Participatory MarketingNovember 22, 2008

November 22nd, 2008

Pace University Marketing Association Presents:

The 3rd Annual AMA Northeast Regional

ConferenceIn New York City

Hosted in collaboration with Hofstra University American Marketing

Association

Save the Date!

Michael Della PennaCo-founder and PresidentAiti Solutions

Emerging products, services, media

• 50 plus relationships– The average household has 14 credit

cards*– The typical household has accounts at

four different financial institutions

• American spend 22 hours a year sorting out bills, account information and other paperwork (more than we spend helping our kids with homework)**

Marketing is in trouble - Clutter & information overload reeking havoc

* Cardtrak.com, ** Bureau of Labor Statistics

Traditional metrics are suffering Engagement, Response, List Fatigue, Costs Rising, Collateral Brand Damage

New world/new rules: consumer power and control Social shopping and the semantic web are taking center stage

• People turning to other people• 78% - consumer

recommendations are the most credible form of advertising*

• 3X more likely to trust their peers opinions over advertising for purchase decisions**

• Trust in a “person like me’ has tripled, from 20% to 68% from 2004 to 2006***

Source: Nielsen, “Word-of-Mouth the Most Powerful Selling Tool”, 4/07,** “Social Networking Sites: Defining Advertising Opportunities in a Competitive Landscape,” JupiterResearch, 3/07 ***Edelman Trust Barometer. 11/07

Direct Mail

EmailTV

Radio

Print

WebCatalog

Search

RSS

Affiliate

Text

IM

Widgets

Blogs

Wikis

Podcasting

WebinarsSocial Networks

Video

Mobility

Networks

PushPermission

Participation

Sharing

Syndication

Collaboration

Accessibility

Modularity

Semantic

Aggregators

Marketing Is EvolvingTrust

Our belief: Marketing and marketers must evolvePush, Permission…Participation

Pragmatic

Context

It is about customers getting actively involved in the promotion of your brand

It is about marketing with your customers rather than to them

It is about engaging customer to take an active role in plotting your brands future

Marketing is about ParticipationIt is about charging up your customers and community and putting them in charge

It is about community and collaborative filtering

Don’t Believe?

Check This Out

The first participatory President Creating a conversation with the American people

65% VOTED (1908), $660 MILLION RAISED

Most Watched, Most Followed, Most Fans:• My.BarackObama.com & Blog

• Mobilized a massive volunteer effort = buzz

• Fresh content – interesting & engaging

• Flicker• Campaign photos add perspective

• YouTube: #1• Speeches, songs and music videos

• Linkedin • Encouraged questions & volunteers took part

• Twitter: #1• Announced campaign and rally stops & live video

• Social Networking Sites: #1• Facebook, MySpace, BlackPlanet, Asian

Avenue, faith based, age based, event based

What about big brands?

How are they participating?

Marketers are trying to figure it out Social networks are typically the first stop

59% of Top 100 Retailers have a fan

page

1. Barack Obama 2,197,833

2. Michael Phelps 1,625,018

3. Batman: The Dark Knight 921,322

4. Facebook 834,624

5. Coldplay 797,558

6. Windows Live Messenger 757,932

7. Adam Sandler 750,932

8. You Tube 729,349

9. Apple Students 699,099

10. Linkin Park 686,898

25. Victoria’s Secret Pink 569,576

30. Addidas Originals 540,592

32. OREO Cookies 535,501

45. Red Flavour Pringles 457,673

46. Ferrero Rocher 453,018

But social networks have been a mixed bag? Few winners. Engagement/Advertising. Are you participating?

Top 50

fan pages

But Lots Of Success Stories?

Groundswell: Winning in a World Transformed by Social Technologies

Case Studies:• Forums & Discussion Boards

• Dell, Constant Contact• Idea Exchange

• Starbucks, Dell, Salesforce.com• Social Network

• Beinggirl.com

Microsoft’s Upload Yourself

• Evolution to Participation• Jerry & Bill• Celebrities to Consumers

The Limited’s Ultimate Outfit

• 7,900 entries• 528,000 views• 25,000 MySpace posts

Google’s Project 10100

• 100,000 entries• 100 finalist: Voting starts

January 27th 2009• 1 winner wins $10 million

No Going Back

Careful What You Wish For!

Consumer power must be embraced & respected

How Twittering Critics Brought Down Motrin Mom Campaign

Johnson & Johnson did manage to offend some mothers with an online and print campaign for Motrin that implied moms carry their babies as fashion accessories. But was it a genuine groundswell that felled the effort -- or an alliance of the few, empowered by microblogging service Twitter?

• 5,582 followers on twitter• 35,397 views on YouTube• 1 expensive ad pulled• Millions of dollars in sales

potential lost

Who will lead the way?

Not about media…it is about a movement

Participate & help shape the future The industry’s first Generation Y panel

http://www.thepmn.org/joinourpanel.htmlWin prizes!

Education: Our first event

http://www.thepmn.orgSign up!

Become a fan – visit us on facebook & Linkedin…its free

What will you master?

10,000

“Practice isn’t something you do until you’re good. It is something

that makes you good.”

Thank You!

rthomas@aitisolutions.com

mdellapenna@aitisolutions.com