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    in association with:

    GoinGnative:how Marketers are reinventinG the

    online video advertisinG experience

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    contents

    Summar ...............................................................................................................2

    Frwrd ...............................................................................................................3

    Ging Nativ ....................................................................................................... 4

    Th Changing Fac Distributin .............................................................5

    Th Pwr Vid .........................................................................................7

    Hinkn and 007 .............................................................................................8

    Hnda Miin Mi J and Mnstrs Caing Hm ............................9

    Dmand r Nativ Vid .............................................................................10

    Using Irrvrnc t Cnnct: K-Swiss and Knn Pwrs .............. 11

    Indi Mts Scia Mdia: Th Baut Insid......................................... 12

    Th Advantag Aignmnt ......................................................................13

    Matching th Right Cntnt t th Brand: JtBu .............................14

    Cncusin: Th Futur th Markt ......................................................15

    Mthdg ......................................................................................................16

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    Marktrs ar brad xpanding th tps nin vid cntnt th ar crating and arintrstd in sndicating thir cntnt in was that gt bnd industr-standard rmats.

    Nativ advrtising has mrgd as th cnvrgnc btwn rigina brand vid cntnt

    and dramatica nw apprachs t distributin that nsur an ad matchs th k and

    a wbsit and ds nt intrrupt th viwing xprinc in th mannr a tvisin cm-

    mrcia. Whi th trm nativ ads has nt u caught n with markting xcutivs, th

    cr mnts nativ ad tps ar avrd b thm, which suggsts this markt wi grw

    as awarnss incrass.

    suMMary

    2 | GoING NATIVe

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    Online advertising is in the midst o both a creative renais-sance and a severe attention decit.

    Online video typies this digital paradox; there has been

    an explosion o original brand content that has redened the

    ways brands express themselves, as well as how they enter-

    tain and connect with their audiences. However, at the same

    time, interruptive distribution tactics are showing skip rates

    climbing at alarming rates, and traditional display ads are

    continuing to show paltry engagement metrics.

    These signs indicate that we are at the beginning o

    a new era o online advertising with brand content at its

    core. In a world where consumers are now in u ll control

    o their media, interruption and poor visual integration are

    no longer viable branding tactics. Instead, it has become

    imperative that branded content remains consistent with

    the user experience and visual design o a publishers site.

    In response to this undamental shi t in media, a new wave

    o native advertising models that t with todays social,

    connected web experience is emerging.

    Native advertising is dened as ad strategies that allow

    brands to promote their content into the endemic experience

    o a site in an integrated, non-interruptive way. The core

    attributes o native advertising are strong visual integration,

    choice-based interaction and content-driven experiences.Although creating these native content experiences

    requires a more thoughtul and customized execution

    strategy (as compared with interruptive display ads), many

    o the largest platorms have been rst on board to adopt

    native advertising. This is a testament to the value o

    this new medium. For example, the major platorms on

    the webFacebook, YouTube, Twitter, Tumblr and

    WordPresshave universally adopted native advertising

    ormats, and premium editorial publishers are prepping or

    an industry-wide native ad overhaul.

    The uture o digital marketing is going to be native.

    Advertising experiences like banners, boxes, buttons and

    pop-ups are permanently giving way to ad experiences that

    are native to a publishers site. At the same time the creativ-

    ity is evolving alongside the native medium. Together they

    are producing a new, direct way or brands to connect and

    enterta in audiences across the web. With approximately $11

    billion a year being spent on d isplay ads, there is no better

    time or change than now.

    By dan GreenBerG,

    CEO and co-founder, Sharethrough

    Foreword

    CoPyRIGHT 2012 Forbes InsIghts |

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    Over the past decade, content marketing, specically inthe orm o online video, has become a undamental tool

    or connecting with consumers. It ha s enabled companies

    to reach and engage audiences where they are spending

    increasing amounts o time.

    Native video, a more recent phenomenon in this

    eld that meshes in appearancei not substancewith

    the overall eel o a publishers website, is achieving even

    greater viewer engagement. Companies are deploying it as

    they seek more eective ways to orge stronger ties to con-

    sumers. Dened broadly, native ad units are visually well

    integrated (ads match a websites look and eel), choice-

    based and content-driven (providing a content experience

    or audiences, rather than just a standard commercial). The

    terms native video and the wider umbrella o native

    advertising are still reerred to by dierent names, and

    even interchangeably. This suggests that marketers have not

    settled on precise denitions o this trend.

    When it comes to native advertising, however, two

    principles are clear:

    1. The content itsel is the main event, no longer a side-

    show that intereres with other programming. Through

    humor, pathos or meaningul insights, the content aims

    to create a more entertaining, engaging viewing expe-

    rience. The end goal is that this improved experience

    relects avorably on the brand and leads to stron-

    ger long-term bonds with consumerswhich in turn

    may lead to larger, more enduring nancial benets.

    Online video ormats have enabled companies to push

    beyond traditional advertising boundaries or length

    and the nature o material they cover. Such fexibility

    has enabled them to tell stories with the sort o u llness

    that could not have been done through other ormats.

