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Marketing trends, opportunities, insight. The The Pause Project was created by Response Marketing to help brands think about opportunities and trends in marketing and media. Via quarterly reports and presentations Response aims to pause day-to-day distractions and stimulate discussion about the now and the next. thepowertoprovoke.com 2013.V1 thepauseproject.com

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Marketing trends, opportunities, insight.

The

The Pause Project was created by Response Marketing to help brands think about opportunities and trends in marketing and media.

Via quarterly reports and presentations Response aims to pause day-to-day distractions and stimulate discussion about the now and the next.

thepowertoprovoke.com

2013.V1

thepauseproject.com

thepauseproject.com | PAGE 12013 | Response Marketing | Pause Project | Vol 01

01.Customizing for conversions

02.Graph Search’s effect on brands

03.Micro-content campaigns

04.Mobile as silent salesperson

05.Marketing at the speed of culture

3-9

11-13

15-18

20-23

24-28

Table of contents

“Improve the user experience to increase conversions.”

2013 | Response Marketing | Pause Project | Vol 01

"One size fits all" may work with socks, but not the web. The combination of short attention spans and increased content options means brands must work smarter to convert customers.

One way brands are accomplishing this is through customized sites that improve the user experience. Like a good restaurant, a good site provides an easily enjoyed experience that you're excited to

revisit time and time again. Luckily, the world of user experience customization is thriving with options and ease-of-implementation.

01Customizing for conversionsCarolyn Walker, Managing Partner

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Location customization can provide geographic information, language information and, in some cases, what company users are coming from. Sites using geo-marketing may provide web content or products that are better suited to that location.

Location customization

2013 | Response Marketing | Pause Project | Vol 01

Customizing for conversions

Groupon’s homepage detects a user’s county and displays deals for that area.

Jet Blue displays �ights that use airports near the user.

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2013 | Response Marketing | Pause Project | Vol 01

Device customization, better known as responsive design, modifies a website based on a device’s screen resolution. A site will ideally shrink in width for mobile phones, provide landscape and portrait options for tablets, and adjust to fill browser windows on computers.

The desktop and mobile versions of NETGEAR’s responsive Connected Entertainment site.

Device customization

Customizing for conversions

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Customizing for conversions

2013 | Response Marketing | Pause Project | Vol 01

System and browser recognition are helpful when downloading software updates, and some companies have even begun pushing different offers at different operating systems based on average user demographics.

System and browser recognition

Adobe automatically detects operating systems to expedite software updates.

®

Your system: Mac OS X , English, Safari

Your system: Windows 32-bit , English, Firefox

DOWNLOAD

DOWNLOAD

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Orbitz displays more expensive options to Mac users than Windows users.1

System and browser recognition

Customizing for conversions

1http://online.wsj.com/article/SB10001424052702304458604577488822667325882.html

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Orbitz Average Room Rates

$0

$150

2013 | Response Marketing | Pause Project | Vol 01

Social integration can customize site content based on the activity of your friends from Facebook, Twitter, Pinterest, etc.

Social integration

Customizing for conversions

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Recent Activity

Sign up and join them13 of your friends have already joined Yelp.

Facebook Friends

Robin S. rated a business 4 days agoTequila Mockingbird

33 reviews

Ashley M. checked into a business 4 days agoTequila Mockingbird

33 reviews

Yelp shows which of your Facebook friends have already joined and their recent activity.

2013 | Response Marketing | Pause Project | Vol 01

Behavior customization can help display relevant information and products to a user based on their past site behavior.

There are infinite customization options, so brands should be careful not to bite off too much, and instead focus on the big wins.

Start by defining and testing audience segments, monitoring the results and then optimizing.

Transparency is also vital to sustainable customization. Inform users of your intentions and they'll reward you with loyalty and respect.

Lot18 offers reduced prices on abandoned carts.

Behavior customization

Customizing for conversions

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“A search functionality for Facebook’s massive database of social information.”

2013 | Response Marketing | Pause Project | Vol 01

Mark Zuckerburg describes the main pillars of Facebook to be Newsfeed, Timeline, and now, Graph Search.2 The third and most recent pillar is a search functionality for Facebook’s massive database of social information.

Facebook presented the key draws of Graph Search as "Find people who share your interests," "Explore your world through

photos" and "Discover restaurants, music and more." But riding quick on the heels of Graph Search’s beta release was Actual Facebook Graph Searches3, a blog exploring the potential of Graph Search by displaying results for humorous and unsettling searches.

