iab breakfast mc dc

IAB Breakfast MC DC 09Gianni CooremanInSites Consulting

2InSites Consulting – IAB Breakfast MC DC – 07/10/09© In

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Internet stats***

Mobile Internet***

Online identity***

Future proof brands***

Emancipated consumers***

Media & advertising***

Search***

Mixed-mode buying

Today’s breakfast menu


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Background and methodology

NorthernEurope

EasternEurope

SouthernEurope

WesternEurope

BelgiumN = 2.119

The NetherlandsN = 2.038

FranceN = 2.000

United KingdomN = 2.017

GermanyN = 2.028

SwitzerlandN = 1.996

PolandN = 2.022

RomaniaN = 2.035

HungaryN = 2.010

SpainN = 2.196

ItalyN = 2.086

GreeceN = 1.971

DenmarkN = 1.986

NorwayN = 2.016

SwedenN = 2.081

FinlandN = 2.005


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The medium “Internet”

“Size does matter ... and it continues to grow”


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Internet penetration > 75%

Internet penetration < 50%

Norway83%

3,1 million

The Netherlands85% - 11,4 million

France61%

31,6 million

UK73%

36,6 millionGermany

69% 48,6 million

Switzerland73%

4,6 million

Italy52%

26,5 million

Spain50%

19 million Greece42%

4 million

Denmark80% - 3,5 million

Sweden82%

6,2 million Finland75%

3,3 million

Poland44%

14 million

Hungary45% - 3,8 million

Romania32% - 5,7 million

Internet penetration 50 - 75%

Belgium66%

5,8 million

228 million European surfers (*)

60% Internet penetration

(*) Countries measured in MC DC 2009Source: MC DC 2009 CATI research and Forrester data


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47%

52% 53%55% 55%

60%63% 64% 65%

67% 68%70% 70%

73%

78%82%

24%

33% 33%

38% 39%

44%48% 48% 49%

53%56% 57% 57%

60%63%

66%

4%7%

11%

17%

23%

28%

35%37%

40%

45%

51%53%

55%58%

60%62%

Oct 00 Apr 01 Oct 01 Apr 02 Oct 02 Apr 03 Oct 03 Apr 04 Oct 04 Apr 05 Oct 05 Apr 06 Oct 06 Apr 07 Jun 08 Jun 09

PC penetration Internet penetration Broadband penetration

5,8 million Belgian surfers66% Internet penetration

Source: MC DC 2009 CATI research (n = 1.134)


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27%33%

39% 42%49%

54% 57% 58%64%

5%

5%

5%5%

4%3%

3%4%

2%

9%

11%

9%9%

8%8%

7%11%

8%

2001 2002 2003 2004 2005 2006 2007 2008 2009

Used in past 2 weeks Used in past month Ever used the Internet

Increasing Internet intensity57% is online 7/7

Source: MC DC 2009 CATI research (n = 1.134)


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Internet goes mobile

“And Belgium is already lagging behind”


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9% ever surfed mobile in BelgiumOnly ½ of the European adoption rate

7%

93%

Yes No

8%

92%

Yes No

9%

91%

Yes No

Q: Which of the following mobile phone types do you own and use? (n BE = 2.119, n EU = 32.606)Q: Have you ever surfed on the Internet from another place than your home, work or school using mobile Internet connection on your mobile phone or smartphone?Q: Do you currently have a subscription to use a mobile Internet connection on your mobile phone or smartphone?Source: MC DC 2009 online research

14%

86%

Yes No

18%

82%

Yes No

14%

86%

Yes No

Smartphone adoption Ever surfed mobile Possession data plan


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Limited amount of 3G networks ( offered no 3G)

Prohibition of combined sales (until recently)

High subscription fees

Lack of flat rate subscriptions

How did we end up in this situation?


