Thierry Nicolet - Increasing the efficiency through measurement, motivation and best practice sharing

Increasing the efficiency of PR agencies through measurement, motivation and through measurement, motivation and best practice sharingKaktus Festival – 28/10/2016 Belgrade, Serbia.

Presented by: Thierry Nicolet – Senior VP Press Relations WW - Schneider Electric

Confidential Property of Schneider Electric

Schneider Electric at a glanceSchneider Electric at a glance

Page 2Confidential Property of Schneider Electric |

1999Groupe Schneider becomes Schneider Electric,focused on Power & Control

1996Modicon, historic leader in Automation, becomes a Schneider brand

2007Acquisition of APC corp. and Pelco

More than 175 years of history

2008Acquisition of Xantrex

Power &Control

2011Acquisition of Telvent2010Acquisition of Areva’s distribution activity

Energy Management

1975Merlin Gerin joins Groupe Schneider

1988Telemecanique joins Groupe Schneider

1991Square D joins Groupe Schneider

APC corp. and Pelco

1836Creation of Schneiderat Le Creusot, France

19th century 20th century 21st century

2000Acquisition ofMGE UPS Systems

2003Acquisition of T.A.C

2005Acquisition of Power Measurement Inc.2003-2008Targeted acquisitions in wiring devices and home automation(Lexel, Clipsal, Merten, Ova, GET, etc.)

SteelIndustry

Schneider Electric, the Global Specialist inEnergy Management and Automation

€26.6 billionFY 2015 revenues

160,000+people in 100+ countries

~5%of FY revenues devoted to R&D


Balanced geographies – FY 2015 revenues

27%North America

18%Rest of World

26%Western Europe

29%Asia Pacific

Four integrated and synergetic businesses FY 2015 revenues

45% 21% 20% 14%

IndustryBuildings & Partner Infrastructure IT

A global network

North AmericaUSA

Mexico

Asia-PacificAnz

ChinaHong-Kong

IndiaIndonesia

JapanKorea

MalaysiaPhilippinesSingapore

PR agencies worldwide

Countries active in Pressrelations (in -house PR)

EmeaAlgeria - Belgium - Czech – Finland – France – Germany – Greece –

Gulf – Hungary – Italy – Israel – Kenya – Morocco - Netherlands –Nigeria – Norway – Poland – Portugal – Romania – Russia – Slovaq -

South Africa – Spain – Sweden - Switzerland – Turkey - UK

South AmericaArgentina

BrazilColombia

ChilePeru

Venezuela

SingaporeTaiwan

ThailandVietnam

relations (in -house PR)

Country PR performance analysis produced eachquarter

We want the Best match worldwide!

• 21, euro• 3D communication• APCO Worldwide• ArdentComm, Inc.• B; Integrated• Benn Communications• BPM LOOK

● Factum Comunicaciones● Fleishman-Hillard● GolinHarris● GrupoUno Comunicadores● High Results● Hill & Knowlton ● InterMèdia GDC

● Prime PR● Seesame● Spotlight PR● Text 100● Verve● Weber Shandwick

• BPM LOOK• Bright PR• Burson Marsteller• Caritas Communications Ltd• Civitas• Commsulting PR• Contacto 21• Co-Workx• Essence Communications• Eva's Venture

● InterMèdia GDC● Lewis PR● Min Communication● Monday PR● Morpho Communications Ltd● MS Com● n2n Communications● Ogilvy● Ozma Inc.● PLANIN Worldcom● PR Connections● Prima Pagina

Schneider Electric partnerswith Small vendors, large Agencies and Networks who successfully pass ourqualification process

Explain to colleagues & peers the contribution of PR to generating business

• Prove it with numbers by showing linked revenew

Learning Objectives


showing linked revenew

• Importance of tracking and SOV

• 4 tools we use at Schneider

What is Press Relations

contribution to the

business

Press RelationsChapter 1

businessVersion 1.0

Installed Base3rd Party Influencers:Sales:Marketing

What drives demand/purchase of Schneider Electric Solutions ?