Graph Search’s effect on brands

2https://www.facebook.com/about/graphsearch3http://actualfacebookgraphsearches.tumblr.com/

Reed Immer, Strategist

02

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Though the information in these search results was already available before Graph Search, it was not as readily accessible. Connecting the dots created a much more disturbing picture than the dots alone.

But extreme examples like the ones at right won’t resemble most Graph searches, which Facebook hopes will be for interests, photos, restaurants, etc.

Facebook's motivation to improve search functionality is likely linked to Google's tremendously profitable ad network, on which brands pay big money to connect with users actively seeking certain products, services or ideas. The advertising counterpart to Graph Search hasn't been announced yet, but

its general concept will probably resemble Google's while also factoring in friend recommendations.

"Clothing companies that my friends Like" could be a Graph

2013 | Response Marketing | Pause Project | Vol 01

Graph Search’s effect on brands

“Facebook's motivation to improve search functionality is likely linked to Google's tremendously profitable ad network.”

Search in which brands relevant to this search could pay for higher placement in search results, very similar to Google's auction model.

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Graph Search’s effect on brands

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of Facebook users Like brand pages primarily for promotions, discounts or giveaways.

But the "that my friends Like" portion of this search is complicated by the Like's messy history. A 2012 survey4 from Lab 42 found that the biggest motivator in Liking a brand page, for a whopping 55% of respondents, was for promotions, discounts or giveaways. This was weakly followed by 14% saying because they were a loyal customer, 11% because they trusted the brand, and 20% for other reasons (including to receive the page's content).

Users searching for clothing brands Liked by friends seek brands that their friends love and purchase from, not ones that

they've claimed a coupon from but otherwise don't care about.

Facebook is definitely aware of this predicament, and will likely address it with a disambiguation of brand-user connections: users will be able to claim deals from brands without publicly supporting the brand, and vice versa.

The age of fan-gating, in which brands offer something in exchange for a Like, is coming to a close. (Facebook already took a step in this direction by banning5 mentions of deals or Likes in brand cover photos.)

Brands will be forced to build Facebook fanbases by providing high-quality content and being actually likable (in the emotional sense). And though this is a more difficult task than simply providing a coupon, it will ultimately be in the brand's favor. Cutting corners is out, true engagement is in.

4http://mashable.com/2012/09/24/facebook-brand-page-value/5https://www.facebook.com/help/480139172013267

55%

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“Short attention spans pervade every nook of the web.”

2013 | Response Marketing | Pause Project | Vol 01

Twitter revealed the power of micro-content by restricting tweets to a maximum of 140 characters. It was a decision that turned out to be perfectly in tune with the habits of digital users.

But micro-content isn't just for Twitter, especially because short attention spans pervade every nook of the web. Unsurprisingly, a 2012 Pew study6 on the digital habits of millennials noted "a thirst for instant gratification and

quick fixes, [and] a loss of patience."

Brands are realizing this effectively in the form of micro-content campaigns in a variety of media including text, photo and video. These campaigns are relatively cheap to start and maintain, achieve impressive user frequency, and bypass the problem of users not engaging content fully.

Micro-content campaigns

6http://pewinternet.org/Reports/2012/Hyperconnected-lives.aspx

Reed Immer, Strategist

03

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Whether it’s an inspiring portrait, simple minigame, or heartwarming video, the Google Doodles are manageable and delightful distractions. They give users something to look forward to about using Google and have generated loads of positive press.7 8 9

Notable micro-content campaigns

Micro-content campaigns

7http://www.forbes.com/sites/deborahsweeney/2011/09/27/the-13-best-global-google-doodles/8http://www.businessweek.com/stories/2007-06-17/the-man-behind-the-google-doodle9http://mashable.com/category/google-doodle/

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The value of these comics become even more apparent after reviewing the 404 pages of yore.

So thank you Reddit for making the world of errors a less ulcer-inducing space.

2013 | Response Marketing | Pause Project | Vol 01

Reddit put a positive spin on 404 pages by creating silly comics featuring their red-eyed mascot. Each illustration features the little guy in bizarre locations, and any frustration that usually accompanies 404 pages are avoided.

Notable micro-content campaigns

Micro-content campaigns

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Micro means short but it doesn’t mean shoddy. These campaigns are all impressive examples of strategy and creative, which will always be essential for effective user engagement. But above all, these campaigns demonstrate the power of micro and the effectiveness of user empathy. Keep it short and make them smile.

