IT’S IN IT’S IN YOUR HANDSYOUR HANDS

The futureThe future

““I command an I command an army of one.”army of one.”

TOYOTA LEXUS TOYOTA LEXUS FUJI XEROX FUJI XEROX

AUSTRALIA AUSTRALIA POST AMEX POST AMEX MACQUARIE MACQUARIE BANK AMP BANK AMP NATIONAL NATIONAL

MUSEUMMUSEUM

FREDFRED HOLLOWS HOLLOWS FOUNDATIONFOUNDATION POWERHOUSEPOWERHOUSE MUSEUM MUSEUM COLONIAL COLONIAL STADIUM STADIUM UNISYS IBM UNISYS IBM BHP IT BHP IT CHANNEL 7 CHANNEL 7 HICHIC

I left the relative calm of this…I left the relative calm of this…

Then I fell into the future head Then I fell into the future head first…first…

““Uamby” 75mls in 35minsUamby” 75mls in 35mins

““Uamby” 75mls in 35minsUamby” 75mls in 35mins

Adapting to Climate ChangeAdapting to Climate Change

Enjoying the rideEnjoying the ride

““Uamby” 2 weeks after 75mlsUamby” 2 weeks after 75mls

Rested PaddocksRested Paddocks

Sacrifice PaddocksSacrifice Paddocks

Sacrifice PaddocksSacrifice Paddocks

““Uamby” 2 weeks after 75mlsUamby” 2 weeks after 75mls

NeighboursNeighbours

NeighboursNeighbours

Conventional Conventional Farming Farming

Carbon Carbon Farming Farming

Milestones 2006-2009Milestones 2006-2009• First order for Australian soil carbon from Chicago

Climate Exchange 2006• US tour: links with senior scientists & economists 2006 • World’s first Carbon Farming Expo & Conference 2007• “Soil Science Summits” between farmers and

scientists 2007• Uncovered “Bad Science” in National Carbon

Accounting System 2007• First sales of Australian Soil Credits to start the

Australian Voluntary Market 2007• Soil Carbon Trading on platform of all parties Federal

Election (except Government) 2007• Started the process in NZ (Government action) 2008• PM Rudd announces soil carbon on national agenda

2008• Minister Burke announces $26m research funds for

soil carbon 2009

Campaigning for Soil Carbon Credits… Campaigning for Soil Carbon Credits…

Lobbying

Publicity

Information

Advocacy

Research

Education

Lobbying

Publicity

Information

Advocacy

Research

Education

Spreading the Spreading the wordword

Lobbying

Publicity

Information

Advocacy

Research

Education

Meeting the Meeting the scientists & rebelsscientists & rebels

Lobbying

Publicity

Information

Advocacy

Research

Education

Meeting world expertsMeeting world experts

Carbon Farming Carbon Farming Expo & Conference Expo & Conference

Mudgee 17-18 Mudgee 17-18 November 2007November 2007

Soil Carbon Soil Carbon On The National Agenda On The National Agenda

““I am hearing more I am hearing more and more about the and more about the possible potential possible potential of enhancing the of enhancing the carbon stored in carbon stored in our soils… [The our soils… [The Government will] Government will] investigate how investigate how better soil better soil

management can be management can be part of Australia’s part of Australia’s response to climate response to climate

change.”change.”

PM Kevin RuddPM Kevin Rudd4 March 20084 March 2008

““You singlehandly You singlehandly barnstormed the barnstormed the issue onto the issue onto the national agenda… national agenda… We wouldn’t be We wouldn’t be having this national having this national debate over soil debate over soil carbon if it wasn’t for carbon if it wasn’t for you.”you.”

- Matthew Cawood, - Matthew Cawood, Science & Environment Editor, Science & Environment Editor, Rural Press “The Land”Rural Press “The Land”

A SENSE OF A SENSE OF URGENCYURGENCY

The Climate Change Opportunity

• “We’re all in this together”

• “I command an army of one”

• Replace gestures with meaningful action

• Imagine the future

“A failure of imagination”

QuickTime™ and a decompressor

are needed to see this picture.

