TV and Video Marketing | Olof Schybergson, Fjord | iStrategy, London

TV & video marketing is a new game now !

iStrategy, London, October 5th 2010

Olof Schybergson, CEO

Marketing is changing

…and where it should be heading

Slide 3 © Fjord 2010 | Confidential

Traditional marketing isn’t working

60% of people feel misled by advertising

66% of people feel bombarded by marketing messages


A new approach is needed

Controlled messages broadcasted Flexible, relevant interactions

From ‘industrial’ marketing… To a new style of marketing …

Isolated campaigns Ongoing dialogue and engagement

Brand-centric mentality People-centric mentality

Pushing empty promises Offering benefits

Analogue first Digital first

Create product, then market Product & marketing created together

TV is changing

…and where it is heading


Epic digital leadership battles

1990’s

The desk

2000’s

The pocket

2010’s

The sofa

?


•  More than 40% are “time-shifting” daily (streaming, downloading or watching recorded broadcast TV)

•  25% are using internet based on demand TV/video everyday

•  Consumption of on demand content is growing rapidly – and there is no return…

Daily use of different TV/video distribution channels (%)

Base: All

On demand is here to stay

Source: Ericsson ConsumerLab MSMC-study 2010


Sport is becoming slightly detached from the definition of TV, with pay per view and live stream access.

Sport On TV

Live stream

Pay per view

Source: Ericsson ConsumerLab MSMC-study 2010

The perception of TV content is changing

The perception of what is TV content is narrowing down. More and more it’s content with a “live” character which is perceived as TV content.

Reality News

Game shows Soap operas

Documentaries Lifestyle

Magazine programs

Quiz shows

Current affairs

The new perception of TV content

Series are definitely being detached from TV and perceived more as stand alone equivalents of movies.

DVD boxes

Series

Rentals

Downloaded

Streamed

On TV

The sovereignty of movies as a genre in its own right is only strengthened by online access.

Movies

On TV In cinemas

Rented

Purchased

Downloaded

Streamed


Key drivers in the TV landscape

Re-invention of EPG More content

Giant catalogues of content

New genres of content e.g. UGC, interactivity, clips

More choices for the consumer

More screens

More devices, prices and platforms to choose from

Many commercial offerings to choose from

TV, PC, mobile & tablets will all be web video devices

Control vs. openness

battle

Set top box challengers

rise

More control

The web changes the way we search, browse & watch

Consumers expect more control, and are good at it

Metadata is part of the content


New TV example:

•  More content: people can watch last 7 days content as well as what is on now.

•  More screens: PC and Mac, mobile, set top box, gaming consoles.

•  More control: people can search or browse in a number of different ways (e.g. by channel, what’s popular, recommendations etc).

On the Web

On mobile

On game consoles

On TV


Clear results


Key camps in the living room land grab

‘Traditional’ TV leaders

Digital masters entering TV

Digital TV service innovators

TV advertising

Key indicators


Britain’s advertising spend

http://www.economist.com/node/15980859

TV and online are the most important marketing platforms.


Spending has resurged in aftermath of GFC

http://www.economist.com/node/17149050

Latest data shows strong growth in TV and online advertising. Both are strong platforms to build on.

Some opportunities

Marketing initiatives beyond TV ads in the new media landscape


Online video ads Nielsen study shows online video ads are more effective than linear TV ads.

Findings 1.  Online video outperformed linear TV

(e.g. brand recall 50% vs 28%). 2.  Online video advantage was highest

among 13-24 year olds 3.   Linear TV + web ads more effective

than linear TV alone.

Why? •  Higher program engagement •  Inability to skip advertising •  Reduced ad clutter •  Presence of companion ads

http://randallbeard.wordpress.com/2010/04/05/linear-tv-vs-on-line-video-advertising/


Product placement Products are included as part of the TV show, with varying degrees of subtlety.

Case study: Masterchef Australia

“Coles (a sponsor of the show) has reported that pink ling fish, for example, leapt by 1421 per cent the week after it was used on MasterChef and was then advertised in a Coles-promoted recipe.

The supermarket chain also monitored sales of red cabbage, which rose 86 per cent, and pistachios, which rose by 125 per cent after they were used on MasterChef. ”

http://www.theage.com.au/entertainment/tv-and-radio/masterchef-cooks-up-a-sales-storm-20100722-10n0c.html


Branded entertainment More than product placement. The advertiser pays for the whole production.

Case study: BMW’s The Hire

Eight short films produced for the internet

Featured actors such as Clive Owen and directors such as Guy Ritchie, Tony & Ridley Scott and John Woo.

The movie shorts were viewed over 100 million times.

http://en.wikipedia.org/wiki/The_Hire

Other examples: Lady Gaga ‘Telephone’ video: 10 placements in 9.5 minutes Sex and the City


Ads that become a conversation Ads that are great to watch, and then keep on giving.

Case study: Old Spice

Original Super Bowl ad won the Film grand prix at the Cannes Lions. http://www.youtube.com/watch?v=QChi_AOtSOo

Followed up with active social media campaign. If you tweet him a question to @OldSpice, he’ll make a video in response. Fast.

Some are in response to media outlets e.g. the Ellen Show. When they share the content with their own audience, Old Spice gets massive mainstream PR. http://www.youtube.com/watch?v=0Cs95FmimP0

http://mumbrella.com.au/old-spice-best-use-of-social-media-yet-29742


Enhance the product’s experience Find ways to help people connect with the product.

Case study: Nike+

Branded device that records your training progress. You can sync it to the Nike+ web site, where you can talk to other runners.

“We want to find a way to enhance the experience and services, rather than looking for a way to interrupt people from getting to where they want to go. How can we provide a service that the consumer goes, ‘Wow, you really made this easier for me’?” - Stefan Olander, global director for brand connections at Nike

http://www.nytimes.com/2007/10/14/business/media/14ad.html?_r=1

Breakout sessions

Topics for discussion


Each group will get a question – a ‘ brief ’

20 minutes workshop. Each group presents solution to wider team, in no more than 2 minutes.

Suggested process: 1.  Everyone writes down one suggestion or

thought on a sticky (2 minutes) 2.  Suggestions are compared and the group

discusses and drives towards a solution (12 minutes)

3.  The group decides what to present, who will present, and what the (three) key messages are (6 minutes)

One Fjord person will be at hand to help, and to facilitate discussion if needed.


Brief 1 – new BA marketing strategy

Come up with a marketing strategy for British Airways that embraces the new TV landscape.


Brief 2 – ‘product’ as the marketing platform

Lovefilm.com is a successful movie streaming and rental service. Lovefilm want to start thinking of their core service as their marketing platform, turning customers into advocates, etc. Come up with suggestions for how Lovefilm should execute on this. What media, what initiatives, how?


Brief 3 – how will the TV landscape evolve?

What do you think the TV landscape will be like five years from now? What will people watch, how much of it, and on what sorts of devices?

Thank you www.fjordnet.com [email protected]

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TV and Video Marketing | Olof Schybergson, Fjord | iStrategy, London