Media Evolution or Media Revolution?

Paper [r]evolution in a world full of friends, fans & followers

2012/11/15 – Christophe Mottint

Agenda

• The world is changing… or the place of the customer within this media (r)evolution

• Media dynamic and conversation: 2 cases brought by bpost

• Paper evolution in this world full of friends, fans & followers … or the letterbox media as a key actor to bring relevancy to consumers

• Paper revolution or how to build a new technology-driven communication tool

• Conclusions

2

The world is changing…

… or the place of the customer within this media (r)evolution

Sources: Dreams&Fears Herman Toch 4

More and more, consumer is looking for a conversation…

Consumer is looking for a partner who can help him

Customer needs to establish a “dialogue” with a brand, to discover how they can help each other

Sources: Culture of future (US), Meerwaarde-marketing – choco (B) 5

« You are exposed to a brand through the following » :

... that creates a new media „dynamic‟

Paid Media Owned Media Earned Media

What the Brand Says What the Brand Does What is being said about the Brand

Brand attention impact Brand engagement platform

Conversations

Opinions of friends and family, word of mouth

Opinions of surfers(blogs, forums, community

networks, etc ...)

Press coverage

Advertising in media (TV, Internet, Radio,

outdoor, print)

(e-)mailings

Promotional gifts, trade fairs

Sponsored events

Web Site, facebook page of the brand

Point of sale

Catalogue or magazineof the brand

6

Media dynamic & conversation

2 cases brought by bpost

Our recent TV spot has generated some conversation…

8

Ask visualNele

1 2Case

Bonding

Att

en

tio

n

COMM. VALUE

• Attention & bonding grid

IDEAL

ADVERTISING

ONLY

ENTERTAINING

MISSED

OPPORTUNITY

FAILED

ADVERTISING

The ad can be described as ideal advertising. The ad had a lot of

attention and succeeded in creating a bond with the viewer.

Benchmark

Min Attention = 16

Max Attention = 22

Min Bonding = 21

Max Bonding = 35

... quite “clasical”, from our social media…

Positive (63.3%) Negative (21.3%)

Neutral: 15.4%

9

1 2Case

Quantitative Post test results: The ad has a high likeability, 85% of the Belgians like the ad, of which almost 60% really like the ad.

… but also in a more unexpected way with a parody…

10

1 2Case

… and with letters straight from the heart!

11

1 2Case

Social media: a clear strategy and ambition…

12

1 2Case

Become trend-setter in Belgium as conversation company by:

• Implementing a strategy based on 5 pillars

• Defining and respecting SLA

CUSTOMER CARE“Light”

MONITORING100%

PUBLISHING

eREPUTATIONMANAGEMENT

UPSTREAM INFORMATION

… to become best in class

13

• 15 Belgian companies tested with 3

types of interactions :

• Mention of the brand

• Direct question on official channel

• Complaint on official channel

• We monitored: reaction speed, type

and quality of answer

• bpost is « best in class » with 100%

of questions answered and is often

the fastest

• Next step will be to implement

personalised support

1 2Case

One example

• Process:

• Mention is made by consumer

• In a few minutes bpostpublishes a structured answerwith a next step

• Reaction from consumer is often very positive and results in a tweet – seen by all contacts

• Learnings:

• Mentions – implicit support demands – are the best opportunities for long-term ambassadorship

• Public answers create positivevisibility for our reactiveness

• Such a process is only possible with 100% real-time monitoring

1 2Case

Paper evolution in this world full of friends, fans & followers…

… or the letterbox media as a key actor to bring relevancy to consumers

While most media are overloaded, DM still gets a lot of attentionWeekly number of advertising messages per capita

SOURCE: Mindshare - Henley Centre (and TNS Media & Post survey)

3,000messages/week

52 get your

attention

4 kept in mind

positively 200 TV ads150 radio ads

1000‟s of ambient

ads ...

20 e-mail ads

3 cinema ads

3+ DM pieces

400 press ads/inserts

350+ out-door ads

17

Two thirds of Belgian consumers look forward to the mail moment

Hurry to empty

the letter box

61%

Always curious

what‟s in their mail

69%

Enjoy looking through

their mail

61%

Sources: Market Probe, 2011 18

Addressed DM remains the preferred advertising medium

“Overall, which media do you like the most for advertising messages?”