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Technological barriers (# platforms | # handsets)

Consumer privacy

High subscription fees

Mind the gap

Challenges for marketers


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Mobile web 2009 ... In terms of the user experience quality we observed, it was like stepping into a time machine for a quick trip back to 1998.(Jakob Nielsen, Feb 17th 2009)


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Q: How often do you engage in the following Internet activities for personal purposes via your mobile phone or smartphone? (n EU = 7.710)Source: MC DC 2009 online research

Functional & social as killer mobile applications

34%

32%

29%

21%

18%

17%

17%

13%

19%

13%

7%

13%

12%

4%

5%

7%

E-mailing

Searching information

Reading the news

Finding information on products, services, brands, companies or

shops

Using route planners

Chatting or instant messaging (in online chat rooms, on SNS)

Checking other prof iles or status on a social network site

Updating a prof ile or status on a social network site

Europe Belgium


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Mobile

PC/laptop

Both

Niche

General news/current affairs

Breaking news

Cultural news

Economic and financial news

Local news

Sports news

Weather

EroticismClothing, fashion, accessories,...

Cooking and recipes

TV programs

Job vacancies

Real estate

Food and drinks, restaurants, bars,...

Shopping, shops,...

Health information

Nearest business or service

Travel information

Tourist / location information you are at or want to travel to

Get directions/navigation

0%

5%

10%

15%

20%

25%

30%

35%

40%

45%

50%

30% 35% 40% 45% 50% 55% 60% 65%

Mean all items

Mean all items

Pre

fere

nce

acc

ess

on

mo

bile

ph

on

e

Preference access on PC / laptop

Q: Suppose you have unlimited use of a mobile phone, which device do you prefer to access the following online content? (n EU = 7.710)Source: MC DC 2009 online research

Location based / on-the-go askiller mobile content


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The mobile future: augmented reality


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Building an online social identity

“To be online or not to be”


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Online identity

ONLINE IDENTITY KIND OF ONLINE IDENTITY

54%46%

Yes No

59%

41%

Yes No

Q: Which of the following activities did you perform on the Internet? (n EU = 8.037, n BE= 530) Source: MC DC 2009 online research

45%

21%

10%

5%

53%

15%

10%

3%

I am a member of an online social network

I am an active member of at least

one online discussion board or community

I have my personal website/blog on the

Internet

I have an active prof ile/character in a

virtual world

Europe Belgium


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5 online identity drivers

Social interactions (communicating with others)

Entertainment

Unleashing creativity

Information search (solving problems)

Escapism & de-stressing


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is king

72%

23%

20%

10%

7%

6%

6%

5%

90%

16%

20%

33%

3%

12%

0%

5%

Facebook

MySpace

Windows Live Spaces

Netlog

Twitter

LinkedIn

XING

Last.fm

Europe Belgium

5%

5%

4%

2%

2%

1%

1%

29%

2%

5%

3%

8%

3%

0%

0%

7%

Bebo

Hyves

Flickr

Skyrock

Plaxo

Friendster

Friendfeed

Other social network

Europe Belgium

Q: On which of the following social networks do you have a personal profile? (n EU = 3.593, n BE= 530) Source: MC DC 2009 online research

72%

23%

20%

10%

7%

6%

6%

5%

90%

16%

20%

33%

3%

12%

0%

5%

Facebook

MySpace

Windows Live Spaces

Netlog

Twitter

LinkedIn

XING

Last.fm

Europe Belgium


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Future of social networks

Strong competition for IM and email

Social search (see further)

Data portability

Post-modern nomads


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Building future proof brands

“Social influence marketing”


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Can brands exist in social networks?

36%

35%

34%

32%

29%

25%

33%

29%

38%

28%

24%

22%

As a user of a f ree social network I expect to receive

advertising

I don't mind to get news updates on social networks

f rom brands I like

I don't mind that companies create brand/product pages on

social networks

I don't mind that companies advertise on social networks

I don't mind to receive personal messages on social networks

f rom brands I like

I am comfortable with receiving ads on social networks

targeted to me based on the information in my public prof ile

Europe Belgium

Q: To what extent do you agree with the following statements? (n EU = 3.593, n BE= 530) Source: MC DC 2009 online research


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Yes, they can...

