1.
STATE OF THE
GERMAN
INTERNETIN 2017
OMR FESTIVAL
02./03.03.2017
HAMBURG MESSE

2.
STRATEGIES
FOR GERMAN
MARKETING
COMPANIES

3.
Source: Bloomberg.
In 2011, the majority of
the most valuable companies
were oil companies.

4.
Source: Wikipedia, List of public companies by market cap, Q3 2016.
In 2016, 5 years later, all of the
largest companies were digital,
and half of them have online
marketing as their core business.
This is the Age of Online Marketing.

5.
Source: ARD / ZDF Onlinestudie 2016, Statistisches Bundesamt Dec 2016. Image Source: Imgur.
76% of Germans
use a smartphone.
2/3 of them use Android.
EVERYONE
IS ONLINE.
ALMOST.

6.
WHICH
USING
APPS
ARE YOU

7.
v
THE GERMAN HOMESCREEN.
Source: AppAnnie, most popular Android-Apps by time spent in Germany in 2016 excluding pre-installs, browsers and games.
# 1 WhatsApp
# 2 YouTube
# 3 Facebook
# 4 Instagram
# 5 Google Maps
# 6 Snapchat
# 7 eBay Kleinanzeigen
# 8 eBay
# 9 Facebook Messenger
9GERMAN
APPS IN 2016
TOP

8.
Source: Nielsen, AppAnnie & Analysys.cn (Monthly Active Users), w/o browsers, pre-installs and games.
US German ChineseThe Homescreenvs. vs.

9.
100%AMERICAN
88%AMERICAN
100%CHINESE
GERMAN REAL ESTATE
IS IN FOREIGN HANDS.

10.
?
WHAT DOES THAT
IMPLY FOR THE
GERMAN
ECONOMY
INTERNET

11.
We took a look at large, publicly
listed German companies.
And created an index representing
10 major online companies.

12.
ERMAN NTERNET INDEG I X
Digital Core Business | B2C | valued > €1 Billion

13.
To our surprise, the classic German economy
has clearly outperformed the online economy
in the last 12 months…

14.
DAX VS GIX
Source: OMR Research, Google Finance.
-30
-22,5
-15
-7,5
0
7,5
15
22,5
30
Feb16
Mar16
Apr16
May16
Jun16
Jul16
Aug16
Sep16
Oct16
Nov16
Dec16
Jan17
Feb17
+25%
+1,5%

15.
THIS IS THE GIX
Source: OMR Research, Google Finance, Market Cap on Feb 17, 2017
Each box represents the market value of each company compared to the other companies.

16.
COMBINED MARKET CAP:
€48 BILLION
Source: OMR Research, Google Finance, Market Cap on Feb 17, 2017.

17.
Nearly €50 Billion is massive.
And yet, it is dwarfed 1:40
by the dominant platforms.
And we live in a platform economy.

18.
GAFA: €1.964 TRILLION
COMBINED MARKET CAP

19.
COMPARED WITH GIX…

20.
So perhaps, the comparison is unfair.

21.
We took a look at the second tier of
global platforms, think numbers five to eight.
They are all leaders in major categories.

22.
BLUN: €222 BILLION
Source: OMR Research, Google Finance, Market Cap on Feb 17, 2017.
Still, this ratio fails to flatter.

23.
Source: OMR Research, Google Finance, Market Cap on Feb 17, 2017.
GAFA + BLUN:
€2.186 TRILLION

24.
GERMAN
COMPANIES
Germany has a long tradition
of hidden global champions
among medium-sized companies,
aka the “Mittelstand.”
Image source: Blend Images - Ned Frisk Brand X Pictures Getty Images.

25.
Tunneling Audio Leisure
SOME CHAMPIONS
Image source: www.herrenknecht.com, de.sennheiser.com, www.luerssen-yachts.com.

26.
Source: Biesalsky & Company: The brands of Germany’s hidden champions.
HIDDEN
CHAMPIONS
AND HUNDREDS MORE…

27.
THAT THE GREAT
PRIVATE.
GERMAN ONLINE
COMPANIES ARE
THEREFORE, IT STANDS TO REASON

28.
THE NEW UNICORNS
These are the up-and-coming digital companies
Source: Gründerszene, digitalkompakt, Handelsblatt.
Image source: Beyond print.

29.
Image source: Beyond print.
POTENTIAL UNICORNS
The runners-up and aspiring global leaders
Source: Bundesanzeiger, Handelsregister, meedia, Gründerszene.

