DMA-2010-Transformative-Media-Updated.ppt
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The document discusses transformative media trends focused on digital, mobile, and augmented reality that can enhance direct marketing strategies. It emphasizes the importance of social networks, mobile advertising, and technologies like QR codes and augmented reality in engaging consumers and driving transactions. Key insights include the rapid growth of mobile users, the significance of strategic partnerships, and the necessity for marketers to adapt to these evolving technologies.
DMA-2010-Transformative-Media-Updated.ppt
- 1. 1 Transformative Media: Digital, Mobile & Augmented Reality Jim Buckley & Fred Steube Wednesday, October 13, 2010
- 2. 2 Transformative Media What can I do? • Commit resources toward: – Innovation (create new and innovative solutions for your customers) – Product development and testing (build new, enhance existing and test, test, test!) – Strategic partnerships (you can’t build everything yourself) – Sales training and support (you have to sell this stuff) – Marketplace listening and customer feedback (yep, the feedback loop is critical) What is it? • Dynamic networks, platforms, utilities and media used and transformed by audiences in their quest to learn, work, play, purchase and participate What are some examples in the direct marketing industry? • Social networking, location based services (LBS), mobile video and apps, augmented reality and quick response (QR) codes
- 3. 3 10 MM+ Units Minicomputer Tech Trends Computer Growth Over Time 1960 1970 1980 1990 2000 2010 2020 1 MM+ Units Mainframe 100 MM+ Units PC 1 B+ Units/Users Cell phone/ Desktop Internet 10 B+ Units/??? Mobile Source: Morgan Stanley, Dec. 2009
- 4. 4 1885 American Telephone & Telegraph 2010 AT&T The World Changes & You Need to Adapt
- 6. 6 Social Network Landscape Source: JESS3
- 7. 7 Facebook • 500+ million active users • 50% of active users log on daily • 104MM iPhone users, 12MM Android users • Surpasses Google in daily visits Source: Facebook 1.5+ million local businesses have active pages
- 8. 8 Twitter: Your Business in 140 Characters • 28,000,000 people visited in July 2010 • 230,000,000 visits in July 2010 • Ranked 11th globally & 7th in the U.S. • Growth slowing, but increased stickiness Source: Twitter Entering the local advertising space
- 9. 9 By 2014, 56%+ of Internet Users Ages 18 - 64 will use Social Networks
- 10. 10 Social Media Success Stories • Received 86MM impressions in one day from a Promoted Tweet campaign during the World Cup in Summer 2010 • Leveraged social media as key source of leads & traffic - the company’s Twitter and Facebook reach grew 70% in Q1 2010 • In December 2009, Dell reported that offers from its Dell Outlet Twitter account has booked more than $3 million in revenue attributable to its Twitter posts • Old Spice Social Campaign as of August 2010, increased sales by 27% over 6 months since launching (YOY) over Super Bowl weekend (TV support) with website traffic up 300% • Since launch, their online videos have been viewed 130MM+ and campaign sales have increased 700%. Their famous iPad blend video has been viewed ~9MM alone
- 11. 11 Brands and Social Media Social network users are joining branded pages, interacting with social ads and sharing opinions Starbucks - Top Facebook marketer page - 15+ MM fans Coca-Cola - No. 2 marketer page - 11+ MM fans Consumers generate 256 billion “influence impressions” annually on social networks by sharing what they like, read or do (Forrester Research, 2010)
- 12. 12 Top Tier Location Based Social Networks Source: Mark Fidelman @ markfidelman.com SeekOmega.com Technorati CloudAve.com
- 13. 13 Why are Social Networks Important for Direct Marketers? • Characterized by consumers engaging with brands and businesses • Increasing ability to serve content to consumers in relation to location (check-ins and self reported geo) • Leverages GPS-LBS functionality on mobile devices • Huge growth in the social space (especially Boomers) • Loyalty opportunities • Social networks are key channels for promoting products/services • Mobile users are social and diverse • Businesses still struggling to leverage social media • Social networks are being leveraged to generate transactions and ad revenue (sponsorships, mobile platforms, display ads, search, etc)
- 14. 14 Mobile Web and Apps
- 15. 15 Mobile Advertising According to Forrester Research, “US Interactive Marketing Forecast, 2009 to 2014,” 2010: • U.S. mobile Internet users should double by 2015 • Mobile marketing should grow to $1.3 billion by 2014 • Mobile marketing spend should grow 27% a year to $1.3 billion in 2014 • In 2009, smart phone penetration in the U.S. was 17% of mobile subscribers, up 61% from 2008
- 16. 16 Mobile On Pace to Pass the Desktop Number of Global Users (Millions) Source: ComScore, 2010
- 17. 17 Smartphone Penetration Increased smartphone penetration • Greater mobile app usage: • Aug 2010 - All the current app stores = ~500K+ total apps (AppShopper.com) • Aug 2010 - Apple app store reaches 253K+ total apps, ~25K for the iPad (AppShopper.com) • 2013 - 16.2B (Futuresource); 21.6B (Gartner) • 2015 - 21.3B (Ovum); 25B (Juniper) According to Direct Mag, “E-mail ROI Still Stunning, Still Slipping: DMA,” 2010: • Mobile marketing ROI is expected to reach $10.08 in 2010, a 29% rise over 2008 (Direct Mag; DMA 2010) Source: Gartner, 2009
