How Digital is Changing Automotive Marketing

Hi everyone

Jim Farley, Global Group VP of Ford Motor Co, gave a great talk last week on automotive marketing.

Watch a brief highlight here. It will only take 3 minutes.

What Jim says, and also in this article, is important not only for automotive but for most other industries.

To sum up Jim's key points, and the impact that digital is having on marketing overall, are these three key points:

1. Campaign Timing Changes: Instead of focusing all elements at launch, digital and always-on platforms allow marketers 'flatten out' the campaign curve both before and after launch. Much more can be used on digital to get customers interested in the story and experience, and thus on the shopping list. And much can be spent afterwards to maintain the dialogue in a believable and customer-centric way.

2. Media Usage Changes: It follows then that media spend, combining traditional and online, is more spread out with much more spent on engaging the user with an experience. As Jim says about media spend, "we have to allocate resources differently because difference resources (social and digital) change the content and the dialogue after launch. It's much more manageable (than a big bang all at once), and it impacts how we build the product."

3. Creative Changes: Listen to Jim again: 'We're about the person, not the web site or channel. I'm not interested in advertising on a little box because it's what's in the box is important. We want to blow up the box..and change the way we interact with the customer, and we want it to be around experience."

"That's what digital has taught us: how to earn credibility among consumers". At that's what companies like Ford are doing with branded utility, with communities, and campaigns like Ford Fiesta Movement.

Here are 4 other automotive campaigns from other motor companies leading the way with this philosophy:

- VW The People's Reviewer

- Polo Get Behind The Wheel

- Mini Road Service iPhone App

- Fiat Eco Drive

Any more to share?

Cheers, Rob

What's Driving Facebook Growth in Thailand/Asia?

Hi everyone

Great to read in this newspaper article recently that Thailand is embracing social networking - Facebook & Twitter - as much or more than anywhere in the world.

But as Jon Russell points out in this great blog, the actual impact is different from what the news article suggests.

It's the growth potential that counts. Thailand has one of the fastest growing FB markets in the world, and Twitter could have up to a million users. But we don't yet match the strength in numbers found elsewhere in Asia like Indonesia, Malaysia and the Philippines.

All across Asia we're on the edge of the next big wave in social networking that's taking customers, and marketers, by storm. And there is plenty of potential growth yet in Thailand, and elsewhere in Asia.

Why? Umm...well you wouldn't really know by reading the Nation article. But the 'why' is crucial for marketers to understand how we can use this tool in our marketing, or how we shouldn't, and the future of this type of communication.

I've listed of few potential reasons I see below, but would be interested in your thoughts as well:

1) Social Networking Re-enforces a Cultural Norm: You don't have to be Einstein to realise that many Asian cultures - grounded in close-knit nuclear families with networks of friends/neighbours originating from agrarian roots of community & sharing - would naturally embrace social networks.

In fact the early adoption of social media through Friendster and Hi5 were already some of the highest in the world, Couple this with the fact that online sites offer more entertainment to poorer kids in remote areas, such as highlighted in this NYT article about youth in China, and we can see the vast potential for social networks in the region.

2) Localization Means Deeper Engagement: Another 'glocal' lesson is that until FB offered Thai language content , its growth was stifled by local players. But with more localised content, especially new applications and gaming, this switch to local languages meant FB really started to take hold.

In the bigger picture the message for marketers is important, as this excellent NYT article highlights. Social networks and other digital tools give us the power to localize, personalize and deepen our engagement in different cultures now more than ever before.

3) Gaming & Entertainment are the Key: As I've pointed out a few times before, Thailand has a massive online gaming culture with youth (research shows kids spend more time gaming online than any other Asian country) and FB has been able to tap into that with an array of popular games such as Farmville really taking hold here. As a marketer using FB Connect or other services, creating and fun & sharable experience in line with this behaviour makes a lot of sense.

4) Mobility is the Driver: As Jon Russell again points out in this blog, the future for social is clearly mobile. "Mobile is an even more significant platform for Asia, a region where mobile is the primary internet access point for many. It is estimated that Thailand’s 12 million mobile internet users will grow to 18 million this year overtaking the 16 million in the country with ‘fixed’ internet access.