16%

9%

30%

25%

17%

33%

18%

4%

33%

24%

16%

32%

...created a fan page for a group or organization on a

social network

...created a fan page for a product, brand or company on

a social network

...become a f riend of a company, brand or product on

a social network

...invited f riends to become a f riend of a company, brand or product on a social network

...used an application on your social network that adapts the layout of your page to show your appreciation for a brand

...entered a competition for a brand or product on a social

network

Europe Belgium

Q: Have you ever …? (n EU = 3.593, n BE= 530) Source: MC DC 2009 online research


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Brands have emotional value

INTERBRAND 08

(3.5 million fans)

(2.6 million)

(3.2 million)

(3 million)

(2.6 million)

BEST BRANDS FACEBOOK


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Social media tips for brands

Attitude change among marketers

Facilitate conversations, ask questions later

Give back to consumers

Social advertising


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Examples of social ads


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Emancipated consumers

“From shouting to building”


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The shouting consumer

POSITIVE EXPERIENCES NEGATIVE EXPERIENCES

51%

27%

15%4%3%

Never 1-2 3-56-10 10+

60%24%

9%3%3%

Never 1-2 3-56-10 10+

61%26%

8%3%2%

Never 1-2 3-56-10 10+

73%

19%

6%1%1%

Never 1-2 3-56-10 10+

Q: In the past 12 months, approximately how many times did you share a positive/negative experience with a product, brand or company on the Internet? (n EU = 8.287, n BE= 556) Source: MC DC 2009 online research


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Popular shouting channels

40%

39%

34%

32%

20%

11%

7%

4%

24%

44%

30%

33%

22%

22%

7%

8%

5%

29%

The website of the specif ic product, brand or company

A forum where people talk about a specif ic topic concerning the

product, brand or company

Consumer organization website

A product (price) comparison website

A social network like Facebook, Myspace,...

A news site

My personal blog or website

Other type of websites

I would not voice my experiences on the Internet

Europe Belgium

Q: Which type of websites would you consider using to voice your experiences with a product, brand or company? (n EU = 8.287, n BE= 556) Source: MC DC 2009 online research


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How to deal with negative buzz?

55%

54%

18%

13%

11%

70%

64%

8%

6%

8%

Contact the 'complainer' individually without

communicating on the website

Defend itself by 'officially' reacting on the website

Advertise on that specif ic website

Defend itself by anonymously reacting on that website

Give no reaction at all

Europe Belgium

Q: If consumers post negative experiences with a company on a website, how do you think the company should react? (n EU = 8.287, n BE= 556) Source: MC DC 2009 online research

% top 2 reported


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Start building...

58%

58%

54%

51%

58%

60%

44%

45%

Buy more f rom a company that tries to set up a dialogue via the

Internet with its customers

Buying intention for product decreases when reading

negative experiences online f rom other customers

Before making important purchase decisions I always try

to f ind experiences with that specif ic product of other users

on the Internet.

Brands should be more present on websites where consumers

share their product/brand experiences

Europe Belgium

Q: In the past 12 months, approximately how many times did you share a positive/negative experience with a product, brand or company on the Internet (n EU = 8.287, n BE= 556) Source: MC DC 2009 online research

% top 2 reported


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45% of Belgian internauts think a forum with questions and answers of other clients should definitely be present on a corporate website. (MC DC, 2009)


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Brand identification

Offer a place where consumers can share experiences

Join the conversation (know where to look)

Start building...


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Advertising, targeting and media planning in the 21st century

“How to avoid avoidance ... via personalisation”


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The increasing media pressure

7 out of 10 Belgian Internauts are convinced that they are currently confronted with a lot more advertising compared to some years ago.(MC DC 2009)


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69%

49%

43%

17%

34%

31%

14%

18%

26%

Irritated by advertising on

TV


the Internet


the radio

Top 2 Neutral Bottom 2

Q: To what extent do you agree with the following statements? (n = 549) Source: MC DC 2009 online research

TV has highest ad irritationReducing the gap online / TV


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73%

63%

32%

17%

22%

38%

10%

16%

30%

Do something else when

commercial break on TV

Switch channels when

commercial break on TV

Leave a website with a lot of advertising


Media consumption is one thingAdvertising exposure another

Q: To what extent do you agree with the following statements? (n = 549) Source: MC DC 2009 online research


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In 2006, a television spot needed to be broadcasted 150 times on American television in order to reach 80% of Americans. The same result could be achieved in 1987 with 3 broadcasts.(Himpe, 2006)


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Advertising as a means for activationSimple

Surprise

Concrete

Credible

Emotional

Story telling


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Personalisation next to activation

Q: To what extent do you agree with the following statements? (n = 549)Q: According to you, what are the 3 main characteristics of good online advertising? (n = 549) Source: MC DC 2009 online research

