Our Worldwide Executive Creative Director Jason Romeyko sums up a week of ÜberCreativity, inspiration and motivational speeches at Serviceplan Group’s headquarters – the House of Communication in Munich.
The mega trend of 2018 is quality of content. Cat picture content continues to have its raison d’être, but its relevance is declining. Due to its educational core virtues, PR as a multi-channel discipline plays a much more important role in the communications industry than pure campaign-driven marketing.
The distinction between classic PR, editorial digital content, paid content and marketing is increasingly becoming blurred. I see the demand for integration of the communication disciplines as the central challenge for the industry. And Public Relations, the management of relationships, has great new opportunities. Or, to borrow the words of a colleague in the industry: “The great era of PR is just beginning”.
In 2018 we will creatively prepare ourselves to combine technology and storytelling in new ways. With the rapid pace of technical development, it will not only be possible to create different content for different people, but also to make the content reactive. A film that notices that I’m in a bad mood and tries to cheer me up, but surprises another user with another ending; a visual that immerses my mood in colours; music that adapts to my situation. In terms of narrative, this results in infinite, progressive possibilities.
Honestly, would you believe any entrepreneur who boasted: “We know our customers better than ever, because of digitization! We have a huge database full of customer data which reveals their wishes. We fulfill these wishes immediately and make our customers happy – and they reward us for it with their purchasing power and strong loyalty”. Sounds good, right? But let’s be honest: Few brands could actually claim that so far. Most are experiencing the opposite: the decreasing loyalty of their customers as they turn away, are suspicious and “ad-phobic”. In Germany, for example, 44 percent of all manufacturers’ brands are losing more than 30 percent of their regular customers per year – and the number is increasing, as we found out in a study with GfK.
What’s going wrong? To get an answer a change of perspective helps. Consider the situation from the viewpoint of consumers. They are, according to global studies, disappointed; in the United States, according to Accenture, more than four out of five consumers (84 percent!) are frustrated, because companies do not deliver what they promise. And we are not doing much better in Germany; where only 30 percent trust brands and their messages. Instead of the hoped for closeness to consumers, the advertising industry is experiencing estrangement. It is as if digitization has not helped them to get to know consumers better, as hoped, but rather to lose sight of them. With regard to entrepreneurial success, this is a catastrophic development. What can be done? One thing is clear; familiar methods will not help here, neither trusty advertising power nor wily technical finesse.
We need a fresh start. The product is no longer the starting point for all marketing activities, but the consumers and their life phases. They are the starting point of all activity; customer orientated production, brand management and marketing.
To inspire consumers, the marketing of the future has to create worlds of experience in which engrossing customer experiences ensure long lasting customer relationships. Airlines then sell travel events, not tickets. And car makers offer mobility experiences, not just cars. The product? It’s only part of a larger picture.
For marketing this change means, among other things:
1. Away from the “14-to-49-years-mentality” – towards micro-segmentation and personalisation
Because consumers move in the new consumer media world individually, media planning with rough-edged categories like “14 to 49” can no longer achieve a lot. In future the focus won’t be on target groups, socio-geographic data and ranges, but the stages of life, needs, experiences of each individual consumer. For the media planning for this personalization, we need more than ever to focus on methods such as micro-segmentation.
2. Away from the channel perspective – towards customer journey accompaniment
Nowadays, consumers use more channels, contact points and marketing resources for their purchases than ever before. The customer journey is now many times more complex than even ten years ago. Online or offline? It doesn’t matter, any mixture is okay. Studies show that few companies have concerned themselves with the customer journeys of their customers.
3. The way from the advertising message to relevant content offers
Exaggerated advertising promises no longer match present purchasing behaviour, because consumers believe nothing without checking. Up to 90 percent of product research is made before visiting a store. Therefore, companies need to develop ideas on how they can support potential customers at an early stage with information and persuasive arguments.
4. Away from self-serving data analysis – towards the use of media for customer satisfaction
In future it won’t be about hoarding data for advertising purposes. Instead, companies should consider how they can use the information to shape their business model, improve their products – and ultimately to make their customers happy. That is the real power of Big Data. Its intelligent use can be absolutely decisive.
Marketing can only achieve this fresh, stronger position if it drops outdated mechanisms and tactics; instead it needs the courage to make a fresh start. The consumers will be grateful. Our task, the task of the agencies, is to accompany this change, sometimes even to carefully push it.
