assessing a fragmented media landscape and what it means

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Assessing a fragmented media landscape and what

it means for your communication strategy

Ken Miller

University of Technology, Sydney

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1994 1995 1996 1997 1998 1999 2000 2001 2002 2003

Per

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Commercial TV Viewing in Last 7 Days Magazine readership last issueNewspaper readership last 7 days (exc. Subn.) Radio listening last 7 daysVisited cinema last 4 weeks Access the Internet at least monthlyWatched Pay TV last 7 days

Media consumption changes 1994 -2003With an information explosion, and multiple media sources….

R1

R1 Slide title?RMR, 31/03/2005

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Adoption rates for key technology offerings in Australia

23%

70.4

14%

58.3

1%

7

11%

22.9

0%

10%

20%

30%

40%

50%

60%

70%

80%

Jan-9

7Mar-

97May

-97Ju

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Sep-97

Nov-97

Jan-9

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-98Ju

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Mobile Penetration Home Internet Penetration Home Broadband Penetration Pay TV Penetration

Technology Adoption

Source: Roy Morgan Single Source : Jan 97 - Nov 03Australian Population 14+

Rapid acceptance of technology where benefits and value are clear

Technology adoption has occurred at a rapid pace ….

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INTERNET ACESS BY COUNTRY, 2000

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France Italy Germany UK Canada Australia US Sweden

% of population

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More programs

Smaller Audiences

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Your typical teenager is

• Instant messaging• Listening to an IPOD and computer

delivered music• Casting an eye to TV (maybe while

doing homework

Ira Carlin

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Nothing will change how advertising is meant to work --exposure of a message with the aim of inspiring some action on part of consumers, whether physical (head to store) or mental (head to store)

Ira Carlin

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The continued challenge is how we continue to build and maintain the brand

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Response factors will be low since fragmented media by themselves deliver even lower audiences however we will continue to seek higher relative response

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Subaru Liberty CampaignOnline Advertising &

MicrositePlay Banner AdPlay Liberty Microsite

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Subaru WRX STi Campaign• Targeted to car

enthusiasts, the STicampaign focus was to generate excitement about the Subaru STi in a highly competitive marketplace

• The banner was also contextually placed on drive.com.au to reach those in active purchase cycle

Results• Achieved 259% increase

in click-throughs (vs. category benchmark)

Play “steering wheel”banner

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Index of media performance among Intending Ford buyers in Australia

Source: Roy Morgan Single Source Australia 2000

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Spending trends in the US

• From 2003 to 2007, ATL advertising is expected to grow at 5.5% per year while BTL spending is expected to grow at 7.8%

Source: Winterberry Group

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Consumer Trends

• Changing consumer demographics• Growing consumer sophistication• Widespread clutter diminishes impact of

commercial messages that don’t address specific and individually relevant consumer needs

• Enhanced information availability empowers both marketers and consumers

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• A total of $354 million was spent on out-of-home advertsing in 2005, up 8 per cent on 2004 (Outdoor Media Association)

• Consumption of raditional media ia at best stagnating and certainly so on a per capita basis ( Simson 2001)

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Transformation of Marketing

• One to one marketing• Interactive Marketing• Customisation• Virtual Integration

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• Heightened client pressure to deliver quantifiable value forces greater accountability on marketing service providers

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• Perhaps one of the biggest changes is that marketing is becoming less about “pushing” a message and more about trying to engage consumers and give them the opportunity to “pull” their own personal requirements from it. This hinges on indentifying the habits of audiences, how they interact with the new technology and then working out the best way of engaging them.

Clarke 2005

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• Monitor Word of Mouth – most influential factor in student recruitmantstudy

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Many different stakeholders

AdvertisingAgencies

Broadcasters

Publishers

ResearchCompanies

CFO/TreasurerDirect Mail

AcademicsAdvertisers

Channel to Consumer

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The Problem: Most Metrics Don’t Migrate Easily Across Media

Cost per thousand

Mar

ket S

hare

$ Spend

IncrementalNPV

Tarps

Response Rates

Rec

ogni

tion

Recall

Reach and Frequency

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“ Weblogs and collaborative filtering make traditional marketing look stupid. Marketing for 100 years or so has consisted of the beaming of messages to demographic segments. Now marketing means me and my web buddies make fun of the messages being beamed to us. I can find out in 0.87 seconds whether Maytag washers are really more reliable. Further, the last person I want to talk to about Maytag washers is Maytag, Inc. because I know they'll just lie to me”

Library of Congress Series, The Digital Future - David Weinberger

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“The era of the destination website is over”

Participation websites will be part of the next stage of the Internet's evolution. Destination websites are in danger of becoming the seaside piers of the information age: vast, beautiful & elaborate constructions,condemned to a brief life.

Leadbeater 2001 http://specials.ft.com/creativebusiness/FT3XAQN4RUC.html

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1:1 Relationship

This is what blogging is all about, a one-on-one unmediated relationship between writer and reader paradoxically made possible by the most mass of media, the Internet.

James Wolcott, 2002. “Blog Nation”, Business 2.0, May, http://business2.com/blog

380

2,000,000

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Doubling

Doubling

Doubling

18.9 Million Weblogs TrackedDoubling in size approx. every 5 monthsConsistent doubling over the last 36 months

Weblogs CumulativeMarch 2003 - June 2005

Doubling

Technorati

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“ Weblogs and collaborative filtering make traditional marketing look stupid. Marketing for 100 years or so has consisted of the beaming of messages to demographic segments. Now marketing means me and my web buddies make fun of the messages being beamed to us. I can find out in 0.87 seconds whether Maytag washers are really more reliable. Further, the last person I want to talk to about Maytag washers is Maytag, Inc. because I know they'll just lie to me”

Library of Congress Series, The Digital Future - David Weinberger

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“The era of the destination website is over”

Participation websites will be part of the next stage of the Internet's evolution. Destination websites are in danger of becoming the seaside piers of the information age: vast, beautiful & elaborate constructions,condemned to a brief life.