    2. Content distr ibution has changed. There is no simple

    ormula or paint-by-numbers approach to publishing

    contentas with, say, a banner ad. Rather, there is new

    fexibility or presentation. What are the r ight propor-

    tions or the video? Where should a company place a

    video on a companys web page and what visual ele-ments o the site should the ad mimic? Companies can

    determine more analytically which ormat will create

    the best viewing experience. At the same time, brands

    can be more precise about which websites will ensure

    the widest viewership among the r ight audience.

    GoinG native

    Look and feel: native versus standard

    61%

    Embedded within organic site versus in ad banners

    Choice-based versus interruptive

    60%

    53%

    Standalone versus before, during or after other content

    52%

    Enables video sharing versus doesnt enable video sharing

    Publisher sites: premium content versus not premium content

    48%

    47%

    IMPoRTANCe oF BRAND VIDeo SyNDICATIoN

    FeATUReS

    4 | GoING NATIVe

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    Sixty-one percent o senior marketing executives value

    the look and eel o native videos, which mimic site

    design and interaction, over that o standard video, where

    the video player stands out as a separate advertising ea-

    ture. Interviewees rom major companies and ad agencies

    echoed this opinion, pointing out that consumers are more

    inclined to view content that does not point them directly

    toward a transaction, but rather catches their interest in

    an organic way. Indeed, 60% o executives also pointed

    to the importance o organically

    embedding a video into a sites

    content, rather than delivering it

    in traditional ad banners that do

    not connect to the page in a rel-

    evant or meaningul way. This

    leads consumers to think more

    avorably about the brand that is

    providing the content.

    The shit to native video dis-

    tribution dovetails with creative

    strategies that ocus on custom

    digital assets. In the past, online

    video strategies centered largely

    on the distribution o commercials

    originally made or television, ret-

    roitted or distribution online.

    The end result was something that

    didnt t the medium.

    Sharethrough CEO Dan Greenberg says that native

    advertising addresses viewing preerences that are increas-

    ingly based on the quality o the content and ease o access.

    He believes that as brands, agencies and, most o all, the

    publishers o websites become more aware o its attr ibutes,

    usage will increase markedly. Indeed, click-through rates

    on banner ads have been harder to come by, while skip

    rates on pre-roll ads that precede online v ideos have beenon the rise.

    When you see a banner ad in the New York Times,

    you dont think twice about it, says Greenberg. But i

    you saw a news eed video that had a quick play video that

    expanded, that was native to the page, seeing it during day-

    to-day usage is going to change peoples perception. The

    more publishers we bring on board, the more advertisers

    invest in native. It ends up being a sel-ullling prophecy

    because it will work so well that theyll notice it and see its

    value just by being Internet users.

    Marty St. George, senior vice president, marketing

    and commercial strategy, JetBlue, says that he oresees

    increased usage o this more creative way o advertising.

    Look at what a successul program looks like or display

    advertising, says St. George, whose company has cre-

    ated video game shows, as well

    as a more recent campaign tied to

    the current presidential election

    (see sidebar, page 14). I I have

    a display ad that has a 2% click-

    through rate, thats a really good

    display ad. Ill spin that in a di-

    erent direction, which is i I had

    a display ad that has 98% o peo-

    ple that ignore it, thats sort o

    sitting there inert. I dont think

    thats success at all. When we

    get digital video involved, we

    get signicantly higher engage-

    ment. Weve gone beyond the

    thought o interactive digital into

    creating our own digital content

    wholesale.

    Survey respondents and inter-

    viewees noted that marketing strategies now increasingly

    use long-orm and custom 15- to 30-second content made

    specically or the web, instead o repurposed commercials.

    I I see an ad that promises to be unny or interest-

    ing, or promises to teach me something, on like BuzzFeed

    or theAtlanti c, and I click it, and theyre just trying to sell

    me on car insurance, Im going to turn around and never

    click it again, says Greenberg. Thats an important aceto this market that is [prompting] brands to invest in con-

    tent or the rst time ever. Thats where this whole thing

    starts. It stems rom making content so good that people

    will not only want to watch it, but even want to share it.

    Most brands are thinking about production and engage-

    ment as opposed to interruption.

    the chanGinG Face

    oF distriBution

    Wv gn bnd

    th thught intractiv

    digita int crating

    ur wn digita

    cntnt whsa.

    MArtY st. george

    SVP, Marketing and

    Commercial Strategy,

    JetBlue

    CoPyRIGHT 2012 Forbes InsIghts |

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    In other words, marketers

    are placing a higher priority

    on distributing their videos

    in ways that do not interrupt

    the user experience. This mayaccount or the low use o pre-

    roll video distribution tactics,

    in which advertisements are

    delivered online in a ormat

    similar to television commer-

    cials. In addition, companies

    are looking or ways to dier-

    entiate their advertising rom

    the avalanche o material that

    exists online. But the progres-

    sion rom television-like ads

    to those designed specically

    or an online experience is

    also a response to new consumer viewing habits. Television

    ads are increasingly ignored by consumers even when theyre

    shown on television, as intended. Nearly three in ve con-

    sumers surveyed by Forbes Insights recently said they use

    their DVR to skip ads.

