ENGAGING WITH THE CONNECTED GENERATION (GEN C) MAY … · DIGITAL DISRUPTION IS FUELLED BY GEN C ENGAGEMENT •Convergence of adjacent industries: • Global Tech Companies trying

ENGAGING WITH THE CONNECTED GENERATION (GEN C) MAY 2017

Werner Lindemann

[email protected]: @GBTinman

HOW DOES A CONNECTED CONSUMER ENGAGE WITH BRANDS TODAY?

Meet Mr/Ms C

• Spends 40 min a day listening to Podcasts

• Spends 2 hours a day listening to Radio including online radio

• Spends 1 hour a day streaming music

• Checks Twitter 4 times a day

• Spends at least 1 hour a day on streamed video content

• Spends <30min a day in front of the TV

• Spends 4 hours a day on his email

• Sends at least 50 WhatsApps in a day

• Checks Facebook 10 times a day

• Checks LinkedIn 3 times a day

- 2 -

12 hrs a day consuming

content(↑50%)

How old am I?

3

MILLENIALS ARE “SO 2016”

GEN C is not about age, it’s about a connected lifestyle and can include:

- 4 -

MEET GEN C

• A group of tech savvy individuals that transcend the generation gap

• What connects these seemingly polar opposites?

• People that embrace change

• People that have engagement opinions

- 5 -

This is as a result of the growing new urban lifestyle:

• Social Media Citizen

• Mobile phone has become a 3rd hand

• Driven by social metrics (“needy!!!”)

• Inhabit the new “Most Populated Cities” (Facebook, Instagram, Twitter, Youtube, etc.)

URBANISATION OF POPULATIONS

- 6 -

WORLD: 7.4BN<30: 50%URBAN: 54%

SOUTH AFRICA: 55.2M<30: 65%URBAN: 66%

Source: wearesocial 2017 digital yearbook

BROADBAND BECOMING UBIQUITOUS

- 7 -

WORLD INTERNET:3.8BN (50%)ACTIVE SOCIAL MEDIA:2.8BN (37%)

SA INTERNET: 28.7M (52%)ACTIVE SOCIAL MEDIA:15M (27%)


DIGITAL MEDIA CONSUMPTION WILL BE DRIVEN BY MOBILE

- 8 -

WORLD MOBILE:8BN (108%)ACTIVE SOCIAL MEDIA:2.5BN (34%)%)

SA MOBILE: 79.9M (149%)ACTIVE SOCIAL MEDIA:13M (24%)


THE AFRICAN CONNECTION

• Africa has over-taken North America and Western Europe in the number of internet users

• Africa has the 3rd most (995M) mobile connections in the world

• Africa's total population: 1,23BN people (81% mobile penetration)

• 78% (SA) & 81% (WA) of all web pages browsed are on a mobile device (vs. global ave @ 50%)

- 9 -

Internet Users Active Social Media Users Mobile subscribersActive Mobile Social

Media Users

362 Million 170 Million 995 Million 150 Million


65% OF THE SA POPULATION, DIGITAL FIRST

- 10 -Source: General Household Survey – 2014, Eithy20

SAY HI TO MR/MS C

Meet Mr/Ms C

• Spends 40 min a day listening to Podcasts

• Spends 2 hours a day listening to Radio including online radio

• Spends 1 hour a day streaming music

• Checks Twitter 4 times a day

• Spends at least 1 hour a day on streamed video content

• Spends <30min a day in front of the TV

• Spends 4 hours a day on his email

• Sends at least 50 WhatsApps in a day

• Checks Facebook 10 times a day

• Checks LinkedIn 3 times a day

- 11 -

12 hrs a day consuming

content(↑50%)

Who am I?

SAY HI TO MR/MS C

- 12 -

THE NEW CONNECTED NORM

- 13 -

Gen C does business differently –

they’re smart and savvy, and reject the hard sell.

WHY YOU NEED TO TALK TO GEN C AND NOT JUST MILLENNIALS

• Bigger group than just Millennials

• Ignoring a tech savvy group with disposable income

• Talking to early adopters

• Network effect that go beyond just millennials

• Word of mouth (Brand advocates)

• Active consumers

- 14 -

DIGITAL DISRUPTION IS FUELLED BY GEN C ENGAGEMENT

• Convergence of adjacent industries:

• Global Tech Companies trying to dominate online space;

• Banks & Retailers are becoming Telcos (e.g. FNB & MrPrice MVNO);

• Media Platform owners are becoming ISPs (e.g. DStv Explora); and

• Adjacent revenue models (e.g. E-Commerce) is becoming a significant revenue driver; and

• OTT players are disintermediating traditional revenue (WhatsApp zero-rating; Netflix/Showmax bundles, etc.)

• Telco players are already responding across Africa:

• Vodacom/Deezer/MTN Music+ music;

• Airtel Money/Insurance/Health info; and

• MTN Mobile Money/Rocket/Music+.