US Security Agencies failed to imagine the future:

Commission of Enquiry

The 5 Foundational Insights

• Pareto Principle– ‘Not all customers are equal’

• Loyalty Ladder– ‘Your customer is an appreciating asset’

• The Will to Community– ‘Helping customers to build communities’

• Maslow’s Hierarchy of Needs– ‘Learning to find your customers secret hot spot’

• Customers Cannot Be Satisfied– ‘Going beyond the customer relationship’

The 1st Foundational Insight

Pareto Principle

‘Not all customers are equal’

Pareto says the rich are always with us

The 2nd Foundational Insight

The Loyalty Ladder

‘Your customer is an appreciating asset’

ProspectProspect

CustomerCustomer

SuspectSuspect

Repeat CustomerRepeat Customer

ClientClient

AdvocateAdvocate

Loyalty LadderLoyalty Ladder

Relationship drives word of mouthRelationship drives word of mouth

AdsAdsPublicityPublicity

MailMail

EventsEvents

Word Of MouthWord Of Mouth

Web visitsWeb visits

Word of Mouth:“Why I Try New Products”

Mintel asks 7,000 Europeans

Word of Mouth:“Why I Try New Products”

Mintel asks 7,000 Europeans

Celebs TV ads Sample Discount Friends

60%

36% 37%44%

11%

Who do you believe about Who do you believe about Mad Cow Disease?Mad Cow Disease?

87%80% 79%

75%

15% 12% 8%

0%10%20%

30%40%

50%60%70%

80%90%

Family Friend EnviroOrg

Drs Media Corp Govt

British consumers’ sources of information about BSE British consumers’ sources of information about BSE University of East AngliaUniversity of East Anglia

%

Existing customers

Prospects

New customers

°°°

Retail channels°°

Ad agency

staff

Client staff

Agency CEO

Client CEO

Client’s wife

ClientAgency account

executive

Agency creative

team

Brand “Insiders” Brand “Outsiders”

Target Audience

°Dale Carnegie Organisation °°Toyota Motor Corporation Australia °°°Ford, USA, Ogilvy & Mather

Who notices ads?Individuals engage with communications in direct proportion to their level of personal involvement°

The Credibility League Ladder*

*Boomerang! Research for several clients

1. Personal experience1. Personal experience

2. Friend’s 2. Friend’s

recommendationrecommendation

3. Stranger’s 3. Stranger’s

recommendationrecommendation

4. News report4. News report

5. Expert opinion5. Expert opinion

6. Company newsletter6. Company newsletter

7. Promotional mail7. Promotional mail

8. Advertising8. Advertising

9. Sales person9. Sales person

MostMostbelievablebelievable

LeastLeastbelievablebelievable

The 3rd Foundational Insight

The Will to Community

‘Helping customers to build communities’

FANSFANS

How “Community” Can Work For You

FANSFANS

How “Community” Can Work For You

FANSFANS

How “Community” Can Work For You

FANSFANS

How “Community” Can Work For You

The 4th Foundational Insight

Maslow’s Hierarchy of Needs

‘Learning to find your customers secret hot spot’

What do humans need most?

Food Clothing ShelterFood Clothing Shelter

GrowGrow

EsteemEsteem

BelongingBelonging

SafetySafety

Maslow’s Hierarchy of Needs

The 5th Foundational Insight

Customers Cannot Be Satisfied

‘Going beyond the customer relationship’

“We hold these truths to be self-

evident, that all men are

created equal, that they are endowed by their Creator

with certain unalienable Rights, that among these

are Life, Liberty and

the pursuit of

Happiness.”

The Declaration of Independence

July 4, 1776

Average incomes have

more than doubled in the past 50 years.

But people are no happier.

QuickTime™ and a decompressor

are needed to see this picture.

Consumer SocietyConsumer Society

Market EconomyMarket Economy

Can all our needs be Can all our needs be met by spending met by spending

money?money?

Consumer Anxiety

Global TerrorismGlobal Financial Crisis

Global Swine Flu Pandemic

No. 1Concern

Global Warming

CLIMATE CHANGE

“The distance from awareness to despair

is short.”

We have a psychological need to feel we can

can control our environment.

The future will be worse than the present?

Syndrome: LEARNED HOPELESSNESS

‘Nothing can be done…’

‘One person can’t make a difference…’

Helplessness “This feeling of futility is the deepest reason for inaction on climate change. Many people won’t make changes

that cost them in any way unless they believe that enough people also will be making the same sacrifice

for it to be meaningful.

“Most people believe that it simply will not be possible to get enough people, corporations or governments to

make the changes necessary to save the world.”

Hopelessness

“This is despair.

“Hopelessness forestalls action.

“Without action, there is no hope.”

Symptoms

Eating disordersRelationship problems

Delusions

Denial The main barrier to action on climate change is Denial: many people are in denial about the crisis because it

arouses intolerable levels of fear, guilt, sadness, hopelessness.

Communicate with them in ways that don’t arouse these feelings.

Marketing with Climate Change

“Buy this product and save the planet.”

GREENWASHACCCAANA

“Choose us because we’re carbon neutral.”

WHO CARES?

“Pay a little more and we’ll stop polluting…”

QANTAS

Are your people on board?

