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Content Israel Summit | December 1, 2015

CLIENTS1 OF 3 AGENCIES REDEFINING DIGITAL ADVERTISINGSOCIAL AGENCYOF THE YEARDIGITAL INNOVATOROF THE YEAR

AWARDS

LONDONNEW YORKSAN FRANCISCOSAO PAULO*

300+ PEOPLE

publicis israel group purchased agency Glickman Shamir Samsonov

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CREATIVITY FOR THE NEW CONSUMER

4Millennials have cut the cord or never had cable ever

1 in 4 http://www.techhive.com/article/2833829/nearly-1-in-4-millennials-have-cut-the-cord-or-never-had-cable.html

18 percentare cord-neverspeople who have never paid for a cable subscriptionwhile6 percentare cord cutters, meaning they have canceled their cable subscriptions.Oct 6, 2015

New Study Says by 2025, Half of Consumers Under 32 Won't Pay for Cablehttp://www.adweek.com/news/television/new-study-says-2025-half-consumers-under-32-won-t-pay-cable-167400

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Netflix is currently the 2nd most watched network in miniutes delivered per month compared to all US TV networks.

Next year it should be #1 in terms of all ratings, ehad of ABC, CBS, Fox, and NBC.

In addition to the dominance of Netflix, Twitch, Amazon, and Hulu the largest MCNs on YouTube are now competing with major cable networks.

http://www.reviewjournal.com/entertainment/movies/netflix-us-viewership-could-surpass-major-cable-network-ratings-2016

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62022?!?

2022: In the US, if it wasnt for the NFL, cable subscriptions would plummet. This is the year OTT will officially kill the cable network. Yahoo just paid $20 million for 1 shitty game.

Apple's$202.8 billioncash hoard is so mammoth that it's larger than the market capitalizations of all but 14 companies in the Standard & Poor's 500 Index. Its market cap is bigger than Disney, Comcast, Viacom, and Fox combined6

As a result, brands are behaving like media companiesshifting from filler to source

Content marketing is looking bullish8

$300B spend by 2019

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People are open to content from brands95xmore likely to make purchase decisions based on trusted branded content Feel that branded content makes them feel more connected and loyal to brands62% Source: http://www.socialmediatoday.com/social-business/2015-02-15/connecting-millennials-7-reasons-your-content-fails-resonate-millennials; http://www.inpwrd.com/nielsen

Consumers rely ontrusted contentto make purchase decisions 5X more today than they did five years ago.

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But skeptics remain2/3 Source: http://contently.com/strategist/2014/07/09/study-sponsored-content-has-a-trust-problem-2/; http://contentmarketinginstitute.com/2014/06/mix-content-types-for-successful-content-marketing/of people said theyve felt deceived upon realizing that an article or video was sponsored by a brandof marketers who have embraced content marketing feel it is ineffective.58%

11Sohow should we be thinking about content?

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But firstone question?

WHAT IS CONTENT?

Are content and advertising the same or different?14Source: MRY content study 11/15

Descriptions heroize content and demonize advertisingContent:LongLikedValuableEducationalCool

Advertising:InterruptiveImmediate sellDislikedMass marketShort

Source: MRY content study 11/15

Content gives and attracts Advertising persuades and distracts Source: http://rebeccalieb.com/

I recently went to a conference on why content is better than advertising.. It made content out to be the messiah of marketing. This holy savior that only the cool brands have figured out how to do. Aka content is the good stuff. It made advertising look like utter crap. And I really hate advertising.

There seems to be a false dichotomy that content gives and attracts and advertising persuades and distract. Who would want to be on the side of distraction? Thats annoying. Similarly, no one is giving this shit away; we give so we get back. Likewise, who wouldnt want to persuade. Ive never heard from any large companies (not backed by VC FU money), 16

We pretend there is a difference...We are not motivated by salesLuke Sherwin Co-Founder & Chief Creative Officer,CasperWe are not here to sell anything; this is pure entertainmentDavid Beebe VP, Global Creative & Content Marketing,Marriott

Though one is backed by VC money only.

And the other was quick to point out Marriott earned 500k of revenue and the publication booked 7200 rooms in 90 days

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Do you know it when you see it?

