tag:econsultancy.com,2008:/topics/media-planning-buying Latest Media planning & buying content from Econsultancy 2016-10-20T15:13:00+01:00 tag:econsultancy.com,2008:BlogPost/68435 2016-10-20T15:13:00+01:00 2016-10-20T15:13:00+01:00 Q&A: Publicis’s Rishad Tobaccowala on digital transformation & agency double dealing Olivia Solon <h3>You have said that customers are now Davids while marketers are Goliaths. What do you mean by that?</h3> <p>Traditionally marketers have spoken about how they would enable people, empower people.</p> <p>But now you and I have smartphones with the same amount of processing power that was in the Space Shuttle.</p> <p><img src="https://assets.econsultancy.com/images/0008/0574/rishad.jpg" alt="" width="226" height="226"></p> <p>So what happens is we already are enabled by our phone and our social networks connected to the internet. This technology allows us to bring down Goliath. </p> <h3>How well are marketers coping with digital transformation, on the whole?</h3> <p>They are in the stage somewhere between grief and anger. They no longer have denial.</p> <p>The problem with grief and anger is that they are taking it out not on themselves but on anybody else. It’s one of the reasons why you are seeing so many agency reviews.</p> <p>They are slowly moving to acceptance but that doesn’t mean there’s a solution there. </p> <h3>Which companies are thriving in this environment? </h3> <p>Look at Dollar Shave Club.</p> <p>They realized they could market using Facebook and YouTube effectively by giving people value by selling blades made in the same factories as Gillette, without the overheads of Gillette’s advertising.</p> <p>This means they give you the same blade for half the price and send it to you directly.</p> <p>In return they went from no market share to 15% of the market and they got bought by Unilever for $1bn.</p> <p><iframe src="https://www.youtube.com/embed/ZUG9qYTJMsI?wmode=transparent" width="640" height="360"></iframe></p> <p>P&amp;G is now going to have to write down the value of Gillette. </p> <p>Similarly cab drivers used to give us problems and now they are very nice to us.</p> <p>In the old days our bosses would tell us ‘you are well paid’. Now, with Glassdoor we can see when that’s wrong.</p> <p>Entire industries are being revitalized. </p> <h3>Which companies aren’t coping well?</h3> <p>Most newspaper brands with the exception of the Wall Street Journal, Washington Post and New York Times. They failed to adapt.</p> <p>And TV networks. The basic concept has died but they still don’t realize. People care about shows rather than networks. Or modern networks like Netflix. </p> <h3>Why hasn’t the TV industry realized that the model is broken?</h3> <p>Primarily because it’s been highly lucrative and successful until about now. They have to recognize that the spectrum is no longer valuable.</p> <p>They have to think about the storytelling business. TV is the next big thing that will be restructured in a big way.</p> <p>Magazines? Too late. Newspapers? Too late. TV had the opportunity but did nothing because they were succeeding because it was the last mass medium left.</p> <p>They didn’t do any deals with the devil like Apple like the music industry did, but consumer behavior has moved. They no longer align with the consumer like Amazon and Netflix do. </p> <h3>What do marketers need to do to adapt to the new digital landscape?</h3> <p>The future does not fit into the mindsets of the containers of the past.</p> <p>If you are trying to get into a different business using the same people, incentive system and structures you aren’t going to get there.</p> <p>A bus does not fly however much the bus people want it to fly. You need pilots. And this applies to every company, not just agencies. </p> <h3>Are there any skills that still apply in this new digital world?</h3> <p>Insights and ideas matter. The ability to align with customers matters. Marketing still matters. Understanding and meeting people’s requirements.</p> <p>Marketing works otherwise we would all be using Blackberrys and driving Yugos.</p> <p>Marketing works when it has this combination of respect, trust, value and design as well as empathy and storytelling.</p> <p>It’s not like throwing the baby out with the bathwater. </p> <h3>What does this mean for agencies?</h3> <p>The agency business is one of the few businesses that will survive very well. The rationale is not because I work in it, it’s because the only thing we have is people.</p> <p>As the world changes we can change the people. We don’t have things like factories and assembly lines, TV spectrum and any sunk costs.</p> <p>Our holding company went from 7% digital to 50% digital in seven years. We’re light. We are stupid but we’re light.</p> <p>Our business is about some combination of automation and creativity. Storytelling for big brands and connecting machines requires people. </p> <h3>What does this mean for the CMO?</h3> <p>The future is about allowing people to access companies, to market to themselves.</p> <p>When I’m looking for a product or service I’ll ask my friends, check out stuff on Facebook and Google.</p> <p>We have to facilitate this self-marketing, so I suggested the Chief Marketing Officer becomes the Chief Facilitating Officer. </p> <h3>How will marketing evolve over the next five to ten years?</h3> <p>People increasingly want access rather than ownership. That changes the way you speak to people. It’s not one sale, you have to keep them happy.</p> <p>You need a continued good experience. As a result of that you need more investment in utility services and a superior product and less in advertising.</p> <p>If you have a superior product and service and fantastic content and storytelling you can get it distributed.</p> <p>So spend more money on content, utility and services and less in messaging and media. </p> <p>You are also going to have less arbitrage. You are going to have to work in a world of perfect information.</p> <p>That’s going to impact a lot of companies. For our company, our clients wonder, ‘can we trust you to shepherd our money properly or are you double dealing?’. Most of us aren’t.</p> <p>The reason there was any double dealing is because clients were saying ‘we won’t give you any fees so make it your own way’. So we worked out how to get paid.</p> <p>We have to grow up and learn how to connect. Our industry may become smaller, but it will be more profitable and with better people. </p> <h3>How can agencies rebuild trust lost?