    For me, this is the continuing evolution o advertis-

    ers trying to connect to consumers, says Ron Amram,

    senior media director or Heineken USA. Consumption

    has changed, and advertisers wil l have to continue to ollow

    [consumers]. Quality has become more important now.

    All this suggests a potential or signicant and rapid

    growth or native video. At the same time, however, a lack

    o awareness or understanding o the medium and its bene-

    ts among senior executives may be hampering this growth.

    Indeed, hal o the senior marketing executives who said

    that their organizat ions had no imminent plans to use native

    video couldnt predict i this would change in the uture.

    This may refect the newness o the medium or a lack o

    understanding o its benets or consumer engagement.

    Heightening awareness may boost usage.

    Content marketing such as native video has more in

    common with short lms, documentaries or the creative,

    occasionally irreverent work on YouTube than with tradi-

    tional commercials or the banner ads that are predominantin digital advertising. It is more nuanced, ocused less on

    product messaging than on creating an experience that

    viewers want to repeat and share via social media. It calls to

    the consumer to be engaged, rather than marketed to as

    a captive, passive audience.

    Native video is meant to unction as dest ination enter-

    tainment, as marketers become increasingly reluctant to

    interrupt the consumer experience. Its appeal or market-

    ers lies primarily in its emphasis on compelling storytelling

    and providing an opportunity to go more in-depth into a

    message. A native ads length may extend over several min-

    utes or run in instal lments released over regular intervals. It

    may sadden, amuse, shamelessly tug on heartstr ings or even

    eature a star perormer in a signature role. Interestingly

    enough, particularly successul examples o content mar-

    keting also generate their own coverage.

    For example, Intels six-part Beauty Insideseries this

    summer sought to engage consumers with the possi-

    ble romance o an unlikely couple. A series o Honda ads

    oered surprise outcomes or dedicated owners o Honda

    cars. An episode in a Heineken campaign, timed to the

    opening o the latest James Bond movie, includes a cameo

    by the present Bond, Daniel Craig.

    Such videos are also typically easy to access v ia corpo-

    rate websites as well as other sites that are likely to reach

    target audiences. They do not require viewers to click on

    banners or barrage them with a hard sell . The product men-

    tion may be minimal or occur subtly in the context o the

    story. In short, the goal may be a conversation or at least

    holding a consumers interest in a ormat that eels less a rti-

    cial and more natural.

    Cnsumptin

    has changd, and

    advrtisrs wi hav

    t cntinu t w

    [cnsumrs]. Quait

    has bcm mr

    imprtant nw.

    ron AMrAM

    Senior Media Director,

    Heineken USA

    6 | GoING NATIVe

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    To say that online video has become a staple o the market-ers toolbox would be a signicant underst atement. More

    than hal (54%) o senior marketing executives say that they

    use online video, while 23% are planning to use it, nearly

    70% o them within the next year.

    Companies see online video as an eective way to

    spur higher degrees o brand awareness, retention and

    loyalty. Seven in 10 respondents (68%) to the Forbes/

    Sharethrough survey said that a top objective was to

    enhance brand awareness. Fity-ve percent o respon-

    dents said branding was a goal o online video advertising,

    while 43% pointed to bolstering customer retention and

    loyalty as a leading objective.

    These marketers view paid brand video as a particularly

    eective way to achieve these goals. Three in our respon-

    dents (75%) aim or a measurable brand lit (i.e., an increase

    in awareness and purchasing intent) as a result o their paid

    brand video syndication eorts. More than hal o execu-

    tives (54%) seek a measurable gain in reach and requency.

    And one-third pointed to more active measures o engage-

    ment, including sharing and buzz. Getting consumers to

    talk and share more about a brand, more oten and more

    proactively, are the name o the video game.

    Yet marketers a lso appearto view branded video as

    a way to create a stronger,

    more positive imprint in con-

    sumers minds that may help

    marketers achieve larger,

    long-term goals. Its almost

    an osmosis eect o native

    ads, says Sharethroughs

    Greenberg. I you see it a

    ew times, it will eel as i its

    everywhere, and it will hit

    your brain and register with

    you, as opposed to a banner

    ad, where the impression is

    just a throwaway.

    Custom digital assets are the most popular type o

    assets or digital video advertising. Senior marketing

    executives interviewed said they valued the fexibility

    aorded by custom content. Three in ve executives sur-

    veyed use custom digital assets in their video advertising;

    two in ve (41%) use long-orm digital assets (branded

    content). In a sign that executives by and large recognize

    the power oF video

    ToP oBJeCTIVeS oF CURReNT oNlINe VIDeo USeRS

    Awareness

    68%

    Branding

    Customer retention and loyalty

    Brand affinity/advocacy

    Customer acquisition

    55%

    43%

    30%

    26%

    ToP MeDIA oBJeCTIVeS CoNSIDeReD WHIle

    MeASURING PAID BRAND VIDeo SyNDICATIoN

    Brand lift (awareness, purchase intent, etc.)

