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How Outdated Thinking Hampers Brand Communications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
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
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
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
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
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.