</h3> <p>Most clients believe we are the sewage of the Nile. You have to convince them we are the jewel in the Nile.</p> <p>If you do that with any arrogance you’ll get kicked out in 15 seconds. You cannot take people into the future if you are scared or arrogant.</p> <p>You also have to address the ‘turd on the table’.</p> <h3>What do you mean by addressing the ‘turd on the table’?</h3> <p>A big part of leadership is addressing reality. There are too many meetings where nobody discusses the real issue. People do these dances. Accept reality!</p> <p>Then there’s credibility and you can spend time arguing about the real problem: the shitty brown thing on the table, rather than ignoring it or pretending it’s chocolate cake. </p> <p>At the moment clients have questions over whether they can trust us to allocate their money and whether we are double dealing.</p> <p>After they get past that, clients are deeply insecure about their own future. <a href="https://econsultancy.com/admin/blog_posts/new/">Digital transformation</a> is an issue that’s challenging everybody. </p> <h3>Everybody?</h3> <p>Well apart from Google and Facebook. Every other company that was unstoppable – AOL, even Apple – has problems.</p> <p>Microsoft was unstoppable, Yahoo was unstoppable and both got into trouble. </p> <h3>What’s your advice to anyone starting out in marketing now?</h3> <p>Try to spend one hour a day learning new things. People always ask me how I stay fresh when I’ve worked in the same company for 30-40 years.</p> <p>Every day I spend between 4.30am and 6am learning new things. Today I was reading a book called Magic and Loss by Virginia Heffernan.</p> <p>Sometimes I play around with new tech like Samsung Gear VR. Sometimes I’m reading blogs or learning about new technology.</p> <p>Or read poetry. I spend 90 minutes doing stuff that helps me grow but is not about work or email. That’s how we remain relevant in a changing world. You have to educate yourself. </p> <h3>Every day?! What time do you go to sleep?</h3> <p>10pm. I get up at 4.30am when I’m in Chicago, which is 50% of my time. 5.30am in New York, which is 15% of my time.</p> <p>The rest of the time I do not get up. </p> <h3>So you travel a lot, how do you cope with jetlag?</h3> <p>I have three tricks. The first is luck. I know how to sleep on planes and I am relatively senior so I travel business class, which makes it easier to sleep.</p> <p>Then I work out every morning, so my system recognizes that if I am working out I must be awake. It’s a Pavlovian sign.</p> <p>Then I have coffee take-offs and alcoholic landings. Three espressos, exercise, sleep on planes, two beers at night. That’s what I do. </p> <p><em>For more on this topic, see:</em></p> <ul> <li><a href="http://digitalagencies.econsultancy.com/"><em>Top 100 Digital Agencies Report 2016</em></a></li> <li><a href="https://econsultancy.com/blog/68066-top-100-digital-agencies-2016-the-state-of-the-industry/"><em>Top 100 Digital Agencies 2016: The state of the industry</em></a></li> </ul> tag:econsultancy.com,2008:BlogPost/68393 2016-10-10T14:36:00+01:00 2016-10-10T14:36:00+01:00 A day in the life of... a dancer turned head of paid media Ben Davis <p>Remember, if you're looking for a new challenge in digital <a href="https://jobs.econsultancy.com/">our jobs board</a> lists hundreds of open positions, and you can benchmark your own digital knowledge using our <a href="https://econsultancy.com/training/digital-skills-index-lite/">Digital Skills Index</a>.</p> <h3>Please describe your job: What do you do? </h3> <p>As head of paid media I’m responsible for the teams that manage our <a href="https://econsultancy.com/reports/the-cmo-s-guide-to-programmatic/">programmatic display</a>, paid search and paid social activity.</p> <p>I make sure we have the right people, tools, technology and workflows in place to be successful.</p> <p>One of the most important aspects of my role is to remove barriers or roadblocks so that my team can do their job as effectively as possible. </p> <p><img src="https://assets.econsultancy.com/images/0008/0035/Dan-4.jpg" alt="dan @ jellyfish" width="500"></p> <h3>Whereabouts do you sit within the organisation? Who do you report to? </h3> <p>I’ve been with <a href="http://www.jellyfish.co.uk/">Jellyfish</a> for over 11 years, starting out as a PPC manager and working my way up to head of paid media. Today, as one of the department heads, I report directly to the CEO, Rob Pierre. </p> <h3>What kind of skills do you need to be effective in your role? </h3> <p>You have to be open to new ideas and be able to solve problems quickly and effectively. The industry moves incredibly fast, so flexibility and adaptability are a must.</p> <p>I know this is important in any job but listening is vital. Listening to what clients and employees are telling you helps you make the right decisions.</p> <h3>Tell us about a typical working day.</h3> <p>Mornings and early afternoons are normally taken up by the UK team, with afternoons and early evenings dedicated to the US.</p> <p>I work across some of our key clients, get involved with lots of new business opportunities and spend the rest of the time working with the team to find new and interesting ways of running paid media campaigns.</p> <p>There are always new methodologies, tools, networks or new features on existing tools that need to be explored and tested. </p> <h3>What do you love about your job? What sucks? </h3> <p>Coming up with new ways of tackling client challenges has always motivated me. It’s exciting to see how new innovations and technologies can help clients gain a competitive advantage.</p> <p>I’ve been really lucky to have a lot of autonomy within my role at Jellyfish. This has enabled me to do things that may not be typical for a head of paid media.</p> <p>As an example, I introduced a peer-to-peer reward and recognition scheme into the company and developed the Jellyfish Academy, a three-month graduate training program that teaches new recruits how to manage paid search campaigns.</p> <p>It’s great to see the students learn new skills and progress through the program to become effective digital marketers. </p> <p>The thing that sucks is trying to be disciplined and prioritising the things that will have the greatest impact on our business. </p> <p><img src="https://assets.econsultancy.com/images/0008/0036/Screen_Shot_2016-10-07_at_12.37.08.png" alt="jellyfish website" width="615" height="330"></p> <h3>What kind of goals do you have? What are the most useful metrics and KPIs for measuring success?