2012 Toolkit

warc trends
2012 toolkit
Copyright Warc 2012. All rights reserved.
Warc Trends >> 2012 Toolkit >> Introduction
New challenges, new ideas

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
Corporate creativity
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Welcome to Warcs
2012 Toolkit a
guide to new ideas
and best practice
in marketing from
around the world.
The goal of this
report is to highlight some of the
key challenges marketers will face
in 2012, and to look at ways major
brands are responding. We have selected ten areas of concern to brands
from metrics to content, and effectiveness to innovation, and in each
one looked at the latest thinking and
best practice. The basis is the wealth
of analysis published on warc.com
our editors have highlighted the most
interesting new ideas and recurring
themes they ve seen on our site and
in our publications.
This report is not a straightforward
trend prediction piece, nor is it a
retrospective; it is designed as a
toolkit to give marketers some insight
into how the worlds best brands are
responding to changing demands,
and to highlight ways other brands
can follow their lead.
We used two key criteria when
compiling this report. First, we
looked for ideas that affect multiple
markets. The trends and challenges
we highlight in this report are not

country-specific. Some have very different implications depending on the
market, but we think that marketers
all over the world will recognise the
ten challenges we list here.
Second, we looked for areas where
we could provide real-life examples
of companies rising to the challenge.
Warcs basis is ideas and evidence
for marketing people, and we hope
both are on display in this report.
A work in progress
Finally, its worth pointing out that
there are no simple answers to many
of these issues, and no silver-bullet
solutions. Marketing best practice
has always been a work in progress,
and never more so than now.
2012 promises to be a turbulent
year for marketers all over the world.
Ongoing economic pressures and
new technology have called into
question the role of marketers, and
the skillsets they need to succeed.
We hope this document will aid both
brand owners and agencies as they
look for answers.
About this report

The 2012 Toolkit is divided into
ten chapters, each of which covers a different marketing topic.
Each chapter looks at a key
trend or challenge that we think
brands and agencies will face in
2012; they show how companies
around the world are responding, and offer some tips on how
to do the same.
Each chapter includes:
A briefing on the challenge

facing brands, plus the trends
that are driving it.
A Tell me more section that

looks at the subject in more
detail and provides links to
further reading.
links
To find out more
about the ideas
in this report,
click on the links
highlighted in
blue in the text.
Most will take
you to content on
warc.com
Warc is a subscription service.
Subscribers will
need to log in
to access the
articles. Nonsubscribers can
take a free trial
of the service in
order to view the
pieces.
Case studies and data to support the argument.
Action points drawn from the

analysis and case studies on
warc.com.
David Tiltman
International Editor, Warc
david.tiltman@warc.com
www.warc.com
Economy and technology dominate

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
executive summary
Two major trends lie behind the
ideas in this report.
The first is the changing shape of
the global economy, and the rise of
markets in Asia and Latin America
as the key drivers of growth for multinational brands.
Shifts in economic power are influencing the way companies organise
brand strategy. They have to identify
emerging groups of consumers
both in established markets and
emerging ones (1 Consumers). They
have to think more deeply about
what a brand stands for both internationally and locally (2 Brand management). They have to look for new
sources of insight (10 Insight).
The second mega-trend is, of
course, the impact of new media
technology. Mobile, tablets, gaming,
social networking the impact of
these on all areas of business, not
just communications, is still being
played out. And marketers have only
just begun to work out what to do
with the data they produce (9 Data).
This new environment poses huge
questions of brand owners. How do
they measure these channels, and
benchmark marketing programmes
that use them (8 Metrics)? What is

the most effective way to combine
them with traditional channels
(3 Integration)? How can brands become content-providers rather than
advertisers (7 Content)? How can
they plan for word-of-mouth recommendations (6 Buzz)?
Reasons to be cheerful
Despite the uncertainty, there is
plenty to be positive about. New markets and new channels mean greater
scope than ever for creativity not
just in communications, but across
products and services (4 Innovation).
And 2012 is, of course, an Olympic
year, and some of the worlds biggest
brands will be rolling out showpiece
marketing programmes. Calculating a return on sponsorship remains
tricky, but the new tools available to
marketers make activating a tie-up
more rewarding than ever before
(5 Effectiveness). In fact, expect the
Olympic activations to underline
many of the themes of 2012 global
platforms with locally relevant implementation, content and word-ofmouth strategies at the forefront, and
a new understanding of how different
types of media can work together.
There is plenty to look forward to.
Lipton targets Hispanic consumers (1)
New markets
and new
channels
mean
greater
scope than
ever for
creativity
not just in
communications, but
across
products
and services
Iceland turns to word-of-mouth (6)
Jimmy Choos social treasure hunt (8)
www.warc.com
At a glance: the Toolkit on one slide

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
2
Consumers >>
The new middle classes
In the US, multicultural consumers are the new growth market; in
China and India rural and smalltown populations are the focus.
Case studies: P&G, US; Intel, India.
Jump to Action Points.
Content >>
Brand journalism
Some brands are thinking more
like publishers. Brand journalism is a
useful approach to the paid/owned/
earned model of media.
Case study: Nissan, Japan.
Jump to Action Points
Brand management >>

Glocal-plus
The relationship between global
and local is shifting as emerging markets become central to brand growth.
Case study: Stella Artois.
Integration >>
Orchestration
New research shows brand-led
orchestration is the most effective
form of integration. TV and social
media are an effective combination.
Case study: Kraft, US.
Innovation >>
Product or service innovation is
becoming a key marketing tool, and
can drive the net promoter score.
Case study: Tontine, Australia.
Heinekens Star
player app is an
example of using
sponsorship to
deliver emotional
engagement (5)
Metrics >>
Social ROI
Social media lacks clear metrics. Different types of social activity
will require different measures.
Case study: American Express, US.
10
Effectiveness >>
Return on sponsorship
Sponsorship spend is rising,
but there is still a measurement
gap. Sponsorship is becoming more
focused on emotional engagement.
Case study: Heineken, Europe.
Buzz >>
The many, not the few
Integrating offline and online
word-of-mouth is a growing challenge. Some brands are adopting a
social by design approach.
Case study: Promote Iceland.
Data >>
Real-time planning
Theres plenty of talk about
real-time planning, but few examples
and no clear definition. Flexibility in
budgets and processes is required.
Case study: Wieden & Kennedy, UK.
Insight >>
Cultural connection
Cultural insight is in fashion as brands look for more than a
generic emotional positioning.
Case study: Cadbury, India.
www.warc.com
1 consumers
the new
middle classes
>> How do you keep up with 2012s biggest demographic shifts?
Warc Trends >> 2012 Toolkit >> Consumers
Reaching out to the newly affluent

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
BRIEFING
arallel trends at opposite ends

of the world highlight a key issue for marketers: finding new
sources of sales growth. In the US,
this means the multicultural market.
In China and India, this means rural
markets and smaller cities. Both
trends mean big changes for brands.
In the US, there is now a real focus
on the multicultural consumer. The
2010 US census revealed the rapid
growth of the Hispanic, Asian and
African-American populations. Those
findings are now translating into new
corporate strategies. In short, multi-
cultural is becoming the mainstream.

Procter & Gamble, Walmart and
PepsiCo have all transformed their
approaches to multicultural consumers in 2011.
In India and China, which have
become two key markets for multinationals, attention is shifting away
from the major cities. In both markets, the growth areas are smaller
cities and rural areas, where rapid
development is taking place. Brands
are keen to enter these areas and
win over new consumers. For example, Indias Bharti Airtel recently tied
up with Unilever to make use of the
latters infrastructure in rural areas.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
66%
of Adidas
China growth
will come from
tiers 4 to 7 (the
smaller inland
cities)
trend drivers
Given poor economic prospects
for 2012, multinational corporations will focus resources on the

few areas of growth there are.
T
he buying power of the US
Hispanic, Asian and AfricanAmerican populations is
soaring Hispanic buying
power is forecast to rise by 50%
in the next five years.
Asias growth has created mil-
lions of new consumers. But this

process of consumer creation
has shifted away from the large
established cities. The newest
middle-classes are located in
Chinas inland provincial cities,
in Indias towns, and in the next
wave of growth markets such as
Indonesia and Vietnam.
10 Insight >>
Cultural connection
PepsiCos Lipton brand targeted young Hispanics using the animated Machete
www.warc.com
The change in the mainstream

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
Americas Hispanic market, and
more broadly the multicultural population, is one of the most significant
trends in US marketing. The expected launch of Cosmopolitan Latina
magazine in May 2012 shows media
companies are also responding.
Several big-name marketers have
overhauled their marketing functions
to ensure that multicultural work is
more than a simple bolt-on activity.
For example, PepsiCo has abandoned its division between mainstream and Spanish-language
marketing. It now looks for ideas that
can run across the new mainstream.
These are backed up by localised instore work, and product innovations
targeting different audiences.
Similarly, Walmart now ensures
each marketing programme speaks
to multiple audiences. It also uses
online channels it has more than 10
million Facebook fans, and multicultural consumers overindex in terms of
fan profiles.
In some of the most important
emerging markets, the new middle classes are a long way from the
established cities. The creation of
new urban centres with millions of
The [2010
US] census
really is
changing
the way a
lot of people
look at
multicultural
[marketing].
Its suddenly
on the radar
of a lot more
people
Ford, Adidas and Walmart have all innovated to appeal to new consumers
consumers presents several issues
to marketers, such as the logistics
of getting products to these centres,
then educating consumers about
products and even entire categories.
Market-building
In India, one of the major challenges
is building new markets rather than
building share. Unilever and Ford
have both been seeking to expand
their categories rather than promote
Tony Rogers,
Walmart Stores
to existing customers. Unilever has

had great success finding innovative ways to build networks in Indias
villages, while Ford has introduced
the Figo, a car aimed at first-time car
buyers trading up from two wheels.
Lower-tier cities are crucial for
Adidas China growth strategy, and it
has a specific marketing strategy for
these markets, where it is positioning
its Neo fashion label as a cool brand
for young consumers.
www.warc.com
Case study P&G