It starts off with an easy classification

But then things begin to get muddy

Even straight up native gets a mixed label

Influencer marketing the same

More split decisions

Even the award winning is unclassifiable

Advertising is like grape flavored medicine while content marketing is like medicinal pot brownies. The consumer approaches these two things very differently. You know you're getting your medicine with the grape medicine. You hope that it tastes good, but it probably won't. With pot brownies, you may not even known you're getting your medicine, but you want those damn brownies either way. Inherent value. Yum.- GianCarlo Pitocco, kbs+ Attention, CSO; MRY StudyThe lines are getting intentionally blurred

A squirrel is just a rat with a cuter outfit

Lets just be rats, only dapper, well groomed rats. This means mastering the art of the soft and hard sell. We are all the business of moving product. We need to be clear in the role for long-term relationship building, when its time to put brand name in the story, and how to complement it with a deal closer.

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27How content can learn from advertising?

Problem #1: We are too easy on content

Not enough upfront strategiesNo t enough torture testsNot enough measurement scrutinyNot enough standardized results

We need more strategic rigor

AB test for When we develop advertising, we go through a torture test of positioning statements, concept tests, creative tests, AB tests. Yet when it comes to content, we lighten up, too far, and give it the CMO hall pass.

Too many brands start making stuff without a plan and way to measure it. There are endless ways to measure effectiveness, all that matters is we do. Demand basic brand equity or perception change surveys. Look at reduction in call volumes on a per cost basis. Look to create multiple touch attribution models, recognize near and long term impact on results.

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The sell is closer and easier than everThe purchase funnel is no longer linear.Marketers have built full ecosystems.Commerce is embedded in contentSource: https://hbr.org/2014/05/marketing-can-no-longer-rely-on-the-funnel; http://adage.com/article/digital/pinterest-doubles-amount-buyable-pins-60-million/300741/

Problem #1: We are too easy on content

Prospects dont just enter at the top of the funnel; instead, they come in at any stage. Furthermore, they often jump stages, stay in a stage indefinitely, or move back and forth between them.

Sephoras brings all stages of the funnel together into a single place, creating its own online community where people can ask questions of experts and each other about brands, products, and techniques

93% of Pinterest users use the platform to plan purchases. Buyable Pins to 60 Million

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Problem #1: We are too easy on content

An overwhelming amount of creators/distributors all selling their color paint

We are no longer competing with other agencies, its publishers, social platforms, MCNs, consumers, and influencers who can do our jobs.In the marketing services business, we love a good a fragmented discipline, it allows us to get our slice of the pie from the same client dollars

The issue is that everyone wants to sell their version of content. Theyre color, red or blue. Based on what they know and do. Or what they distribute, giving the content away for free. 30

Solution #1: Be objective and orchestrate

We must have the brands business goals at heart and we will find the right solution for the challenge. Then be able to manage the complexity of all the ways we can make it and all the platforms we can share it.This is why agencies may be fakakta, but not yet bupkes. We need to be more empathetic partners.

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The bar on self-publishing is higher than everProblem #2: Because we can Because we shouldOrganic reach is nearing ZeroPlatforms emphasize quality and relevanceCompetition has shifted from other ads to original, professional-made mediaSource: Facebook; MRY data

Thanks to social media democratization and (content marketing conferences), brands feel entitled and empowered to self-publish.

The issue is organic reach is nearing zero.

1500 want in. 300 get through. We have overly-cluttered feeds with less breakthrough. The concept of always on is bullshit in a pay to play world. We feel compelled to make something, celebrate made-up internet holidays national donut day

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Solution #2: Bridge the gap between your brands desire and audience realities

There is a gap between what brands offer and what people actually care about. Too much on either side doesnt work. We cant make it all about us to the point there is no value to the audience. Or so devoid of the brand that we have nothing to gain.

Content works when it has greater empathy for human emotion and identity. But we still get our point across.

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Problem #3: Real-time is too lateInefficient use of resourcesThe shelf life is too shortDifficult to align with a brands purpose

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Solution #3: Be like your mom - always there, always ready

Be predictive, so were there anticipating your needs, not reacting to a problem or opportunity that seems relevant. That means understanding whens your time in culture. Or having done your SEO homework to know what content is in most demand.

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Problem #4: We obsess about storytelling

2015 Share A Coke With Eli Personalized Coca Cola Collectible Name Bottle$12.25

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Solution #4: Make stories happen #IRL

People crave DIFTI moments, we want stories to tell

Our ultimate goal should always be make these stories happen. We must strive for having a POV and making a mark on culture.

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eli.pakier@mry.com@epak