This means we agencies need to reconsider our services and processes, to monitor and constantly optimize them to be perfect consultants for our customers in these difficult, but also exciting times. At Serviceplan, we are working on it; on a daily basis, at more than 30 locations worldwide. And, as of March this year, also in Spain.
First released in World’s Leading Independent Agencies 2016.
“Communication without content marketing has no future”
Buzzword or not – the need for content is greater than ever. In these times of the Internet as a platform, the power is shifting to the consumer. It used to be the other way around. Today, I can simply click everything away or use Adblocker. The consequence: the consumer has the power.
But someome do it right and do not get clicked away. What do Vodafone and South Tyrol have in common? Both know how good content marketing works. They are among the winners of the German Content Marketing Awards, which were awarded in 2015 for the first time. The South Tyroleans impressed us with their visually stunning stories (www.wasunsbewegt.com), and mobile operator Vodafone with the witty product testing of the “Gadget Inspectors”. They also convinced us through their networking with other content offerings as well as consistent marketing. In short: Vodafone and South Tyrol practice content marketing as it should be: Paid, Owned, Earned, and balanced out.
Such exemplary practice is still rare in German-speaking countries. We are, in fact, currently experiencing an accumulation of “pseudo-content marketing”. Content marketing, which only pretends to be such. Sometimes even a single blog can already be touted as content innovation, or native advertising articles, just because they rate well in the rankings. Sorry, they may well be successful measures, but they are only details of a larger whole which would deserve to be called content marketing.
Properly understood, content marketing provides an opportunity to revitalize the entire realm of corporate communication with fresh impulses. Everyone could benefit from it – from PR, marketing, customer services, and sales right through to HR. Content marketing concerns us all because it could be the solution to an acute problem: the rapid loss of customer confidence and the resulting threat of revenue loss. Meanwhile, 44 percent of all manufacturers brands are losing more than 30 percent of their regular customers per year (Marken Roadshow).
To counter this, companies need to put customers increasingly and more consistently in the centre of their actions. They need to develop experience worlds in which customers’ needs are met at the right time and in the right place. The product does not play the main role in the marketing of the future. The time of Customer Centricity is dawning – and in it, content marketing plays a central role. That, because it creates values without which such an adventure world can not function. Strategically, cleverly placed content which is free from paralyzing “advertising speak” should spur the conversation with customers. To put it boldly: without content marketing, corporate communications has no future.
For this reason, communicators should first ask themselves some holistic questions:
- How can we create a “customer experience” and we what content do we need at which touchpoints?
- How can each piece of content contribute to increasing brand appeal?
- Do current content offerings have the necessary quality – from brochures to native advertising?
- Is all content compatible? Do they complement each other? Or is it more of a muddle?
- Which “Paid, Owned, Earned” content, do we need to be convincing?
Even if communication professionals plan only single content-marketing activities, they should have the higher-level communication aims in mind. Then there is no dramaturgical problem later if the content marketing is expanded. The final goal should always be to have all the content elements interacting perfectly.
In order to enable content marketing to develop its full potential, companies should be aware of these ten rules:
Focus on top quality
In content marketing, bad quality and mediocrity have no chance. Average, interchangeable content gets lost in the flood of information. There are nearly one billion websites, and around 2.5 million emails are sent per second, while over 10,000 tweets are sent and more than 100,000 videos uploaded to YouTube. Bitter, but true: no one out there is waiting for your content.
Nevertheless, 70 percent of American B-to-B companies are now producing more content than a year ago. This abundance is not inspired, but rather annoying. Four out of five US decision-makers complain they get too much information, and on top of that it is useless and therefore, after a brief scan, lands right in the trash.
To clarify: of course content marketing is also about creating new content, but it is the quality and networking with all other content offerings which is decisive, not the quantity. The content must be first class and unique, to earn the recognition of consumers and search engines. The bottom line is: if you do not strive for excellence, then you can just as well do without content marketing. And save money.
Use your brand as a storytelling turbo-booster
Of course you need to know what content stakeholders expect from you, but this does not mean that you should only tell them what they want to hear. It is better to show personality and strength of character which is visible in every single piece of content. Use your brand as a source of good topics and storytelling. This clear focus creates trust – and is the basis for good business.
In content marketing, it is not just about building trust; it is also about giving a brand meaning. How that can succeed is shown, for example, by the TexMex chain Chipotle. From the top quality information on the website through to top class animated films and a lavishly produced series “Farmed and Dangerous”, each of these different content measures makes a single brand message clear: we are committed to healthy, responsible food. We sell “Food with Integrity”.