40%

34%

26%


49%

43%

42%

41%

41%

19%

18%

9%

It provides interesting information

It's cleverly creative

It's entertaining/fun

It's relevant to me

It of fers a discount

It's interactive

It contains multi-media (video or

audio)

It's shareable with others

I have no problem watching or receiving advertising if it is tailored to my needs

CHARACTERISTICS GOOD ONLINE ADS


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Openness to provide informationConvince the neutral audience

Q: Companies can use different services to provide you with more personalized information, customized services or product recommendations. To what extent do you find the following services useful?? (n = 549) Source: MC DC 2009 online research

47%

46%

34%

29%

27%

31%

37%

40%

38%

49%

23%

17%

26%

33%

25%

Personalised website based on

previous visits

Personalised online advertising by f illing out interests via an anonymous form

Personalised website based on purchase history

Personalised website based on browsing history

(across sites)

Contextual online advertising



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61%

50%

35%

31%

28%

22%

10%

6%

TV commercial

Print ad

Online ad

Radio commercial

Outdoor

A mini site

Online viral video

A brand page on a social network

Media planning: 1 +1 = 3

Q: Suppose one of your favorite brands is launching a new product or service. What are the 3 main information channels you would like this brand to use when introducing this new product to you? (n = 549) Source: MC DC 2009 online research


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The role of search in brand building & lead generation

“Search is still in its infancy”


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Internet = search

74%

72%

59%

58%

56%

41%

39%

34%

80%

74%

56%

68%

57%

40%

34%

36%

Hobbies/personal interest

News in general/current af fairs

A product/service I want to buy

School- or work-related information

A shop/dealer where I can buy a product/service

A product/service I already own

People (prof ile, personal details...)

Download music, movies, images...

Europe Belgium

Q: Have you ever used an online search engine (e.g. Google, Yahoo!, Windows Live...) before? (n EU = 8.039; n BE = 530)Q: How often do you use online search engines to find information on the following topics? (n EU = 7.742; n BE = 528)Source: MC DC 2009 online research

96%

4%

Yes No

99%

1%

Yes No

EVER USED TOPICS SEARCHED (% WEEKLY)


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77% of Belgian surfers always find what they're looking for when using online search engines

62% trust the results they obtain from online search engines


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Search is still in its infancy

Finding the most recent information?

Which search result is the most relevant?

Knowing exactly what you are looking for?

Using the “right” keywords to define your search

Deep Web vs. Shallow Web


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The surfer’s search cyclone

User enters keyword

User processes search results

User visits brand/retailer site

Keyword hunting

Category, brand, feature awareness

Product (experience) comparison

Customer experience

How we wish they searched ... the actual search cyclone ...


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11%

28%

28%

15%

17%

After the f irst 5 results Af ter 10 resultsAf ter 20 results Af ter 30 results

Af ter more than 40 results

Why SEO matters

Q: Suppose you enter a search in an Internet search engine but you don't find what you are looking for, at what point do you give up? (n EU = 7.742; n BE = 528)Source: MC DC 2009 online research

39% of all surfers believe that companies included in the top search results are market leaders in their domain (Jupiter Research, 2008)


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Sponsored links matter as well

69%

31%

Yes No

58%

32%

23%

22%

20%

69%

28%

13%

17%

11%

Sponsored links are necessary for search engines to survive

Sponsored links contain relevant information

I of ten click on sponsored links

I trust the sponsored links I receive f rom online search

engines

I have a more positive opinion of brands/companies if they are

present in sponsored linksEurope Belgium

Q: Are you aware that search result pages usually show two different types of links: sponsored links (paid for by the listed company) and natural links (where no payment is made by the listed company)? (n EU = 8.039; n BE = 530)Q: To what extent do you agree with the following statements regarding sponsored links? (n EU = 5.788; n BE = 381)Source: MC DC 2009 online research


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Search tips for marketers

Check your online brand identity

Words are key

Exploit universal search

Embrace social media

Invest in paid search


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The future of search

Semantic search (e.g. Wolfram Alpha, Kosmix...)