Smartphones sales continue to rise in Thailand with IDC estimating 2 million will be sold in 2010, an increase of 500,000 on 2009, you can bet most of these new smartphone owners will be logging into Facebook from their mobile."

Something to watch out for is mobile social applications, such as Foursquare. This service allows you to not only connect with friends where they actually are at any given time, but combines this with gaming and point systems to reward the user. The marketing benefits in Thailand are clear, as highlighted in this local article, so get familiar with this now!

Cheers, Rob

How the Digitization of Thai Media Changes Marketing

Hi everyone

Fascinating to read about the changes going on in the Thai newsroom here and the modern challenges for Thai journalists here.

Of course this just the way journalists are changeing , how about the change in the content itself?

In this great article, called The Pleasure Principle, it described how news media had to re-consider what their readers wanted, rather than what editors thought they needed. It has lead to a revolution in content with the growth of blogs, most viewed lists and consumer driven content now available in most Thai online news sites.

This content is now delivered news via Email/SMS/WAP, and Thai newspapers are now considering how the launch of the iPad will change newspapers and publishing forever.

Interesting times indeed!

But how are these changes impacting marketers? Here's my take on 4 ways these changes will impact Thai marketers...

1. PR @ the Speed of Buzz: The nature of journalism now means they are always connected, to social media, to global new sources, and the story is always evolving. PR is having to adapt to this new media to make sure it delivers the right news, in all these media and formats, in paid and unpaid media. Thai PR agencies are already undergoing a revolution, as detailed here

2. New Media Formats mean New Ad Formats: Online ads are having to adapt to online sites with more rich media and interaction, WAP sites with very simple executions, and are now having to adapt to the new ad formats for the iPad. The ability to really have fun and engage with content on a touch-screen could be the boost online advertising needs, as described in these 3 ways the iPad will change publications forever.

3. Forget interruption, Try Utility: Even then online advertising is quickly being overtaken in news environments by providing users with widgets and tools, like providing an iPhone app or a game via a newspaper, to help users and get the brand message delivered that way rather than trying to just sell a message.

4. Plan for Location Marketing: iPad and mobile devices will start to dominate newspapers and magazines moving forward. Given their mobility, great Geo-Location Marketing will start to see ads and services being targeted exactly where people are and that will transform the ad industry. Are you ready for that?

Cheers, Rob

Asian Digital Campaigns Making Waves

Hi everyone

Last week we met with the Contagious team here in Asia and the topic was, how is Asian Digital Marketing Different?

How are diverse places like Japan, China, Asia or Malaysia creating their own voice and starting to win a bigger share of global work and recognition.

And can we say ‘Asia’ has a style at all?

Japan and Korea have their own way, very technology driven and not afraid to be unusual in terms of content. Australian work is very realistic, direct and gritty. Chinese is simpler and more engaging on an emotional level, while work from places like Singapore, Malaysia and Thailand tends to be a bit lighter, well-crafted and integrated fully with a still dominant mass media.

Below I have listed my favorite Asian digital campaigns for the last 6 months.

What is clear from these examples, and discussions with my Asian colleagues, is that this Asian work is breaking away and creating a voice of its own. That voice is one that embraces the old and new in popular culture, is not afraid to show positive emotion and a brighter side of life, sees heroes in its own culture rather than elsewhere now, and embraces social sharability as a natural extension of group culture & is therefore is an important core of new digital campaigns.