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
ethnic expertise
In the US, Procter &
Gamble is investing
heavily in the growing multicultural
population. In 2011,
the worlds largest
advertiser set up
an internal Ethnic
Center of Expertise. The reason?
Intelligent use
of multicultural
Gain was
marketing can
redesigned
generate a return
for Hispanic
thats anywhere from
appeal
two to three to 12 times
greater than unchannelled, undifferentiated advertising, according to
Jodi Allen, P&Gs VP Marketing for
North America.
The consumer goods company has
changed strategy for several of its
brands to boost multicultural appeal
and those changes go beyond ad
executions. For its Gain line of washing-up liquid, the Ethnic Center of
Expertise determined that a change
in product design would boost appeal among Hispanic consumers.
That includes the scent, the visual
approach and the bottle design.
P&Gs Pampers
brand has also
received a multicultural makeover no
surprise given the
higher birth-rates
among Hispanic
groups than the
national average. A
Pampers Latino Facebook
page was set up to engage an
audience that overindexes on its
use of digital channels.
As a result of the campaign, the
brand has seen a rise in trust scores
and increased sales both at the
point-of-entry for Hispanic mothers
into the diaper market and throughout their entire diaper life.
View the full case study
Pampers has seen sales and loyalty

rise among Hispanic consumers
Advertiser
Procter &
Gamble
Agency
Various
Market
US
Other examples:
Toyota, Are you
Venza?, US
Rubicon,
Crossing the
Rubicon, UK
www.warc.com
Case study Intel

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Advertiser
Intel
the larger india

Intels work in India underlines the
opportunities for brands to build
markets among the emerging consumer classes. With more than 80%
share of the computer processor
category, Intel could only improve its
position in India by expanding the
category itself.
Given the pace of urbanisation,
the big potential for the brand was
in smaller towns, but this presented
challenges when it came to promoting its Core I processors. The new
consumers in these locations had
little understanding of the role of a
computer processor. Compounding
this challenge was the fact that Intel
did not have creative that small-town
India would understand. Intels global creative always spoke to technologically advanced consumers.
Focus on mothers
The strategy was to target mothers in
these towns, as they had a big influence over family purchases and saw
computers as key to the advancement of their children.
Media choice was important
here, in particular the soap operas
watched by the target audience. Intel
Agency
OMD
Market
India
Intel used characters from Indian soap operas to promote its processors
tied up with pay-TV company Star
TV to use characters from its soap
operas in a two-phase campaign.
Using characters from soap
operas to communicate brand messages delivered a 13% rise in brand
preference scores. Intel also found
it had higher unaided awareness
in small towns than it did in some
urban areas.
View full case study
Other examples:
Nestl, Maggi
MasalaaeMagic, India
Vim, The Power
of One, Vietnam
www.warc.com
Action points Consumers

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
nsure product innovation takes into account

E
the tastes and needs of the new consumers,
and also that communications are developed
with multiple audiences in mind.
onsumer education is a vital first step, as is

C
ensuring that the experience of the product
matches the aspirations of the new middle
classes.
hink about the media consumption of the

T
new middle classes, as it can vary significantly from the established mainstream.
In the US, online has proved a powerful
tool for accessing a multicultural audience.
Chinas lower-tier consumers remain avid
TV-watchers, and radio is proving a useful of
way of reaching Indias rural masses.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
2 brand management
glocal-plus
>> How can you make a brand relevant across different markets?
Warc Trends >> 2012 Toolkit >> Brand Management
Balancing ultra-local and international

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
he term glocal (global plus

local) was all the rage a few
years ago, as marketers saw
the drawbacks of applying global
strategies to local markets. But with
revenue growth now focused on
emerging markets, being locally relevant has never been more crucial.
Many advertisers have dropped the
pan-regional campaign, and brands
such as Unilever and Kraft have altered strategies to be more sensitive
to local tastes and price points.
But global versus local is now too
simplistic. In markets such as India
or China, it is no longer enough to
have a single local strategy their
growing complexity will mean tailoring products and messages for different internal markets.
A simple global-local split also
misses the opportunity for overlap
between disparate markets. For example, a consumer need in Mumbai
may replicate one in Mexico City,
allowing a brand to repeat a strategy
in both. Packaged goods and food
and drink brands have been adept
at recognising how consumer trends
across the world can echo. PepsiCo
has a term Indovation for the
At a global level, there is pres-
sure for greater standardisation

to deliver cost savings, and
communications technology
means brands must be aligned
across borders.
t the same time, there is a
A
greater need for local insight
as competition in emerging
markets heats up. This could
include anything from local
flavourings to re-engineering
of products to meet local price
requirements.
The concept of a central global
PepsiCos Indian
lemonade brand
Nimbooz was the
basis of Egyptian
drink Mirinda
Karkedeh
practice of developing products in

India and recognising where else
they might also succeed.
It is impossible to recognise these
overlaps without a structure able to
pull out best practice and look for opportunities to reapply it. This balance
of the ultra-local and the international is becoming a key challenge
for marketers.
idea with localised interpretations is being replaced by

more complex structures that
recognise the way culture and
consumer need-states can
overlap between markets.
www.warc.com
Shared insights deliver competitive edge

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
Are highly localised marketing strategies worth the money? The evidence
suggests they are. An analysis of
entries for the Warc Prize for Asian
Strategy underlined the importance
of local insight and the death of the
global campaign. Localised insight,
it was argued, was significantly more
effective than reapplying an international strategy, and more than repaid
the extra investment.
As emerging markets become more
complex, the need for more local
insight will grow. Two Millward Brown
studies in 2011, one in India and
one in China, concluded that neither
should be regarded as a single
market. In fact, advertising strategies transfer very badly across these
nations, as both have huge regional
variations in culture and in economic
development. The likelihood that an
ad will work in two Chinese cities is
actually lower than the likelihood
that an ad will work in two European
cities. Brands need more than one
local strategy to cope.
Understanding the overlaps and
interchanges between markets is crucial if brands are to use their budgets
efficiently. For example, a paper on
Visa achieves scale by global sponsorships, but localised work drives results
92%
of shortlisted
cases for the
Warc Prize for
Asian Strategy
were based on
local insights
Asian youth culture argued that there

are overlaps between Shanghai and
Western India. Thailand, it added,
was a donor market for Philippines
and Indonesia.
Visa is a good example of a company with defined global, regional
and local structures. Like many
multinationals, it achieves scale
through global platforms, particularly through sponsorship of global

sports and entertainment properties,
but drives results through localised
work. Global and regional teams
help share best practice and tools.
There is no right answer for managing these issues, as the demands
of each category will be different.
www.warc.com
Case study Stella Artois

Introduction >>
New challenges,
new ideas
Advertiser
Stella Artois
1 Consumers >>
The new middle
classes
Agency
Mother
2 Brand
Management >>
Glocal-plus
Market
Global
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
she is a thing of beauty

Beer brand Stella Artois is a great
example of a product with a global
brand idea that can be developed
into either very specific local executions or into multi-market ideas.
The brand ditched its long-running
Reassuringly expensive positioning,
as the idea did not translate well internationally, and no longer seemed
culturally relevant.
She is a thing of beauty repositioned the beer in the form of a glamorous 1960s female film star, with the
drinker her stylish, charming suitor.
The brand used the idea of a relationship to characterise its standing
in each market acquaintance-toattraction-to-dating-to-courtship-tomarriage-to-divorce. Local market
executions depended on where the
brand stood on that continuum. At
the same time, the brand was able to
produce multi-market work, as the

iconography of a film star and her
suitor worked internationally.
The concept has given the beer a
consistent identity that is flexible. In
the Ukraine, where the brand had
high awareness but low consideration due to its premium nature, ads
told a tale of a man who earns the
money and influence to become
worthy of the womans desire.
Other examples:
Axe, Call Me,
Asia
Snickers, Youre
Not You When
Youre Hungry,
Global
www.warc.com
Action points Brand Management

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
ook for barometer markets or clusters for

L
example, if a strategy works in one market,
what other markets might it work in?
nsure there are structures and processes

E
in place to share best practices and
consumer insights across markets.
sk what is right for your brand and your

A
category. Brands such as Axe and Stella
Artois find globally relevant themes that
can work at both an international and a
very local level. Other brands, especially
in finance and technology, look for global
sponsorship properties and use locally
relevant activation programmes.
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
3 integration
orchestration
>> How do you ensure your media channels are working together?
Warc Trends >> 2012 Toolkit >> Integration
Uniting under one big brand idea

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
ntegration of media is an old

challenge, and the emergence of
new channels (paid, owned and
earned) has made it even harder.
Several developments in 2011, however, suggest a few ways forward.
The first was proof that television
and social media have become a
powerful combination. Two awardwinning campaigns used this combination the Old Spice The Man Your
Man Could Smell Like work (which
won a Grand Effie in the US) and a
campaign for Yeo Valley, a UK dairy
brand. Both used a model referred to
as Super Bowl, Super Social, which
used TV spots during high-audience
events to drive word-of-mouth, then
used social media channels to capture and amplify the resulting buzz.
The second was research from the
IPA looking at different models of
integration. It argued that the most
effective way to use multiple media
was not the matching luggage approach of making everything look the
same, it was to have a higher-order
brand idea and to use each channel differently to communicate it. It
called this approach orchestration.
These findings are important
Many advertisers are looking
at a paid, owned and earned

model of media, and need to
know how the three can work
together. Having a big brand
idea rather than a big advertising idea is a more effective way
of joining them up.
here is now plenty of research
T
showing effective integration
requires more than the use of
the same creative idea over as
many media as possible. Using
a small number of media well is
better than using many badly.
There is now an appreciation
that TVs strength is delivering

emotional ads to large audiences, and this drives buzz into
social media.
TV and social
channels were
integrated well
by Old Spice
and Yeo Valley
as advertisers are thinking more

broadly about their media options
in particular, using a paid, owned
and earned approach. Understanding the relationships between types
of media, and varying creative work
accordingly, can pay dividends.
www.warc.com
Orchestration across multiple channels