- 15 -

• … but Brands cannot own the consumer without having the right content and community engagement …

TECHNOLOGY & MEDIA PLATFORMS GIVE RISE TO 2-SIDED MARKETS

• A platform provides the infrastructure and rules for a marketplace that brings together producers and consumers in order to generate the so-called “network-effect”

• In order to create a valuable platform, the platform owner needs to show value to both the Consumers and the Producers

- 16 -Source: Adapted from Harvard Business Review

Consumer Engagement

PLATFORM

Traditional Media, Digital &

Mobile

INTERFACES / PLATFORM PROVIDERS

MOBILE DEVICES

CONSUMERSPRODUCERSeCommerceHome Automation / IOTFinTechEducationVoD/StreamingMusic Streaming Services

Consumer Accesso Digital Marketingo Subscriptiono Data Mgmt Platformo Advertising

Creation

Community Curation

Connection

4C’sofGenC

BRANDED CONTENT AS ENGAGEMENT MEDIUM FOR GEN C

- 17 -

Creation

Community Curation

Connection

4 C’s of Gen C

• Creation: Create content relevant to your brand that is appealing and unique

• Curation: Sort your content to accommodate your target audience making sure your content personalised and relevant to your audience

• Connection: Position your content to make sure it reached this target audience

• Community: Once you reach your audience, you allow for them to engage share and thus creating a community and brand loyalty

ADVERTISERS ARE EMBRACING CONTENT MARKETING

• 57% of marketers – custom content is top priority (Altimeter Group)

• Enterprises spends on average 30% of their marketing budget on content (CMI)

• 55% of companies are creating video content for marketing (Axonn Research)

• 67% of consumers are more likely to buy on custom content (Custom Content Council)

• 78% of consumers that hear an ad took some form of digital activity within 24 hours (Marketing Update)

• Customer testimonials has the highest effectiveness rate @ 89% (CMI, 2014)

- 18 -

GEN C CAN BECOMING A FORMIDABLE ALLY OR FOE FOR ANY BRAND

- 19 -

Recently, 2m YouTube views of United Airlines passenger been dragged off a plane!!

DEPLOY THE RIGHT TOOLS TO DRIVE SOCIAL MEDIA OPTIMISATION

- 20 -

Are you able to identify the key sub-groups within the Network?:Is this aligned with the brand strategy?

If we could create the ideal map for the brand and it’s objectives what would it look like?

Essentially 1 main

broadcaster (Pick n Pay)

With a few smaller

networks some

community

Quite a few ‘Islands’

indicating an established

brand presence

Who are the key influencers in your network?:

‒ Pick n Pay: 120 400 followers; Valentines day, cupiding with momentum

‒ Mrphamodi: 2413 followers; Shopping Killarney,

‒ Nthi1: 2135 followers, Staff attitude at the Bosman store

‒ Who?‒ What they talk about ?‒ What they are interested in?

Allows the brand to create the perfect tweet

BUILDING CONSUMER ENGAGEMENT: FROM CONNECTION TO COMMUNITY

- 21 -Source: Adapted from SeaChange: Adapting for Good

CONTENT AS COMMUNITY DRIVER:

Critical Elements:

• Backend Technology:

• Performance

• UX:

• Simplicity & Ease

• Build per channel

• Subtlety of radio – unintrusive

• Content:

• Radio as load hailer

• Facebook as funnel

• SEO & Word search as amplifier

- 22 -

Results:

• 80% digital conversion (monthly UBs)

• ↑ 1,000%+ content downloads

• Double digital revenues

INTERNATIONAL BRANDS

- 23 -

GEN C – CONTINUE TO EXPLORE AND LEVERAGE BRAND BENEFIT

• Understand Gen C – help to create content that engage communities

• Loyal customers, that becomes your Brand advocate through the network effect

• Don’t be disingenuous – it will bite you

- 24 -

Guidelines to improve the relevance and impact of Gen C Engagements:

Source: Adapted from Gartner: The Big Flip

THANK YOU!WERNERLW

- 25 -

[email protected]: @GBTinman

WHY BUILD LIKE-MINDED COMMUNITIES?

• Gartner predicts that organisations that excel in personalisation will outsell companies that don’t by 20%

• Intelligent segmentation and persona development are essential in the journey to meeting consumers’ demands for more relevant experiences

• By building like-minded communities, companies have a much richer picture of their customers allowing them to tailor a memorable and effective experience across diverse channels and different stages of the buying journey

- 26 -Source: Adapted from Gartner: The Big Flip

MORE EXAMPLES: LIKE-MINDED COMMUNITIES

- 27 -

eSports Fans Pan-African Content Audiences

Gospel Followers

Children MothersAfrikaans

Documents

ENGAGING WITH THE CONNECTED GENERATION (GEN C) MAY … · DIGITAL DISRUPTION IS FUELLED BY GEN C ENGAGEMENT •Convergence of adjacent industries: • Global Tech Companies trying