    75%

    Reach and frequency

    Sharing (i.e., earned media generation) loyalty

    Building buzz

    Direct response goal

    54%

    33%

    33%

    27%

    Its amst an smsis

    ct nativ ads. I u

    s it a w tims, it wi

    as i its vrwhr,

    and it wi hit ur brain.

    DAn greenberg

    CEO and co-ounder,

    Sharethrough

    CoPyRIGHT 2012 Forbes InsIghts |

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    Amram sas that h is awas cgnizant th cmpans

    rputatin as a prducr prmium br. It wud nt b

    tru t th Hinkn brand t push its advrtising in wid

    nw dirctins t ar ad rm its stabishd mssaging.

    Hinkn is a gba br with a rich histr, sd in 170 cun-tris. W rr t ur targt audinc as a man th wrd

    awas king t d nw things.

    yt ik man thr cmpanis, Hinkn has had t nd was

    t rach cnsumrs via scia mdia. That has mant tring

    nw tps advrtising, incuding ng-rm vids.

    Amng its rcnt initiativs has bn a muti-part sris. Th

    mst rcnt instamnt intrscts with th cming ras

    th nxt Jams Bnd m, Skyfall. It aturs a handsm v-

    rman caught btwn th currnt Bnd, Dani Craig, and

    sinistr-king viains. Th sgmnt nds with Bnd skdiv-

    ing rm a snw-cvrd trst.

    Th ad dirs rm thr Hinkn ads in bth ngth and

    th tp cntnt, and it amassd nar 7 miin viws n

    Hinkn yuTub channs. Marktrs ar awas tring t

    push th nvp and push cnsumrs int nw pacs, sas

    Amram. Im a itt bth [pushing th nvp and wing

    th cnsumr]. It dpnds n th situatin. I u dnt ad at

    sm tims, u dnt captur [cnsumrs] harts and minds.

    heineken and 007

    Fw th cnsumr? or us cntnt t push th cnsumr in nw dirctins? Its an ag-d

    dimma in advrtising. Hinkn Snir Mdia Dirctr Rn Amram sas that his divisin

    th 170-ar-d br manuacturr ds a itt bit ach.

    the weakness o a television-to-digital video approach,

    jus t 28% st il l repurpose television commercia ls online.

    Thus, long-orm branded content has surpassed repur-

    posed TV assets on the web, a testament to the maturation

    o the online video marketplace.For example, Expedias Find Your Understanding

    series amounts to a video blog o quirky, oten touching

    human-interest stories related to travel. The videos do

    not tout Expedias services to help people nd airares and

    accommodations; in act, the company is mentioned only

    briefy in each video. The videos could unction indepen-

    dently o the companys websiteand do. Implicit is theunderstanding that travel transorms lives and that Expedia

    can help you get where you want to go.

    Similarly, as mentioned earlier, Honda uses its Honda

    Loves You Back videos to underscore the sometimes

    extraordinary bonds car owners have with their cars. In

    one, the company eatures a Honda owner who has driven

    his Accord sedan a mil lion miles. In another, a young musi-

    cal group living on a tight budget receives an unexpected

    prize or recording their music video in their Hondas. The

    videos have generated millions o visits on video sharing

    and social media sites, creating a dia logue that had more to

    do with the stories than the attributes o the cars. Moreover,

    the videos have created a larger emotional investment in the

    brand than a traditional commercial probably could.

    TyPeS oF VIDeo ASSeTS USeD FoR DIGITAl VIDeo

    ADVeRTISING

    Custom digital assets (15 or 30 seconds in length)

    61%

    Long-form digital assets (i.e., branded content)

    30-second repurposed TV commercial

    41%

    28%

    8 | GoING NATIVe

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    Hnda wnrs ar amng th mst a in th car industr.Th apprciat th Japans autmakrs w-nginrd,

    rasnab pricd cars and ar nt sh abut sharing thir ad-

    miratin nin. Wk w gt a t ttrs rm ur custm-

    rs saing, H, thank u s much r making a high riab

    car, r pp wh hav bn in cisins, saing, th sat

    ur prduct hpd sav ur ivs, minimiz injuris, things ik

    that, sas Jhn Watts, snir managr digita markting r

    Hnda USA. our custmrs ra apprciat what w d, and

    w wantd t shw thm hw w apprciat thm.

    Svra ars ag, th cs ratinship bcam th basis

    Hnda USAs Facbk and scia mdia s tratg. Th cm-

    pan buit an initia Hnda lvs yu Back campaign n th

    cncpt ppuarizd mr than a dcad ag b th mvi

    Six Dgrs of Sparation: evrn knws smn wh

    dirct r indirct ads t smn amus. In Hndas

    cas, Watts sas th cmpan cratd a Facbk appi-

    catin in which ann cud nd smbd wh vs a

    Hnda r knws smbd wh ds. This prmtin d t

    thrs in which Hnda rwardd its custmrs: r parking

    r Hnda wnrs at Anahim Ducks hck gams (at th

    tams Hnda Cntr arna), massags and d givawas

    at car washs. Hnda vidd th ractins th bncia-

    ris and pstd thm.