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
Orchestration starts with a brand
idea, rather than an advertising
idea, and varies the way that idea
is communicated across channels. It
sounds expensive, but, in fact, some
of the best examples come from lowbudget campaigns.
In the US, the much-awarded
Bolthouse Farms Baby Carrots eat
em like junk food initiative sought to
brand carrots in the same way processed food companies would brand
snacks. This idea informed everything from packaging to distribution
to a game and to media executions.
High-impact TV
Another low-budget campaign
was the Yeo Valley work by BBH,
which had a huge impact on the
dairy brands sales in 2011. The
two-minute ad, featuring a group of
rapping farmers, was a remarkable
example of a piece of high-impact
TV creative that drove engagement
via social media. It also had a paid,
owned, earned media model built
into it from the start. Although the TV
ad was at the heart of the campaign, everything was informed by
a broader brand repositioning, and
channels from PR to Twitter to packaging were brought in at different

times to serve different purposes. The
campaign was revived with a new ad
in late 2011.
The IPA research, led by Kate Cox
at MPG, points to several successful
campaigns of recent years that have
taken an orchestration approach.
They include Johnnie Walkers Keep
walking initiatives an idea that has
been reinterpreted across different
media channels and in different geographic markets. In 2011, the brand
Generating
a hard
business
response
does not
require
matching
luggage
Kate Cox, MPG
idea was at the heart of a video

initiative in China.
A big question surrounding this research is how applicable the findings
are to emerging markets. Ogilvy has
been replicating some of the IPAs
research on its award-winning campaigns in Asia, where TV is still used
for product demonstrations. It found
that those who argue that Asia is
different are wrong; the most effective work uses TV to drive buzz then
uses different channels (particularly
online) to deliver other information.
Johnnie Walkers Keep walking brand idea was the basis of a video initiative in China
www.warc.com
Brand-led integration is more common

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
analysis of ipa effectiveness awards entries
KEY FACTS
The IPAs Datamine.03 study,
Style of integration
2004 3%
16%
66%
Participation-led
16%
Brand idea-led
2006
9%
2008 3%
22%
50%
42%
20%
39%
Advertising-led
No integration
16%
5 Effectiveness >>
Return on
sponsorship
2010
6 Buzz >>
The many,
not the few
Effectiveness success rate (%) of each model (across any hard business metric)
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
16%
36%
39%
9%
80
New Models of Marketing

Effectiveness, looked at the
approaches to integration of
campaigns entered for the IPA
Effectiveness Awards.
I t found a shift in the way integration is being planned. Since
2004, there has been a rise in
the number of brand idea-led
campaigns (orchestration) and
a decline in advertising-led
integration.
When the effectiveness of those
campaigns is examined, orchestration campaigns are most

effective.
60
articipation-led campaigns, by
P
contrast, appear to be far less
effective.
40
20
Participation-led
Brand idea-led
Advertising-led
No integration
Source for charts: IPA Datamine.03, New Models of Marketing Effectiveness
www.warc.com
Super Bowl, Super Social in Asia

Introduction >>
New challenges,
new ideas
entries to the warc prize for asian strategy
KEY FACTS
Warc analysed entries to the
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
36%
37%
Total
entries
Shortlist
V was the most popular mediT

um, used in 65% of total entries
and 92% of shortlisted entries.
Social media was used in 58%
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
Warc Prize for Asian Strategy,

which was launched in 2011
and received more than 130
entries. All entries were indexed
by media choice.
of total entries and 52% of the

shortlist.
63%
64%
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
Entries that combine TV with either

social media or other word-of-mouth
9 Data >>
Real-time planning
Other entries
Tellingly, the combination of
TV and social media or viral

massively overindexed in the
shortlist. 37% of total entries
used this combination, but 64%
of shortlisted entries did so.
10 Insight >>
Cultural connection
Source: Warc, Breakdown of Entry Data
View more on the

Warc Prize for Asian Strategy
www.warc.com
Case study Kraft Mac & Cheese

Introduction >>
New challenges,
new ideas
Advertiser
Kraft
1 Consumers >>
The new middle
classes
Agency
Crispin Porter +
Bogusky
2 Brand
Management >>
Glocal-plus
Market
USA
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
mac & jinx

A great example of a brand using
TV and social media together (but
without matching luggage) is Krafts
Mac & Jinx campaign for its Mac &
Cheese brand.
The brand has always attracted
kids, but had limited appeal to
adults. Research showed adults still
loved the taste of the product, but
there was also a sense of shame
at the thought of eating food they
saw as for children. The goal was to

speak to this audience and celebrate
their secret love of the product.
The campaign started on TV, with a
You know you love it work showing
adults secretly eating the product. It
then used a Twitter game called Mac
& Jinx. Every time two people tweeted
about their love for Mac & Cheese,
Kraft sent both a message pointing
out their shared cravings. The first
one to call jinx by clicking a link and
providing their address won prizes.
Then the social aspect fed back

into TV. The best tweets relating to
Mac & Cheese were turned into TV
commercials.
At one point, the campaign garnered more than 300 Mac & Cheese
mentions a minute. The number of
Kraft Macaroni & Cheese Twitter
followers increased by more than
400%. There was also a 400% increase in weekly unique Facebook
visits during the campaign.
Other examples:
Cadbury, For the
Love of Wispa,
UK
HSBC, The
Worlds Local
Bank, Global
www.warc.com
Action points Integration

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
void matching luggage. Each

A
channel has different strengths, and
brands should ensure that they are
playing to them.
ont abandon paid media. When

D
used well, it can drive earned and
owned media.
ig brand ideas still need to be

B
brought to life. As Yeo Valley and
Old Spice showed, theres still a role
for brilliant creative advertising as a
means of driving word-of-mouth.
hink about agency relationships.

T
Who can deliver a big brand idea
rather than a big advertising idea?
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
4 innovation
corporate creativity
>> How do you use innovation to drive marketing return on investment?
Warc Trends >> 2012 Toolkit >> Innovation
Innovation meets communication

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
BRIEFING
hats the best way to generate a return on marketing

investment? Recently,
theres been a lot of work proving
the link between creative communications and effectiveness. But now,
brand strategists are looking to apply creativity more broadly; product
or service innovation is becoming a
key and effective marketing tool.
That was certainly the case in the
2011 Jay Chiat Strategy Awards; the
common theme behind the winners
was entrepreneurship coming up
with great business ideas rather than
great communications ideas. Winners included a campaign for Puma

that included product development.
Consumer technology is providing
opportunities for service innovation.
Apps have given brands new (and
cheap) ways to be useful to consumers. Twitter has transformed the customer service strategy of brands such
as Best Buy, and near-field communication and image recognition offer
more opportunities in the future.
In an age where marketers are
looking at buzz and word-of-mouth,
innovating the product or service
experience may be a better bet than
being creative in communications.
trend drivers
In just 12
months,
weve seen
the need for
strategists to
think more
in terms of
the complete
business
opportunities
Andrew Delbridge,
Jay Chiat Awards
Companies that are creative
across the organisation, not just

in their communications, have
been shown to outperform the
competition in share price.
T
echnology, such as apps or
cloud computing, produces
huge opportunities to innovate
in terms of service and delivery.
Creative corporations drive
word-of-mouth, and that is now

seen as the key to effectiveness.
s more brands use the net
A
promoter score as a key metric,
creativity in product and service
will be just as, if not more, important than creativity in advertising in driving this measure.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Pumas award-winning campaign incorporated product development
www.warc.com
Applying creativity throughout a business

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
consumers in a way they never could

through advertising. Cloroxs
myStain app is a great example.
tell me more
Product innovation is now a huge
priority for consumer goods and food
and drink firms, as it is key to driving
revenue growth. But evidence suggests that brands should be looking
at both product and service innovation closely. Creativity, it is argued,
should not be a niche; it should be
applied across an organisation.
The case for corporate creativity
is set out by James Hurman, Planning Director at Colenso BBDO. He
says creativity is most effective when
applied across an organisation and,
at a time when measures of recommendation or word-of-mouth are
becoming more important, product or
service innovation are crucial.
Entrepreneurial shift
Its worth reading the analysis of
Andrew Delbridge, Chairman of the
Jay Chiat Awards, who argues that
entrepreneurial strategies came of
age in 2011. He cites cases from this
years prize that demonstrate the
way brand strategists are thinking.
There is plenty of literature on
apps. Some of the most interesting
examples are brands in low-interest
categories using apps to engage
The I Lohas bottle positioned the brand
Winning innovations
Coca-Colas Japanese I Lohas brand
showed the power of innovation,
using a crushable bottle to give it an
eco-friendly positioning. The launch
won the inaugural Warc Prize for
Asian Strategy in 2011, and case
study author David Elsworth discussed the findings with Warc.
Expect to hear more about this
topic in 2012. Unilever marketers
recently unveiled a ten-year plan
they termed more magic, less logic.
The goal was to boost innovation,
particularly around use of technology, and to be more open to trying
and failing. Similar views have been
voiced by the Chief Consumer Officer
of Mars Chocolate, who offered a
10-point guide to innovation.
Also, look at Cokes 70/20/10 rule
for marketing investment. 70% goes
on tried-and-tested ideas; 20% on innovating based on what has worked;
and 10% on new innovations.
Watch out for more on this subject
when the Warc Prize for Innovation,
a $10,000 global case study prize,
concludes in early 2012.
When you
are working
on 10%
ideas, you
have to
overinvest in
measurement
because you
are unlikely
to have the
familiar
benchmarks
and metrics
Jonathan
Mildenhall,
Coca-Cola
www.warc.com
Customer experience drives NPS

