Digital is

NOT

one size fits all.

There are overarching themes & trends that can

drive efficiencies…

BUT

each country has nuances that should be addressed

when planning digital.

Digital Trends:

• Mobile is king

• Social connection drives behavior

• eShopping has arrived

• Digital giants dominate landscape

• Ad spending continues to rise

Mobile is King

In Europe, Japan and Australia it is a fast-rising star, becoming more and more sophisticated. In Developing Markets, it has become the baseline. People are skipping the PC phase and going straight into

mobile internet.

Indonesia

newmediaage – June 15th, 2011:

“Unilever plans to use mobile as a key channel for doubling the size of its business through emerging

markets.” http://www.nma.co.uk/news/unilever-turns-to-mobile-to-double-business-in-

emerging-markets/3027447.article

Social networking is growing everywhere. In certain markets, such as Indonesia and Brazil, consumers are skipping traditional communication tools, such as email, and going directly into

Facebook, Orkut and Twitter.

Social Connection Drives Online Behavior

The line between online and offline shopping and buying behavior is blurring. Where online shopping is not happening yet, it is certainly

influencing offline transactions.

MercadoLivre: Brazil’s eBay Argentina: #1 Market for Groupon

eShopping Has Arrived

Multinational sites and companies such as Google, Facebook, Twitter, and MSN, among others, trend towards the top in most countries,

offering an opportunity to maximize efficiencies.

Digital Giants Dominate the Global Landscape

Major advertisers continue to increase their media spend on different digital media, from mobile to banners, social to search.

And there is much more to come.

Digital Ad Spend On The Rise

The First Screen

MOBILE • 4.5 Billion Mobile Phone Subscriptions Globally by 2012

• Mobile Web Traffic increasing 130% each Quarter since 2010

• Mobile is not optional for consumers… or brands.

• Mobile quickly moving from “3rd screen” to 1st screen.

Global Data

How To Think About Mobile

•Bite-Sized

•Relevant

•Easy in, Easy Out

Mobile has 3 three pillars:

Bite-Sized, Relevant, Disposable

To succeed with mobile, we need less focus on technology, and more on human behavior.

The Swiss Army knife of digital.

Three Users, One Device.

Davis

Age 27

--- Social &

Communication

Brooke

Age 16

--- Social & Media

Allen

Age 52

--- Communication

& Productivity

Time Killers vs. Time Savers

When you boil things down, mobile consumers really want one of two types of experiences:

• Something to waste time with

• Something to save time with.

Every brand in the world has at least one of these two experiences to offer their target consumers.

The trick is often determining which of the two will meet the needs of both effectively.

How to think about mobile…

Time Savers

(tools) Time Killers

(Experiences)

CONSUMER DECISION JOURNEY

20

BREAK THROUGH

CLOSE SALES

DRIVE LOYALTY

CROSS-SELL

CREATE ADVOCACY

MOBILE CAN SOLVE KEY MARKETING BARRIERS

DISPLAY & SEARCH

COMPARE & PURCHASE

CRM

NEW PRODUCTS

GET SOCIAL

LOCATION

Addicted to Now.

• $100 now, or $200 next week?

• As we approach now, our decision-making becomes hyperbolically more irrational.

• We can plan long range, but when it comes to now vs. later, we’re like pigeons.

Wall Street Journal – How Future Self Impacts Saving

Me. Here. Now.

THE OPPORTUNITY THE DIGITAL LOCATION:

THE DIGITAL LOCATION:

Local Search

95% of Smartphone users

actively use local search.

(88% Take Action Within The

Same Day)

(Source: Think Mobile w/ Google)

Source: Google/Ipsos OTX Mobile Research, November 2010.

Smartphone Use While Shopping

Ever Made A Purchase Decision From Your Smartphone?

(Source: Think Mobile w/ Google)

Mobile Shopper Spectrum

Aisle Store Beyond

Aisle

In the aisle, mobile is

about connecting with

products.

• Search

• More information

• Price comparison

• Consumer reviews

• Deals and offers

Store

At the store level,

mobile is more about

where, when, and why.

• Retailer relationship

• Flexible offers

• Loyalty

• Convenience

• Badge & Status

Beyond

Beyond the store,

mobile offers unique

ways to connect and

drive visits and

curiosity.

• Alerts & CRM

• Loyalty

• Advertising

• Search

Store – How It Works

ShopAlerts –

• 52% Lift in purchase intent

• 54% lift in repeat store visits

• 50% lift in search for more

information

• 15% lift in more info search on

device

• 22% conversion to purchase

• 78% overall consumer satisfaction

with receiving offers

Your Brand

PAYMENT

Mobile Wallet

Payment Experience

Mobile Payment = Growth

Wallet Players

Near Field (NFC) & Over The Air (OTA)

NFC – • Secure

Credentials

• Swipe pay

• Hardware layer

• Device to device

• Support of

several apps at

once

OTA – • Secured by NFC

element

• Works over wifi,

3G, etc…

• Broader range of

interactions

• Enable SSL-like

behaviors

Tesco

Square

SOCIAL

FROM… …TO

MY STATUS MY LIFE

46

LIFESTREAM

THE RACE TO OWN SOCIAL SEARCH

47

HOW WEB PAGES

RELATE TO SEARCHES

HOW FRIENDS RELATE

TO WEB PAGES

LIFE STREAM

SOCIAL

SEARCH

48

LIFE STREAM

LIFE STREAM

LIFE STREAM

Mobile is Mandatory.

Everywhere.

Now.

Thank you!

Christopher Miller EVP, Group Management Director, Digital

Twitter: @scubachris

Patrick J. Moorhead SVP, Group Management Director, Mobile & Email Platforms

Twitter: @chimediaguy