    Whn th Hnda Facbk pag rachd 1 miin wrs,

    th cmpan cbratd b psting Hnda-ratd phts

    rm its ans Facbk pags and uppd its rts t nd

    uniqu stris Hnda actin. That d thm t a Main

    Hnda wnr, J, wh had just rachd 1 miin mis n his

    Accrd sdan dmtr.

    Hnda and th ad agnc, ls Angs-basd RPA, bivd

    th str Miin Mi J wud rsnat ud bth in-

    sid and utsid th Hnda cmmunit. yt RPA Snir Vic

    Prsidnt and Grup Accunt Dirctr Brtt Bndr sas that

    traditina shrt-rm vid r tvisin cmmrcia rmats

    wud nt nab Hnda t t th u str.

    RPA writrs suggstd a pt in which Hnda wud thrw a

    surpris parad r J in his hmtwn and award him with

    a nw Accrd. Th mr than thr-minut pic, which cap-

    turd Js astnishmnt as ats, stit-wakrs, chradrs

    and a marching band r b, quick wnt vira and mad na-

    tina nws. W surprisd him, sas Bndr. H thught that

    h was cming t a prss cnrnc.

    Bndr sas that th biggstbstac was maintaining th

    surpris. Had J arnd

    what was pannd br-

    hand, his ractins might nt

    hav bn s pignant and

    ngaging. Hnda saw right

    th bat th pssib m-

    tina cnnctin that cud

    b put tgthr btwn

    cnsumrs and Hnda with a

    vid this natur, Bndr

    sas. Puing it was sm-

    thing. W knw it was ging

    t b a chang, kping th

    surpris and kping th scrt.

    embdnd b th succss Miin Mi J, Hnda and RPA

    tk a simiar apprach this ar with a vr dirnt str,

    abit n in which a pasant surpris was as th basis r

    cnncting with viwrs. Actinat cad Bst Gig evr

    b sm, th ur-minut nin vid cuss n a da in th

    i th indi band Mnstrs Caing Hm. Th grup had

    drawn Hndas ntic b rcrding a music vid in thir Hn-

    das. Hnda surprisd th band b arranging an apparanc n

    th natina tvisd Jimmy Kimml Show.

    This scnd vid as wnt vira. It hit its ga r imprs-

    sins within v das, w ahad schdu. Th vid had

    rcivd mr than 1.3 miin viws n yuTub b octbr

    2012. W wnt w abv what w had targtd ahad

    tim, Bndr sas.

    Watts, a 25-ar Hnda vtran, sas cmpanis hav had t

    bcm mr xib abut th tps advrtising th us,

    and th stp grwth digita has prsntd nw ptins.

    But a mix is sti imprtant t maintain. evn as it dvps

    ths ngr nin vids, Hnda cntinus t prducshrtr vids and thr tps advrtising. I think that a

    ur- t v-minut rmat dsnt wrk w r vrthing.

    But in this cas (Mnstrs Caing Hm), i ur buiding a

    str and u want t ra ngag pp, a ur-minut r-

    mat wrkd vr, vr w, Watts sas. obvius, thr ar

    thr situatins whr w didnt hav v minuts cntnt

    t kp pp ngagd, s its kind a cas-b-cas (basis).

    But cntnt is dnit k.

    honda Million Mile Joe and Monsters callinG hoMe

    W knw it was

    ging t b a chang,

    kping th surpris

    and kping th scrt.

    brett benDer

    Senior Vice President and

    Group Account Director,

    RPA

    CoPyRIGHT 2012 Forbes InsIghts | 9

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    Yet number s can be deceiving ; they do not refect the

    demand or this type o product. The level o demand is

    clear in the high percentage o marketers indicating the

    importance o a native look and eel to online video.

    Indeed, marketers know they must meet consumers on their

    tur; that is, they must provide content in a way that will

    gain and maintain their attention without eeling intrusive,

    inauthentic or one-way.

    A majority o marketing executives value the attributes

    o native video. To be sure, just one-third (32%) o senior

    marketing executives say they have either bought or are

    planning to buy native video advertising o brand videos.

    But in qualitative interv iews or this paper, respondents

    indicated a greater receptivity to the ormat.

    ToP MeDIA DISTRIBUTIoN TACTICS FoR BRAND

    VIDeoS

    Owned media channels (corporate website, YouTube channel,Facebook brand channel)

    51%

    Video display banner ads

    PR outreach

    51%

    34%

    Native advertising

    23%

    Pre-roll or in stream advertising

    Viral video syndication

    19%

    11%

    HAVe yoU BoUGHT NATIVe VIDeo ADVeRTISING FoR DISTRIBUTIoN oF yoUR BRAND VIDeoS?

    ys

    N, but w ar panning t d s

    N, and w hav n imminnt pans t d s

    Dnt knw

    12%20%

    49%

    18%

    deMand For native video

    ownd mdia channs and bannr ads ar th mst ppuar was distributing nin vid-s. Ha snir markting xcutivs rprt using ths tactics.