Introduction >>
New challenges,
new ideas
what influences THE net promoter score?
KEY FACTS
There is evidence to support
the link between product and

service innovation and positive
word-of-mouth.
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
I n New Zealand, one study

asked consumers what made
them most likely to recommend
a brand (via a net promoter
score measure).
3 Integration >>
Orchestration
4 Innovation >>
NPS
5 Effectiveness >>
Return on
sponsorship
By far the biggest influence was
customer experience it had a

score of 81% on a measure of
factors influencing NPS scores.
6 Buzz >>
The many,
not the few
A
brands communications, in
contrast, scored just 5%.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Customer experience 81%
Word-of-mouth 8%
Competitive activity 6%
Communications 5%
Source: Colenso BBDO, quoted by James Hurman
www.warc.com
Case study Tontine

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
expiry date
A great example of applying creativity to the product rather than the ads
comes from Australia, where pillow
manufacturer Tontine won the Grand
Prix at the 2011 Effies.
Tontine had more than a 50%
share of the pillow market, but the
category was stagnant with little
differentiation, retailers own-label
was stealing share, and price promotions were the dominant form of
marketing. In this environment, the
brand wanted to boost sales by 30%,

re-energise the category and take a
leadership position.
The starting point was to
encourage consumers to
replace their pillows more
regularly beyond two
years, pillows become unhygienic, but few people
know that.
Rather than run a you need
a new pillow campaign, Tontine
used the product itself, printing expiry dates on the pillows.
The date stamps were at the heart

of a media and PR campaign that
included TV spots in the evening
and pillow exchange events.
The campaign ran for
just five days, but the
concept delivered lasting
value brand health
metrics rose and sales
jumped across the category. And, as the pillows have
expiry dates on, they will serve as
a reminder to users to change them.
Advertiser
Tontine
Agency
Happy Soldiers
Market
Australia
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
The First Pillow With An Expiry Date campaign saw Tontine re-energise the Australian pillow market
Other examples:
Gatorade,
G-Series Product
Launch, US
Fiat, Fiat Mio,
Brazil
www.warc.com
Action points Innovation

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
mall innovations can have big results

S
if they are grounded in consumer insight.
Apps, for example, are cheap to make,
but a good one can deliver huge benefits.
et budget aside to test new product or

S
service ideas and be prepared for a high
failure rate.
hink about the metrics you want to drive

T
they may be different to measures for
communications campaigns.
hink differently about the role of the

T
marketing function. It should be more than
the home of creative communications.
10 Insight >>
Cultural connection
www.warc.com
5 effectiveness
return on
sponsorship
>> How can brands maximise the value of their sponsorships?
Warc Trends >> 2012 Toolkit >> Effectiveness
A shift to emotional engagement

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
BRIEFING
012 will be a major year for

sponsorship. With the London
2012 Olympics and the Euro
2012 football championship taking
place, a huge array of brands will be
rolling out activation programmes
across the first half of the year. Investment in sponsorship is expected
to jump to a new high.
When used well, sponsorship (both
in sport and entertainment) is undoubtedly effective. But the discipline
suffers from a lack of metrics, both
for the value of a sponsorship property (how much should a brand pay?)
and the measures of success (what
does it get back?).
The key
motivation
is no longer
just about
maximising
brand
visibility and
awareness
PricewaterhouseCoopers,
Changing the
game report
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Cadbury is rolling out an Olympic tie-in campaign
However, there is a growing body

of case studies that demonstrate
companies generating a return from
sponsorship. They show two key drivers of sponsorship success: the fit
between the property and the brand
(or where the brand wants to be),
and the sophistication of the activation programme.
The latter is particularly important at a time when the metrics for
sponsorship deals are changing. In
the past, measures such as brand
awareness were key considerations
when signing a deal.
Emotional attatchment
While there are still plenty of highprofile deals that are signed simply to raise the profile of faceless
brands, the most sophisticated
efforts tend to use the activation of
the sponsorship to drive emotional
engagement with fans and staff.
The best examples go one step
further and use sponsorship as a
platform for content creation.
Coca-Cola, for example, will use
London 2012 as a platform for a
worldwide youth marketing effort
involving music and sports stars. The
sponsorship will drive a global experiential and content initiative.
trend drivers
Sponsorship spend has been
rising both in sports and entertainment. Marketers are looking

for reach and opportunities to
engage a particular audience.
ports and entertainment
S
rights-holders have become
much more sophisticated in the
packages they offer to brands,
but pricing these remains tricky.
Sports sponsorship has proved
a particularly effective way of

reaching consumers in emerging markets; for example, using
the English Premier League to
reach Asian consumers.
ponsorship is popular in
S
sectors such as finance and
technology, where brands have
difficulty developing compelling
brand propositions.
www.warc.com
The benefits of long-term tie-ups

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
comes to new markets. SABMillers

football sponsorships in South America are good examples. In Honduras,
its Salva Vida brand sponsored the
national football team. Through
smart activation using music and social media, the brands market share
has risen from 7% to 35%.
tell me more
A recurring lesson of the sponsorship cases and research published
by Warc is that effectiveness lies in
the activation. That was certainly the
finding of a Vietnamese study into
the impact of sponsorship strategies
around the 2010 World Cup. Several
official sponsors failed to gain the
recognition they desired because
their activation let them down.
Combining the right property with
smart activation is known as doubledipping at Hewlett-Packard. The
company has business-to-business
tie-ups with the Davis Cup and the
Sundance Festival. For both, it looks
first at the opportunity to reach a
particular audience; it then looks
at what else it could do with the
property hosting a customer event
at Sundance and running an in-store
promotion around the Davis Cup.
Similarly, Xerox has four criteria
when looking for a sponsorship: a
property that will make an impact
with the right audience, a long-term
partnership that will build, an opportunity for innovative activation and a
VIP experience for clients.
Long-term partnerships appear
most effective, especially when it
Xerox sponsorship criteria includes VIP experiences
$700m
General
Electrics
incremental
sales from its
2008 Olympics
sponsorship
Salva Vida uses football in Honduras
Measurement solutions
As Paul Feldwick has pointed out,
sponsorship programmes have
become large, amorphous initiatives
that defy attempts to pin a value on
them. A major sponsorship deal will
have several measures relating to
customer or employee engagement,
sales uplift, content views, and other
brand health metrics. IEG Chairman
Lesa Ukman, speaking at the companys annual sponsorship conference,
argued that using ad metrics was not
enough to measure engagement levels generated by good sponsorship.
Ukman offered a number of tips for
marketers measuring sponsorship
activity. One of the most important
was to operate in perpetual beta.
Brands that sign up to multi-year
sponsorships can use each year as a
learning experience and build the relationship over time, meaning return
on sponsorship builds.
www.warc.com
A rapidly growing global market

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
sports sponsorship by region
The global sports sponsorship
Sponsorship revenue growth by region 2011-2015 (%)
market is expected to be worth

$39.2 billion in 2012, a rise of
11.5% on 2011, according to
PricewaterhouseCoopers.
7
6
5
hat compares with $32.5 billion

T
in 2008, the year of the Beijing
Olympics.
4
3
2
The sports market is made up
of several different components.

Sponsorship fees make up
around 25% of the total. The rest
includes gate receipts, media
rights and merchandising.
0
North America
Latin America
Asia-Pacific
EMEA
Sponsorship revenue split by region 2010
7 Content >>
Brand journalism
North America
4%
28%
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
KEY FACTS
Latin America
Asia-Pacific
atin America is under-repreL

sented in the global sponsorship market, but with a World
Cup and an Olympics heading
to Brazil later this decade, that
may change.
34%
10 Insight >>
Cultural connection
EMEA
34%
Source for charts: PricewaterhouseCoopers,
Changing the game, via Warc News
www.warc.com
Sponsorships measurement gap

Introduction >>
New challenges,
new ideas
investment in measurement
What percentage of a sponsorship budget is spent on pre-selection research to evaluate fit?
1 Consumers >>
The new middle
classes
1%
None
16%
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
KEY FACTS
One percent or less

One to five percent
43%
More than five percent
4 Innovation >>
39%
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
What percentage of a budget is spent on concurrent or post-event research to measure success?
7 Content >>
Brand journalism
None
23%
8 Metrics >>
Social ROI
One percent or less
9 Data >>
Real-time planning
One to five percent
10 Insight >>
Cultural connection
Data from sponsorship giant
IEG and Performance research

underline some of the measurement issues around sponsorship.
Brands spend very little on
assessing the value of sponsorship, either before a deal is
struck or afterwards.
ore than 80% of brands spend
M
less than 1% of their budget on
assessing whether a property
is a good fit. More than threequarters spend less than 1% on
post-event research.
The danger is that companies
base sponsorship choices on

what their competitors are sponsoring, rather than a strategic
assessment of the opportunity.
40%
36%
Source for charts: IEG Sponsorship Report 2010, via Warc
www.warc.com
Case study Heineken

