Ca. 10% 80%

23. Create value
from data
Strategy
Consulting
Marketing (Creation,
Media, Campaign Mgmt.)
Marketing 2017

24. Analytics
Goal
Setting
Creation
Audits,
Analysis
Strategy
Media
Buying,
Campaigns
Interpretation
& Advice
Reporting
Data driven
workflow

25. Complexity!
Creativity
vs.
efficiency
Little data
literacy
Ego &
Vanity
Speed of
innovation
IT does not
understand
marketing
processes
Biggest Challenges

26. Solution
Cultural change needed
One process – end to end, step by step
Reduce
complexity
Create
value
Simplify

27. Wir freuen uns auf den weiteren Austausch
27
Roland Fiege
Head of Digital
Tel: +49 (0) 621/76271-528
E-Mail: fiege@schaller-werbung.de