Article tagué Paid Media
From touch point to point of sale, the digital revolution is commercial; the value of your brand tomorrow lies in its media value today.
The touch points for brands, whether they are on television, the written press, radio, Internet, mobile phones or social networks, are becoming points of sale.
Welcome to the core of the Apple business model. Thanks to the proliferation of touch points – iPod, iPhone, iPad, etc., and tomorrow Apple TV – points of sale have multiplied.
In 2001, Apple launched the iPod, a new touch point for the label, thus opening a new playing field for Apple: music.
In 2003, Apple inevitably became an on-line point of sale via iTunes (over 60% of on-line sales of music in France, over 15 % of the total market).
Apple now sells music in addition to terminals.
On 19 May 2001, at Tyson’s Corner in Virginia, Apple emerged as an off-line point of sale, and since then, 354 other Apple Stores have opened all over the world. Today, Apple has a turnover/m2 of 5 000 dollars, a record in the US, all chains taken into account.
On 11 July 2008, the App Store, a new on-line point of sales, was inaugurated.
On 6 June 2011, 425 000 applications were available, including 90 000 for iPad and 100 000 games, in other words, 14 billion downloaded applications in 3 years, and a turnover of 300 million dollars.
Eventually, the income earned from the distribution of third-party software might become as significant as the sale of equipment.
Touch point, point of sale, Apple is not alone in this new race for an audience, the latest Holy Grail, in which it is becoming increasingly expensive to buy the attention of the public.
Brands are becoming media and points of sale
In the US, you can already buy Pampers on the P&G site, on Amazon of course, but also on Facebook. Not convinced? And yet in early 2011 Walmart asked P&G for a link between walmart.com and the Facebook page of Pampers.
The first round for the king of marketing in the ring of the king of distribution.
In France, although all car producers have not completely crossed the threshold, the luxury brands are now available for sale on the web.
This is fuel for innovation, and the cosmetics giants could draw inspiration from the business
models of Yves Rocher or Kiehl’s that now sell both on-line and off-line.
From a monologue, from a distribution monopoly, we are entering the era of dialogue and negotiation, as well as of audience marketing. Digitization has given us the capacity to produce the audience that makes the difference, the sale … and distribution is no exception.
Points of sales become media.
Although the pure players, such as Vente-privée (a private sales outlet), fully assume their media dimension, which leads to the discovery of brands and triggers impulse purchasing, and the bricks and mortar are launching as media with genuine legitimacy (Walmart in the US is the fifth television channel with 140 million visitors in its stores every week, Carrefour in France, records for 600 million payments at cash desks in a year, FNAC ensures the majority of its media contacts (56%) with the public through its web sites and points of sales), physical distribution accounts for 53% of Owned Media in France in 2011 and one third of the media exposure of mass consumption brands.
Carrefour, leader of the Owned Media sector (44%), ahead of Leclerc (38%), has set up its first media “sales house” in France with a “below, above, on, off, cross, pluri” inventory…
Another example of a business model undergoing transformation.
The media become points of sale
TF1 has launched the GRP with guaranteed business efficiency, the GRP QA, a screen that produces an audience based on purchased quantities.
YouTube, with 800 million unique visitors a month, has launched an on-line boutique, concert tickets, by-products of videos, mp3 downloading. The written press is testing new digital extensions, such as Le Parisien, which has acquired a majority stake in Clubdeal, a centralized purchasing site, presented as the French-style Groupon website; by-products represent 12 % of the turnover of Prisma Presse, 25 % for Le Figaro and the group Les Echos. At Prisma, digital activities (on-line advertising, stock exchange advice, etc) amount to 55 % of this so-called « by-product » turnover.
A changing press that refuses to bite the apple offered by Apple.
After the Financial Times, which stopped its on-line dissemination through the firm Cupertino last June, thus freeing itself of the 30% commission on sales and subscriptions available on-line, leading French editors of daily newspapers and magazines announced on 14 October that they refused to market their titles through the Apple News Stand
Buy, buy now… from touch points to points of sale, there is no borderline between brands, the media and distributors.
Digitization pushes brands into a third dimension, and it too becomes both media and point of sale.
It is its capacity to create an audience that makes the difference and the sale …
This is the end of the dictatorship imposed by distribution, a breach in the monopoly held by the historic media, a historic challenge for brands that are changing into media.
