1. best examples of marketing
and engagement using digital technology
january 2013
lorna von Seggern john tedstrom
Marketing Research Manager Managing Director, Insight & Strategy
2. The role of technology in marketing
With the explosion of new media channels and technologies, marketers are scrambling to figure out what are
the new principles and best practices in engaging today’s consumers.
Technology has changed how consumers interact with brands, so we created this e-book as a frame of reference
to help companies navigate this new multichannel, digital world.
Through extensive secondary research and our own experiences, we’ve identified 5 trends on how technology
is being applied to marketing in order to build relationships with the multitasking, multichannel consumer: 1
1/ 2/ 3/
Social Merchandising
Increasing Engagement Content in Context
and Social Loyalty
4/ Lifestyle Integration
5/ Extreme Personalization
3. Why the marketing landscape is changing:
Technology has forever changed
how consumers interact with brands
Digital disruption is all around us. In most developed countries, Internet access is near ubiquitous. As of
2012, there are an estimated 3.2 billion mobile phone owners worldwide. Mobile web use is expected to
pass desktop usage in 2014. 29% of U.S. adults now own a tablet or e-reader. A recent survey of U.S. adult
smartphone owners by Harris Interactive found that nearly 3/4 of smartphone owners don’t go an hour without
checking their phone. Consumers are increasingly likely to research a product in-store on their smartphone before
buying it online. The influence of social media, social merchandising and social commerce is exploding. There
are now 850 million users on Facebook. And that’s just a scratch on the surface of how digital technology is
changing the way consumers interact with brands. 2
Even industries without any digital products have been forever changed. And companies like GE, Cisco and
IBM are betting the Internet will bring digital intelligence to the physical world of industry like never before.
Consumers and business decision makers now have a huge range of tools that give them unprecedented
access to information, pricing, comparison data and more. Increased access, in turn, has led consumers to
demand even more transparency, simplicity, immediate response and relevant personalized content.
Marketers have responded by shifting from one-way company-, brand- or product-focused marketing alone
to finding more ways to be customer-centric, personal, relevant, local and timely. Now, companies bring their
products to life in context and create experiences that matter for consumers, so they can get what’s in it for
them, rather than just hear about it.
It wasn’t a nice thing to have to go digital, we had to do it to survive.
– Angela Ahrendts, CEO of Burberry
4. Brands are using technology in many ways
to create experiences, drive engagement
and build stronger relationships with
their target consumers.
3
1/ 2/ 3/
Social Merchandising
Increasing Engagement Content in Context
and Social Loyalty
pp. 5-11 pp. 12-15 pp. 16-21
4/ Lifestyle Integration
pp. 22-25
5/ Extreme Personalization
pp. 26-29
5. Our purpose at P&G is to touch and improve lives; everything we do
is in that context. With digital technology, it’s now possible to have
a one-on-one relationship with every consumer in the world. The 4
more intimate the relationship the more indispensable it becomes. We
,
want to be the company that creates those indispensable relationships
with our brands, and digital technology enables this.
– Robert McDonald, president and CEO of P&G
6. 1/ Increasing Engagement
Brands are using a combination of location and technology to break
through the clutter and create new levels of engagement with their most 5
important customers.
pp. 6-7 pp. 6, 8 pp. 6, 9 pp. 6, 9 pp. 6, 10 pp. 6, 11
7. The right message at the right time. Technology enables companies to engage their target
audience anywhere and anytime, providing perfectly timed and clever breakthrough messaging to the
target audience.
Original and User-Generated Content. Today, more brands are using digital technology to
act like publishers and creators. Compelling digital content about unique experiences – pop culture, art,
people stories – is driving engagement and conversation, not product and company information. Digital
content helps humanize a brand, communicating who they are and what they are about.
Storytelling. Consumers across all age groups crave stories that they can share with friends and
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family. Many successful marketers in the digital age are focusing on the people that interact with the brand,
not the brand itself, by creating branded stories that have the added advantage of making people look
good for sharing it.