    10 | GoING NATIVe

  • 7/29/2019 Forbes Insigh

    12/18

    Tak K-Swisss sris irrvrnt vids aturing th cti-

    tius cab tvisin charactr Knn Pwrs. Th washd-up

    basba par in th HBo cmd eastbound & Down, pad

    b th cmic actr Dann McBrid, arnd a a wing

    amng ungr mn r his ast-taking, vugar prsna. Th

    charactr Pwrs sas what is n his mind, n mattr hw

    pitica incrrct.

    K-Swiss has arg bn knwn r its cmrtab, w-buit

    tnnis snakrs. In 2010, it was king r a wa t add ash

    t its imag and hk ungr mn, wh cmps a k d-

    mgraphic in snakr sas. Th Cairnia-basd cmpan

    cudnt spnd as much n an ad campaign as argr cmpti-

    trs such as Adidas and Nik, s it ndd t think dirnt

    t gnrat nw intrst at a pric it cud ard. W knw

    w wantd t cnnct with th 16- t 21-ar d gu, sas

    Matt Jarvis, a partnr and chi stratg fcr r th K-Swiss

    ad agnc 72andSunn. S w thught it was ra imprtant

    that i K-Swiss didnt hav a brand prsnait r quit with

    that audinc, that w cnnctd with th audinc in a wa

    that was mr pr-t-pr and was spaking thir anguag,

    cnncting in a wa that was rvant t thm.

    Snakr cmpanis tpica aign thmsvs with athts t

    buid brand awarnss. But in its rsarch, 72andSunn und

    that th tp cnsumr that K-Swiss was tring t rach

    spnt mr tim n such cntnt-sharing sits as Brak.cm

    and Funnrdi.cm than watching sprts. Fr K-Swiss t

    kind tak a pag ut th traditina markting pabk, it

    was amst guarantd t ai rm th utst bcaus it wud

    just b spnding ss mn against a pan that vrn was

    using, Jarvis sas.

    Th agnc suggstd that an dg apprach aturing Mc-

    Brid as Pwrs wud draw th srt cnsumrs it wud

    nd t crat buzz and incras sas. In a sris vids,

    sm ccking in at mr than ur minuts, Pwrs xts th

    virtus K-Swiss snakrs whi taking vr as th cmpans

    Ceo (h rnams th psitin in a vugar wa). In a sparat

    instamnt, h hds a prduct prsntatin n stag in a wa

    that mcks rmr App Ceo Stv Jbss w-knwn ap-

    prach cmpt with Jbsian turtnck. Pranit is d ri-

    guur in ach part th sris,

    and Pwrs is nt sh abut

    insuting athts wh mak

    cam apparancs: kickbx-

    rs, tba pars, wrstrs

    and cbrit prsna trainr

    Jiian Michas. Th cntnt is

    nt r shrinking vits.

    Th vids shckd sm but

    drw ravs rm thrs, incud-

    ing critics nin vid. Th

    sris wn thr Gdn Pnci

    awards r xcnc in ad-

    vrtising. As r K-Swiss, th

    cmpans prsidnt, David

    Nichs, td oninVid.nt

    in a Jun 2012 intrviw that h wud b th rst t g n

    rcrd t sa that th cmpan didnt s as man shs

    as w wud hav ikd. But Nichs addd that, W did gt

    mr pp taking abut usw incrasd ur sarch rank-

    ing, hits t ur wbsit and incrasd sas. W did this with

    ctiv mdia bus. W wr ab t rach pp withut

    having t pa r tvisin tim.

    B changing th brand imag, this tp attntin can ad

    t mr sustainab utur grwth. Fr a ng tim in th mar-

    kting wrd, ntrtainmnt vau was cnsidrd b man

    agncis and marktrs as a nic t hav, Jarvis sas. In this

    ra, its ast r amin. I ur nt rvant and i ur nt

    making it wrth smbds whi, u can spnd hundrds

    miins dars and pp can cmpt ignr u.

    But cnvrs, i u d smthing thats ra xciting andrvant, u can just absut ar xpand what ur mdia

    spnd is in trms its impact in th marktpac. Crativit

    is a grat ampir.

    72andSunn Crativ Dirctr Matt Murph said in th sam on-

    inVid.nt artic that rms hav t b wiing t tak chancs

    but as knw what th right rmat r thm is. Dnt w

    trnds, Murph said. Figur ut what th DNA ur brand

    is and whats right and tru abut ur cmpan.

    usinG irreverence to connect: k-swiss and kenny powers

    Bcaus thr ar wr bundaris t hd in cntnt and divr, cntnt markting in thrm nativ vid can tak chancs that thr tps advrtising cannt. In sm cass,

    nin vid ma r unprcdntd pprtunitis r cmpanis t rdn thir brands.

    I u d smthing

    thats xciting and

    rvant, u can ar

    xpand ur mdia

    spnd in trms

    its impact.