One dictatorship drives away another, that of the audience replaces the monopolies of yesterday, opening up new opportunities and heralding in the latest « must haves ».
The universal value of tomorrow will be neither the euro nor the dollar but the audience of the brand measured in three Paid, Owned and Earned (POE) media dimensions, their Global Media Performance (GMP).
So here is a tip for your stock exchange investments: the value of brands tomorrow lies in their media value today.
Marketing managers will become programme managers and media agencies will stage the audience of brands in three media dimensions.
Ask for the programme of your brand in 3D: the new MPG POE barometer, the only media performance evaluation of labels in their three Paid, Owned, Earned dimensions, has just been released.
Good old Steve!
Making the Prius be part of the consumer’s short list
Paid Media :
Substituting the normal gas filling locution « you’ve selected un-leaded fuel, thank you for your visit » by an ad-hoc Toyota Prius version :
« you’ve selected un-leaded fuel, if you had a Toyota Prius you would not hear this locution so many times, for more info please please ask for the Toyota folder at the gas station or in the closest Toyota dealership »
Sales increased over 292 % vs goal (source : Toyota)
Awareness increased + 441 % (source : IMOP)
Loosing warmth because of windows not adjusted to cold russian winters makes people waste money.
Rehau windows save warmth and save expenses for heating.
« wasted » Paid media :
Live demonstration how people waste money : literally throwing real money out of the window of a billboard. (7000$)
Earned media :
More than 200 media highlighted the event for free over 40 million of russians
Make Solo more relevant and encourage Norwegians to drink Solo more often
Familie’s soft drink consumption is controlled by the family’s youth…among this group Solo had the weakest position
They decided to win the youth
Make Young people Solo ambassadors engaged in a spectacular and un Norwegian project –to make Solo World famous
Paid Media :
A billboard campaign on Sunset Boulevard in LA, together with sampling, events & celebrity endorsements (Paris Hilton, Lindsay Lohan).
Earned Media :
Norwegian were given the opportunity to upload their own billboards to video screens via internet in Hollywood and to sample Solo to all corners of the World
150 times on editorial space
300 000 visits to Solo.no
18 000 digital boards made
13 500 invites to send a Solo
Biz results :
penetration-from 80 % to 86 %
consideration-from 54 to 67 %
monthly consumption-from 23 to 34 %
favorite brand-from 9 to 14 %
Detroit, world capital of the automotive…Head Quarters of the big three…manufacturing belt became the rusting belt…
Prius is the new star car. American people are proud to drive asian (Sting,
Leonardo Di Caprio, Julia Roberts, Jessica Alba)
In 50 years, the town lost 1 million inhabitants
In 2005, one-third of the population lived below poverty line and Chrysler historical american brand goes bankrupt in 2009
2009 : The historical american brand becomes an italian brand
Identity loss ? And the heritage ?
Fiat didn’t sacrifice the legacy and reconnected Chrysler with “sweet home Detroit”, preempting a phenomenal brand Owned media potential. (Chrysler is not more legitimate than Ford or General Motors in Detroit).
Owned Media Detroit :
Smart use of the city and it’s american values (patriotism, family, work)
The cradle of a lot of stars (Eminem, Diana Ross, Marvin Gaye, Stevie Wonder, the White Stripes, Francis Ford Coppola…)
A big guest star : the native son, Eminem (bridge between yesterday and today)
And other stars of Detroit :
Ndamukong Suh, Detroit’s Lions’ football player
John Varvatos, Detroit’s createur, former Art Director of Calvin Klein and Ralph Lauren
A shop about the ad : posters, t-shirts, caps, stickers…
Chrysler is the new talent scout of Detroit => Presentation of Detroit stars on YouTube (music, sport…)
A customised logo
Paid Media :
A new car : the 200
A new ad : 2’’ “Eminem” spot during the 2011 Super Bowl Finale
The most expensive ad of the Super Bowl
Earned Media :
In the Top 10 during 3 weeks, Back on chart 4 months later
+110.000 Fans Facebook
+11.800.000 Views YouTube
+6.000 Followers Twitter
2 times more buzz than Lexus and Cadillac in the USA in May 2011
Top 10 Viral Video Ads Chart by Adage
Hijacked media :
A6 spot aired on the Internet in May 2011
Pure Detroit , launched “Imported From Detroit” t shirts and merchandising
Increased sales by 22% in april 2011 /2010 !!!