Okay here are my favorite campaigns, feel free to share your own:

Some you may know already:

1. Sagami Origianl - Love Distance: (Condoms - Japan) http://www.youtube.com/watch?v=hwSvV78yDB8&feature=related

2. Best Job in the World (Tourism - Australia) http://www.youtube.com/watch?v=SI-rsong4xs

3. Uniqlo Tokyo Fashion Map (Clothes Retail – Japan) http://www.uniqlo.com/uniqlo1000/

4. Nike ID Generator (Footwear – Japan) http://www.wonderactive.jp/award/2009/nike/nikeiD_generator/

And some you may have not seen before:

1. Nike Trackball: (Footwear – Singapore) http://www.vimeo.com/7046594

2. Visit the Other Britain (Tourism – Singapore) http://www.vimeo.com/7656988

3. Take the Wheel - Nissan (Auto – Australia) http://www.awardlook.com/nissan/370z/takethewheel/

4. One Day – Vodafone (Telecommunications – Australia) http://awardsubmissions.com.au/makethemostofnow/award_interactive.html

5. Hug a Day – Lipton (Tea – China) http://www.littlehairycrabs.com/awards_2010/lipton_milktea/

6. FogBar TV - Shiseido (Deodorant – Japan) http://birdman.ne.jp/awards/fogbar/index_en.html

Cheers

Thais now embracing online shopping

Hi everyone

Fantastic to see this recent bit of research from MasterCard showing Asians, and Thais especially, really changing their attitudes to online shopping.

“India, Thailand and New Zealand are leading the curve with more than 90% of the online shoppers feeling satisfied. Secure payment facilities, convenient payment methods and price and value of the items are the top three most important factors influencing respondents’ online shopping experience.”

This is a far cry from what some marketing perceptions are out there. It used to be common to hear, even 12 months ago, that 'Thais don’t like to shop online'. The concern was primarily about safety - for example the fear of using credit cards online – but it was also because many brands rarely provided a customer solution that was simple or convenient enough, outside the usual purchases of airline tickets/cosmetics and online music.

All that has changed dramatically in the last 12-18 months. Here are some reasons why:

1. Feeling Safer & Try Something New: The fear has gone away. For one reason most brands, and card companies, have added the extra security measures (such as Verified by Visa System) that gives more comfort to users. Another reason is that as people become familiar with taking control of online purchasing in more traditional areas of air tickets and cosmetics, they feel comfortable moving beyond just the usual to try new product areas.

The research notes: “As online shoppers become more savvy and are increasingly satisfied with their online shopping experience, they are purchasing beyond lifestyle items such as airline tickets, online games and music downloads and have evolved to buying basic necessities including home appliances and groceries.”

Interesting to see local online purchasing in areas such as online shopping for groceries increasing from 20% to 27% of respondents. And interesting to see grocery store Big C in Thailand embracing this, albeit in a small way.

2. More Convenience & Ease of Use: Undoubtedly the big change has also been with the brands recognizing they need to provide a better site experience. And they research backs this up, noting that “more online shoppers in general agreed that it is more convenient and easier to shop online as compared to last year…78% of respondents stated that it is convenient to shop online in 2009 versus 50% in 2008”.

This change really has been driven by a Web 2.0 mentality that Thai brands have embraced, asking how they can make online purchasing better, simpler and faster for users – not just for the companies ? The result means that it’s much, much simpler (and more enjoyable) than ever to buy an air ticket ( http://www.thaiairways.com/ ), pay a bill (http://www.scb.co.th/) or even order a pizza!! ( http://www.pizza.co.th/ ).

3. More Value: The increasing attractiveness of purchasing online is the ability to reward the online user with a better experience, and even better rewards. The next phase of growth will see brand areas such as fashion, FMCG, food & beverage and home appliances/furnishings where people have the tools that make browsing and choosing a better experience than in the store.

This is backed by the research showing that "the incidence of people browsing and then purchasing online has risen especially in China, Thailand & India." A better online browsing experience – seeing the range of clothes or furniture or even everyday household products from the convenience of your laptop or mobile – is leading to better sales.

Driving this further this year will be 2 trends – mobile and social media. Already we can see from overseas experience things like sales focused WAPS and mobile retail applications, as well as the increasing trends of sales sites from within Facebook, will catch on here. Sooner that you think!

Now more than ever, is the time to start planning your online sales strategy.

Cheers

Always-On Digital Platforms

Hi everyone

It has been incredible to see the changes in digital marketing in Asia over the last 12 months.