    MAtt JArVIs

    Partner and Chie

    Strategy Ocer,

    72andSunny

    CoPyRIGHT 2012 Forbes InsIghts | 1

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    Th tit is a rrnc t Int

    parts, which ar nvr sn

    but, in Ints stimatin, srv

    as th brains and hart

    man cmputrs. Hwvr,

    mntin th Int and Tshi-

    ba brands ccurs n bri

    at th bginning and nd

    ach sgmnt.

    Th Bauty Insiduss an in-

    dpndnt m dirctr, D.J.

    Carus, whs prvius crdits

    incud th atur m Distur-

    bia. Th prjct is an nging

    m whr th audinc can

    participat, vn ptntia

    paing th main r. Tphr

    Grac, bst knwn r his r in th Spidr-Man ms, narrats

    th sris as th mind and hart Ax, an antiqus rstrr

    king r v. Th unxpctd trick is that Ax waks up

    ach mrning as a dirnt prsn: a pudg sackr n da,

    an dr man th nxt and s ndirnt gndrs, ags and

    thnicitis. In ach instamnt, Ax is pad b a dirnt un-

    knwn individuaach whm was cast via nin auditins.

    Th ida is that, whi Ax ma chang n th utsid, h

    rmains th sam undrnath. Viwrs wh ik a particuar

    instamnt cud thn arn abut th nxt pisds r sign

    up t auditin t pa Ax in utur instamnts. Mmbrs

    th audinc cud as cmmnt n th pt r tak dirct

    t Ax n th campaigns Facbk wa.

    Th Bauty Insidgnratd mr than 66 miin viws b

    octbr 2012, ang with apprximat 8,400 Twittr w-

    rs and 95,000 Facbk ans.

    T m th ngagmnt was a th pp wh wr intract-

    ing n Facbk, th hundrds and hundrds and hundrds

    cmmnts u saw, sas Gdman. each pst that Ax

    wud mak, th cmmnts that wud g back and rth. T

    m thats what Im king r. It shwd hw ngagd th

    audinc was.

    Th Bauty Insidwas Int/Tshibas scnd ra int scia

    m. Th cmpanis rasd a prgram cad Insid expri-

    nc in 2011. Th 11-da campaign wd a ung wmans

    attmpts t scap rm th rm in which shd bn impris-

    nd. Hr n cnnctin t th utsid wrd is a Tshiba

    aptp thrugh which sh cntacts rinds and ami via scia

    mdia. Th sris drw rugh 50 miin viws.

    embdnd b th succss Insid exprinc, Gdman

    wantd t crat a campaign that was as ng as u cud

    pssib mak it and sti kp th audinc. Sh sas that

    d-st rmats imitd b tim and th tp cntnt that

    brands can shw wi n ngr grab viwrs. T ngag cn-

    sums, th wi hav t cntinu t think mr crativ. W

    think that wv und a nw rm ntrtainmnt, Gdman

    sas. It a cms dwn t th cncpt and th tant thats

    invvd in th cncpt.

    indie Meets social Media: the Beauty inside

    At th thr nd th cntnt spctrum rm Knn Pwrs is Ints rmantic sris ThBauty Insid. Th 40-minut m, which was rasd arir in 2012 in six instamnts, mar-

    ris indpndnt mmaking, scia mdia and advrtising. Int C-Markting Managr Bii

    Gdman cas th gnr scia m.

    W think that wv

    und a nw rm

    ntrtainmnt, Gdmansas. It a cms dwn

    t th cncpt and th

    tant thats invvd in

    th cncpt.

    bILLIe goLDMAn

    Co-Marketing Manager,

    Intel

    12 | GoING NATIVe

  • 7/29/2019 Forbes Insigh

    14/18

    Bcaus a viwing xprinc rganica

    and unbtrusiv intrtwind with a sits

    cntnt is th hamark cntnt markting

    in gnra and nativ vid in particuar, its

    undrstandab that markting xcutivs

    want thir brands intrtwind with cntnt

    th want th brand t b assciatd with.

    Thus, aignmnt with prmium sit cntnt

    is sn b markting xcutivs as amng

    th mst vauab attributs nin vid,

    at 60%. likwis, markting xcutivs as

    pint t vid divr amng brand-sa

    cntnt as adding signicant vau t thir

    brand, at 65%.

    the advantaGe oF

    aliGnMentMoST VAlUABle ATTRIBUTeS oF oNlINe VIDeo

    Delivery among brand-safe content

    65%

    Alignment with premium site content

    Delivery as choice-based

    60%

    57%

    Custom integration within site look and feel

    51%

    Ability to drive sharing

    46%

    CoPyRIGHT 2012 Forbes InsIghts | 1

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    But JtBus Mart St. Grg

    sas th initiativ didnt gnr-

    at as much buzz as th cm-

    pan had hpd; th cntnt

    didnt ti cs nugh t

    JtBus businss. St. Grg,

    wh hd a ss snir markt-

    ing psitin at th cmpan

    thn, saw th mr succssu

    apprach in anthr mvi-

    ratd campaign b 7evn,

    which rmad svra strs

    int th Kwik-e-Mart cnv-

    ninc str aturd in th

    cartn sris. W had a nic

    n-da str, but th cam-

    paign didnt ra gt at what w d th wa th 7evn

    campaign did, St. Grg sas. Cntnt has t gt at what

    th brand is abut.

