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January / 24 / 2013
Evolution from Traditional to DigitalPresented by Jenna Rutschman to the Arizona Marketing Educators
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Tuesday, February 26, 13
Tuesday, February 26, 13
• Utilize data-driven statistics, industry trends and intuition to drive online marketing results
• We strive for results that will make your company reach its goals and increase revenue
• All campaigns are first tested and then refined to achieve continued business goals
• Development of solution-based online content that is optimized per execution (search, email, social, web, etc.)
Methodology | Terralever Philosophy
Science ArtResults
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Results
Definition of Advertising
• What is advertising?
• Definition:• A form of communication used to persuade an audience
(viewers, readers or listeners) to take some action with respect
Tuesday, February 26, 13
History of Advertising
1917 - the 4A’s was born
19201st Radio Spot
1925Birth of Consumerism
1939 Government WWII Propaganda
1941 1st TV Commercial
19501st Political TV Ad
1957 Birth of the longest used jingle
Tuesday, February 26, 13
1963David Ogilvy
1970
1980
1981
1984
1994
History of Advertising
1995
Tuesday, February 26, 13
1997First Mobile Ad
1995-2000
2000
2002 - $7.53 Million TV Spot
2001
1995
1996
History of Advertising
Tuesday, February 26, 13
History of Advertising
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Looking Inside: Traditional Advertising Agencies
Tuesday, February 26, 13
Traditional Advertising Agency
:30 TV SpotsPrint
The Pitch
One Stop Shop
Public Relations
Art Director & Copy Writing TeamsCreative Director
Mad Men-Esque
Big Budget
Madison Avenue
Agency of Record
Dog and Pony Show
Advertising Executive
Specialists
Super Bowl Spots
Glamor
“The” Idea
Entertainment Consumerism
Account Planning
Broadcast
Evolving into Integrated
Tuesday, February 26, 13
Looking Inside: Digital Advertising Agencies
Tuesday, February 26, 13
Digital Advertising Agency
Web Development
Search Engine Optimization
User Experience
Focused
Pay-Per-Click
Generalists & Specialists Mobile & Tablet
Cutting Edge
Measurement & Optimization
Anywhere USAResults Driven
Innovative
Paid Media
Social Media
Content Marketing
Strategy Solving Business Problems
Discovery Phase
Community Management
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Results
Shift in Budget from Traditional to Digital Marketing*
0 5 10 15 20
% of total
*all data pulled from February 2012 eMarketer
Increased measurability and accountability
Increased customer engagement
Lower cost of customer engagement
Better ability to glean customer insights
Better customer conversion
Lower cost per lead
Lower cost of impression
Real-time nature of customer data gathered
Tuesday, February 26, 13
TV
Internet
Radio
Mobile
Newspapers
Magazines
0 12.5 25 37.5 50
Time Spend Share Ad Spending Share
Time Spend vs Ad Spending Share*
*all data pulled from December 2011 eMarketer
Tuesday, February 26, 13
0
17.5
35
52.5
70
2011 2012 2013 2014
TV Ad Spend Online Ad Spend
US TV vs Online Ad Spending 2011-2014*
*all data pulled from January 2012 eMarketer
Tuesday, February 26, 13
2012
2013
2014
2015
2016
-3.75 0 3.75 7.5 11.25 15
Online Traditional Total
Local Online & Traditional Ad Spend Growth*
*all data pulled from March 2012 eMarketer
Tuesday, February 26, 13
54% of responding companies are spending under 30% of their marketing budgets on digital channels and 31% are investing more than half of their marketing budgets in digital
However, 71% of companies surveyed derive up to 50% of their total revenues from digital marketing spend.
18% of client-side respondents indicate they derive more than 70% of their earnings from their investment in digital marketing.