</h3> <p>We have goals at both client and division level. For the paid media division we’re looking at client retention and growth as well as new business growth.</p> <p>At a client level<a href="https://econsultancy.com/blog/67646-ppc-a-beginners-guide-to-kpis-budgets-agencies/"> the KPI’s </a>are always aligned with the clients’ commercial goals. As a performance agency we’re always interested in conversion and return on advertising spend. </p> <h3>What are your favourite tools to help you to get the job done?</h3> <p>I love the Google technology stack from DoubleClick (DS, DCM, DBM) through to Audience Centre, Analytics and Attribution 360.</p> <p>We’ve spent a lot of time understanding how the tech all works together and how we can create a unique approach through the standard tools.</p> <h3>How did you get started in the digital industry, and where might you go from here? </h3> <p>This is a long story. I used to compete in Latin American and ballroom dancing and went on to dance professionally for 10 years in an Irish dance show called Spirit of the Dance.</p> <p>I went to a recruitment agent and after she stopped laughing at my CV, she advised that everyone was looking for PPC people. I went home, looked up PPC and researched obsessively for weeks.</p> <p>Once I’d started interviewing, I received three job offers in the space of one week, one of which was at Jellyfish. More than 11 years later, I’m head of paid media at the UK’s largest independent performance marketing agency.  </p> <h3>Which brands do you think are doing digital well? </h3> <p>There are so many brands doing a great job in digital. I think one of my favourites is <a href="https://econsultancy.com/blog/67745-15-examples-of-artificial-intelligence-in-marketing/">Netflix</a>.</p> <p>They’ve really embraced the use of data across their business, especially to inform creative execution and delivery.</p> <h3>Do you have any advice for people who want to work in the digital industry?  </h3> <p>Jump in. There are so many different roles that require diverse skill sets and attributes. I truly believe there is something that will appeal to everyone within digital.</p> <p>In such a fast moving industry, those who keep up to date with the latest digital news and trends can do really well.</p> tag:econsultancy.com,2008:BlogPost/68228 2016-08-31T11:04:34+01:00 2016-08-31T11:04:34+01:00 How The Financial Times is dealing with the problem of ad blocking Nikki Gilliland <p>You can watch the interview in full here, and I've also summarised her answers below.</p> <p><iframe src="https://www.youtube.com/embed/MUoHJ-y0GcI?list=PL1-kPkZBw50FexVdl4i94-lQdSVnsN7A1&amp;wmode=transparent" width="854" height="480"></iframe></p> <h3>The FT's innovative approach</h3> <p>While some sites have started to completely block access to anyone using the software, The FT is taking a different approach.</p> <p>One of multiple strategies, it has recently started to serve a partial view of the site to anyone using ad-blocking software, by blurring or missing out portions of text.</p> <p>Essentially, this serves as a visual-representation of what ad blocking does to the business revenue overall. </p> <h3>Getting users to understand the impact</h3> <p>Instead of merely shutting out readers, The FT’s strategy aims to get consumers interested and engaged in what is an industry-wide problem.</p> <p><a href="https://pagefair.com/blog/2015/ad-blocking-report/" target="_blank">Adobe estimated</a> that ad-blockers cost publishers nearly $22bn in 2015, and according to Sacha, consumers can often be unaware of the large-scale impact.</p> <h3>A consumer-focused solution</h3> <p>There is no single solution to the problem of ad-blocking, however The Financial Times is striving to bring back the focus onto the consumer.</p> <p>In doing so, it aims to create a two-way conversation – recognising the pitfalls for both publishers and their audiences – to ultimately find a solution for all.</p> <p><em>Sacha is among the expert speakers at Econsultancy's <a href="http://conferences.marketingweek.com/mc/programmatic/getwiththeprogrammatic">Get With The Programmatic</a> event in London on September 21.</em></p> tag:econsultancy.com,2008:BlogPost/68227 2016-08-25T11:52:00+01:00 2016-08-25T11:52:00+01:00 What is the Financial Times' approach to programmatic advertising? David Moth <p>Sacha Bunatyan, global B2C marketing director at the Financial Times, is among the expert speakers who will be in attendance.</p> <p>Ahead of Get With The Programmatic, we spoke to Sacha to get her views on how the FT uses programmatic and how the technology has impacted the marketing industry. </p> <p>You can watch her answers in full in this video, and I’ve also summarised them below.</p> <p><iframe src="https://www.youtube.com/embed/UEZ89uB1bLs?list=PL1-kPkZBw50FexVdl4i94-lQdSVnsN7A1&amp;wmode=transparent" width="640" height="360"></iframe></p> <h3>How has the FT used programmatic to promote the brand and sell subscriptions?</h3> <p>According to Sacha, programmatic advertising is hugely important to The FT, as demonstrated by the fact that it recently appointed Elli Papadaki as head of programmatic sales.</p> <p>Furthermore, The FT’s chief data officer sits on the board of directors and the company employs more than 30 <a href="https://econsultancy.com/blog/67203-data-analysts-vs-data-scientists-what-s-the-difference/">data scientists and analysts</a>.</p> <p>To ensure this analytical talent is not wasted, the subscriptions and ad sales teams work closely together using “one set of data, one set of segmentation.”</p> <p>At Get With The Programmatic, Sacha will be able to discuss a programmatic campaign that resulted in a 300% uplift in subscriptions versus the average week. </p> <h3>What do you think makes for an effective programmatic campaign?</h3> <p>Sacha said that effective campaigns require the right balance of a strong message combined with effective use of media.</p> <p>The data and insights that come out of each campaign should then be evaluated to aid ongoing optimisation and improve decision-making.</p> <h3>How do you think agencies should be responding to brands bringing programmatic in-house?