    JtBu arnd rm th xprinc and cntinud t k r

    invntiv was t markt its. Sinc its aunch in 2001, th

    cmpans uniqu st and idntit hav nabd it t stand

    ut in a crwdd marktpacand t cmpnsat r markt-

    ing budgts that St. Grg stimats t b as much as six t

    10 tims smar than ths cmptitrs.

    Th airin was an ar prpnnt digita advrtising and

    nw cuss mr than ha its markting budgt in this ara.

    Sm its mr succssu, rcnt campaigns hav inkd pr-

    mtins and das t currnt vnts in cvr, unxpctd was.

    Whn I saw 7evn d that I said, yu knw what? Thsgus did it right. W did it wrng, St. Grg sas. ofcia

    airin Springd is c, but it dsnt ra gt at th

    cr what w d. Its nt ik th Simpsns ar ing arund

    a th tim. What 7evn did, highighting Kwik-e-Mart, was

    prct t highight thir brand. Th ssn w tk rm that

    was: i wr ging t d ti-ins ik this, thv gt t ra

    t int what w d.

    In Jun 2012, JtBu cratd Gt Awa With It, a gam

    shw-thmd campaign highighting th cmpans Gtawas

    vacatin packags. Th shw ran in rugh 15-minut insta-

    mnts iv-stramd vr v das. Cntstants answrd

    trav-ratd qustins via Skp, whi viwrs cud arn

    hw t bcm a cntstant n th JtBu wbsit, which

    as inkd dirct t th shws. I u mad it thrugh 12

    minuts that vid, u arnd an awu t abut JtBu

    Gtawas and abut JtBu, sas St. Grg. Th gd

    thing is that th shws ar actua hiarius. S u nt n

    arnd ths things, but u actua had a gd tim, t.

    Mst rcnt, th cmpan has bn running an ectin Pr-

    tctin campaign in which it prmiss t giv r intrnatin-

    a, rund-trip tickts t abut 1,000 custmrs wh vtd r

    th sing prsidntia candidat. Th initiativ cnncts airin

    trav with th as mst signicant currnt vnt, and cas at-

    tntin t JtBus intrnatina businss, an ara its cusing

    n and king t grw. JtBus agnc, Bstn-basd Mu-

    n, und an bvius ink btwn th tw: th mck thrat

    t av th cuntr i a candidat ss.

    Th cam back with n ths cr insights hw air

    trav and prsidntia ctins ti t ach thr, St. Grg

    sas. That was prct r us. Histrica, w didnt an

    intrnatina srvics as a cmpan; wr nw ing t 21

    dirnt intrnatina dstinatins rm Nw yrk. Its n

    th things that w cud gt acrss. Th scnd thing is [that]

    it shws that brand prsnait that wr awas tring t gtacrss t ur custmrs. This t it prct bcaus it was n

    ths things whr th minut u har it, ur ik, oh

    m Gd, thats s briiant!

    MatchinG the riGht content to the Brand: JetBlue

    Fiv ars ag, JtBu dvpd a campaign tid t th pning Th Simpsonsmvi, prtraing its as th fcia airin Springd, th ctina hmtwn th

    cartn ami.

    Cntnt has t gt at

    what th brand is abut. I

    wr ging t d ti-ins,

    thv gt t ra t

    int what w d.

    MArtY st. george

    SVP, Marketing and

    Commercial Strategy,

    JetBlue

    14 | GoING NATIVe

  • 7/29/2019 Forbes Insigh

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    Advertisers already appear to recognize the power and

    potential reach o this type o approach to digital video;

    23% o executives said that native video has become a top

    media distribution tactic. As well, more than hal o adver-

    tisers (61%) validated the importance o a native look and

    eel or their ads rather than a standard ad placement. This

    suggests that demand or native advertising in the near

    uture will rise signicantly. Theres clearly ample room

    or such growth.

    Hal o survey respondents who dont yet use native

    video said that they didnt know i they would consider

    native advertising in the uture. As awareness o its ben-

    ets increases and more brands nd success with native ad

    options, the uncertainty will diminish.

    The disconnect between those currently using native

    ads and those who value its very advantages suggests that,

    once awareness o native advertising increases, so too will

    the number o brands that deploy it.

    conclusion: the Future

    oF the MarketAs marktrs undrstanding what ngags cnsumrs ninand what avs thm

    cdvvs, sm marktrs ar pting r nin vid apprachs that ar ss a rt-

    rtting tvisin ads and mr str-basd, rvant and asi accssib cntnt that

    is a dstinatin, nt intrruptiv. Indd, advrtisrs ar car thinking abut nin vid

    distributin vr dirnt rm tvisin. Mr than ha (57%) und that divring thir

    vids as chic-basd, rathr than intrruptiv, was n th mst vauab attributs

    nin vid.

    CoPyRIGHT 2012 Forbes InsIghts | 15

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    aBoutForBes insiGhts

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