• Landcare Australia blasted by volunteer for Coca-Cola Amatil Mount Franklin tie up

• Coca-Cola pays Landcare Australia $150,000 to plant 250,000 trees to offset greenhouse gas emissions generated by the manufacture and distribution of 8 million plastic bottles.

Are your people on board?

• "The people who care for the land don't need to be used by a corporate giant who is only interested in greenwashing public opinion and tricking people living in the city into thinking they are doing the correct thing by the environment by purchasing their product.”

– Nanette Lamrock, Armidale NSW

82% want to buy green

• Melbourne-based consumer research company Mobuim

• consumers wishing to ‘do the right thing’ by the environment via their purchasing choices

• Rose from 62% to 82% since last year• number of consumers who seriously doubt

‘green’ claims increased significantly • 88% of consumers wary of claims companies

make.

The toilet paper test

• Australians spend $500 million/year • $20 million recycled paper• Category in decline

• "Using recycled toilet paper is a no-brainer yet people are not prepared to make the sacrifice on their arse."

– Joe Hancock, managing director of Gorilla Communications which developed the Quilton ad campaign Loves your Bum.

Marketing inside Climate Change

“The power of small committed group.”

“We’re all in this together.”

“I command an army of one.”

The 9 Actions arising from the 5 Insights

• THINK SMALL: Small groups of like-minded people can be very effective.

• THINK BIG: People are looking for ways to extend themselves.

• THINK BIGGER:The potential impact of a positive outcome must be leveraged and massive.

• EASE THEIR PAIN AND YOU WILL GAIN: Engaging customers as individual people in activity that reduces their anxiety will earn their loyalty and advocacy.

The 9 Actions arising from the 5 Insights

• KINDLE THE FLAME: Engage their passion. • REACH OUT: You don’t have to do it alone.

Recruit other businesses. Form ‘Clusters’.• COME CLOSER TO HOME: Engage your family

- build genuine community.• FIND YOURSELF THERE: Engage your passion.• ACT NOW: Optimism can replace Hopelessness

through Action.

Case Study # 1: Making the client a hero in the staff & customers’ eyes

Case Study # 2: Making the client a hero in the PM’s eyes

Problem: Getting through the CEO’s door• CAD/CAM design firm Concentric Asia Pacific having trouble getting

senior executive access in prospect companies such as Qantas, Mitsubishi, Boeing.

Solution: Build a Trojan Horse• Formation of Re-Engineering Australia Forum - a grassroots corporate

movement designed to break the back of the tyranny of distance for Australia by creating high tech industries in remote & rural areas

• Forum also promotes engineering scholarships & competitions for young Australians

• All prospects & customers invited to join• Prime Minister officiated at 2002 REA dinner, attended by hundreds of

people• Concentric’s sales levels break all records • CEO now gets inside every door

The Re-Engineering Australia Forum is a Brand Community Solution.

It engages prospects in a compelling self-interest activity.

It turns them into “brand insiders”.

It puts the two parties on the same side of the table.

Case Study # 2: Making the company a hero in the industry’s eyes

Marketing inside Climate Change v

Engagement Engagement Strategy:Strategy:

Townsville’s Townsville’s Backyard Backyard Soil Carbon Soil Carbon From SpaceFrom Space

Local business Local business sponsor a sponsor a suburb in the suburb in the “Catch the “Catch the CO2 CO2 Challenge”Challenge”

Marketing inside Climate Change v

Engagement Engagement Strategy:Strategy:

Bathurst’s Bathurst’s Community Community Ownership of Ownership of Wind TurbinesWind Turbines

Local business Local business cluster builds cluster builds a community a community around each around each towertower

Regional Business Model for Carbon TradingRegional Business Model for Carbon Trading

Community Community Wind FarmsWind Farms

BiofuelsBiofuels

Big EmittersBig Emitters

Recycled Recycled BiomassBiomass

Community Community Education/ Education/ InvolvementInvolvement

EmploymentEmployment

Sustainable FarmingSustainable Farming

Restored Restored Farm EcologyFarm Ecology

Photo of our wool.

Emissions Reductions and Trading Opportunities

OPPORTUNITY

• All farmers involved have their produce labelled “CarbonCredited™”

• Sold as an emissions-reducing product at a premium.

•Planned GrazingPlanned Grazing

•Pasture CroppingPasture Cropping

•Natural FertilisersNatural Fertilisers

•Tree PlantingsTree Plantings

•Natural Vegetation RegenerationNatural Vegetation Regeneration

•Stock numbers reduced since 2000Stock numbers reduced since 2000

Emissions reductionsEmissions reductions

Photo of our wool.

Wool has an OPPORTUNITY to create the FUTURE

Carb¿nCredited™

Our FUTURE Our FUTURE is…is…