Increasingly, our brands and customers are moving from mainly campaign oriented short-term solutions, to include more long-term programs focused on maintaining an digital platform with customers.

This change is of course driven by the always-on nature of many of people today. The growth in use of social media, micro-blogging, mobile and gaming - along with numerous other digital media - has provided brands an opportunity to extend the connection with people beyond a campaign site and short burst of paid media.

The question now is this - beyond our main web offering, how can our brands sustain and build a presence online?

I read a great article on this by Garrick Schmitt on this last week in Ad Age, and rather than selectively quote I’ll add the link at the end of this blog so you can read his whole story. In it there are many great examples of digital platforms based on community action, crowd sourcing, e-commerce, brand experience and CRM. Covering brands such as Pepsi, Best Buy, Starbucks, Legos, P&G, Lufthansa, Nike… the list goes on.

What I think is important to understand is that the same marketing approach applies as much to Thailand and Asia as anywhere else now.

12 months ago I used to have to convince clients to invest in digital, now digital is part of nearly every brief and our clients are the ones who are identifying the real need. This has been driven in a large part by the digital trend amongst Thais of all ages taking hold. The growth in use of smart phones (iPhone, Blackberry), social media (Facebook, Twitter), gaming, blogs and instant messaging, and the general rising trend of using the web in every way (for work and play) for all ages and demographics, has driven the need to transform the marketing approach here.

I would see this change as one moving from more passive involvement to active, continuous participation online. I call it the ‘participation economy’. Thais are no longer content to stand on the sidelines and just passively watch what is going on. They are jumping in and doing things for themselves, sharing their voice, and being active participants online.

One reason is the rise of sites like Facebook where only by participating in conversations and sharing photos, blogs & videos can you really take advantage and enhance your social connections.

It is literally participate or die. And these digital platforms allow this sort of ongoing platforms that will start to dominate digital thinking moving forward.

The article is : Super Bowl Shuffle: Why Marketers Will Shift to 'Platforms'. Enjoy.

Cheers, Rob

Microsites vs Facebook

Hi everyone

It was interesting to read this article recently about how Lynx Twist launched on Lynx’s fanpage and X-Box live, rather than via the regular homepage/microsite approach.

Why? Listen to the Brand Manager, Katie Harrison. “The brand is moving towards creating a more consistent engagement with Lynx consumers in territories where we know they already exist. The brand has no current plans to build additional microsites for forthcoming campaigns”

Interesting, and as Robin Grant re-quotes in the Death of the Microsite “Clients want more of an emphasis on igniting conversation and less on the rich, textured sites that have typically accompanied their campaigns. The goal, as EVB CEO Daniel Stein put it, is to “stop building $1 million microsites that attract [only] 10,000 visitors.”

So what now? What are the benefits of each, and when to use them?

Facebook has some advantages because:

• Fish where the fish are: If your target market is spending large amounts of time on social networks, they are already there. You don’t have to spend huge amounts of money trying to drive them to a new, possibly remote, destination. No FB is an island, as they say.
• Cost & User Effective: Actually a well constructed FB page is not cheap but often less expensive then a media rich microsite, and potentially not as cumbersome in terms of downloads/speeds for the user.
• Full of Cool Stuff: As per this Coke FB site, the key is to make it full of unique content, interesting applications, and reasons for really being a fan. To me this is absolutely crucial, and leads to my next point
• It’s Social: People here are already sharing photos, videos and comments here. So a great FB page gives you the useful/entertainment value to share as a natural part of your FB behavior.

Microsites ain’t dead yet though because…

• Customer Fit: Not every customer segment is a heavy social media user (although it is starting to be popular among most age groups). A good microsite, well promoted, overcomes this problem.
• The Wrong Market: There are markets here in Asia where you can’t even access FB (China) or it’s becoming harder, like Vietnam. For regional campaigns this can be a real issue.
• Often Experience Matters: Sometimes for a major launch of a product or game or interactive experience, you want the rich media and production values a microsite can provide.

Something to think about for your next campaign.

Cheers, Rob