Installed Basere-buy,or recommendSE Solutions

3rd Party Influencers:Electrical distribution, Specifiers, Resellers, Engineers, OEMs, Panelbuilders

Sales:Schneider ElectricSales Team

Marketing Communication Activities:

PR, Events/Tradeshows, Advertising, Direct Marketing,Website

Simple and cheap “What drives demand” Studies can help you put a figure on the PR contribution to the Business…

Why and how Press Relations help sales

•Articles demonstrate to our channel that we are actively working towards educating end-users on our solutions

•Articles make our solutions known to the End-Users and the Channel and are perceived as and the Channel and are perceived as independent 3rd party review of our offerings

•Comparative reviews/Awards: position ourselves vs competition

•Simple “What drives demand Studies” can help you put a figure on the PR contribution to the Business…

“Why Buy” purchase decisions

• Press reviews influence end-users and channel partners to buy/sell SE solutions

MAIN TRENDS Q3/07 Q4/07 Q1/08 Q2/08Total

4 last

quarters

75 100 75 79 329

173 180 154 162 669

43,4% 55,6% 48,7% 48,8% 49,2%

29,74 22,03 16,54 28,74 97,05

65,09 60,90 46,72 78,35 251,06

45,7% 36,2% 35,4% 36,7% 38,7%

6,17 6,52 6,58 8,71 27,99

11,36 12,36 11,09 25,25 60,07

54,4% 52,8% 59,3% 34,5% 46,6%

APC Share of voiceNum

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Edi

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num

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page

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APC/MGE

ALL BRANDS

APC Share of voice

APC/MGE

ALL BRANDS

Impr

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APC/MGE

ALL BRANDS

APC Share of voice 54,4% 52,8% 59,3% 34,5% 46,6%

1,27 0,90 0,68 1,50 4,36

2,34 2,18 1,80 3,54 9,87

54,3% 41,4% 37,7% 42,5% 44,2%Exp

osur

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ALL BRANDS

APC Share of voice

Impr

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APC Share of voice

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july aug sept oct nov dec jan feb march april may june

UPS market

APC/MGE

Clipping Booklets

Schneider Electric wins Editor’s Choice award!Schneider Electric wins Editor’s Choice award!

So… what’s the impact on sales????

• That specific SKU only : Back-UPS 700 only

• Win in May 2008

• Average revenue on this SKU before 28.000 € / month

• Average Revenue after Testwinner 50.000 € / month

• Peak ( July) 2 months after Test @ 62.000 €Back-UPS 700-GR Revenue Germany

• Incremental Revenue until year end 147.000 €Back-UPS 700-GR Revenue Germany

0 €

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1 2 3 4 5 6 7 8 9 10 11 12

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Germany - Sum of Reported POS Line Item - Extended Normalized Price Currency Converted Germany - Sum of Reported POS Record - Units Sold

Winner Test

Computerbild

22/05/2008

+ 147,000 €

So… what’s the impact on sales????

Back UPS ES Sales

0 €

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uro

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Winner Test Computerbild

22/05/2008

+ 244,000 €

●Back-UPS family (all SKUs)● Average revenue on Back UPS ES before (Jan - May) 62.000,00 € / month● Average Revenue after Testwinner 97.000 € / month● Peak ( July) 2 months after Test @ 120.000 €● incremental Revenue until year end 244.000,00€

1 2 3 4 5 6 7 8 9 10 11 12

2008

Germany - Sum of Reported POS Line Item - Extended Normalized Price Currency Converted Germany - Sum of Reported POS Record - Units Sold

PREPARATION

Press Relations Level II

PREPARATIONVersion v2.1

Tiered Media List

• What is it?• A prioritized list of all available publications (online & print) relevant to our target

audiences• Who owns it?

