Always OnCannes, June 2009

1 The state of media

2 Evolution

3 The 'new' media ecosystem

4 Online Content Propagation

Agenda  

The state of media

Internet overtake TV as most popular medium by June 2010

Ultimo 2008:TV 46 hours a monthInternet 40 hours a month

Ultimo 2010:TV 43-46 hours a monthInternet 50-60 hours a month

There’s still much more potential...

Influence on brands grows with the penetration

Digital influence is moving you brand from magazines to blogs, from a few channels to many

The new formats are driving the growth

Search and interactive ad formats like video are flourishing, largely replacing classic display advertising

Social media usage is exploding, but video is the real story

While member communities (like Facebook) have been garnering impressive audience numbers for the last five years, video audiences

have been growing at meteoric rates

“Like Zimbabwe’s endless printing of new worthless money, the online industry is adding new display inventory way beyond

demand. The supply and demand model is a broken one”

Display Ads & ZimbabweTwo cases of hyperinflation

Source: Wall Street Journal, February 2009

It’s about the new formats and the narrative

Eric Schmidt, CEO GoogleEric Schmidt, CEO Google

The potential is huge

*Source: Nielsen Online, The Global Online Media Landscape, April 2009 and Jupiter European Advertising Forecast 2007-12

Evolution

The digital ‘future’ is already here...

User situation Kids (5-12)

Young people (13-27)

Mature consumers (+28)

Information Youtube search or social tools

Google search and social tools Google search

Communication Carrier agnostic social media

IM & social networks via laptop and phone E-mail

Entertainment Social worlds and videoOn demand video and

games via laptop or portable device

Digital TV and premium on demand

Video content is increasingly delivered on demand - one

in seven 18-24 year olds watching no live TV at all.

Source: Forrester and Comscore Press releases 2008/2009

Median age for TV users are 13 years higher than general population.

Users are changing behaviour

The Channels are becoming ’truly’ digitalTh

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The consumer will let you in, if you offer them something that can work as the ’social glue’

The consumer wants to participate, so the ’trade-off’ needs to be interesting

The consumers have the power – they will only ’opt-in’, if you are relevant

By 2013 video will be 90 percent of all consumer IP traffic and 64 percent of all mobile traffic

Source: Cisco, April 2009

2004 2007 2010 2013

100%

80%

60%

40%

20%

Video as percent of all bytes

We are watching and sharing video like never before

Video Distribution is replacing traditional toolsCo

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From

ban

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to v

ideo

Dis

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From

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to c

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Branded Video Content builds brands

The new media ecosystem

With content on demand

With mobile applications

With communication tools such as Wave or

Skype

With communities and social networks

With web applications such as Twitter and

Netvibes

Users are ”always on”

’Always on’ channels

’Always on’ users

Advertising formats have to adopt to users being ”Always on”

Media is consumed when, how and as users like it.

Traditional advertising fail to engage

The advertising eco system has to evolve with the users

Master all three elements of change to benefit from the full potential of the new media eco system.

From campaign website From TV, Print, Display From PR and journalists

to multiple channels and properties

to content distribution

to users and social sharing

Step 1: Owned Media

Step 2: Paid Media

Step 3: Organic Media

Exploiting the ‘always on’ users

Reach &Engagement

Owned Media

Paid Media

Organic Media

Low Content is on the website/campaign site

Uploading to Youtube and buy a bit of search

Few organic views, comments and ratings

Medium Campaign site & Youtube channel

Viral disimination to all major video platforms

with some media support

Significant organic views driven by comments,

ratings and some social media sharing

High Multible channels and content hubs

Contextual seeding in multible channels

Extensive sharing and redistribution of the

content across all ”always on” platforms

Content "It's a learning lab out on the net, just playing

around with some different ideas. You can tell it's not very heavily branded at all."

-P&G Spokesperson

Distribution “The campaign's backer hasn't been the only thing

stealthy about it. As of this week, the most viewed of nine online videos produced had been seen fewer than 6,000 times on YouTube. The fictional Mr. Johnson also

has a Twitter account with 949 followers.”- Ad age article

Case: Zack Johnson – First episode

Case: Zack Johnson

9 videoszack16.com youtube channelTwitter account

Step 1: Owned Media

Step 2: Paid Media

Step 3: Organic Media

No paid media supportLess than 100,000 views

11 comments28 ratings

Very good webisode content, but complete lack of paid media support to organic momentum for the campaign.

Evaluation

Organic mediaLow

Paid MediaLow

Owned MediaHigh Engagem

entOnline

Presence

Content"We wanted to generate a real feeling of anticipation and create a truly unique, memorable moment that everyone

would want to share in.“-Paul Silburn is creative director at Saatchi & Saatchi

Distribution “We’ve approached the campaign slightly differently this time. We have a number of activities planned once the ad

goes live to really engage with consumers.”- Lysa Hardy, head of brand and communications at T-Mobile

Launching ’Dance’

”Life’s for sharing”

- Events- Content Channels

Step 1: Owned Media

Step 2: Paid Media

- Premiere ad-break- Online seeding- Interactive TV- Digital outdoor

Step 3: Organic Media

- Spoof content- Behind the scenes- Social media sharing+15,000,000 online views- Thousands of comments- Thousands of ratings- Spread to hundreds of websites

Owned MediaHigh Engagem

ent

Channels/Properties

Paid MediaHigh

Content Distribution

Organic mediaHigh

Social Sharing

Evaluation

Online Presence

Set for future campaigns

Popular channels are already in place

They can launch new clips in same meme on the back

of current momentum

They have gathered a massive community to

capitalize on

From ”Dance” to ”Sing Along”

January 2009300 people dancing in

Liverpool Street Station

April 200913,500 people singing along

on Trafalgar Square

From ”Dance” to ”Sing Along”

Online Content Propagation

“Always on demand”Distribution approach

Content Channels “Always on”Tools & Users

The opportunity

Online Presence

Time

Online Presence

From peak & valley campaigns to “Always On” distribution

Time

The Online Propagation Model

Channels & Properties

Engagement

Owned Media Paid Media Organic Media

Branded Content

Distribution

Social Tools, Widgets,

Video SEO

Always on

Online Presence

Low

High

Case: The transformation of a king

Lack of successful advertising campaigns during the 80s and 90s

led to ridicule.

80’s – 90’s 2003-04

Russ Klein appointed as CMO and Crispin as

creative agency. An era of content starts..!

2008-10

25% increase in ad spend and doubling of digital spend as online and branded content

becomes central for BK

Burger King’s online storyEngagem

ent

Owned Media

Online Presence

Low

High

Subservient chicken

ChannelsXbox games

Paid Media

Whopper freakout

2008

The cavalcade

Sponge BobAlways on

2007

The BK Lounge

Organic Media

Whopper sacrifice

2009

‘Freak Out’

Owned MediaHigh Engagem

ent

Properties/Sponsorships Content Distribution

Paid MediaHigh

EvaluationOrganic media

High

Social Sharing

Online Presence

Strategic success across all 3 steps'Burger King won the Grand Effie convincingly due

to their boldness and creativity across multiple media platforms, delivering real cultural relevance and above all, outstanding business results. As a

result of the campaigns Whopper sales have increased by double-digits. '

- Carl Johnson, Chairman of the Board of Directors of Effie Worldwide and Co-Founder of Anomaly.