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
Advertiser
Heineken
star player
One of the most impressive recent
pieces of consumer-focused activation comes from Heinekens Star
Player initiative. The goal was
to generate more value from the
brands sponsorship of the UEFA
Champions League.
The starting point was the dualscreen behaviour of people watching
the Champions League at home, with
a computer on at the same time. Fans
were using social media to discuss
what they were seeing.
Heineken decided to get involved
with this behaviour by turning it into
a game. Launching in 2011, Star
Player is a Facebook app that allows
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Agency
AKQA
Market
Europe
Heinekens Star Player app scored with fans

fans to compete against each other
during Champions League games.
Players are invited to guess what will
happen in the game (for example,
at corners or free kicks), and have

eight attempts to predict an imminent goal. The game also features
Heineken-related questions.
Fans can compete with each other
in leagues, and publish scores via
Facebook Connect.
The case study demonstrates
an interesting way of activating a
sponsorship to deliver value beyond
reach and awareness. In the final
rounds of the 2011 UEFA Champions League, Heineken doubled its
share of voice compared with other
sponsors. It has yet to be disclosed
how the initiative has affected business metrics.
Other examples:
Hero Honda,
Come Back to
Hockey, India
General Electric,
Beijing Olympics,
China
www.warc.com
Action points Effectiveness

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
ont use advertising metrics such as

D
awareness as a guide to sponsorship
success. Focus on real outcomes such
as increased customer loyalty, staff
retention and shareholder value.
ook to use sponsorship to reward

L
customers and employees with
something they really value.
3
4
ook to improve the experience at

L
home, rather than at the event.
se multi-year sponsorships as
U
learning experiences make each year
more sophisticated than the last.
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
se sponsorship platforms to drive

U
content creation, and distribute content
through social platforms.
www.warc.com
6 buzz
the many, not the few

>> How do you plan for word-of-mouth recommendations?
Warc Trends >> 2012 Toolkit >> Buzz
Word-of-mouth is more than social media

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
uzz, word-of-mouth (WOM),

talkability whatever you want
to call it, encouraging consumers to recommend a brand to friends
and acquaintances has never been
more important to marketers. But one
of the biggest problems is how (and
whether) you can plan for it.
Thinking in this area is developing rapidly. Brands have long known
that personal recommendation is one
of the most powerful influences on
purchase. The arrival of blogs and,
subsequently, social networks has
made the process of recommendation (or condemnation) more visible
and more trackable. That has led
to word-of-mouth marketing and
social media marketing becoming
intertwined. However, there is now a
growing understanding that WOM is
far more nuanced than that indeed,
most brand recommendations still
take place offline.
A second controversy is the role of
influencers. When planning to drive
WOM, brands and agencies have
tended to look for individuals with
unusually large networks of readers
or contacts to recommend them
maybe bloggers, content creators or
There are more tools for
planning a WOM strategy.

Platforms such as Facebook
have been promoting their
ability to harness social
connections for marketing
purposes. Klout measures
online influence.
Social recommendations have become crucial to brands
Emphasis
seems to
be shifting
from a focus
on social
media to an
integrated
approach
Molly Flatt,
1000heads
journalists, maybe highly sociable

people with lots of friends/followers
on social sites. Companies such as
Klout have been set up to aid this.
Again, this thinking is being revisited. Recent research has emphasised
the complex ways people respond
to influence, and variations between
categories.
As a number of recent campaigns
have shown, great WOM strategies
are about engaging the many (offline
and online), not a small number of
social influencers. And their social
side is built in from the start, not an
add-on.
T
he rise of social media has led
to more detailed research on the
nature of networks and WOM.
But some of this research points
to the enduring power of offline
recommendations.
New research also points to the
limitations of an influencer
approach in driving sustained
word-of-mouth.
www.warc.com
Examining the way networks behave

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
The role of influencers was one of
the most hotly discussed topics at
the 2011 Word-of-Mouth Marketing
Summit in Las Vegas, with divergent
views on the value of directly engaging well-connected individuals. The
debate highlighted that there is not
yet a consensus about how best to
plan WOM.
In a recent Admap piece, Molly
Flatt of 1000heads argued that the
influencer model was too simplistic.
She unveiled research into the purchase decisions of British mothers,
showing how important it was to look
at the way people balance online
opinions with offline advice, and
how different types of buyer react to
social influence.
Drivers of WOM can vary hugely
by category, and this is an argument made forcefully by Mark Earls,
an author who focuses on humans
desire to mimic others around them.
Purchase behaviour can vary hugely
between categories in some it may
be based on rational choice, in others clueless guessing, directed copying or random copying. A WOM strategy will have to vary accordingly.
IT is an example of a category
Its not about

social media
marketing,
but it is
about social
business
Author Steven
Van Belleghem
on the Word-ofMouth Marketing
Summit
Microsofts cloud computing campaign was social by design

where online recommendations by
peers are very important. That was
the starting point for Microsoft in a
business-to-business campaign promoting its cloud computing services.
It looked carefully at the influences
on IT decision-makers, and crafted a
programme that combined influencer-targeting with print advertising,
content generation and curation.
WOM as a central aim
The Microsoft case illustrates a current trend social by design. In a
nutshell, this means that businesses
(and their marketing functions) are
rebuilding themselves around networks. Planning for WOM and driving recommendations are not bolt-on
elements of a marketing programme,

but are its central purpose.
This is an idea that companies
such as Facebook are keen to push
not surprisingly, as it will make
brands and agencies dependent on
their platforms and data. Indeed,
Facebooks recent initiatives, such
as Timeline and Open Graph, are
designed to change the way people
discover content and receive recommendations. If brands want to be
social by design, Facebook wants to
be the tool through which they do it.
But recommendation strategies
also vary hugely by market. In some
emerging markets, online WOM has
a far greater influence than it does in
the West. China is a good example.
www.warc.com
Offline and online play different roles

Introduction >>
New challenges,
new ideas
Online vs offline
1 Consumers >>
The new middle
classes
100
2 Brand
Management >>
Glocal-plus
80
4 Innovation >>
20
7 Content >>
Brand journalism
company Keller Fay emphasises

the importance of offline WOM,
with more than 90% of brand
mentions in conversation taking
place face-to-face or on the
telephone.
81%
60
40
6 Buzz >>
The many,
not the few
Data from WOM research
Where do UK consumers talk about brands? (%)
3 Integration >>
Orchestration
5 Effectiveness >>
Return on
sponsorship
KEY FACTS
10%
0
Face-to-face
conversations
9%
Via telephone
Online
Source: Keller Fay, quoted in Warc News
The role of online information in the US (% agreeing with statement)

100
2010
2011
80
8 Metrics >>
Social ROI
60
9 Data >>
Real-time planning
40
10 Insight >>
Cultural connection
20
0
80%
80%
87%
68%
Negative information online has changed

my decision to purchase a product that
has been recommended to me
T
his UK finding is very similar
to the Keller Fay research in the
US. Again, more than 90% of
brand mentions are offline.
However, research from US
company Cone underlines the

role online plays pre-purchase.
The vast majority of US consumers say that information
they read online has a bearing
on whether they purchase a
product or service that has been
recommended to them.
Positive information online has reinforced

my decision to buy a product that has
been recommended to me
Source: Cone, quoted in Warc News
www.warc.com
Case study Promote Iceland

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Advertiser
Promote Iceland
Inspired by Iceland
The multi-award-winning Inspired
by Iceland campaign is a great example of planning for WOM without
relying on influencers.
The background was the volcanic
eruption in April 2010 that filled Europes skies with ash and halted air
travel. That led to weeks of negative
publicity about the country.
The tourism body had a limited
budget ($3 million) to respond. Its
goal was to rebuild the countrys
image and boost bookings from key
European markets and the US.
Key to the campaign thinking
was a finding from research: 80%
of people who have visited Iceland
share stories from their holidays and
recommend the destination to friends
and colleagues. The marketing programme recognised this offline WOM
behaviour and sought to build on it.
Rather than target influencers and
wait for them to spread the word, the
campaign needed to mobilise a lot
of people quickly. The Inspired by
Iceland campaign used the countrys own citizens to tell their stories
online. Iceland hour was launched
by the countrys president, and gave
Icelanders social tools to share sto-
Agencies
The Brooklyn
Brothers,
Islenska
Markets
Europe, US
The Inspired by Iceland campaign attracted 22.5 million participants

ries with friends overseas. A website,
plus pages on Twitter, Facebook and
Vimeo, spread these stories and
encouraged fans of Iceland to tell
their own stories. Celebrities, including Bjork and Yoko Ono, shared their
own experiences of the country.
The campaign also involved realtime posters that displayed feeds
from webcams across the country.
These feeds showed that the country
was not covered in ash. Events such
as live concerts were also used to

generate PR.
The campaign generated huge
participation 22.5 million stories
were created by people from all
over the world. Perceptions rose
in key markets such as the UK,
Germany and Denmark. In the six
months from the start of the campaign tourist bookings were 27%
above forecasts.
Other examples
First Direct, First
Direct Live, UK
Maybelline,
BB Kong, China
www.warc.com
Action points Buzz

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
Social by design means planning for

recommendations at the start. It should
not be an add-on.
onsider the way networks behave in a

C
category. How do consumers tell each
other about discoveries, and to what
extent is behaviour copied? Offline WOM
may be more powerful than online.
here is no silver bullet. RecommendaT

tions can result from any or all of a great
product, a great content strategy, highly
creative advertising or smart social
network strategies.
emember, its a corporate issue as well

R
as a communications strategy. Customeroriented companies will generate positive
WOM.
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
7 content
brand journalism
>> How does content fit in with owned and earned media?
Warc Trends >> 2012 Toolkit >> Content
Setting the editorial agenda

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
rands with a strong social media presence are increasingly

developing content strategies.
The term brand journalism is not
new in fact, McDonalds adopted it
as a concept in 2004. However, judging by the buzz around the phrase in
2011, it seems to be an idea whose
time has come.
Essentially, it means brands thinking less like brands and more like
media owners. What is todays story?
What is our line on the latest development? What can we add to what is
already out there? The content they
produce (videos, news stories, features) can be targeted either directly
at consumers or at influencers in the
media or online. Ciscos The Network
tech newsroom is a good example,
and gets more hits than many professional publications.
The idea is not without its critics.
Pure journalism, some say, cannot
have favourites, whereas branded
communications require favouritism.
However, viewing brands as content producers and distributors is a
useful approach to the paid/owned/
earned media model. It is less about
the objectivity of journalism and
Brand journalism is a way of
approaching branded content,

consumer engagement and social media. It links in to the idea
of paid, owned and earned
media this is a way of boosting
owned and generating earned.
I t recognises the growing
overlap of marketing and PR
and the importance of buzz in
driving marketing effectiveness.
Ciscos tech
newsroom, The
Network, gets
more hits than
professional
publications
more about the process constant

reportage, multiplatform delivery
and multiple narratives.
Its a long way from traditional
marketing communications. In fact,
its an idea that has emerged as
much from the PR function as from
marketing and these two functions
need to work together if brand journalism is to be successful.
If used correctly, brand journal-
ism can act as a way of boosting corporate transparency.