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
Case Study / 1
L’OrealMarketing Reinvented*
• $2.1 Billion ad spend in 2011• 10% spend in digital• Remove the traditional barriers allowing
Print and TV campaigns to dictate all marketing
• Digital is the centerpiece for all marketers• Conversion & ROI Focused• Consumer Product Goods online campaigns
are seeing a 9% lift within three months vs 8% lift from TV campaigns over 12 months
Tuesday, February 26, 13
Case Study / 1
L’OrealMarketing Reinvented*
• “In the old days, television was a shrine in people’s homes. They gathered around and watched. Advertisers had the power. Now, with more channels and more choices, people are more empowered. Video has a strong place in our hearts. That box in the living room is more than just live TV, it is on our mobile phones and laptops, and people are controlling how and when they watch. TV is unboxed.” • L’Oreal USA CMO Marc Speichert
• L’Oreal realized they have to be present when the modern family is making evaluations and buying decisions
• 50% of consumers research brands online before they make a purchase
Tuesday, February 26, 13
Case Study / 2
Levi StraussGlobal Go Forth Campaign
• Appeal to aging Levi’s loyalists as well as the young artistic and hip
• Market share has been hard in recent years with lower-end ripoffs and “luxury” brands
• Women’s jeans sales went from 5.4% in 2005 to 4.4% in 2010
• Men’s jeans sales went from 8.4% in 2005 to 7% in 2010
• Youth stirring tagline “Now is our time”• Launched “Go Forth” campaign with TV spot
(“short film”) in 19 language versions • Including English, Japanese, French,
Spanish and German• Used Walt Whitman’s poem “Pioneers! Oh
Pioneers!”
Featuring “The Laughing Heart,” a poem by Charles Bukowski
Tuesday, February 26, 13
Case Study / 2
Levi StraussGlobal Go Forth Campaign
• Included digital-engagement program featuring present-day pioneers from around the world with smart use of Facebook
• Seeded videos throughout web within hip movement focused blogs, corporate FB and YouTube pages
• Initially the “Go Forth” campaign featured online social challenge partnering with Water.org
• Facebook advertising and Sponsored Stories will increase views among friends within 24 countries
• Focus:• Digital• Digital & Event• Content Creation
• During campaign revenue went up 9% over pervious year-long campaign
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like | Case Studies
06 What Success Looks Like | Verticals
07 Resources / Q&A
Tuesday, February 26, 13
What Success Looks Like | Integration
Tuesday, February 26, 13
What Success Looks Like | Content
Content Strategy ensures that all brand executions have a unified message across the platforms where consumers search for information.
As Bryan Eisenberg states do the “sucking wind” checklist:
• Do you offer a clear and valuable message?• Have you established trust and credibility?• Have you answered all the main objectives?• Have you addressed the emotional “ownership” of
the sale?• Have you substantiated your claims?• Have you made the next steps clear?• Could you have said the same thing in one-third of
the words?
Tuesday, February 26, 13
What Success Looks Like | Social Media
Tuesday, February 26, 13
What Success Looks Like | Mobile
Mobile is the future the only media that has a gab between time spent and budget allocation is mobile.
Consumers are savvier than ever and want to connect with brands and businesses who have a proper mobile experience.
Time Spent
Budget Allocation
Responsive Design
Tuesday, February 26, 13
What Success Looks Like | Measurement
Website
Retarget
Social Media
Pre Visit Planning
Paid Ads
Mobile Site
ATTRACT CONVERT RETAIN
Pre Visit Planning
Visit
Post Visit
Social Media WOM
SEOEmail
Tuesday, February 26, 13
- Success Measurements and Key Performance Indicators (KPIs)
- Technical Implementation - Testing and Optimization- Customized Reporting & Recommendations- Refine, Adjust, Test & Optimize
What Success Looks Like | Measurement
Tuesday, February 26, 13
Agenda 01 Introductions
02 History of Advertising
03 Looking Inside: Advertising Agencies
04 Budgets
05 What Success Looks Like
06 Verticals To Get Behind NOW
07 Resources / Q&A
Tuesday, February 26, 13
Everyday Blogs:• Convince & Convert
• http://www.convinceandconvert.com/• Mashable
• http://mashable.com/• eMarketer
• http://www.emarketer.com/• Bryan Eisenberg
• http://www.bryaneisenberg.com• The Community for Education Leaders - Cisco’s Get Ideas
• http://getideas.org/
Books:• Mark Schaefer Return on Influence: The Revolutionary Power of Klout,
Social Scoring and Influence Marketing • Malcolm Gladwell (series) Blink: The Power of Thinking Without Thinking • Bryan & Jeffrey Eisenberg Call to Action: Secret Formulas to Improve
Online Results
Resources & QA
Tuesday, February 26, 13
Jenna RutschmanAccount Strategist
jennar@Terralever.com480.334.7001
Thank You
Tuesday, February 26, 13