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The New Balance 365 campaign consisted of 365 very short, silly videos that all involved a New Balance shoe. The campaign was an excellent example of favoring long-term user frequency—and the meshing of New Balance into users’ everyday lives—over the fleeting impacts of other campaigns.

Notable micro-content campaigns

Micro-content campaigns

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“No longer is there a completely captive audience at the point-of-sale.”

2013 | Response Marketing | Pause Project | Vol 01

The mobile device as the second- screen device is firmly established. Beyond the multi-tasking of watching TV and checking a phone or tablet, the second screen experience is fully entrenched in the consumer’s path to purchase. This presents a unique opportunity for the mobile device to help brands and retailers as it can become their “silent” salesperson.

As an increasing number of consumers use their mobile device to research products,

comparison shop and buy while in-store, no longer is there a completely captive audience at the point-of-sale.

Savvy stores are figuring out how mobile can improve the in-store experience while opening up other opportunities to cross-market and increase sales. Macy’s recently created an app for their NYC store in Herald Square that gave turn-by-turn directions, provided offers based on where you were in the store, and

provided more product info based on your location. Meijer supermarkets now uses sensors in its stores to offer customized information and virtual coupons via mobile phone. Customers who prepare shopping lists online can open up the retailer's app inside the store, and the app reorders their list based on their location in the aisles, speeding up the shopping process.

Mobile as silent salespersonDavid Klineberg, VP, Strategy

04

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Mobile as silent salesperson

2013 | Response Marketing | Pause Project | Vol 01

of smartphone owners use their mobile device to research products, comparison show and buy while in-store.10

Google has recently launched maps for indoor locations in Australia, which paves the way for them to tie their advertising products to the in-store experience. Google also wants a piece of the pie when it comes to "showrooming" as they have recently extended their Google Shopping product listings to mobile search as well.

55%

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10https://www.paypal.com/webapps/mpp/ent-instore-mobile

As Near Field Communication (NFC) technology starts to become increasingly pervasive, the link between the online and offline world becomes that much more synergistic. Mobile-triggered consumer interactions at the point- of-sale can open opportunities to even curate in real-life. As the Gap has done in Tokyo, users were asked to connect their app to their Facebook account, then while in store, were able to Like specific outfits which were then displayed in their news feed.11

These technologies provide the platform for users to become more engaged with brands. Kraft recently experimented with NFC technology in San Francisco Safeway stores. The results included engagement levels 12 times higher than QR codes and consumers engaged with brands for 48 seconds when using NFC devices.12

2013 | Response Marketing | Pause Project | Vol 01

Near Field Communication

Mobile as silent salesperson

11http://adage.com/article/global-news/field-communication-shifting-marketing-japan/235260/ 12http://www.mobilecommercedaily.com/kraft-nfc-pilot-delivers-12-times-the-engagement-level-of-qr-codes

$

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The mobile device is now the primary screen, and brands now have the ability to connect to their consumers at the very moment where that person can use their messaging the most.

Ensure that the use of the technology is providing value (convenience, savings, exclusive content, etc) and not just a marketing message.

Opportunities to reach consumers on their mobile devices aren’t limited to in-store. Think of large events or other locations where the idea of reaching someone based on their proximity to a certain location aligns with a brand.

Help the consumer shopping experience. Is a product in a non-premium space in store? Help a user find it in a particular aisle. Is a product a perfect complement to another product?

Geo-targeted ads that can add the nearest location of a store with calls-to-action about product availability can opportunistically take advantage of proximity to stores.

Using intelligence from data will help lay the foundation to understand how consumers are actually interacting with brands on their mobile devices. This year will still be a year of experimentation. We are still in the infancy of mobile commerce, and by bridging the gap between online and offline behavior, the mobile device will become one of the most integral pieces of technology for a marketer to understand.

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The second first screen

Mobile as silent salesperson

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“We are increasingly consuming content in ‘feeds.’”

2013 | Response Marketing | Pause Project | Vol 01

With all the talk of content marketing, smart brands will continue to look for ways to engage their audiences that don’t seem forced, and remain true to the essence of the brands. Being culturally relevant is becoming the price of entry for brands to effectively utilize their social presence.

In the digital world, consumers and their conversations happen incredibly fast and are often impulsive. While the very nature

of being impulsive scares a lot of brands, we are increasingly consuming content in “feeds.” This has shifted a lot of the focus from how marketers can disrupt someone's experience to communicate a message, to earn their attention to how they can earn their place within someone's feed and stay there.

