From “Perpetual (Digital) Revolution”

Together, hardware and software will be the catalyst for advances during the next 10 years that will far exceed changes of the last 30 years.

Mr. Bill Gates, AWSJ, January 25, 2008

Tectonic Shifts

Traditional Media Digital Media

Traditional Media Digital Media

TV IPTV

Radio Digital Radio

Billboards Digital POS

Traditional Media Digital Media

US $455b US $55b6% 23%

Source: IBM, “Navigating the Media Divide” Study

Traditional Media Digital Media

?

The Cross-Over Point

Traditional Media Digital Media

Why GM Gambled $1.5B On Digital

Over the next three years, General Motors will shift half of its advertising budget to digital. Will that be enough to get the automobile manufacturer in gear?

Michael Estrin is associate editor at iMediaConnection.

digital will

predominate

Traditional Marketing

DigiMarketing

From “New Media” to the New Mass Media (of One) 01

0.9 b PC users 1.3 b internet users1.3 b landline phones1.4 b credit cards1.5 b email boxes (0.8b) 1.5 b TVs1.8 b active sms users3. 0b mobile phone subscribers

Communities Dominate Brands Business and marketing challenges for the 21st century By Tomi T Ahonen and Alan Moore

Worldwide Today

New Media Barons

(cc) Lynette Webb, 2006

Yuan Shiao Nan

- Unique address

- Individual user behavior

- Personal settings & preferences

- Two-way – individual direct response

Communities Dominate Brands Business and marketing challenges for the 21st century By Tomi T Ahonen and Alan Moore

Mass Media of One (Addressability)

- Contextual content

From Targets to Participants02

Marketing Algorithm of Reach/Frequency

Engagement Metrics & Planning

From Mass to Personalization(and the Privacy Paradox) 03

New RestrictionsUnprecedented Access

Access and Restriction

Tim Berners-Lee, BBC Interview, March 18, 2008:

On personal data:“It’s mine – you can’t have it. If you want to use it for something, then you have to negotiate with me. I have to agree. I have to understand what I’m getting in return.”

August 4, 2006: AOL released search records of 650,000 users over a 3-month period, 20 m searches

August 7, 2006: they removed the file from their site

August 9, 2006: New York Times identified & interviewed #4417749

August 22, 2006: AOL Chief Tech Officer & 2 others “left”

September 12 2007: September 12 2007:

Why personalize?

80%want it

Up to

58%will paymore attention if they get it!

From Selling to Serving04

From Impressions to New Connections05

QR Codes

Each one of these MOBICODES link to a specific mobile site.

Quick Response (QR) Code for North West Airlines

QR-Codes - MAGGI On-pack Communication

Outside PackageOutside Package

Inside PackageInside Package

11stst weekweek 22ndnd weekweek 33rdrd weekweek

Outside Code to introduce MAGGI Recipe

From Old to New “Physics” of Marketing06

A MAJOR MEDIA REVOLUTION HAS JUST OCCURRED…

Consumers Spent More to Reach Media Than Marketers Spent to Reach Them. For years, the consumer went along with a model of intrusion perpetuated by the networks, advertisers and ad agencies…

The consumer has decided to take over…

Consumers are willing to pay for personalized information and entertainment that fits their interests.

August 23, 2004

Content User Generated

Leverage Impacted of Viral

Viral video

• Seen by and estimated 500MM people globally

• Equivalent value of $150MM+ in media

X

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