</h3> <p>The thorny question of how agencies fit into the programmatic landscape is one that <a href="https://econsultancy.com/blog/66639-the-boom-of-the-programmatic-gong/">we’ve discussed a lot in the past</a>.</p> <p>Sacha said there is “no one-size-fits-all approach”, and the trend at the moment is for businesses to take greater control of their data in order to better understand their audiences.</p> <p>At the same time Sacha describes the agency role as “multifaceted”, with the core expertise being in connecting brands with the right media.</p> <p>In future she predicts that we’ll see a hybrid solution where brands will invest more in core competencies and link up with agencies for key partnerships around specific projects or campaigns.</p> <p>For The FT, a good agency partner is one that can offer a custom, tailor-made approach.</p> <p><em><strong>To learn more about the FT’s approach to automated media buying, come to <a href="http://conferences.marketingweek.com/mc/programmatic/getwiththeprogrammatic">Get With The Programmatic</a> in London on September 21st.</strong></em></p> tag:econsultancy.com,2008:BlogPost/68210 2016-08-22T14:57:44+01:00 2016-08-22T14:57:44+01:00 How programmatic advertising is helping drive the digital transformation agenda Seán Donnelly <p>By combining automation and data, programmatic can enable marketers to make use of everything they know about their audience to send them personalised advertisements and customised messaging in real time.</p> <p>For this reason, the implications for marketing professionals, marketing departments and <a href="https://econsultancy.com/blog/68066-top-100-digital-agencies-2016-the-state-of-the-industry/">the agency landscape</a> are revolutionary. </p> <p>The reality though is that many marketers have been slow in getting to grips with this new approach.</p> <p>To try and understand why, I caught up with Head of Digital at Disrupt the Market Ltd and Econsultancy trainer Andy Letting. </p> <p>Andy, an established senior digital leader, has worked across a range of digital transformation projects supporting traditional businesses to adapt to the fast paced world of digital marketing.</p> <p>He will be delivering a programmatic workshop prior to Marketing Week and Econsultancy’s <a href="http://conferences.marketingweek.com/mc/programmatic/getwiththeprogrammatic">Get with the Programmatic 2016</a>, taking place on September 21.</p> <h4>Programmatic has been around for several years now. Is there are a reason why some organisations have been hesitant about making it a part of their marketing activities? </h4> <p>“If I put a digital hat on, the process is straightforward in terms of data and technology. </p> <p>"For marketers schooled in traditional marketing and non-marketers within a business, it might be easy to get confused by the vocabulary used to describe programmatic and so it can be difficult to get your head around. </p> <p>"My background is all digital and so I am used to thinking about data, reaching the right audiences and rigorous measurement.</p> <p>"I can however understand how programmatic may not have evolved as quickly within mainstream marketing departments due to organisational structures, marketing skillsets and leadership teams which may not have come from a digital background."</p> <h4>Digital transformation is a topic that we spend a lot of time thinking about at Econsultancy. Is it fair to say that programmatic is another lever driving the transformation agenda? </h4> <p>“Digital is disruptive by its own nature; whether that's from a customer’s perspective or within an organisation.</p> <p>"I think programmatic could be seen as disruptive within the media buying space but then again digital as a whole is disruptive. Mobile has been disruptive for many years now.</p> <p>"There are different areas of digital from website design, media buying, tracking customer journeys, operations and ecommerce.</p> <p><em>A hub and spoke model for organisational structure</em></p> <p><img src="https://assets.econsultancy.com/images/0007/8319/hub_and_spoke.png" alt="" width="336" height="323"></p> <p>"Programmatic is just another iteration that to some extent is simplifying a way of buying media that was fairly clunky and not straightforward."</p> <hr> <p>Andy makes a good point. Programmatic is another step along the path to <a href="https://econsultancy.com/training/digital-transformation/">digital transformation</a>.</p> <p>Another theme that regularly surfaces from Econsultancy research, analysis and client discussions is the requirement to become more customer centric.</p> <p>A key barrier in becoming more customer centric cited by many businesses is that of organisational structure. </p> <p>Econsultancy publishes a very popular report called “<a href="https://econsultancy.com/reports/digital-marketing-organisational-structures-and-resourcing-best-practice-guide/">Digital Marketing: Organizational Structures and Resourcing Best Practice Guide</a>” which offers guidance to companies on organisational restructuring and digital transformation.</p> <p>The report first came out in 2011 but has been revised since. Among other things it proposes a digital maturity model which has five stages of evolution:</p> <ol> <li>Dispersed</li> <li>Centralised</li> <li>Hub and spoke</li> <li>Multiple hub and spoke</li> <li>Fully integrated</li> </ol> <p>The end vision for ‘digital’ is essentially that it becomes so much part of the organisation that it ceases to exist as a separate function.</p> <p>Many organisations though, are currently somewhere between the centralised and hub and spoke stages. This means that they still have separate marketing and digital teams.</p> <p>I asked Andy how the separation between digital and marketing teams might impact upon the effectiveness of programmatic campaigns.</p> <hr> <h4>You mention the separation of digital and marketing teams. Could there be an issue where programmatic campaigns are run separately to other marketing initiatives?</h4> <h4>Or could there be an issue where digitally minded people are able to structure a programmatic campaign but may not have the same marketing and commercial awareness as their colleagues in the marketing team? </h4> <p>“Yes that's a good point. From my experience programmatic has always been a nice to have. I've generally seen it sit within the digital team.</p> <p>"How closely the digital team works with the marketing team depends upon the organisation.