SOCIAL SHARING. People use social networks to hear another person’s experience (70%) and to learn
about new products and services (60%). Today, consumers are generating and tapping into the opinions
of an exponentially larger universe. For marketers, the race is on to be among the brands being shared.
Gamification. Brands are using the principles of gaming combined with other data, such as location,
to create new levels of engagement.
Augmented Reality and Emerging Technology. Augmented reality has proven to create
interactive, engaging experiences with consumers that allows them to more fully experience a brand or product.
Expect to see more forms of engaging experience through newer forms of technology.
8. The right message at the right time
Samsung’s galaxy tab
In Heathrow Airport’s first class executive lounges, executives logging onto
the Wi-Fi were greeted with a 25-second commercial about Samsung’s
Galaxy Tab just weeks before the holidays. Samsung sold 600,000 units in 7
one month across 30 markets due to putting their message in front of their
target audience at the right time.
Lexus
To promote its CT 200 Hybrid model on Earth Day in April, Lexus created
a 3D projection onto the Roosevelt Hotel. The image featured the CT 200
driving around the hotel’s walls. Combined with lighting and music, the
outdoor initiative went viral on YouTube, generating over 1 million comments
from consumers on Facebook, YouTube and blogs.
9. Original content
RED BULL
Red Bull sponsored a live video feed of a skydiver jumping out of a spaceship to
communicate its brand message and differentiate its energy drink from the
rest of the industry. The jump from a space capsule at the edge of space by
Felix Baumgartner was carried live by television outlets around the world,
and more than 8 million people saw the live video on YouTube (the largest
audience ever for a live streaming event of this kind). The daredevil stunt
successfully demonstrated the power Red Bull’s energy drink delivers:
“Red Bull gives you wings.”
8
User-Generated Content
LevI’s curve ID x Liz Stanley
Levi’s launched a new jean called Curve ID for women, which allows women to
match their measurements to a particular ID in order to get a great fit. Instead of
advertising their new Curve ID product through banner ads and TV commercials,
Levi’s demonstrated the unique benefits in an authentic manner through video and
social influencers. Social influencers received a pair of jeans and a letter asking them
to create a video if they liked the jeans. The influencers created amazing videos that
drove 95% of traffic to the Levi’s Facebook page. The banner ads drove less than 5%.
Levi’s successfully entertained their audiences while educating and informing them at
the same time, bypassing the traditional advertising noise to engage them.
10. storytelling
FIAT
FIAT became Chrysler’s fastest growing brand among young adults after it
launched a live series of videos titled “Alternative Routes: The FIAT Storytelling
Series.” The videos aligned with the brand’s “Life is Best when Driven” umbrella,
featuring live storytelling events from real people. The 8- to 10-minute videos
on FIAT’s Facebook page were viewed 440,000 times. In addition, stories were
featured on CBS.com, which generated an additional 29 million impressions.
The videos and content on CBS.com drove nearly 7,000 people to interact on
FIAT-USA.com.
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social sharinG
Coca-cola
To generate awareness around its “happiness” positioning, Coca-Cola launched the
Happy Places photo app and a photo-sharing social network along with a mobile app
that encourages people to share their happy moments. Users can view and comment
on other’s pictures and follow hashtags like #music, #joy and #girlfriends to keep
up to date with new uploads that fit with these “moments.” Coke’s photo initiative
successfully attracted and engaged new audiences while associating its brand to its
core positioning.
11. Gamification
DENNY’S
Denny’s restaurant reinvigorated their brand with the launch of its “50 State
Challenge” mobile app and promotion. In this gamified app, guests can locate
nearest restaurants, see exclusive menu items and check in to receive “state
souvenir challenge badges” along with different prizes. Customers can also
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recruit friends through the app to check in with their friends as a “team check in”
for a bigger prize. The ultimate prize, for checking in to a Denny’s in all 50 states,
is free Grand Slams for life.