31%

23%

13%

7%

5%

4%

3%

Addressed DM

Unaddressed DM

TV

Press

Email

Internet

Radio

Sources: Market Probe, 2011

In het algemeen, via welk medium ontvangt u het liefst reclame?De manière générale, sur quel média préférez-vous la publicité ?

19

Even young people prefer DM as instrument of interaction

20

29

21

10

7

7

4

Internet

TV

Addressed DM

Email

Press

Radio

20

Percentage of digital natives (<25 year old) who prefer to get advertisement through …

“People don‟t click through on advertising on social networks. A good analogy is to imagine sitting at a table with friends when a stranger pulls up a chair, sits down and tries to sell you something when you are talking to your friends. You won‟t get far with a strategy like this.”

Understanding Users of Social Networks, Sean Silverstone

Harvard Business SchoolSources: Market Probe, 2011

Consumers like direct mail because they find the information more useful and trustworthy than other channels

Advertising through this medium provides me with information which is …

Sources: Market Probe, 2011

Useful

13

18

17

27

40

Trustworthy

10

11

12

20

34

Social Networks

Radio

Press

Email

TV

Unaddressed DM

Addressed DM

Credible

12

11

16

21

35

21

E loves p in the media revolution landscape

22

Fondée en 2009 à New York par deux anciens d’Harvard, Paperless Post a bâti

sa success story sur le digital. En décidant de revenir au papier pour compléter

ses services de cartes d’invitation ultra personnalisées, la startup répond à une

demande " palpable " du consommateur. Intéressant non ?

« Depuis que nous avons lancé le site, 60% de nos utilisateurs nous ont demandé

s’il était possible d’imprimer leurs cartes et si oui, comment le faire. Ils nous ont

clairement fait comprendre qu’ils aimeraient disposer des deux possibilités. Cette

requête de complémentarité, nous ne pouvions pas ne pas la prendre en

compte »

RecherchRecherchRecherchSubmitSubmitSubmit

3 illustrations brought by bpost

Travel(Club Med) improves loyalty by combining digital technology with paper mail moment

Credit company (BuyWay) improves the way its consumer can manage their credits

An FMCG brand closes the gap between research insights and media targeting

23

Improving customer loyalty by sharing Club Med experience…

1 2 3Case

24

… with an innovative tool allying technology and paper

1 2 3Case

25

• Granting Customers• Surprise customer or prospects

• Create reward through a „valuable‟ incentive

• Recruiting addresses• Build prospection database

based on recipients addresses (likely to be similar profile as senders)

• Creating conversations• Share this moment on an viral

and unexpected way

• Will generate „likes‟ among friends and relatives …

1 2 3

Improving customer experience… Case

26

… with transaction based triggers

27

1 2 3Case

From product

centric to customer relevant

1 2 3

Connecting with FMCG consumers…Case

28

…but who are FMCG consumers?…

Critical challenge for FMCG brands:

Who are my consumers ?

How to reach them ?

ConsumerFMCG

Bob McDonald, CEO P&G Paul Polman, CEO Unilever

?

1 2 3Case

Retail

Kasper Rorsted, CEO, Henkel

29

… and how to reach them in a relevant way

1 2 3Case

30

Detects buying behavior in consumer panel, derive profiles and match them with bpost SelectPost lifestyle database to determine

new prospects

Extrapolation based on advanced statistical modeling (e.g. multinomial logistic regression)

Lifestyle database with attitudes, behaviour & preferences of over 750.000 households

Consumer panel (N=5.000)

registrating their purchases daily

Paper revolution

… or how to build a newtechnology-driven communication tool

A new media, to improve even further the mail moment

Local information

Agenda: concerts

Practical informations:

meteo

Games: Sudoku…

Address

32

An innovative way to continue to deliver tangible things to your doorstep

33

Test has started today November 15 in Wavre

neighborhood

Conclusions

Conclusions

• True Relevancy is at the heart of brand challenges

• It is not about “E or P” but about both

• Technology is not an objective, it‟s only a medium

• Direct Mail is certainly well positioned to meet needs of consumers for more relevance but as every medium it deserves creativity

• bpost is much more than letters and is investing in future proof solutions

35

Christophe Mottint

Centre Monnaie, 1000 Brussels

Christophe.Mottintr@bpost.be