</p> <p>"I think you'll find that because it's perceived as technical, you will find traditional marketers may be wary either because of a lack of exposure or knowledge. </p> <p>"As digital becomes more immersed within the marketing department and the marketing framework, we still start to see the two working in more harmony. </p> <p>"Until digital is fully integrated into the business and the marketing team has been skilled up on digital, that knowledge gap and challenge will remain.</p> <p>"The reality is you need both. You need to know who your customer is and also the technical know-how of how to reach those people.</p> <p>"If you take an FMCG company like P&amp;G or Unilever that owns multiple brands, one approach to integrating programmatic into other marketing activities may involve testing.</p> <p>"One brand could test programmatic by having an internal sponsor who can put the building blocks in place and take other business stakeholders on a journey. </p> <p>"Ultimately though, programmatic is all about focusing on the customer and pulling together skillsets within the organisation to reach that customer in ways that you haven't done before.</p> <p>"That means getting brand buy in and support. You will also need to bring together legal and data teams.”</p> <h4>In <a href="https://econsultancy.com/reports/quarterly-digital-intelligence-briefing-2016-digital-trends/">Econsultancy’s 2016 Digital Trends report</a>, 7 out of 10 marketers said that optimising the customer journey across multiple touchpoints was going to be very important for their marketing over the next few years.</h4> <h4>Is there an opportunity for programmatic to serve different kinds of advertising depending on where somebody is along that journey? </h4> <p>“So there are a number of things here. Of course, advertising needs to be relevant.</p> <p>"If you are in the infancy of your programmatic journey, you will have your lookalike models, CRM models and your prospecting models and you'll put them into the data pot (DMP) to try and get them all to work together. </p> <p>"I think the reality is that relevance is the utopia but at the same time that is only as good as your data.</p> <p><img src="https://assets.econsultancy.com/images/0007/8318/touchpoints.png" alt="" width="700" height="583"></p> <p>"From my experience, a lot of brands have really struggled in terms of getting <a href="https://econsultancy.com/blog/65425-what-is-the-single-customer-view-and-why-do-you-need-it/">a single customer view</a> and (so) have been very reliant on partnership data, second-party data and even third-party data.</p> <p>"Ultimately where the real value lies is in creating unique data sets that are so refined to that customer and that need that ultimately you are driving greater conversion and greater revenues.</p> <p>"There are many different scenarios that you play out that you then have to adapt and make use of the learnings. For instance, programmatic buying on Facebook is probably one of the most advanced in terms of data available.</p> <p>"The data that Facebook has on people is phenomenal. That's why there's this huge head-to-head between Facebook and Google. </p> <p>"My point is that programmatic can help marketers to see opportunities. For example, you can do A/B testing and seed videos on Facebook for 24 hours.</p> <p>"Then, Facebook can scale up the video that gets the most traction after 24 hours to meet your budget automatically. It's all done in an automated fashion. </p> <p>"Also, what can actually happen is that brands find out that they've inspired audiences that they never knew were interested in their brand and so suddenly they get all of this insight back from testing that can completely reshape their customer profiling and awareness. </p> <p>"For me it's about bringing that insight back into the business to reform campaigns.”</p> <h4>If marketers are going to launch and optimise ad initiatives as opportunities emerge, does this suggest that the process of setting advertising budgets on quarterly cycles may not be appropriate for managing campaigns that need to be managed in real time?</h4> <p>“The Financial Controller will give you a budget but it’s important that you make some of that budget available for some sort of innovation. You take a percentage of your budget and that's your innovation pot.</p> <p>"If you don’t make budget available for testing, you won’t be able to benefit from programmatic and other new tactics."</p> <hr> <p>As organisations continue to respond to digital and the opportunities available through tactics like programmatic, we can expect to see a new marketing model that marries the ability of marketers to think creatively with the precision of utilising multiple data sets to create a single customer view and deliver automated campaigns that can be adapted on the fly.</p> <p>For this reason, marketers may need to embrace programmatic and the opportunities it brings or they risk being left behind.</p> <p>To continue your programmatic education, why not attend <a href="http://conferences.marketingweek.com/mc/programmatic/getwiththeprogrammatic">Get with the Programmatic</a>, Econsultancy and Marketing Week’s conference on the topic, taking place on in London on September 21.</p> tag:econsultancy.com,2008:Report/4207 2016-07-27T21:00:00+01:00 2016-07-27T21:00:00+01:00 The Japan Digital Report <p><strong>The Japan Digital Report</strong> aims to provide background for marketers who are outside of Japan and currently marketing in Japan, thinking of launching a campaign there, or even just curious about the country and its digital landscape.</p> <p>Additionally, the report provides detailed information about marketing on LINE, the most culturally significant digital platform in Japan presently.</p> <p>Through the data, the charts and the commentary, the report will help marketers looking to make a case for investing more in the country and provide a foundation for further research.</p> <h2>Topics covered include:</h2> <ul> <li> <strong>Demographics.</strong> How does Japan compare to the rest of the world?</li> <li> <strong>Digital readiness.</strong> What is the current state of internet and mobile technology in the country?</li> <li> <strong>Digital landscape.</strong> What are the main web, social, search, video and ecommerce sites in the country, and how do they operate?