I t is linked to established
concepts such as customer
publishing, but with a different
form of delivery. The tone is also
more urgent and topical more
like newspaper reporting than
leisurely magazine publishing.
www.warc.com
Storytelling rather than advertising

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
IT brands have been some of the
early adopters of brand journalism
unsurprisingly, as their core customers are highly connected, information-hungry and very engaged with
non-traditional news sources such
as blogs. In China, IBM has had success with its ITer publication.
An Admap article provides a useful
process guide to brand journalism. It
starts with monitoring conversations
online, then assessing where there
are spikes, engaging in dialogue,
leading the conversation through
news and reviews, and ultimately
publishing content that will be relevant to consumers and which puts
across the brands point of view.
Journalistic and transparent
The key is that brand stories are honest, transparent and built around unexpected truths. Its what makes them
journalism rather than advertising.
Brand journalism is one of the new
forms of storytelling that brands are
developing. Coca-Colas Liquid and
Linked manifesto sets out some of
the ideas behind it. The company
describes its priorities as storytelling
and scale producing content on a
Dell creates
30% of the
content itself
and the
other 70%
originates
from other
sources
Jonathan Byerly,
Chief Content
Strategist, Dell
IBM
20119
ITer
has been a hit for IBM in China
huge scale that can be redistributed

by consumers. Its also worth looking
at Oranges The Feed blog, which is
much closer to publishing than it is to
traditional marketing.
Dells content strategy combines
content produced by its own copywriters with content produced by
third parties. Its goal is to engage
consumers before purchase by
answering questions or addressing
problems they may have. Running
the content across channels aids
search optimisation. The key to the
strategy is understanding how people search, and ensuring the brand
meets them when they do.
Oranges The Feed blog is similar to traditional publishing in its look and feel
www.warc.com
Case study Nissan

Introduction >>
New challenges,
new ideas
Advertiser
Nissan
1 Consumers >>
The new middle
classes
Market
Japan
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
global media centER

One of the most interesting examples
of a brand using brand journalism
comes from Nissan, which in 2011 set
up a Global Media Center in Japan.
The Center is staffed by professional
journalists and content creators
rather than by marketers.
The initiative was in response to
a decline in international interest
in Japanese business stories, and a
recognition that the brand has to do
more to drive consumer interest.
The Media Center drives stories in

the media by producing content and
sharing it with media outlets (both
traditional and blogs). It also tries to
get media to syndicate content, and
distributes content directly to consumers via its official global website
at nissan-global.com, as well as free
apps for iPhone, Android and iPad.
By early 2012, the Media Center
content will be available via Nissans
sales websites. The company is also
exploring syndication partnerships
with end-user websites.
This type of content creation

is particularly effective for initiatives such as a motorsport launch.
Nissan journalists have access to
the racing and GT-R development
teams and produce features and
videos for press or bloggers to use
on their own platforms. The goal is
to have a new piece each day.
The effectiveness measures for
the Media Center are still being put
in place, but will revolve around
sharing and syndication of content.
Other examples:
AT&T, AOL and
the Jonas Brothers,
Cambio, US
Goodyear,
A Lifetime
Commitment to
Safety, China
www.warc.com
Action points Content

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
ave something interesting to say,

H
and be willing to say it. Content must
be relevant and remarkable for people
to bother sharing it.
I f marketing and PR are handled

separately, take steps to bring them
closer together. Both functions will be
involved in a content strategy.
onsider hiring specialist content

C
producers. Facebook and Twitter
require frequent updates, and this
requires a thought-out editorial plan.
This is a different approach to campaign-based marketing.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
8 metrics
social roi
>> How do you know your social media activity is working?
Warc Trends >> 2012 Toolkit >> Metrics
Clear social metrics are yet to emerge

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
BRIEFING
hat is the value of a

Facebook fan? Or a Twitter
follower? These are questions that will be asked a lot in 2012
(as they were in 2011). Putting some
kind of metric on social media has
become the Holy Grail of digital media companies and media planners.
So how near are we to a solution?
The bad news is were nowhere
near a clear set of metrics for social
media. There are many examples of
work in social media driving a reallife return. But the way they do it, and
the way they measure it, varies from
campaign to campaign. There is sim-
ply no currency for planning, optimising and benchmarking social media

activity. And there are no widely
applicable methods of linking social
media activity with offline sales.
The good news is that we are
learning more about how social
media can be used well in different
situations. Many advertisers have
been keen to build up communities
of fans and followers without a clear
plan for what to do with them. This
may finally be starting to change.
Ultimately, the metrics for social
media investment depend on the
objectives of using the channel in the
first place.
trend drivers
Its too
difficult and
too early to
measure
social media
effectiveness
in terms of
incremental
sales
Richard Pentin,
IAB Social Media
Council
The phenomenal rise of
platforms such as Facebook

and Twitter has produced new
ways of reaching consumers.
But how marketers can and
should use them is still being
worked out.
hese platforms, particularly
T
Facebook, are pioneering
new forms of marketing that
combine sophisticated user
data with the social graph.
Facebook Timeline and Open
Graph are the latest examples.
The metrics attached to these
are yet to be standardised.

Traditional measures such as
reach have proved inadequate
in capturing the full range of
social media marketing.
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Platforms such as Facebook present new measurement challenges
www.warc.com
Its what you do with fans that counts

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
media, offering games and other

content to its Facebook fans. A particularly beautiful example is Intels
Museum of me , which allowed
people to turn their Facebook profiles
into personalised videos. The campaign, which was launched in Asia
but spread virally around the world,
was designed to communicate the
Visibly smart positioning of its processors. Mat Morrison, Head of Social
Media at Starcom MediaVest, argues
that the encouragement of sharing
and recommending is the key action
brands should seek to drive in these
types of campaign.
tell me more
Speaking at Warcs Social Media: Beyond the Hype conference,
Richard Pentin, member of the IAB
(UK) Social Media Council, advised
marketers that there were four As
against which they should benchmark social media: awareness,
appreciation, action and advocacy.
Each campaign will have a different
mix of these outcomes, and should
use different metrics accordingly.
There are (imperfect) methods of
calculating a cost-per-thousand on
reaching Facebook fans, but this
earned media should be viewed as
additional to a paid media plan, not
a cheap replacement. Rather than
using social media purely for reach,
it is a better idea to use it to amplify
an idea used elsewhere, particularly
a TV ad or other piece of content.
Brands such as Europcar have taken
this approach.
Engaged customers
One of the main reasons consumers
follow brands is to get discounts.
With a highly engaged community, it
is possible to run social media-based
campaigns that reward consumers
and feed directly into sales. Jimmy
Jimmy Choos treasure hunt used Twitter and Facebook

Choo, for example, organised a
trainer treasure hunt in London using Twitter and Facebook. And Pizza
Hut has used Facebook to conduct a
loyalty campaign that built sales.
Then there are social campaigns
that drive brand metrics. This is a
more long-term view of the value of
social media, as it does not look for
an immediate uplift in sales. Virgin
Atlantic uses this approach to social
Were not
bringing in
millions, but
thats not
our goal
Fergus Boyd,
Virgin Atlantic
Brand management
But there are other approaches
that will require different measures
again. On a short-term basis, crisisresponse campaigns often use social
media to manage a brands reputation. More broadly, of course, there
are opportunities to use communities
as sources of insight.
The value of social media, then,
depends on a complex (and everchanging) mix of earned media
value, sales uplift and brand metrics.
But, ultimately, its not about the
number of fans, its about what you
do with them.
www.warc.com
Marketers prioritise insight and loyalty

Introduction >>
New challenges,
new ideas
marketer opinions on social media
2 Brand
Management >>
Glocal-plus
6 Buzz >>
The many,
not the few
A potential source of insight
85%
Increased loyalty
85%
Increased chance of
advocacy/recommending
50%
Increased long-term spend on our brand
45%
15%
10
20
30
40
50
60
70
80
90%
insight and loyalty as the two

most common reasons for
building a social media
presence, with advocacy and
engagement also scoring well.
Not sure
23%
8 Metrics >>
Social ROI
he report found that 96% of

T
marketers interviewed were
increasing spend on social
media. However, half did not
know how to measure it, and
just 23% said social media
delivered a good return on
investment.
The study identified consumer
Assessment of ROI from social media fanbase
7 Content >>
Brand journalism
9 Data >>
Real-time planning
75%
A visible sign of our brands popularity
Increased short-term spend on our brand
Federation of Advertisers,
Millward Brown and Dynamic
Logic showed the gap between
interest in social media and
measurement of it.
80%
A deepened level of
engagement with our brand
3 Integration >>
Orchestration
5 Effectiveness >>
Return on
sponsorship
A 2011 report from the World
What do you consider to be the value of a fan?
1 Consumers >>
The new middle
classes
4 Innovation >>
KEY FACTS
Good
Average
elatively few marketers said

R
they were building social media
followers to increase spend on
the brand.
50%
10 Insight >>
Cultural connection
Poor
18%
9%
Source for charts: WFA/Millward Brown/
Dynamic Logic, via Warc News
www.warc.com
How much is a fan worth in dollars?