Mobile search

Personalized search

Social search

Local search


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Mixed-mode buying

“It’s all about DCC”


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Discussion, Comparison, Conversation

Problem recognition

Information search

Evaluation of alternativesPurchase decision

Post-purchase behaviour Discovery

Conversation


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WOM as key information sourceNiche channel

Mass channel

Trusted channel

Zap channelMean all items

Mean all items

Advertisements/commercials (offline)

Comparison websites

Other websites

Discussion with a dealer/sales assistant

E-mail or discussions with relatives, friends and acquaintances

A paper brochure

E-mail sent by companies

Advertisements/commercials(online)

Promotions and special offers (offline)

Promotions and special offers (online)

Search engine results

Corporate website

Websites with user reviews

Websites with expert reviews

0%

10%

20%

30%

40%

50%

60%

70%

0% 10% 20% 30% 40% 50% 60%

Information on TV, in newspapers, magazines or periodicals

Rel

iab

ility

info

rmat

ion

ch

ann

els

(% t

op

2 r

epo

rted

)

Usage information channels (% used)Q: In general, which of the following information sources would you consult to select a brand, manufacturer, provider or dealer for a new product or service? (n EU = 8.287)Q: To what extent do you find the following channels reliable when searching for information on brands, products and services? Source: MC DC 2009 online research


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Challenges for marketers

wecommerce

wesearch

webuying


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Digital consumption profiling dataBasic insights for marketers into the Internet population of 16 European countries

The P2P online economyHow many people are trading domain names, earning money via advertising on their personal website? Who is into peer-to-peer trading on auction and classified websites?

Interactive content on the move: the mobile futureThe mobile phone has become smart and offers opportunities for mobile marketing and location based services. What do consumers allow and expect from these services?

The medium is the messageHow to get your message across as a company? Which channels (e-mail, social networks, SMS,…) to use for which kind of messages?

The digital world as seen by digital natives, silver surfers and worldwide womenInsights into the role of the Internet from different target groups and viewing angles.

Emancipated consumers: from shouting to buildingHow many Internet users are voicing their opinion on the Internet and how to deal wit them as a company?

Building future proof brands: social influence marketingWhat do surfers expect from brands on social networks? How should you as a brand position yourself in their environment?

Building an online social identityIs online life a replacement or complement to the offline life? And why do they feel the need to exist online? How can brand and companies compose their own online social identity?

Digital utility seeking: the Internet and mobile as branding instruments / branded utilityCan you strengthen you brand by offering branded utilities? And which utilities do internauts expect and use?

Answers to 17 challenges today’s marketers are confronted with

Avoid avoidance: advertising, targeting and media planning in the 21st centuryWhat are the key elements of good advertising according to Internet users? Is there an overload of advertising? Is targeted advertising the solutions?

1

2

3

4

5

6

7

8

9

10

Market Insights Branding & communication


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The role of the Internet in the purchase decision process: mixed-mode buying How important is the role of the Internet in the purchase process within my sector?

The role of search in brand building / lead generation How do people use search engines? Do peope use it to search for brands/products? Is it worth investing in SEM?

E-commerce drivers: influence of the economical climate Do people still buy online? What is the impact of the crisis on their online shopping behaviour?

Consumer trust and online confidence To what extent do people have faith in e-commerce, online applications and services and do they trust online advertising and promotions?

Return on information: providing personal data in return for personalized services and information What kind of information are people willing to share with a company? What is their opinion on behavioural tracking and recommendations based on past purchases / visits?

Enforcing customer loyalty through digital media What do your consumers think of your corporate website as support for after-sales? What could be improved to make your consumers more loyal?

Co-created product innovations leading to better brand experiences To what extent are people open to co-create with a company and how to approach them? What is the impact on branding and sales? Who are the people that diffuse new products and services and how do they share their opinions/influence?

Answers to 17 challenges today’s marketers are confronted with

11

12

13

14

15

16

17

Customer experience Innovation


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Hungry for more?

http://mcdc.insites.eu Powered by IAB Europe

http://mcdc.insites.eu/

http://www.sxc.hu/browse.phtml?f=download&id=762147


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Gianni Cooreman

Digital Research Manager

InSites Consulting

T +32 9 269 16 01

M +32 494 521 776

E [email protected]

http://www.linkedin.com/in/giannicooreman

http://twitter.com/giannicooreman

Digital Mediaand Marketing

mailto:[email protected]





iab breakfast mc dc

Internet

germany n

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