30.
Ecommerce Software … AND others
Source: OMR Research.
AND A LOT OF POTENTIAL
Selection of companies valued at €100-500 Mio

31.
GERMAN
INTERNET
STILL THE GERMAN INTERNET IS SUBJECTED
TO THE PLATFORM ECONOMY.

32.
ARE YOU SAFE?
OR TO PUT IT IN OTHER WORDS, DEAR READERS:

33.
06
02
07 08 1009
0503 0401
Freelance
Source: XING, Top10 employers, based on >250K Datapoints, filtered for B2C businesses with a digital core business model.
THANKS!
WHERE GERMANS ACTUALLY WORK:
TOP-10 DIGITAL EMPLOYERS IN GERMANY

34.
Maybe, the more important question is:
WHAT ARE WE
GOOD AT?

35.
PERFORMANCE
MARKETING
Performance is possibly the German
core competence in online marketing.

36.
0
125
250
375
500
08.11
10.11
12.11
02.12
04.12
06.12
08.12
10.12
12.12
02.13
04.13
06.13
08.13
10.13
12.13
02.14
04.14
06.14
08.14
10.14
12.14
02.14
04.15
06.15
08.15
10.15
12.15
02.16
04.16
06.16
08.16
10.16
12.16
WIMDU MASSIVELY OUTPERFORMED
AIRBNB IN SEO:
Source: Sistrix visibility index.

37.
But it didn’t matter.
PERFORMANCE
MARKETING
IS NOT ENOUGH

38.
LET’S
DECONSTRUCT
WHAT SUCCESSFUL
PRODUCTS AND
BRANDS DO
RIGHT.

39.
W
S
PRODUCTS
IS KEY.
THE UNDERSTANDING
OF THE NATURE OF A

40.
The product used to be seen and organized
separately from marketing and fulfillment
Goods or Service Marketing & Sales Payment & Fulfillment

41.
Successful companies share an
integrated approach on all of these aspects.
Marketing & Sales
Goods or Service
Marketing & Sales
Payment & Fulfillment

42.
AMAZON’s marketing is carried out through the products themselves.
Prime, Video and Echo are powerful marketing tools.
Image source: www.amazon.com.

43.
TESLA is built on storytelling from the biggest business
influencer on the planet (25 mio. views on Youtube
per month). This is an essential part of the product.
Image source: www.tesla.com, digitaltrends.com, ecar-rent.com, ecomento.tv.
Source: veescore.

44.
THERMOMIX revamped the tupperware party to compel
customers to use and promote their hard-to-understand product.
Thus, it became a platform for 3rd parties to produce content,
i.e. cookbooks and hugely succesful magazines.
Image source: Vorwerk Group / flickr.com, www.welt.de, www.switzerland.thermomix.com, Gruner+Jahr.

45.
YOUR PRODUCT IS
YOUR MARKETING

46.
Alrighty then. This was an eyeopener.
A lot of macro and big names.
But what can I do about it? Like, say,
TOMORROW?

47.
The operational:
FIVE QUICK-WIN IDEAS
to improve your marketing today.
Underpriced Marketing Channels

48.
Tawnya Sutherland
Secretary
Fynn Kliemann
Craftsman
Florian Neuschwander
Runner
Babs Kijewski
Angler
#1 NICHE INFLUENCERS
You can find the right influencer for just about any product.
Image source: www.instagram.com.

49.
#2 CONTENT RECOMMENDATION
The "Babbel Guys" became global on a tiny budget.
Image source: www.emske.com
Source: www.espn.com.

50.
#3 PODCASTS
Believe it or not: 44 of the Top 50 German podcasts have no commercials.
Source: OMR Research, iTunes charts. Image source: www.emske.com.

51.
...visited a sponsor's website
... considered a new product
... gathered more info about a product
... used a promotional discount code
... purchased a product
... visited a store
... purchased or downloaded music
... recommended a product to others
... attended a performance, cultural event or exhibit 15%
17%
18%
20%
25%
28%
37%
42%
45%
Source: eMarketer, OMR Research.
Every
second (!)
listener clicks
a sponsor’s
website.
#3 PODCASTS
after hearing a podcast…
Image source: www.mixcloud.com.

52.
Image source: CBRE, Shoepassion, techcrunch, Zillow, Fastcompany, Business Insider, Yogibo, Athleta, Blue Nile, Birchbox, Forbes, Internetworld, The Verge, www.eightinc.com.
#4 STORES
Cities are platforms, stores are marketing.
Apple's rent for its 750 flagship stores is marketing expenditure.

53.
#5 AMAZON MARKETING
CPC within the shop is quite a deal!
Source: OMR Research, Example: Boxspringbett, Nov 2016.
Image source: www.emske.com.

54.
QUICK WINS
Content
Recommendation
Niche
Influencer
#1
StoresPodcasts Amazon
Marketing
#2 #3 #4 #5
Image source: www.catherinehug.de, www.emske.com, www.mixcloud.com.

55.
A VERY BIG THANKS TO OUR DATA PARTNERS

56.
Visual Concept
No agency GbR
Francesca Veit
Nina Schliefer
Coordination
Leila Frieling
Birthe Ziegler
Translation
Scott Peterson
Presentation
Philipp Westermeyer
Concept and Research
Sven Schmidt
Roland Eisenbrand
Eike Dehning - dhng Consulting
Presentation Consulting
Michael Wanker
AN OMR PRODUCTION

57.
v
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