Introduction >>
New challenges,
new ideas
the value of a facebook fan
KEY FACTS
Several US companies have
1 Consumers >>
The new middle
classes
Value according
to Vitrue (2010)
2 Brand
Management >>
Glocal-plus
$3.60
Value according
SocialCode (2011)
$10
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Value according to
Syncapse (2010)
$136
tried to put a value on

Facebook fans over the last
couple of the years, but these
values have varied.
he differences underline that
T
value can vary hugely
depending on the brand, the
nature of its fans, and the way it
interacts with them.
Many of these studies conclude
that it is cheaper to get Facebook

fans to do certain things (install
an app, enter a contest, etc).
ut there remains the
B
question of cause and effect
are they more likely to do these
thing because they are Facebook fans, or are they more
likely to be Facebook fans
because they like the brand and
want to take part in its activities?
www.warc.com
Case study American Express

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Advertiser
American
Express
small business saturday

The American Express Small Business Saturday campaign is a nice
example of an initiative rooted in
Facebook that used changes in realworld behaviour, plus shifts in brand
sentiment, as its key metrics.
At the heart of the activity was a
one-day event to encourage people
to shop at their local businesses.
Small businesses are a key audience for American Express, and in
late 2010 one of its major concerns
was soft consumer demand.
As an organisation that worked
with both consumers and businesses,
American Express was in a good
position to help it could find a way
to direct consumers to its small business audience.
Small Business Saturday was set
up to follow Black Friday (the day
after Thanksgiving, when major retailers launch their sales). That way,
it could piggyback on the PR around
the holiday season.
Facebook was at the heart of the
campaign. A dedicated Small Business Saturday page gave businesses tools to help them promote the
event, including free customisable
Facebook ads that allowed them to
Agency
Crispin Porter +
Bogusky
Market
US
More than 1.2 million people joined
the American Express Small Business
Saturday Facebook community
create their own social campaigns.

The page also allowed consumers
to show their support, feeding into a
pre-existing buy local trend. Regular
posts ensured a stream of Likes
ahead of the event.
Quick results
The Facebook work was supported
by national TV and press advertising, plus PR.
Some 250,000 people signed up
to take advantage of a $25 credit for
using their American Express card
at independently owned small

businesses. At one point, Small
Business Saturday was the fastest
growing page on Facebook, and
more than 1.2 million people joined
the community.
The initiative turned into action.
Small retailers saw sales to customers using their American Express
Cards jump by 28%. And the brand
saw a rise in positive sentiment
among both its cardholders and
businesses.
Other examples:
Motorola, ME511
launch, China
Dell, Swarm,
Singapore
www.warc.com
Action points Metrics

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
ont set out to build fans or followers

D
without knowing what you want from
them.
I f you want to boost your reach, its

generally better to use social media
to amplify work in other media, rather
than replace it.

Dont
look for an all-encompassing
measure of social media ROI. Set
different KPIs for each initiative that
uses social media, and find ways to
measure them.
If you build a community, keep them.

That will require regular engagement.
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
9 Data
real-time planning
>> How can you respond to live information?
Warc Trends >> 2012 Toolkit >> Data
Exploring the real-time alternatives

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
heres plenty of talk about

real-time planning. But good
examples of it in action are thin
on the ground.
This is partly a problem of definition. The term refers to the practice of
adjusting campaigns and strategies
according to real-time information.
It is a response to the deluge of realtime data from online sources.
But there are many different ideas
as to what this means in practice. At
its most basic, it is a tactical response to campaign feedback for
example, producing extra content or
merchandise on the back of a hit ad.
The concept of tweaking campaigns post-launch is not new. In
search or digital display, optimisation of keywords or ad copy has been
possible for some time, and the growing sophistication of Googles analytics tools mean this is one area where
marketing on the fly is possible.
But real-time planning implies
something more comprehensive
and more qualitative. It involves the
breakdown of the traditional plan-execute-measure structure of marketing
campaigns in favour of something
more fluid. Some point to dynamic
Data from digital sources,
particularly Googles analytics

tools, means marketers have a
better idea of what is happening
in real time. This data is both
quantitative (website traffic, for
example) and qualitative
(online sentiment analysis).
In 2011, Ikea produced one ad a day in the Netherlands
Real-time
data only
becomes
real-time
planning
when that
data is
turned into
real-time
ideas
Craig Mawdsley,
AMV BBDO
shorter information cycle

A
means advertisers are looking
at alternatives to the traditional
plan-execute-measure structure.
Digital display and search have
used optimisation techniques

for several years. Real-time
planning is an extension of this
idea across a campaign.
content creation (much like brand
journalism); others point to managing and responding to conversations
(for example, in crisis management);
others point to ideas that brands just
put out there to see what happens.
One example from 2011 comes
from Ikea in the Netherlands, which
produced one ad a day for 365 days,
each filmed on a handheld camera
in-store.
ocial platforms allow brands

S
to direct or develop ideas in
conjunction with consumers.
Real-time planning also reflects
an opportunistic approach to
marketing, overlapping with
ideas such as newsjacking.
www.warc.com
The flexibility to respond to events

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
At the moment, examples of real-time
planning are mostly tactical shifts to
a campaign strategy post-launch
for example, producing extra content
(as in the quick-turnaround video
clips that followed up Old Spices
The man your man could smell like
campaign), or merchandise (as with
the cuddly meerkats based on the UK
Comparethemarket.com work).
There is also the related trend of
newsjacking, where brands try to
use current news stories as an opportunity to put across their point of view
and generate earned media.
The always-on approach
The big question is whether real-time
planning can evolve into something
different an always-on approach to
brand management that can react
to shifts in sentiment or new events.
This is easier said than done.
Converse has made some strides
in the US in the past few years, moving away from a campaign mentality
toward something more fluid. For
example, the brand used Google
search data to connect with its teenage audience: when it noticed that
there were weekly peaks on the term
Vision
remains
intact, but
tactics
move in
response to
opportunity
Martin Bailie,
glue Isobar
Meerkat toys were spun off from the successful Comparethemarket.com work
spelling bee, it bought up the term
and directed users to a mini-game.
It also used its products to this effect,
customising shoes around Halloween, Mardi Gras and other events.
One issue to bear in mind is that
real-time planning still requires a
carefully thought out brand strategy. A brand needs to know what its
stance is if it is to respond meaningfully to real-time developments.
Another issue is how real-time
planning is budgeted. An Admap
piece by Martin Bailie from glue

Isobar argues that some businesses
are holding monthly budget reviews.
The goal is to balance a long-term
vision of where the brand wants to be
with real-time needs and opportunities. Its much harder to respond if
marketers are locked in to annually
set budgets. He suggests that 30%
of a budget is spent on launching
a campaign, with 70% retained for
pivots areas where the brand can
improve the campaign post-launch.
www.warc.com
Case study Wieden & Kennedy

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Agency
Wieden &
Kennedy
off on
In 2011, the Account Planning Group
in the UK introduced a real-time
planning category in their Creative
Strategy Awards. The inaugural gold
award winner was an internal initiative by Wieden & Kennedy aimed at
saving energy.
The problem the agency faced was
finding an incentive to make people
switch off lights or office equipment
when they werent in use. The solution was to illustrate the tangible
impact of doing so.
The company partnered with
SolarAid, an NGO working in Africa,
in a scheme which saw every penny
saved in energy in London converted
into solar power funding for a school
and orphanage in Nairobi, Kenya. To
raise the 2,500 they needed would
require an 8% reduction in energy
usage in London.
The real-time element came from
energy monitors that could read the
energy consumption of the office and
demonstrate what this meant for the
SolarAid target. The findings were
then translated into happy or sad
house icons to let employees know
when they were doing well and when
they needed to try harder.
Market
UK
Wieden & Kennedy used icons to illustrate its energy-saving results in Nairobi
As the initiative progressed, the energy monitors could see which measures were having the most impact.
For example, sharing stories from the
orphanage caused dips in energy
usage. That meant the team could
develop more effective responses
(including an exhibition of drawings
from the school).
The result was a 9% drop in energy
use despite a 35% rise in headcount.
Other examples:
Nike, Grid, UK
IBM, Seer 2.0, UK
www.warc.com
Action points Data

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
now what data is available. Google

K
is forging closer links with brands and
agencies to ensure they know what
they can look for.
he campaign launch is only the start.

T
Anticipate changes post-launch and
have budget to deal with them.
eal-time planning may mean changing

R
the way brands pay agencies, who will
do more than create a campaign.
andle data with care. Qualitative

H
data needs careful management to be
of use. And brands need to be clear
which metrics they want to influence.
Data doesnt replace strategy. Strategy

should inform the response to data.
10 Insight >>
Cultural connection
www.warc.com
10 insight
cultural connection
>> How do you use cultural insight to engage consumers?
Warc Trends >> 2012 Toolkit >> Insight
A new emphasis on culture

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
BRIEFING
trend drivers
ultural insight is in fashion.