80 brands, 8 economic sectors, 2 400 interviews, 15 + years old, to scan Belgium’s Media landscape…and the results are : 58 % Paid Media, 17 % Owned and 25 % Earned Media.
Interactivity is no more an option but an obligation !
Social media development has empowered word of mouth.
It will be more and more vital for brands to build up Owned and Paid strategies to influence the 25 % of Earned Media that is generated by the public and journalists.
Every single media strategy has to be social media driven as of today and even more tomorrow.
If 2 media contacts out of 10 are out of any control of the brand for soft drinks, telecom, banking, retail and automotive, this score of Earned Media is even higher for :
- Iconic brands 27 %
- Transport 28 %
- Travel 43 %
Owned Media wise, retail 26 %, transport 24 % and banking 22 % are the only sectors that have been able to create perception…with internet brand websites counting from 30 to 45 % for Automotive and from 40 to 60 % in Banking .
In this Owned Media arena, new coming challenge for these sectors will be to turn real life assets into Owned Media competitive advantages.
Last but not least, Paid Media is far from dead at the social media age, with 5 to 7
contacts out of 10 depending on the sectors, advertising is still a rock robust
driver of communication for brands in Belgium.
Interested to get your brand’s POE Media profile, we’re here…
8 mai 1886, premier verre de Coca-Cola servi dans une pharmacie d’ Atlanta.
Il y a 125 ans, John Pemberton inventait la formule de Coca-Cola.
Marque la plus célèbre du monde, Coca Cola se classe première marque non media dans le top 10 du baromètre MPG POE 2010, au 7e rang, forte de sa première place en Paid Media.
Coke se classe également au dessus de la moyenne en Earned Media, dominant sa catégorie des boissons et faisant jeu égal avec des marques comme Orange, Ikea ou encore E Bay…
mais elle affiche un score de Owned Media très faible…le plus bas de sa catégorie, un monde séparant la marque de sa consoeur Mc Donald’s, numéro deux du Owned Media en France, forte de son réseau de centaines de restaurants.
Pourtant si la « world company » n’a plus pour objectif de remplacer l’eau bue par les Terriens par du Cola-Cola, comme à la fin des années 1990…elle multiplie les points de commercialisation ( 20 Millions dans le monde, 500 000 nouveaux en 2010 ) dans la rue, au restaurant, chez le boulanger, au cinéma, et même dans une agence de voyage à Marseille. Nouvelles cibles dans la capitale, les boutiques de souvenirs, salles de sports, magasins fréquentés par les nouvelles générations (jeux video, culture, sports)…nouveaux points d’atterrissages pour les frige box, ardoises, présentoirs de menus, sets de table, serviettes et autres parasols griffés. Toujours à Paris, jusqu’au 26 juin, l’ Espace 125 Coca Cola, pour vivre la légende, que de chemin accompli depuis 1919 début de la commercialisation à Paris, au Harry’s Bar.
20 Millions de points de vente dans le monde, autant de points multiplicateurs de contacts, mais commercialiser n’est pas communiquer…
et si le Owned Media de Coca ce n’était pas tout simplement les USA ?
Première en 23 ans, Pepsi ne participe pas au Super Bowl 2010.
La marque décide de consacrer le budget publicitaire de l’événement (environ 20 M $) au projet social media driven « Pepsi Refresh project »,
des idées pour rafraichir le monde, financées à hauteur de 5 à 250 000 $ pour des travaux associatifs.
A partir du mois de février 2010, les internautes américains pourront voter parmi 1 000 projets soumis chaque mois, et répartir ainsi la cagnotte mensuelle (1,3 millions de dollars) aux initiatives les plus populaires dans 6 catégories : Health, Arts&Culture, Food&Shelter, The Planet, Neighborhoods, Education.
Owned : 51 Millions de votes vs 133 M élection présidentielle 2008
Earned : 3,3 M fans
Fin 2010, ventes Pepsi – 2,6%, Pepsi-Cola passe de la 2e à la 3e place des boissons les plus vendues aux États-Unis, juste derrière Coca-Cola, et Coca-Coca Light.
Février 2011 : retour de Pepsi au Super Bowl
2011, le Pepsi Refresh Project continue avec un nouveau twist…
et un peu de Paid pour transformer cette grande et belle initiative Owned media en business ?