• Country Marcom Team in collaboration PR Agency• Country Marcom Team in collaboration PR Agency

• Who can provide input?• Country President, Sales & Marketing Management

• When ?• Updated by PR Agency 2 x a year or if there are major changes in media landscape

Preparation: Media List

• Tier the media

• Work with agency to prioritize media

– Tier 1

– Tier 2

– Tier 3

Tier 1: Must Be In

– Tier 3

Tier 2: Should Be In

Tier 3: ‘Bonus’

Tiered Media List

• Review Tiered Media List Template

Who can speak to the press and arrange interviews?Identify, validate, get commitment & media train.

Media train your speakers

Press Relations Process

Schneider Electric Press Relations Processes

Measurement

Press RelationsChapter 2

MeasurementTools to track, measure and share

Version 1.0

30’

The purpose of tracking

•« If you don’t know where youare and don’t know whereyou want to go, then youmight end-up somewheremight end-up somewhereelse… »

•Question to the audience : how would/do you track PR?

The Advertising Value Equivalent (AVE) classic myth…

• AVE is a measurement technique…• Which agencies usually default to in order to claim

for more budget• Which resonates well with Country General • Which resonates well with Country General

Managers as they feel comfortable with € value.

• Not the only appropriate measure! Why?1. Are we in the proper publication?2. How do we compare to competition?3. Advertising is not a value it’s a spend

Four Tools to track, measure and share

• 2• 1

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Activity : What we do

Output : What we get

Tools

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• 3 • 4

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Sharing noticeable results immediately

How do we compare to competition

4 tools to Track, measure and share results


1/4 Monthly Activity Report

• Standardized Monthly Activity Report document • Highlights and lowlights of the month• Number and name of Press Releases issued in the month• Interviews (who, when, on what topic)• Contacts with analysts• Product / Test reviews• Special / Contributing articles

Activity : What we do

• Special / Contributing articles• Customer stories• Events• Meeting / Conf Calls• Miscellaneous• Upcoming activites• Budget

PR Agency / Country MarCom

2/4 Monthly Clippings BookletsOutput :

What we get

• WW standardized template:

• Template filled in according pre-defined guidelines to allow correct calculation of Share of Voice

Ctry Marcom / PR agency does this

3/4 Spot CommunicationsSharing the good AND bad

Sharing noticeable results immediately

Field Marketing / PR agency does this

4/4 Quarterly KPI Report

• KPIs and Metrics – the SOV AnalysisHow do we compare

to competition

Share of voice : Total number of our own editorial articles, number of pages,

● Awards wonExample: IT Business 2008 Results in IOD / EOD

Global Marketing

Press Relations Team

number of pages, impressions or exposure score as

% of Total industry (competition+us)

Schneider Electric Press

Relations ObjectivesShare of Voice minimum of 30%

AND 2 times the nearest competitorcompetitor

Win 80% of Awards or Lab reviews

Quarterly KPI Report: a tool to pilot your activity

• In addition to the Main Trends… 25 graphics to track the evolution of our brand and solution’s visibility in the media, ie:

• Top 10 most published / exposed brands in the quarter

• Top 40 products quoted in the quarter / the year• Top 40 products quoted in the quarter / the year

• Most published / exposed segments

• Most active media for all brands

• Most active media for Schneider Electric

• Yearly SOV in Tier 1, 2, 3 for Schneider Electric

• Yearly readership type (Business, Electricity, Finance, etc).

• Etc.

