The challenge for all marketeers is to make the audience care – which means developing a message that is meaningful, relevant and remarkable – this is where co-creation can help. Co-creation is about collaborating with people outside your organisation (eg. consumers, customers, experts) to develop ideas that add real value to their lives. At Brand Genetics we believe it’s crucial to understand how to collaborate, with whom and what ‘developing ideas’ really means in this context. This presentation shares insights and practical tips on how – done right – co-creation can help you grow your business by being more consumer relevant, and draws on Brand Genetics’ experience of developing innovative new products and brands. This was the keynote presentation at the Nutraformulate conference 2014

1. BRAND GENETICS | PRIVATE AND CONFIDENTIAL
31 WINDMILL STREET | LONDON W1T | UK
+44 (0)20 7700 2700 | www.brandgenetics.com
The Power of Co-Creation:
Working with Consumers to
Win in Market
Food for Thought Conference –
Nutraformulate 2014
MARCH 2014

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Uncovering the next-generation opportunities
with the power to grow your business
Brand Genetics works with brands to understand how
markets are evolving & what this means for their business.
We work collaboratively with pioneer and early adopter
consumers, cutting edge experts and diverse client teams
to identify insights & implications that clarify, cut through &
lead to new growth opportunities.
We have global experience in a range of categories
including food and drink, home and personal care,
alcohol, healthcare, finance & technology.

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Consumers are faced with a choice overload…
The average supermarket in the UK stocks around 40,000 products
and adds 6 new products to its shelf each week

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They’re bombarded by advertising messages
xxxxx
Estimates suggest that the average US citydweller now sees
up to 5,000 ad messages a day [Yankelovich Research]

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But manage to ignore 98% of them… How?
Without a problem to solve the consumer mind is closed for business

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They’re likely to ignore your product too…
Unless you can make it relevant to their lives by identifying how it solves a
problem…. and how it does this better than what they’re currently using

7. Why this is important for
Functional Foods

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Natural /
Inherently
Functional
Foods
Functional foods is a complex world
It’s full of contradictory messages and lacks clarity – for example, do consumers
understand the difference between naturally functional and scientifically functional
Created /
Scientific
Functional
Foods

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The Media Doesn’t Help
Consumers are exposed to a great variety of mixed messages that only contribute
to confusion and mistrust

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The ‘It’s all about me’ Trap
Too often we spend time talking about ourselves, rather than about our consumers
– this contributes to a lack of relevance to consumers

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It’s an easy trap to fall into…
When you’re excited about all your new features:

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It’s an easy trap to fall into…
…and it’s the same in Functional foods

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But we should be selling beautiful hands – not handcream
You must understand how your product is going to make a real difference to
consumers’ lives and then tell them

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Apple know this…

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VW know it…

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Evian know it…

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‘It’s all
about me’
It’s only a USP if it’s relevant to me

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The Good News…
Help is at hand – from consumers – they’re keen to work with you and ‘co-create’
your brands, products and communications

19. So what is Co-Creation?

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What do we mean by ‘co-creation’
In the context of innovation we define co-creation as follows:
‘Collaborating with
consumers / customers
to develop ideas that add
value to their lives’

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It’s part of the creative process
Co-creation is creative and collaborative, so it can get messy

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It’s guidance, not answers
It is very insightful and can guide your decision making but
it won’t give you all the answers – only a sense of the right direction to take

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It’s effective at most stages in the process
You can co-create at any point - from blue sky to refining an existing idea – but be
aware it’s collaboration, not abdication

24. Why do consumers want to get involved?

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Co-creation is very now!
What’s happening in the consumer world that makes co-creation an increasingly
useful and attractive prospect for company’s and ‘creators’

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Creativity is the new must have skill
1980
21% of
consumers
agreed with the
statement
2011
61% of
consumers
agreed with the
statement
‘I feel the need be more creative’

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Consumer creativity has been unleashed
Whether or not it’s true co-creation consumers are increasingly used to being able
to customise and adapt brands and products to better suit their needs

28. Why do we want to involve them?

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We need to appeal to people’s intuition
If you see marketing in terms of rational argument, you’re missing the true power
of persuasion; which lies in appealing to people’s intuition not their reason.
There are two basic modes of thinking:
“System 1” thinking is intuitive
Fast, automatic and emotional – result in
impressions, feelings and inclinations.
“System 2” thinking is rational
Slow, deliberate and systematic – based on
considered evaluation to get to ‘logical’ conclusions.

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How do we get intuitive, not rational responses?
By asking consumers to actively be creative we tap into the same areas of the
brain that drive System 1 thinking – responses are less rational but more intuitive

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Build ideas that tap into System 1
Ideas that tap into System 1 thinking have the power to spread: ideas that appeal
to our fast intuitive side are the ones with the power to go viral and spread

32. Co-Creation that Works

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1. Involve the right consumers
‘We’re all created equal, but some are more equal than others’ – conventional
research rewards the familiar & punishes the new – but 2 audiences stand out…
INSPIRING & CREATIVE BUT CAN BE
TOO FAR AHEAD OF THE GAME
THE CRUCIAL GATEKEEPERS TO
MASS MARKET SUCCESS
INSPIRE ADAPT

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Pioneers: Change happens at the edges
Pioneers are the people at the edges most willing to take risks, trying new things
that may fail but may also point the way to the future

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But successful ideas must ‘cross the chasm’ of Early Adopters to be big. This
group make more considered choices and adopt on merit – they hold huge power
in the modern marketplace
Early Adopters: The consumers who count
Key Adopter Categories. Source: Rogers (1995) Diffusion of Innovations

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2. Ask them to do the right things
Consumers are ‘adept adaptors’ – they’re better at taking existing ideas and
improving them than starting with a blank sheet – so set them up for success

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Origination vs. Adaptation
Give consumers the right tools to do the job: don’t ask them to originate, but help
them to improve, adapt and build on your starter ideas with the right inputs
STARTER IDEAS
EXPRESSED SIMPLY BUT
CLEARLY
STRUCTURES THAT
GIVE THEM CLEAR
PROBLEMS TO SOLVE
CREATIVE STIMULUS
FROM WHICH TO DRAW
INSPIRATION

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3. Work ‘live’ with them
Getting you and your team up close and personal with consumers is one of the
biggest benefits of co-creation

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Talking the Language of the Consumer

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1. Consumers aren’t looking for your new product – their
default mode is to want to ignore it
2. Co-creation is a great way to ensure you’re talking about
what matters to your consumers – a real USP
3. Tapping into consumer’s creativity can help you build
ideas that appeal to System 1 & have the power to spread
4. Co-creation needs to tap into the right people and utilise
the right tools to be a success
5. Actively involving your team in the process ensures
ownership and belief in the outcomes – critical in innovation
To Summarise:

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Thank You for Listening
Tom Ellis
tom.ellis@brandgenetics.com
+44 (0) 7815 896 098
www.brandgenetics.com