MARCH 20, 2018
D I G I TA L I N N O VAT O R S ’ S U M M I T
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BERLIN
THREE WAYS FORWARD
FOR MODERN ADVERTISERS
Bernhard Glock |
[email protected] NEW YORK
LONDON
FRANKFURT
LOS ANGELES
CHICAGO
SAN FRANCISCO
AGENDA FOR TODAY
T H R E E W AY S F O R W A R D FOR MODERN ADVERTISERS Who am I and why am I here What’s keeping advertisers up at night The three focus areas for modern advertisers to win:
• Data proficiency • Partnerships • Trust
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AGENDA FOR TODAY
T H R E E W AY S F O R W A R D FOR MODERN ADVERTISERS Who am I and why am I here • Bernhard Glock ‒ Former President, World Federation of Advertisers ‒ Former Vice President, Global Media and Communication, Procter & Gamble ‒ President and CEO of my own companies ‒ Senior VP, MediaLink What’s keeping advertisers up at night The three focus areas for modern advertisers to win: • Data proficiency • Partnerships • Trust
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AGENDA FOR TODAY
T H R E E W AY S F O R W A R D FOR MODERN ADVERTISERS Who am I and why am I here What’s keeping advertisers up at night The three focus areas for modern advertisers to win: • Data proficiency • Partnerships • Trust
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A wise man speaks because he has something to say; a fool because he has to say something. – Plato
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S T R AT E G I C A D V I S O R S E R V I N G C O N V E R G I N G INDUSTRIES – HELPING BUSINESSES GROW MediaLink creates competitive advantage, growth strategies and
CREATING OPPORTUNITIES IN THE CONTEXT OF REALITY
enterprise value for companies at all stages of the business life cycle that Marketing
operate at the intersection of media, marketing, advertising, entertainment, technology and finance. • Founded in 2003, 150+ employees, Offices in New York, • London, Frankfurt, Los Angeles, Chicago and San Francisco We are not consultants, but high level practitioners, grounded in a pragmatic reality
Entertainment
Technology
Media
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AGENDA FOR TODAY
T H R E E W AY S F O R W A R D FOR MODERN ADVERTISERS Who am I and why am I here
What’s keeping advertisers up at night The three focus areas for modern advertisers to win: • Data proficiency • Partnerships • Trust
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W H AT K E E P S A D V E R T I S E R S A W A K E AT N I G H T
Future proof
Consumer insight
Agility ROI Update contracts
Reduce cost
Relevancy
Better advertising
Transparency
Ecommerce
Slash agency fees
Functional expertise
Global scale Increase digital
Better talent
Local experience
Leadership
Content Database
New agency model
Streamline operations
Effectiveness
Better buying
Systems and software
Brand safety
Right culture
Simplicity Increased loyalty
Speed
Facebook, Google Amazon, Apple
Invest in emerging tech
Digital literacy Customer experience 7
You don’t want to be the last one being out of the loop
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AGENDA FOR TODAY
T H R E E W AY S F O R W A R D FOR MODERN ADVERTISERS Who am I and why am I here What’s keeping advertisers up at night
The three focus areas for modern advertisers to win: Recipes for • Data proficiency focus and success • Partnerships • Trust
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Data Proficiency
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D ATA P R O F I C I E N C Y Communication
Creative
Advertising
Planning
Media Strategy
Research
Measurement
Media buying
DATA PROFICIENCY
Marketing
Implementation
Analytics
Finance
Media
Production
Procurement
Research
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D ATA P R O F I C I E N C Y What skills and capabilities are needed to do marketing smarter? • It’s all about better understanding PEOPLE, our consumers • Need to deal with proliferation of devices and advances in artificial intelligence • Need to corral data effectively, develop new tools and approaches that let you deliver a message that matters to a person who cares • Deal with technology that is disintermediating today’s agency models • “You need to clear the chaos.” However you do it ‒ Flatten and simplify your structure. ‒ Tear down silos ‒ Be more agile and to solve problems holistically • “It’s imperative to have someone on the client side that is equipped and empowered to be driving external partners – and not the other way around”
You should be using more data to make more decisions And key to doing that is to start asking questions that you need data to answer … •
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D ATA P R O F I C I E N C Y What are the outsourcing and insourcing decisions? • Shades of gray between insourcing and outsourcing • Drive the strategy and have ownership, also for e.g. 1st-party data • Data warehouses for gathering and analyzing both first and third-party data • Protection of proprietary data sources • Trend to insource things like programmatic buying • Firewalled trading desks • Direct-to-tech relationships (DMP, DSP) • Technical expertise in data warehousing/management and contemporary measurement models • Preparedness for an automated communication future
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Partnerships
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PA R T N E R S H I P S Choose between many different possibilities • Direct partnerships or via Intermediaries • Direct to Advertisers or via the Agencies • Deal with a few Generalists or many Experts • Be senior and thus be a mentor or be senior and thus get mentored • Accept that you don’t know - and count on and trust others … • Feedback we get from publishing and technology clients: “.. how little the average client partner actually taps into ..”. We’re talking free research, audience segmentation, competitive learnings, beta tests and more.
Agency reviews and content creation proliferation disrupt existing partnerships
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PA R T N E R S H I P S How to reinvent and navigate a new agency model? • Most reviews challenge the current agency model ‒ Reflect where you are and where you’d like to be ‒ Benchmarking ‒ Model selection ‒ Pitch ‒ Transformation and Implementation ‒ Measurement and Adjustments
Collaborate better – find, assess and execute partnerships
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PA R T N E R S H I P S How to become a Content Creator? • Let’s face it. Every publisher, media agency, brand, media owner, entertainer, teenager, and the leader of the free world has one thing in common. They are ALL in the content business. • So do it • One of us pitched the global business alongside three areas: ‒ Content, e-commerce, talent
BUT WHATEVER YOU DO, MAKE IT FIT TO YOUR BRAND
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TRUST Trust – eroded... • Allegations of agency kick-backs and misused client funds have fueled client distrust of agency partners. • Clients are demanding increased visibility into: ‒ Rebates and kick-backs from vendors ‒ Competitive conflicts ‒ Media pricing structures (particularly in programmatic) ‒ Financial practices (audit rights)
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TRUST Trust – regain it • Trust has to be build with your partners and with your client. • Trust is hard to earn, but it’s impossible to repair. • Our entire industry is built on relationships. • The recent legal issues need to be a thing of the past. • There are different levels and layers of trust. ‒ From Love to Lost kind of … or even if you want to trust the agency, chances are that your management and board are reading WSJ articles and questioning you. So be completely buttoned up, or look like you are, when you tackle questionable behavior.
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TRUST What should be your demands? • Request accountability of every dollar that is spent in media • Relook at and re-negotiate your contracts • Demand more transparency and visibility • Verify Metrics • Ensure dollars spent lead to valuable and measurable consumer connections ‒ Spend Dollars to pay for data and verification layers • If you are transparent about not being transparent – make sure your partners are comfortable with that • … and remember when you started to trust a friend …
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D ATA P R O F I C I E N C Y
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PA R T N E R S H I P S
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TRUST
How can you make your demands a reality?
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Time for questions ?
[email protected] 23