The concept of a brand inserting itself into a relevant moment isn't new, but there was one moment that had starry-eyed agencies

Marketing at the speed of cultureDavid Klineberg, VP, Strategy

05

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dreaming of the end of long approval processes and brand marketers envisioning their content being shared with the masses.

Oreo has been the most recognized trendsetter when it comes to reacting to a moment in time and becoming part of what is culturally relevant. Their 100-day “Daily Twist” campaign gained notice and increased Facebook shares by 280%, and re-tweets by 510%; the series had more than 1 million total Likes and earned 230 million media impressions.13 They continued their reign as real-time creativity kings when they took advantage of the Super Bowl blackout with the below tweet:

In the context of consumer behavior, the timing couldn’t have been better as the break in the action gave viewers the chance to check their feeds while not missing the game or any commercials. The resulting earned media from the tweet overshadowed the $4 million investment in their 30-second spot during the game.

That one tweet set off a barrage of articles, blogs and debates about ushering in a new era in marketing, declaring it jumped the shark, and whether brands needed their own “newsrooms.” What was lost was in those debates is that great content, in the right context, at the perfect opportune moment increased the relevancy. Many brands tried to mimic the success with lackluster results because they were more focused on the timing and not the content.

2013 | Response Marketing | Pause Project | Vol 01

The tweet heard ‘round the world

Marketing at the speed of culture

13http://www.360i.com/work/oreo-daily-twist/

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Marketing at the speed of culture

Ron Faris, head of brand market-ing at Virgin Mobile USA told Digiday that an investment in “good copywriters and designers who have a newsroom sense of urgency”14 can really help make marketing dollars go further.

Specsavers, a UK-based optical retailer has even capitalized on being hyper-agile in their print creative, taking advantage of a mix up of the North and South Korean flags during the Olym-pics, as well as a controversial goal in an England vs. Ukraine football match. In each instance, their print ads ran within 2 days of the newsworthy events.

Being agile isn’t strictly relegated to social outlets themselves. Ad units incorporating feeds from Twitter and Facebook, such as AOL’s Devil Ad units, bring the social conversation into the

display space. For years, mar-keters have been jumping on keywords within search, and it took just four minutes for the first Promoted Tweet to appear against searches for “power outage” on Twitter14 during the Super Bowl. Maintaining fluidity within a portion of the media budget can help amplify these moments as well.

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Marketing at the speed of culture

It isn’t all about being agile to deliver a piece of creative. The increased focus and access to data enables brands to shift creative and change direction on the fly. Data and social listening that is gathered in real-time can help frame strategies. Initiatives can be deployed around trending topics and adjustments can be made based on the sentiment around certain efforts.

Familiarity and recognition of what is happening in the zeitgeist triggers consumer desire to be in the know of what is happening in the world. The “selective attention”15 theory states that a person’s attention can be earned away from its original stimuli in the event of something significant. Significance of what is happening now will continue to resonate with consumers.

15http://www.simplypsychology.org/attention-models.html

Others have tried to follow in the footsteps of what Oreo accomplished with limited success. The GRAMMY Awards, being the �rst big post-Super Bowl event, saw many brands, including MasterCard, creating content related to what was happening at the show.

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RelevanceWhat doesn't change, no matter the timing, is that the communication needs to be relevant and it needs to be in context. Trying to forcefully insert a brand into a “now” moment will only fall flat.

AlignmentBrands need to have a proper approval process established to take advantage of how quickly content needs to be distributed to be “first.” Protocols, a legal stance and a set of guidelines all have their place for making the spontaneous well-planned.

Brand knowledgeIf working with agencies, the team that is involved must have a thorough understanding of the brand voice.

CollaborationMany different stakeholders need to be rowing in the same direction with roles clearly defined. Designers, strategists, brand managers, publicists, copywriters, and media specialists each will have their role to not only craft the message but to help it scale.

Respect Smart brands will also understand their place. Many brands jumped on the meme bandwagon in 2012 but the very nature of memes and their origins sets an obvious trap for the non-savvy brand to walk into and have it backfire. There is a need to step back from the role of marketer and understand that we don't always need a brand message in every moment of our life.

As Twitter’s Revenue Chief Adam Bain said, “Marketing has evolved to a series of ‘now moments’…”16

2013 | Response Marketing | Pause Project | Vol 01

Keys for success

Marketing at the speed of culture

16http://adage.com/article/digital/twitter-grow/239992/

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Thanks for pausing. thepowertoprovoke.com

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