The check-in capability is a way to drive traffic directly to the restaurant.
Thanks to apps like Foursquare, people are now familiar with that kind of
check-in behavior. It gets guests into our restaurant, which is the ultimate
goal for us.
– John Dillon, vice president of brand marketing and product development, Denny’s
12. Augmented Reality
Maybelline
Maybelline incorporated augmented reality into its New York Color Show
Nail Lacquer print ad campaign to allow readers to virtually try on 40 different 11
colors of nail polish by taking a picture of their hand.
Volvo
Volvo created an augmented reality experience to promote its new S60 model.
Users could drive a virtual car by scanning a YouTube video. Fans drove a car
around a track by tilting their smartphone to the left or right. Volvo said the
results were “outstanding,” with a 9.6% interaction rate, 192,319 clicks on the
masthead ad and a traffic increase of 293% to volvocars.com.
13. 2/ Content in Context
Many brands are using technology to engage customers in
new ways by delivering relevant content in the right context
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to connect with consumers where they are.
14. American express
American Express provided content with enhanced and
exclusive benefits by allowing cardholders to shop for products
during the e-commerce-enabled television show New Girl.
IKEA
IKEA moved away from featuring static pictures of products to lifestyle
imagery by grouping products together in relevant settings. IKEA’s new
holiday interactive catalog, titled “Celebrate Brilliantly,” features interactive 13
photos of IKEA’s products and fun ideas for the home. Users can flip the
switch on the bottom of the page to see what an everyday room would
look like decorated for the holidays and can watch videos from the catalog
pages, recommend to Facebook and pin items on Pinterest, all in one click.
The Home depot
The Home Depot launched the Style Guide iPad app to drive project consideration and
inspiration among home enthusiasts. The app can service as direction points for someone
when taking on a project.
How-to articles feature large images that can be clicked on for additional information.
Other interactive features include the ability to switch an image from daylight to night to
see how lighting affects a specific room and swipe functionality.
Everything featured in the articles in the app is commerce-enabled, linking to a custom
Home Depot website where all products are available for purchase. The app is currently
the top downloaded app in its category.
15. Audiences are increasingly engaging in second screen viewing.
The mobile device allows us to integrate marketing messaging
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related to specific TV content in a way that would otherwise
not be possible.
– Lou Paskalis, vice president of global media, content development
and mobile marketing at American Express, New York
16. Toys “R” US
Toys “R” Us launched a series of online videos that star kids as “news anchors” of a toy
news network aimed at informing parents on the hottest toys for the holiday season.
To continue the discussion, Toys “R” Us started the #HotToys hashtag on Twitter for parents
to talk amongst themselves as well as with brand representatives. Digital content, including
some of the TV spots, lives on Facebook and YouTube. Toys “R” Us has 3.1 million likes and
35.4 million video views on Facebook.
WAze
Waze is a free community-based traffic and navigation app now with over 30MM
members that puts the user in context with valuable trip and navigation content. 15
Members share real-time traffic, accident and road information and provide edits
and even corrections to maps.
BMW
BMW’s “A Window into the Near Future” used out-of-home digital signage, digital projection and
motion detection technology to transform passing cars into future all-electric BMW i3 and plug-in
hybrid BMW i8 concept vehicles.
Across from Bryant Park in New York City, consumers drove by a large window that reflected a
BMW concept car instead of their own and calculated how much money would be saved and how
many tons of CO2 emissions could be reduced annually if each transformed car was all-electric.
BMW used the window to demonstrate their vision of the future.
BMW’s out-of-home advertisement built excitement for the brand, going viral on the Internet, with
positive comments on blogs and websites along with many shared links to the branded viral video
on YouTube.
17. 3/ Social Merchandising
and Social Loyalty
Social media continues to evolve through social marketing, social
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merchandising and social commerce. Social loyalty is emerging as
an opportunity to leverage all three.
pp. 17-18 pp. 19-20 pp. 21
18. Social Merchandising
Social merchandising is driving companies to showcase their products in a visual, meaningful way that easily transfers to
Pinterest, Instagram and others. The new e-commerce reflects a more personalized experience, focusing on consumers’
unique passions and interests. And social commerce encourages shoppers to discover new products, not just buy them.