A growing number of case
studies and research pieces
take as their starting point shifts in
culture and ask how brands can use
that understanding to build a deeper
connection with consumers.
In this sense, cultural insight is different from consumer insight (understanding need-states, for example),
or brand insight (understanding the
brands fundamental truths). These
two areas have been the typical
starting point for brand managers
in the past couple of decades when
it comes to mapping out a path for
innovation and communication. They
are also easier to quantify and put
numbers against.
Of course, researching the cultural
context in which a brand operates is
not a new idea; this is more a shift in
emphasis than a new concept. In a
way it marks a return to the roots of
account planning. But now there are
new forms of cultural research that
draw findings from neuroscience and
behavioural studies.
Ogilvys Big IdeaL process is an
example of an agency developing a
methodology around cultural insight
New technology and a volatile
economy have disrupted many

categories. Brands are looking
at cultural connections to restore
some stability.
B
rands are seeing diminishing
returns from consumer and
brand insight. There has been
a battle to take ownership of
emotional positionings (such as
happiness or confidence).
Multinational brands have
found they need to be culturally

sensitive to unlock the potential
of fast-growth markets.
Ogilvys Big
IdeaL was
employed for
Shangri-La
hotels
the goal is to identify a cultural

tension and look for ways a brand
can resolve that tension. The process
has been used for clients such as
Shangri-La hotels.
Ultimately, this is about giving
brands greater consumer connection in some cases, even an iconic
status. At a time of economic uncertainty, that desire is understandable.
www.warc.com
Matching brand ideology to culture shifts

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
tell me more
The term cultural innovation has
been coined by Douglas Holt and
Douglas Cameron, who argue that
marketers have become obsessed
with more quantifiable ideas such as
consumer need-states and brand
truth. They add that brands focusing
on these concepts have ended up
pursuing emotional positionings that
are ever more vague happiness,
fun or confidence, for example. Cultural innovation provides an alternative source of insight.
The key is not just to analyse the
culture in which a brand is operating,
but to find ways to give a product
an ideology that matches a cultural
shift, then expressing that ideology
through packaging, retail, communications, internal marketing, events
and so on. A recent ESOMAR paper
builds on these ideas and looks at
cultural insight as a third space in
market research (the first two being
consumer insight and brand insight).
Being culturally relevant
Its often the case that start-up
brands, especially ones built around
the vision of a founder, have this kind
of cultural ideology hardwired into
Mothers use of cultural insight in its Ikea planning has improved sales and brand health
There is an
emotions
arms race
as brands
vie to own
the top
emotion
words
Douglas Holt and
Douglas Cameron
them. But established brands can

learn from their success. A great example of a brand looking for cultural
insight is Ikea in the UK. The brand
was failing to increase penetration,
and was just seen as a place to buy
cheap furniture. By adding a cultural
insight initiative to its planning,
agency Mother saw into the relationship Britons have with their homes.
Creative ideas have included an
experiment involving cats and comedians demonstrating storage. Sales
and brand health scores are both up.
Agencies are taking steps to build
on these ideas. BBDO, for example,

talks about building brand movements recognising how brands can
tap into or create mass-participation
programmes. Inevitably, these ideas
are based on recognising what ideas
will be culturally relevant and have
been played out in initiatives such
as Gillettes Women Against Lazy
Stubble and Avivas Great Wall of
Education, both in India.
Movements also dovetail with
growing interest in corporate social
responsibility, and the concept of
doing well by doing good.
www.warc.com
Case study Cadbury India

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
Advertiser
Cadbury India
Shubh Aarambh
Indias marketers seem particularly
keen to give their brands cultural
relevance, judging by the entries to
the Warc Prize for Asian Strategy. A
great example is the Shubh Aarambh campaign for Cadbury Dairy
Milk, which managed to lift sales of
all Cadbury products in the market,
even though the brand was already
market leader.
The key was to recognise the
cultural importance of sweet treats
and to find a way for chocolate (and
Cadbury Dairy Milk) to fill that role.
Although Indians have a famously
sweet tooth, chocolate was seen as a
childrens treat rather than an adult
indulgence. Cadbury had achieved
success in positioning chocolate as
a celebration product, but wanted to
expand consumption further.
The brand embarked on a study
of the cultural codes of consumption
of all kinds of sweet. The insight was
that traditional Indian sweets played
a role when Indians set out on a new
venture. Eating sweet things is seen
as auspicious for example, before
exams or before a journey.
The brand applied this insight to
more modern scenarios, such as a
Agency
Ogilvy & Mather
Market
India
Cadbury used cultural insight in India to increase Dairy Milk sales by 33%
boy asking a girl out on a date.
It associated these moments with
chocolate. This idea was fed into a
dramatised TV-led campaign.
The campaign had a major
business impact. Dairy Milk sales
jumped 42% in value and 33% in
volume over the previous year. The
overall Cadbury brand portfolio
saw volume sales rise by 25% and
value by 33%. Brand health measures rose significantly.
Other examples
Stride, Japan
Launch
Shangri-La, Its In
Our Nature, Asia
www.warc.com
Action points Insight

Introduction >>
New challenges,
new ideas
1 Consumers >>
The new middle
classes
2 Brand
Management >>
Glocal-plus
3 Integration >>
Orchestration
ont assume a catch-all emotional

D
positioning is the best way to connect
with consumers.
xamine the cultural context a brand

E
is operating in. This may be a more
qualitative process than other forms of
brand research.
3
4
Look for where a brands core strengths

and a cultural insight meet.
4 Innovation >>
5 Effectiveness >>
Return on
sponsorship
6 Buzz >>
The many,
not the few
7 Content >>
Brand journalism
8 Metrics >>
Social ROI
Look for cultural movements where a

brand can add genuine value.
9 Data >>
Real-time planning
10 Insight >>
Cultural connection
www.warc.com
More from Warc

DAILY EMAIL NEWS (NO SUBSCRIPTION REQUIRED)
Sign up for Warcs free daily news email, covering the latest
research and trends from around the world. Or keep up to
date with the best new content on Warc via regular emails
from our team of editors.
Best practice guides
The Warc Best Practice series is an essential collection of
guides to major marketing issues. They offer a perfect introduction and overview of any unfamiliar issue.
warc briefings
Warc Briefings provide a quick overview of key areas in
communications and branding, outlining the history and
future outlook of a subject, plus further reading.
Follow us
www.warc.com
About Warc
Warc is the most comprehensive
marketing information service
in the world. We are a trusted
resource, recognised for the
provision of the latest in-depth
information and cutting-edge
thinking.
W
e help you make sense
of change
W
e provide stimulus for
your thinking
W
e let you see whats on
the horizon
We help you make your case

Warc.com is the single best
source of case studies, best
practice guides, marketing intelligence, consumer insight, and
industry trends.
Take a free trial of the service at
www.warc.com/trial.
London (Head Office)

85 Newman Street
London
W1T 3EX
United Kingdom
+44 (0) 20 7467 8100
enquiries@warc.com
Singapore
31 Pekin Street
03-01 Far East Square
048761
Singapore
+65 3157 1214
asiapacific@warc.com
Washington DC
2233 Wisconsin Ave NW
Suite 535
Washington, DC 20007
United States
+1 202 778 0680
americas@warc.com

2012 Toolkit

Hochgeladen von

Dokumentinformationen

Copyright

Verfügbare Formate

Dieses Dokument teilen

Dokument teilen oder einbetten

Freigabeoptionen

Stufen Sie dieses Dokument als nützlich ein?

Sind diese Inhalte unangemessen?

Copyright:

Verfügbare Formate

2012 Toolkit

Hochgeladen von

Copyright:

Verfügbare Formate

warc trends

Copyright Warc 2012. All rights reserved.

Warc Trends >> 2012 Toolkit >> Introduction

New challenges, new ideas

Copyright Warc 2012. All rights reserved.

we highlight in this report are not

About this report

A briefing on the challenge

A Tell me more section that

Case studies and data to support the argument.

Action points drawn from the

Warc Trends >> 2012 Toolkit >> Introduction

Economy and technology dominate

Copyright Warc 2012. All rights reserved.

that use them (8 Metrics)? What is

Lipton targets Hispanic consumers (1)

Iceland turns to word-of-mouth (6)

Jimmy Choos social treasure hunt (8)

Warc Trends >> 2012 Toolkit >> Introduction

At a glance: the Toolkit on one slide

Brand management >>

Copyright Warc 2012. All rights reserved.

Copyright Warc 2012. All rights reserved.

Warc Trends >> 2012 Toolkit >> Consumers

Reaching out to the newly affluent

arallel trends at opposite ends

cultural is becoming the mainstream.

for 2012, multinational corporations will focus resources on the

lions of new consumers. But this

Copyright Warc 2012. All rights reserved.

Warc Trends >> 2012 Toolkit >> Consumers

The change in the mainstream

Copyright Warc 2012. All rights reserved.

to existing customers. Unilever has

Warc Trends >> 2012 Toolkit >> Consumers

Case study P&G

Copyright Warc 2012. All rights reserved.

Pampers has seen sales and loyalty

Warc Trends >> 2012 Toolkit >> Consumers

Case study Intel

the larger india

Copyright Warc 2012. All rights reserved.

Warc Trends >> 2012 Toolkit >> Consumers

Action points Consumers

 nsure product innovation takes into account

 onsumer education is a vital first step, as is

 hink about the media consumption of the

Copyright Warc 2012. All rights reserved.

Copyright Warc 2012. All rights reserved.

Warc Trends >> 2012 Toolkit >> Brand Management

Balancing ultra-local and international

he term glocal (global plus

Copyright Warc 2012. All rights reserved.

At a global level, there is pres-

sure for greater standardisation

practice of developing products in

idea with localised interpretations is being replaced by

Warc Trends >> 2012 Toolkit >> Brand Management

Shared insights deliver competitive edge

Copyright Warc 2012. All rights reserved.

Asian youth culture argued that there

through global platforms, particularly through sponsorship of global

Warc Trends >> 2012 Toolkit >> Brand Management

Case study Stella Artois

A briefing on the challenge

A Tell me more section that

Case studies and data to support the argument.

Action points drawn from the

nsure product innovation takes into account

onsumer education is a vital first step, as is

hink about the media consumption of the

At a global level, there is pres-

ook for barometer markets or clusters for

nsure there are structures and processes

sk what is right for your brand and your

Many advertisers are looking

V was the most popular mediT

Tellingly, the combination of

void matching luggage. Each

ont abandon paid media. When

ig brand ideas still need to be

hink about agency relationships.

Companies that are creative