- 18. 18 (% change) ($ millions) Mobile ad spend: • Projected $800MM+ in 2011, $1.1B in 2012 • Marketers investing in mobile ads Mobile ad spend: • Projected 43% growth in 2011 and 2012 • Largest digital media ad spend growth rate US Online Ad Spending & Growth
- 19. 19 Mobile Use & Video Smartphones driving video explosion • 51% mobile video growth since 2009 (Nielsen, 2010) • # of mobile video users will rise by 34% annually to 95MM in 2015 (Coda Research Consultancy, 2010) • By 2015, US mobile consumers are expected to use 327,000 terabytes of mobile data monthly, rising at a CAGR of more than 117% (Coda Research Consultancy, 2010) • Mobile video revenue set to exceed $2B in 2013, thanks to 4G mobile broadband (ABI Research, 2010)
- 20. 20 Important Wireless Devices Large Format Benefit • Enhanced mobile apps • Increased content display opportunities • Video optimization • Interactive graphics Growth • Apple expected to sell ~20MM iPads in 2011 (Barclays Capital, July 2010) • Total media tablets/slate device market equaling ~15MM units in 2010 growing to over 28MM in 2011 (ABI, 2010; Barclays Capital, 2010) • Global media tablet shipments will total 46MM units in 2014 (IDC, May 10, 2010)
- 21. 21 Why is Mobile Important for Direct Marketers? • The mobile space is growing quickly • Mobile is transactional • Apps are key media channels for promoting products/services • Apps drive consumer engagement with brands • Mobile users are social and diverse • Location, location, location • QR codes have arrived • Businesses are behind the curve • Mobile ads, apps and SMS drive revenue
- 22. 22 Quick Response (QR) Codes
- 23. 23 Quick Response (QR) Codes Point at a printed or digital code…. Scan or take picture Decoding Website What is a QR code? • A QR Code is a matrix barcode (or two-dimensional code), readable by QR scanners, mobile phones with camera, and smartphones How do people use QR codes? • Mobile users scan or take a picture of a QR code to trigger an action: Display web or mobile pages Save a contact Make a voice call Send an SMS/MMS Send an e-mail Promotion entry/data collection Multi-action menu Calendar entry Send tweets Display coupons/offers Generate video Register for/enter loyalty programs
- 25. 25 Why are QR Codes Important for Direct Marketers? • Smartphone penetration increasing rapidly • QR code use in the US is quickly emerging • Print media is a primary channel for displaying QR codes (outdoor & digital increasing) • QR codes drive consumer engagement with brands • Generates mobile messaging (SMS/MMS), video, coupons/offers, polling, webpage visits • Competitive against other direct response media • Marketers just beginning to use the technology • QR codes can be used to drive transactions and loyalty programs
- 27. 27 Augmented Reality (AR) What is AR? • Augmented reality (AR) is a layering technology; used to overlay tagged images, video files, applications and data to display information over video, image, and camera displays on PC’s, mobile phones and TV/monitors • E.g., NFL game broadcasts use the yellow electronic line to indicate where the first down is located • AR can use GPS and location-based targeting, as well as image and facial recognition What are the different formats commonly used? Print-Based • Leverages print to drive consumer and brand engagement • 3-D Image & Video Use Smartphone Layering • Utilizes smartphone camera to layer information over displays • Geo-location content
- 28. 28 Selected Major Brands Using AR
- 29. 29 Practical Uses for Direct Marketers Customers / Clients • Key = Provide unique “3D” content in an interactive and compelling format (e.g., unique offers, video messaging, interactive games) Product / Service Demo • Product demos with AR features (3-D video announcements, 3-D animated graphics, interactive demos) Trade Show Demonstrations • Flat screen TV to demo national ad campaign with AR markers on brochures, apparel, freebies/giveaways/chotchkies Marketing Benefits • Credibility - strong player in the direct marketing and digital advertising space • Unique industry value proposition • Viral PR • Excitement from customers / clients - potential door-opener • Consumer engagement and interaction w/ your brands and advertisers’ products
- 30. 30 Future: Social Media Meets AR
- 31. 31 Future Advertising Opportunities for Direct Marketers Pervasive Mobile Commerce Video in Print Mobile Augmented Reality Semantic Web Advertising Pattern Recognition Advertising RFID in Print Social AR 3D Mobile, Web & TV Ads CPA – Rev Share Models Social Media Commerce
- 32. 32 Trying New Approaches & Innovation Challenges "There is no reason anyone would want a computer in their home." Ken Olson, President, COB & founder of Digital Equipment Corp., 1977 "640K ought to be enough for anybody" Bill Gates, 1981
- 33. 33 Live Examples – Lets Interact! QR Code Augmented Reality http://www.toyota.co.uk/cgi-bin/toyota/bv/frame_start.jsp?id=iQ_reality http://www.coxtarget.com/marthaAR/
- 34. 34 James R. Buckley Director - Digital Business Development Cox Target Media - Valpak 8605 Largo Lakes Dr., Largo FL 33773 727-399-3191 office | 727-519-4885 cell Twitter: Twitter.com/JRBuckley68 LinkedIn: Linkedin.com/in/jrbuckley Fred Steube Manager - Digital Innovation Cox Target Media - Valpak 8605 Largo Lakes Dr., Largo FL 33773 727-399-3000 ext 3152 office Twitter: Twitter.com/steube LinkedIn: Linkedin.com/in/steube