Marc jacobs
Marc Jacobs revamped its website with more improved visuals, mobile commerce
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features and social sharing options to boost sales. The website now has larger
product images, social integration, mobile optimization and PayPal integration. To
personalize the experience, they added the “MyMJ account,” which syncs with the
user’s Facebook page and includes order history, customized collection picks,
news and events from Marc Jacobs and an integrated Marc Jacobs Twitter feed.
bentley motors
Bentley Motors creates a two-way dialogue with their customers on Pinterest
and other social media channels. Showcasing merchandise in a relevant
manner on Pinterest allows customers to discover, share, comment and
purchase items quickly and easily.
19. Social merchandising is driving product visibility based
on “likes.” Companies such as thefind and Glimpse allow
users to discover products based on the number of likes
they receive. There are 170MM product pages that have
like buttons but only 6.2MM have 1+ likes.
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20. Social Loyalty
Brands and retailers are testing the waters by adding a social layer to established programs while building upon proven
principles of loyalty and customer relationship management. Social loyalty programs provide brands with an unprecedented
amount of customer data and new levels of engagement.
ExPRESS
Express Next loyalty program drove deeper customer engagement and sales through
social media engagement. Those who are engaged with the brand tend to buy more
and have a longer relationship with the company. Customers earn points for opting-in
to receive SMS text alerts from the retailer, re-tweeting an Express tweet, following
Express on Twitter and for reviewing an item on Express.com. 19
Caesars entertainment’s total rewards program
Caesars Entertainment’s Total Rewards program acquired new members and drove deeper
customer engagement by allowing members to earn additional rewards points by sharing
content and check-in activities through Facebook, Twitter, YouTube and Foursquare.
To illustrate the value of the rewards program, Caesars launched the “Escape to Total Rewards”
sweepstakes, where members had chances to win 90,000 prizes by playing an online game
at TotalRewards.com/Escape. To play, members must obtain special key codes from Caesar’s
locations on Foursquare, Facebook and Twitter. When the player enters the key code, they can
play one instant-win game.
The program enhancements have resonated with travelers and other entertainment seekers,
as Caesars Entertainment witnessed a 20% increase in Total Rewards members, more than
23 million “Escape to Total Rewards” online game plays, 101% increase in @Total_Rewards
on Twitter and 93% increase in Total Rewards Facebook fans.
21. There is a lot of marketing power behind a passionate customer
who takes to social media to tell all of her friends about the
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big reward she just earned and the sexy dress she’s going to
purchase with those rewards. Next thing you know, all of her
friends want to sign up and earn rewards too.
– Jim Wright, Express senior vice president of marketing
22. Social and mobile apps
FEdEx
FedEx launched the “Ship to Friends” app that allows Facebook users to
prepare and pay for a FedEx shipment without ever leaving Facebook. In
addition, the app allows users to post directly to their friend’s Facebook
timeline, alerting them that they are sending them a package.
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TGI Friday’s
TGI Friday’s successfully re-energized the brand by developing a mobile app that
focuses on convenience and makes the customers’ interactions with the restaurant
a lot easier. With the mobile app, consumers can sign up for the restaurant’s loyalty
program, check their rewards balance, place a restaurant order, keep track of their
tab and pay their bill, and share experiences with others through social media.
nordstrom
Nordstrom created a personalized mobile shopping experience with its new
shoppable iPad app. The goal of the app is to give consumers a “simple, fast and
intuitive way to browse and buy merchandise on the iPad,” according to Nord-
strom. The three main functions of the app are the virtual dressing room, person-
alized home page and social sharing. Users can search for products, shop and
try products on virtually.