</li> </ul> tag:econsultancy.com,2008:BlogPost/68120 2016-07-27T15:05:03+01:00 2016-07-27T15:05:03+01:00 As TV ads lose their sway, pharma marketers need to adapt Patricio Robles <h3>"Ask your doctor if [drug name] is right for you."</h3> <p>As Rocco Albano, the VP of strategy and partnerships at Razorfish Health, <a href="http://www.mediapost.com/publications/article/280323/does-pharma-have-a-problem-with-ask-your-doctor.html">observes</a>, this call-to-action that pharma marketers have relied on for years makes perfect sense.</p> <p>It's easier for marketers to gain broad reach to consumers than it is to physicians, and physicians are the only ones who can prescribe their drugs to patients.</p> <p>But with consumer trust of pharma companies on the decline and increased calls for tighter regulation of pharma ads on the rise, it's no surprise that 30 and 60-second ads are persuading fewer and fewer consumers.</p> <p>Even so, pharma marketers continue to pour big bucks into television ads. As Albano notes, pharma marketers have increased spending on the medium by nearly a quarter this year, and nine prescription drugs alone are on pace to account for $100m of spend each.</p> <p>Ironically, despite the fact that pharma ads are not convincing consumers to talk to their doctors, the spend is justified by the internet. Albano explains...</p> <blockquote> <p>Another big reason TV advertising is still a key sales driver for pharma is the Internet. The vast majority of people exposed to a prescription drug TV ad that may be relevant to them will use the Internet first and foremost to get questions answered about a treatment before asking their doctor. </p> </blockquote> <p>Unfortunately for pharma marketers, <a href="https://econsultancy.com/blog/67653-millennials-open-to-pharma-ads-but-pharma-not-delivering-on-ux">they're not delivering on UX</a>, so when consumers turn to the internet, they're more likely to use and trust information published by third parties, including WebMD and health systems like the Mayo Clinic.</p> <p>That means that pharma marketers are largely missing out on the opportunity to interact with consumers throughout their journey.</p> <p><img src="https://assets.econsultancy.com/images/0007/3047/healthstudy.jpg" alt="" width="356" height="153"></p> <h3>Is an even bigger challenge looming?</h3> <p>Pharma marketers could find themselves facing an even bigger challenge in the future.</p> <p><a href="https://cdn1.sph.harvard.edu/wp-content/uploads/sites/94/2016/03/STAT-Harvard-Poll-Mar-2016-Prescription-Painkillers.pdf">A STAT-Harvard survey</a> conducted earlier this year found that one in three Americans blame doctors for national opioid epidemic, suggesting that physicians themselves risk losing the trust of patients as it relates to how and why they prescribe medication.</p> <p>And physicians themselves are increasingly wary of pharma companies, as evidenced by the fact that <a href="https://econsultancy.com/blog/67227-ban-on-consumer-ads-could-make-pharma-s-digital-shortcomings-more-costly">the American Medical Association supports a ban</a> on direct-to-consumer ads that pitch prescription drugs.</p> <p>Since they're the only ones capable of prescribing prescription medications, this dynamic presents an obvious threat to pharma companies. So how can they address it?</p> <p><a href="https://econsultancy.com/blog/67747-pharma-marketers-should-use-storytelling-to-improve-the-industry-s-reputation">Better storytelling</a> could be key to helping the pharma industry restore its reputation, but ultimately, pharma marketers will need to change the way that they interact with consumers and physicians. That <a href="https://econsultancy.com/blog/67131-pharma-s-mobile-social-efforts-aren-t-as-healthy-as-they-should-be/">could include tapping their proprietary data to supply physicians with information they're interested in</a>.</p> <p><img src="https://assets.econsultancy.com/images/0007/4886/pharmadata.png" alt="" width="481" height="326"></p> <p>They should also look to <a href="https://econsultancy.com/blog/67831-electronic-health-records-ehrs-could-help-pharma-marketers-reach-doctors">electronic health records (EHRs)</a>, which are a channel through which pharma marketers have the opportunity to reach doctors at the point of care.</p> tag:econsultancy.com,2008:BlogPost/68044 2016-07-21T13:20:15+01:00 2016-07-21T13:20:15+01:00 Millennials don't hate advertising: It's all about the value exchange Dale Lovell <p>To paraphrase the singer Estelle, ‘<a href="https://www.youtube.com/watch?v=IylQeTYkA3A">1980 was the year that God made me</a>’ (well, I was born in March, 1980, so technically, I was ‘made’ in 1979). And as if to prove my millennial credentials: my undergraduate year was the first intake that had to pay university tuition fees in the UK.</p> <p>My 19-year-old student nephew is also a millennial. We sit pretty much at either ends of the millennial age-range. Our lives are completely different.</p> <p>I’m a daily commuter, run a business, have a mortgage, a wife and young child. I have early nights, Ocado deliveries and weekend trips to the park. He has all day drinking sessions, exams, girlfriends, lie-ins and all-night parties.</p> <p><img src="https://assets.econsultancy.com/images/0007/7308/ocado.jpeg" alt="ocado" width="275" height="183"></p> <p>But apparently we are the same homogenous marketing demographic? What he likes, I like; what I want, he wants. It’s not quite so simple, is it?</p> <p>Which is why more and more marketers <a href="https://www.marketingweek.com/2016/05/18/mark-ritson-the-seven-unmistakable-signs-of-a-shit-brand-consultant/">grit their teeth at mere mention of the word millennial</a>. And I largely agree with them. </p> <p>We are not a homogenous mass of similar tastes, views and actions. But there are certainly traits shared between this age group and how they consume digital media and what they expect from advertisers.</p> <p>So whether you love, like or loathe the term millennial – for the purposes of this post I am going to refer to this age group as ‘millennials.’ Sorry about that.</p> <h3>The millennial value exchange</h3> <p>Digital advertising is increasingly judged on the ‘<a href="https://econsultancy.com/reports/value-exchange-from-data/">value exchange</a>’. But what does the phrase ‘value exchange’ actually mean? </p> <p>In it’s simplest form this: both the brand and the consumer need to get something out of the advertising message exchange or interaction.