Executive Summary Q4-14Italy Market Exposure Index* : 2,10

64%

35%

Global SovSchneider Electric vs Others Brands

SCHNEIDER ELECTRIC

�BUIL15%

CORP27%

ECO1%ENER

5%IND19%

ITB24%

RET0%

PART7%

SOLA0%

SMAR2%

Schneider Electric SoV/BU�

0.8Best Exposed Activities for the Quarter�

00.20.40.60.8 Schneider Electric Readership Type�

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0.2

0.4

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0.8

BUIL CORP ECO ENER IND ITB RET PART SOLA SMAR

Best Exposed Activities for the Quarter�

Imtx Index SDD2

BRANDS BUIL CORP ECO ENER IND ITB RET PART SOLA SMAR Total

ABB 9,56% 4,26% 9,42% 9,64% 12,98% 0,00% 4,15% 33,31% 0,00% 0,00% 9,40%

ROCKWELL AUTOMATION 0,00% 6,05% 0,00% 0,00% 3,64% 0,00% 0,00% 0,00% 0,00% 0,00% 2,47%

SCHNEIDER ELECTRIC 87,57% 86,36% 22,37% 90,36% 40,25% 100,00% 8,97% 66,69% 100,00% 74,88% 68,56%

SIEMENS 2,87% 1,58% 0,00% 0,00% 43,12% 0,00% 0,00% 0,00% 0,00% 25,12% 14,84%

GEWISS 0,00% 1,75% 68,21% 0,00% 0,00% 0,00% 86,88% 0,00% 0,00% 0,00% 4,73%

Total 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00% 100,00%

�

Which products have the most visibility?

● Is the visibilityof my segments well balanced?

● What are mycompetitorsdoing ?

Example

doing ? ● Who are my top

competitors in…

Audience Reached

• What audience do I and my competitors reach?

Example

Most active media, who do they cover

• How does mycompetitionperform on Tier 1 list?

• In which Tier 1 publications

Example

publications shall I put efforts on?

• Are wemissing anyTier 1 media?

Schneider Electric’sWW Best Press Relations Agency Award

4 tools to Track, measure and share resultsAgency Award

Share of voiceExposureSpace

ImpressionsKPIMetrics

30%Print

Clippings

Number of articles On-lineCovers

Top 10Top 40

Broadcast

4 tools to Track, measure and share results

Best Country PR Award 8th Edition


Christophe GinistyCEO of the ReputationWarConferences,

Amybel Sánchez de WaltherPresident of The International PR Association (IPRA) 2015.

Kosta PetrovChief Experience Officer at P World

Criteria agencies will be evaluated onCountry managers will be asked to grade each criteria below as follows : >1 poor, >2 needs improvement, >3 meets expectations, >4 exceeds expectations >5 role model.>Important ! For each grade 4 and above, they will be asked to give an examplewith samples that illustrate/justifies their grade.

2 - Agency ease of doing business (15%)1 - Agency value (15%)Strategic input


ResponsivenessBusiness knowledge (market players, technology trends) Access to the trade pressAccess to the End User - Consumer and End user -Business pressAutonomyFollow-through

4 - KPIs (40%)Exposure SOV averageYearly Cost per article trends down Cost per thousand impressions

Strategic input CreativityProficiency in our Businesses Proficiency in SE Corporate messages Usage of white papers/case studiesDedicationUse of the IMTx reports Cover pages

3 - Reporting (30%):Timely delivery of monthly reports and clippingbookletsQuality level of the monthly reports Quality level of the clipping booklets

Leveraging Industry to select winners

• Implication of the 3rd party jury• All TOP 10 Agencies put a Powerpoint together to present their activity.• After reviewing the presentations, the external judges selected and rank their TOP 3

Agencies

• 1st, 2nd and 3rd countries receive a €500 expense allowance to spend on quatlity time, team-building activity with their Agency.team-building activity with their Agency.

• Each winning Agency received a Plaque stating their Gold, Silver or Bronze status in the Schneider-Electric Best PR Agency contest for that year.

• Behind the sceens:• Force a yearly eavaluation• Identify and discuss areas of improvement• Share best practices amongst the Schneider Electric PR Community

Impact on the Agencies

• "This is not the first time we receive this award, and we’re happier than ever as it shows we’re continuously improving the way we work, showing results .We appreciate working with Schneider Electric, with its complex environment and the different lines of businesses, which pose us new challenges every day to find creative ways to succeed .We’re already at work to be at first place next yea r! " - The Prima Pagina team

So to summarize :

• Happiness to work for Schneider Electric,

• Search for increased efficiency and effectiveness,

• Increased appreciation of result tracking and sharing,

• Increased creativity,

• Motivation and willingness to remain at the top !!!

Thank you.