23. 4/ Lifestyle Integration
Brands are using technology to bring their brand promise to life
by functionally integrating it into customers’ daily lives. They
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have found that traditional advertising is not enough and they
must “be” the brand that they promise. In the digital world today,
consumers increasingly want brands to demonstrate their value
through action, not just words. And as a result, technology is
changing how people interact with the brands, content and how
they get things done in their daily lives.
24. Nike
In what may be the best example of functional lifestyle integration, Nike launched
the Nike+ FuelBand, a device that athletes wear to track all daily activity and help
them reach their goals. As a result, Nike has transformed the category and has
become the brand it promises – for the athlete in all of us. Users can set targets
and share their measurements with others. Once a goal is reached, a motivational
character, “Fuelie,” appears and applauds the user for their efforts. Now with 7
million users, Nike plans to extend the idea and build Nike+ Basketball (specific
for basketball players) and create additional training apps.
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Vail Resorts
To add value and create strong brand advocates, Vail Resorts launched the
Epic Mix digital ecosystem, which incorporates gamification elements and RFID
codes. Through a website and mobile app, season pass holders at Vail’s six
resorts track vertical feet skied, earn pins for activity, compete with friends on a
leaderboard, post photos and share activity through social channels. In 2012,
they added a new mobile app, Epic Racing, which allows skiers to compare their
racing times with American Ski Racer Lindsey Vonn and win digital medals based
on their achievements. The app allows users to share their results with friends
on Facebook and Twitter. For the passionate skier, Epic Mix has become the
connective tissue and a huge differentiator for Vail Resorts.
25. The role of the brand, and of advertising, has changed from
being one of inspiration to one of inspiration and enablement. 24
The consumer feels entitled to attention – saying ‘J ust Do It’
isn’t enough; they want the know-how.
– Stefan Olander, vice president of digital sport, Nike
26. GAP
Gap wanted to tie their brand to something tangible that establishes an emotional
connection with their audiences during the holiday gift-giving season. Gap allowed
customers to send their own Facebook photos as real, printed postcards to their
Facebook friends free of charge. And wouldn’t it be great if some of those postcards
showed customers enjoying Gap clothing and accessories? Through the end of
December, Gap gave away 1 million free postcards as part of their sentimental
holiday initiative.
25
ASICS America
ASICS America, a partner of the 2012 Honda LA Marathon, expanded its “Support
Your Marathoner” program to the West Coast. It allows friends and family to send
pictures, texts and video messages of support to the marathon runner of their choice
on race day.
Motivational messages are delivered directly to an individual runner when they run
past one of two giant video screens placed in various locations on the race course.
Social media delivered additional moments of inspiration to runners. The program
links the website (www.supportyourmarathoner.com) to the runner’s personal Facebook
page, allowing them to share requests for support with their entire online network. Every
time a message of support is uploaded, the runner’s entire Facebook community
is alerted and encouraged to upload more messages. The Support Your Marathoner
website also gives runners their own personalized support gallery of messages, pictures
and videos for after the race.
27. 5/ Extreme Personalization
Some brands are putting technology to work to ensure that each marketing
message targets the right audience and each experience is precisely relevant.
26
Facial recognition technology is one example at the extreme end of the personalization
spectrum. Understandably controversial, it helps brands hyper-target their messages
based on demographics. It has a cool factor but any conversation about it quickly
goes to the potential for abuse. Nonetheless, it is a new technology to keep an eye on.
28. Forrester predicts that by 2014 consumers will receive
an average of 9,000 email marketing messages annually.
Companies are looking to extreme personalization to
break through the clutter.
Sony Ericsson
Sony Ericsson engaged customers with personalized messages based on their
physical location to demonstrate the photo capabilities of their new SE K550i
phone. The campaign was built around a competition to win a world trip for the
entrant and four of their friends to participate in extreme sports, including Bungee
jumping out of a helicopter over the fjords of Norway and sand boarding in the
deserts of Dubai. Users sign up for the four-stage challenge and continue over four
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weeks. Each week’s entrants needed to upload five photos of their preparations.