</p> <p><a href="https://econsultancy.com/blog/67954-what-is-non-linear-advertising-how-can-it-help-publishers/">Traditionally, marketing messages have been delivered to captive audiences</a> – TV, print, radio, cinema – where there is very little perceived value exchange. In these scenarios consumers are at the mercy of what the advertiser wants them to see. It’s a one-way street. </p> <p>Millennials don’t work like that. They expect the value exchange to be present. Their time is precious. In exchange for their time interacting with your brand they expect something in return. They expect a brand to entertain them. Or to offer them information they find interesting. </p> <h3>This doesn’t mean that millennials hate advertising</h3> <p>Provided that the ‘value exchange’ is there, millennials are happy to engage. An Adyoulike study of 1,000 UK adults aged 18-33 in 2015 found that over half of UK millennials (57%) will happily visit online content that appeals to them even if it has been obviously paid for or sponsored. </p> <p>Millennials do not expect a brand to hammer them with the hard sell, or even worse – boring ads filled with irrelevant messaging, delivered in formats that are intrusive and annoying. That’s never been cool, but it really really isn’t any more. It’s digital brand suicide.</p> <p><img src="https://assets.econsultancy.com/images/0007/7309/Screen_Shot_2016-07-21_at_12.44.59.png" alt="adyoulike infographic" width="615" height="317"></p> <h3>All demographic groups are changing their behaviour to advertising</h3> <p>But whether you are a millennial or not, it’s worth noting that we’ve all changed how we use technology, consume media and engage with advertisers. It’s just that the younger generation act this way en-masse, and have been ‘early-adopters’ of this new view point.</p> <p>Baby boomers are fickler in their media consumption than they were ten or fifteen years ago, for example, because, well, they can be: like the rest of us they have far more options and demands on their precious time than they did a generation ago.</p> <p>A Nielsen study published in March 2015 found that 25% of baby boomers regularly watch video programming on a mobile device and over half of baby boomer respondents said they use electronic devices to listen to music and take or share photos.</p> <p>Our own research shows that they engage with native adverts too. So all age groups (apart from perhaps the very old) use social media; they multi-screen; they watch videos on YouTube; they skip ads - who would have thought it? - just like millennials. </p> <h3>There is no captive audience</h3> <p>Digital has changed the ‘captive’ audience forever. Marketers need to ‘earn’ the right to advertise to everyone in this hyper-connected, always on world, where content is currency and customer attention is easily lost at the swipe of a finger or click of a mouse.</p> <p>It’s not just millennials. Whatever the demographic, consumers expect more from advertisers. </p> <p>As digital marketers it’s time that we all start to think this way for everyone and every campaign, not just for those buzzwordy, hard-to-define millennial-types. </p> tag:econsultancy.com,2008:BlogPost/68086 2016-07-20T12:30:00+01:00 2016-07-20T12:30:00+01:00 Ads on premium sites drive 67% greater brand lift Patricio Robles <p>comScore came to this conclusion after looking at data from sites owned by publishers that are members of Digital Content Next (DCN), a trade organization that consists of brand publishers that have direct relationships with the consumers they serve, such as The New York Times and Condé Nast.</p> <p>As <a href="http://www.comscore.com/Insights/Blog/Premium-Publishers-Drive-Much-Higher-Brand-Lift-Particularly-Mid-Funnel">detailed by</a> comScore's Andrew Lipsman...</p> <blockquote> <p>One of the key findings from the research demonstrated that ads appearing on DCN premium publishers were significantly more effective in driving brand lift. While some of this effect was due to higher ad viewability on premium sites, the more significant driver was the halo effect of appearing on these sites. </p> </blockquote> <p>Overall, sites operated by DCN members delivered 67% higher average brand lift.</p> <p>Mid-funnel, where favorability, consideration and intent to recommend are established, the lift was even more pronounced, with DCN publishers delivering three times the lift as their non-premium counterparts.</p> <p><img src="https://assets.econsultancy.com/images/resized/0007/7164/halo_effect_graphic2_reference-blog-flyer.png" alt="" width="470" height="413"></p> <p>According to Lipsman, "This outsized mid-funnel performance is of particular significance for the large consumer brands that drive the majority of digital ad spending.</p> <p>"These brands will tend to have already established high brand awareness and therefore prefer to focus more on influencing how consumers feel about the brand so that they are more likely to purchase that brand when they are in the market to do so."</p> <p>In addition to the "halo effect" of high-quality content, the outsize performance of ads on premium sites can partially be attributed to higher viewability rates (50% compared to 45%) and lower levels of illegitimate traffic.<br></p> <h3>Implications for programmatic</h3> <p><a href="https://econsultancy.com/reports/the-cmo-s-guide-to-programmatic">The rise of programmatic</a> has been fueled, in part, by the notion that advertisers can more easily target audiences they want to reach at scale.</p> <p>In many cases, programmatic also creates arbitrage opportunities for advertisers in which they can reach audiences similar in composition to those they would have to pay higher rates to reach if they purchased premium inventory.</p> <p>comScore's data, however, suggests that it's not quite that simple.</p> <p>Instead, there appears to be a relationship between the quality of the site on which ads appear and the lift advertisers can expect to see from those ads. In other words, performance is not just about audiences, it's about where those audiences are reached. </p> <p>Should this change views about programmatic? Not necessarily. Audience-based media buying still makes sense, and just because ads on premium sites deliver higher lift doesn't mean that premium inventory is uniquely capable of delivering healthy ROI.