Leadbeater 2001 http://specials.ft.com/creativebusiness/FT3XAQN4RUC.html

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1:1 Relationship

This is what blogging is all about, a one-on-one unmediated relationship between writer and reader paradoxically made possible by the most mass of media, the Internet.

James Wolcott, 2002. “Blog Nation”, Business 2.0, May, http://business2.com/blog

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Doubling

Doubling

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18.9 Million Weblogs TrackedDoubling in size approx. every 5 monthsConsistent doubling over the last 36 months

Weblogs CumulativeMarch 2003 - June 2005

Doubling

Technorati

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- As of Oct 2005 over 70,000 blogs were created daily.- A new weblog is created about every second.- Recent Spikes are partly due to increase in Chinese Blogs- 55% of new bloggers are still posting 3 months later.- 13% of all blogs update weekly (or more).- About 2% - 8% of new blogs are spam (red spikes)

New Blogs per Day

Technorati

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KryptoniteLock Controversy

US Election Day

Indian Ocean Tsunami

SuperbowlSchiavo Dies

Newsweek Koran

Deepthroat Revealed

Justice O’ConnorLive 8 Concerts

London Bombings Katrina

Daily Posting Volume

1.2 Million legitimate Posts/DaySpam posts marked in redOn average, additional 5.8% are spam postsSome spam spikes as high as 18%

Technorati

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Blogs and MSM

EschatonCommon Dreams

The EconomistBinary BonsaiDaveneticsNPRTalking Points MemoThe Times

PBSESPNBoston.comEngadgetNational ReviewAsahi ShinbunSlateFARKGizmodoLA TimesInstapunditDaily Kos

MTVSalon

SF GateReutersNews.comFox NewsUSA Today

Boing BoingWired NewsMSNBCGuardian

BBCYahoo News

Washington PostNew York Times

0 10,000 20,000 30,000 40,000 50,000 60,000

Blue = Mainstream MediaRed = Blog

Challenge: Fight, or Embrace?

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Tagged Posts (Cumulative)

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Almost a third of blog postsuse tags or categories

Over 25 Million, growing at about 400k/day

Technorati

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Analyzing Brand Weblogs

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• The stories reported on a weblogsrepresent the voice of the consumerrather than that of the advertiser or brand manager

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• Researching the stories on weblogs is useful for advertising executives. – It helps clarify and deepen the knowledge

of how people resolve paradoxes triggered in their minds by a conscious feeling of unease, awareness of a problem or opportunity arising from conflict.

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The implications

• Advertising executives who intend to analyse brand stories on weblogs, should consider the following points:– Crafting a story, whereby the brand is a

supporting actor enabling the protagonist to achieve conscious and/or unconscious goals which are likely to reflect very favourable consumer-brand relationships.

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The implications

– The storytelling analysis includes self-oriented thinking by the storyteller with near-conversational interactions with the primary brands appearing in the stories.

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The implications

– Learning about what buyers and users say to the brand and what the brand says first and back in such conversations is likely to provide valuable clues for designing highly effective advertising strategies.

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1. Scott

2. Aching back

3. Wheeled garment bag for Christmas trip home

4. Store5. Attractive sales women

6. Pants unzipped

7. "Not only that, but I happened to be wearing a pair of loose-fitting jeans that day, purchased in a foolish attempt to look with it. (Damn you and your marketing, Tommy Hilfiger!) These pants were almost loose enough to fall off when they were fastened, and in their current state I feared that they would slip to the ground at the slightest encouragement."

8. "There’s nothing more dreadful than being embarrassed in front of a person you find attractive, and this seemed like the inevitable outcome of my current situation. "

9. "Part of the problem was that Valentine, which I later learned was her name, was an excellent saleswoman. I have never met anyone so knowledgeable about luggage."

10." I adopted a two-pronged strategy. The first phase, the Hike.......The second phase of my plan, the Cover....."

11. "Valentine: Zis bag has many expandable pockets.Me: Ah. (Left-hand Hike. Right-hand Cover.)Valentine: Zis makes eetvery useful for short trips or long trips.Me: I see. (Right-hand Hike.)"

12."I did not have $700 to spend on Italian luggage, so my choice was pretty clear after about five minutes.........choose the Travelpro ..... because I had the Financial Acumen to recognize that it was a great buy."

13. “You know, I think I'm going go ahead and get the Travelpro.”Her face lit up like a child's on Christmas morning.

14."It was with horror that I realized my next predicament: getting to the counter. My pants were looser than ever, and the motion of walking would surely just speed their escape. "

15. "I reached the car (out of breath!).........slid the jeans up to my waist, zipped them up, and fastened the button. Rapture! I was never so glad to be wearing pants in all my life. Happiness flooded over me. I wanted to sing a song. I wanted to hug someone. I wanted to apologize to Tommy Hilfiger and take back the nasty things I'd said about his questionable parentage. “I was emotional! No hard feelings?“

Elaboration of Unzipped - Tommy Hilfiger Jean Wearer Communication16." Most of all, I wanted to go

back inside and talk to Valentine. I wanted to tell her about the whole silly situation But life, as I well know, is not the movies, and I was not about to risk humiliation twice in one evening—my hips snugly ensconced in denim."

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Source: Sood and Miller

assessing a fragmented media landscape and what it means

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