Using a sophisticated re-targeting process, they created personally relevant ads
for each entrant based on their status within the competition. The ads remembered
the stage the individuals were in and user data was combined from tags on the
various stages of the microsite with multiple possible ad interactions. Users were
re-targeted across the MSN network using personalized content such as the user’s
submitted photo in the ad.
at&t
AT&T said its program, called AT&T Alerts, will use “geo-location technology” to offer customers
“discounts, rewards and offers via text message when they are near participating retailers and brands,”
including Gap, Staples and Zales.
29. BEIng tested by some retailers and consumer packaged goods manufacturers, facial
recognition allows billboards, vending machines and digital kiosks to detect a person’s
attributes, such as age, gender and race, and deliver customized content as a result.
Adidas
Adidas is working with Intel to develop digital walls with facial recognition for a limited number
of stores in the U.S. and Britain. 28
Kraft
Kraft is testing face-scanning kiosks in select supermarkets. When a shopper stands
in front of the kiosk, a camera equipped with Anonymous Video Analytics software
zooms in on his or her face to determine the shopper’s age and gender. The kiosk
then suggests Kraft products it thinks the shopper will enjoy, from kid-friendly Oscar
Mayer hot dogs to Tombstone Pizza.
30. Future Trends
In this “what’s in it for me” and “what’s around me” hyper-connected world, brands will continue to leverage
technology to understand customers’ needs and connect with them by putting their products and services in
context, always driving toward more meaningful experiences, deeper engagement and one-to-one relationships.
Although we can’t guarantee what the future will bring, we do know that brands will focus on these emerging trends.
When looking at how to leverage technology to achieve your own marketing objectives, whether its building
customer loyalty, generating awareness and/or driving deeper customer engagement, first look at your target
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audience and their needs, media and digital habits and how your products and services fit into their lifestyle. It’s
all about engaging them seamlessly in their personal digital world, not disruption by pushing messages at them.
By 2014, nearly half of the U.S. smartphone population will be mobile social network users, shopping through social
media. E-commerce will ultimately stand for “everywhere commerce.” The purchase funnel is no longer linear,
and marketers can influence a purchase decision at any moment. Therefore, digital will have a deeper influence in
the purchase process as companies continue to discover which technologies are effective in influencing specific
behaviors.
As consumers’ attention is divided across multiple screens, integrating imagery, video, sound and multisensory
experiences will become even more important as brands look to break through the clutter. However, relevancy,
context and personalization will remain the key challenge over the next few years. A major priority for marketers
will be collecting and making sense of data from multiple channels and turning that data into actionable insight in
order to communicate with their audience in a more personalized, relevant manner.
31. About hawkeye
We create extraordinary message in the right context. We help you figure out who your
consumers are, what they value, where they look for it and how
experiences that matter.
they prefer it to be offered. Using integrated digital capabilities and
creative solutions that drive results, we inspire your customers to
act by clicking, tapping, emailing, texting, calling, participating in
hawkeye is an Integrated.Digital.Agency. We create extraordinary an event, joining the conversation, making a purchase through dig-
experiences for clients and their customers using insight, analytics ital channels or going to a brick-and-mortar store. And, we measure
and innovation to develop ideas that drive brand affinity and business everything to give you the results you need.
success. Through social, mobile, digital, event and direct channels,
For additional insights or help with your integrated digital
we help clients inspire action to accelerate brand growth.
strategy and to find new ways to engage your audiences, email
We don’t talk at people. We engage them with breakthrough us or give us a call. 30
experiences in the right channel at the right time with the right
John Tedstrom Wes Wright
jtedstrom@hawkeyeww.com wwright@hawkeyeww.com
www.facebook.com/hawkeyeagency
Managing Director, Insight & Strategy Managing Director, Interactive
www.twitter.com/hawkeyeww 970-376-0269 214-659-5611
www.youtube.com/user/hawkeyeww