</p> <p>Different campaigns have different goals, and even for those brand advertisers that highly value the kind of mid-funnel lift comScore observed, there is only so much premium inventory available.</p> <p>But comScore's research does suggest that advertisers would also be wise to consider looking for <a href="https://econsultancy.com/blog/62028-programmatic-premium-is-not-about-bidding">premium programmatic</a> opportunities, such as those offered by <a href="https://econsultancy.com/blog/66226-prominent-news-publishers-band-together-to-sell-ads">private exchanges</a>, to ensure that they're tapping into the apparent advantages of premium inventory.</p> <p><strong>For more on programmatic, why not attend our <a href="http://conferences.marketingweek.com/mc/programmatic/getwiththeprogrammatic">Get With The Programmatic</a> conference in London.</strong></p> tag:econsultancy.com,2008:BlogPost/67996 2016-06-29T14:36:00+01:00 2016-06-29T14:36:00+01:00 What travel & tourism marketers can learn from Discover LA Edwyn Raine <p dir="ltr">The quality of keynote speakers and workshops was fantastic, but one in particular held my attention — Don Skeoch from LA Insights.</p> <p dir="ltr">There’s a lot that we can learn from our cross-Pacific neighbours.</p> <h3 dir="ltr">Don from LA </h3> <p dir="ltr">Don Skeoch is the CMO of <a href="http://www.discoverlosangeles.com/">Discover Los Angeles</a> - LA’s tourism and convention board.</p> <p dir="ltr">Overseeing the marketing for one of the most visited cities in the world would undoubtedly be a tough gig, and he detailed some of the challenges he and his team have faced while promoting LA as a tourism destination.</p> <p dir="ltr">More specifically, he expanded on the highly successful 'Get Lost in LA' campaign that they executed at the beginning of the year.</p> <p dir="ltr">As consumers, we rarely see more than the finished product of a marketing campaign, but it is the exposure to the research, planning and development that really helps define the success of the campaign.</p> <p dir="ltr">Don shared lots of ideas and insights into the back-end of the campaign, which are worth thinking about if you are planning on running any campaign-led activity.</p> <h3 dir="ltr">Speak to the people that know best </h3> <p dir="ltr">“Visitors want to live like locals.”</p> <p dir="ltr">This was something that Discover Los Angeles quickly decided, so the best way to understand what locals like about LA was to talk to them. </p> <p dir="ltr">A series of focus groups were organised with two different sets of people: tourists and locals.</p> <p dir="ltr">Discover LA spoke with tourists to understand what they thought about travel within California, where LA fitted into that and what the city is in competition with.</p> <p dir="ltr">More interestingly, Discover LA spoke with a large number of locals, helping it to understand what makes LA special and how it could get across an authentic LA experience.</p> <h3 dir="ltr">Position your brand offering</h3> <p dir="ltr">The focus groups revealed what locals felt were LA’s strengths, but this wasn’t where Discover Los Angeles stopped.</p> <p dir="ltr">It also spent considerable time reviewing the city's weaknesses, looking specifically at where Los Angeles couldn’t compete with other cities. </p> <p dir="ltr">Discover LA concluded that it can’t compete with Europe for history, and nor did it want to.</p> <p dir="ltr">Don shared with us a matrix that quickly summed up where LA could compete and where it would shine. </p> <p dir="ltr"><img src="https://assets.econsultancy.com/images/0007/6584/melbourne_presentation.jpg" alt="" width="850" height="445"></p> <h3 dir="ltr">Invest in content</h3> <p dir="ltr">Content is king - what a horrific cliché - but it isn’t wrong. </p> <p dir="ltr">Discover LA was aware of the importance of high quality content in its campaign activity.</p> <p dir="ltr">It invested in professionally produced video, dedicated landing pages and an interactive map with video content for every suburb that tourists may want to explore.</p> <p dir="ltr">This investment in content had huge organic, social and referral traffic implications, creating something that users really wanted to share with others.</p> <p dir="ltr">Not only was the production value of the TV advert high, but it also included a theme of diversity, allowing it to appeal and influence a much larger audience.</p> <p dir="ltr">This diversity was spread across geographical, cultural and ethnic groups – see if you can spot how they have integrated these into the video below:</p> <p dir="ltr"><iframe src="https://www.youtube.com/embed/0ANoaDCTlPA?wmode=transparent" width="560" height="315"></iframe></p> <p dir="ltr">One of the interesting things you’ll note is that the video doesn’t push what LA is famous for - things like the Hollywood sign and Disneyland.</p> <p dir="ltr">This was an intentional move, as LA offers so much more to the traveller.</p> <p dir="ltr">In addition to the video, the landing page also included six hugely different travel itineraries.</p> <p dir="ltr">These spanned across adventures for families to those for foodies, and even more impressively, each of these itineraries was categorised by time, allowing travellers to choose one which suited the amount of time they were likely to be in LA, be it a day or a week. </p> <p dir="ltr">While in the short term this was a large investment, it quickly proved its worth when spread over the media budget of the campaign.</p> <p dir="ltr">Without this focus on good content, media budget would simply have been wasted.</p> <h3 dir="ltr">Conclusion &amp; results</h3> <p dir="ltr">Measuring the success of a campaign of this size is by nature difficult, but Don was able to suggest that the campaign had a return on investment of 146:1.</p> <p dir="ltr">In monetary terms, it drove incremental spending of $648m for Los Angeles. </p> <p dir="ltr"><em>For more on this topic, see:</em></p> <ul> <li><a href="https://econsultancy.com/reports/digital-trends-in-the-travel-and-hospitality-sector/"><em>Digital Trends in the Travel and Hospitality Sector</em></a></li> <li><a href="https://econsultancy.com/blog/67766-10-examples-of-great-travel-marketing-campaigns/"><em>10 examples of great travel marketing campaigns</em></a></li> <li><a href="https://econsultancy.com/blog/67952-five-tourism-websites-guaranteed-to-give-you-wanderlust/"><em>Five tourism websites guaranteed to give you wanderlust</em></a></li> </ul>