Or did you know, for example, that the engines which power the famous London Tower Bridge are from Bosch? In the “Bosch World Experience”, Bosch sent six young people to places where Bosch is active, and had them recount their experiences. Through this, stories, such as that of Tower Bridge, did the rounds, and Bosch succeeded through its content marketing campaign in positioning itself as a versatile and inspiring brand.
The Marriott hotel chain’s success came through its magazine “Marriott Traveler”. It is full of inspiration for avid travelling millennials. None of the articles is about Marriott – but the selection of stories makes clear: with its 19 hotel brands and 4,200 hotels, Marriott knows the furthest reaches of the globe. Content marketing allowed Marriott to promote itself, more or less indirectly – no matter where the journey goes.
Chipotle, Bosch and Marriott – three brands, three strong characters. They show that whoever adopts an attitude, has the best starting point for strong themes and storytelling.
The customer journey is also your “content journey”!
Did you know that consumers already have up to 90 percent of the customer journey behind them before they enter a store? And that they have used up to eleven content offerings?
Consumers now possess, thanks to the “Internetization” of the media and trade channels, an enormous research potential and freedom of choice. Businesses need to make every effort to provide timely, excellent content at every single touchpoint. For us marketers this means that we have to make the customer journey to our “content journey”.
There is much to learn and explore. For example, we need to find out when or where an interested party could become a lead or buyer. Websites seem rather unsuitable for this: 96 percent of visitors, almost all of them, are not in a buying mood. When and where can we can present sales arguments without being pushy? We need to find an answer. So far, at any rate, consumers do not seem satisfied with the information supply; only 14 percent are currently of the opinion that brand companies provide a good multichannel experience.
One thing is certain; patience pays off. Three out of four consumers give purchase preference to the brand which best supplied the most useful content during the customer journey.
For this reason, all stakeholders need – also in sales – to appreciate the need for a particularly cautious approach to content marketing.
Determine what content your local markets need
Localization has always been a particularly tricky task – in content marketing, it is no different. Again, it is about the right feeling for different cultures and tastes. Even US companies do not have this theme under control, as shown in a survey among the visitors to the Content World Congress 2015 in Cleveland; about 60 percent confessed that they do not have a strategy for global content marketing.
In any case it makes sense to build up their own expertise in every major market. The content marketers can then decide on the spot what content suits them. In American content circles, it is estimated that around 20 percent of content is suitable for localization.
Promote your content as a product
It doesn’t matter how good your content is – if it isn’t marketed, it won’t have an effect. You have to beat the drums for content as if it were a stand-alone product – in the social web, with paid media or with other PR activities.
How this works is shown by the German lawyer information service, which, in 2015, was awarded the German Prize for Online Communication. The mediation platform for lawyers appears as a magazine which informs readers, through top quality journalism, on different legal topics, and only as a second step, matches potential clients to appropriate lawyers.
In the Social Web, the site is strongly supported by a Facebook page (with more than 65,000 Likes). There memes are posted with legal sayings, infographics and Newsjacking on current topics. This quality pays off; 41 per cent of blog or website visitors (300,000 per month) go there via the social web.
Paid content presents situations in a humorous way in full-page ads.
PR activities – on Ebay future ex-husband Martin G. auctioned the couples joint possessions – but halved: half a car, a chair or a teddy bear. The auctions became a worldwide hype – on YouTube, in the press, on TV, and on the social web.
When the public was informed that the action was initiated by the lawyer information service to draw attention to the lack of legal protection before marriage, no one was annoyed – on the contrary: it was seen as valuable.
Good content alone is therefore not enough; you need to draw on your media potential and determine a media budget.
Bring all your communicators to one table
One of the trickiest tasks is to bring the different skills of each department together as a meaningful whole, but it is indispensable. Establish units for content marketing.
There must be people in the company who are primarily concerned with the theme of content. For example, PR usually has the most experience in storytelling and agenda setting. Marketing and sales, in turn, is better in the management of touchpoints, where storytelling could take place.
So there is no way around it; these two skill areas need to be brought together. How this can work, for example, is demonstrated by Metro with its Genuss-Blog (pleasure-blog). It is full of good stories which, in other points of contact, such as in the typical metro mailings, are developed further. And a PR expert is responsible for storytelling on the marketing touchpoints.
Search for your efficiency killer
Cooperation is essential, if only for cost and efficiency reasons. It is not uncommon for different departments to produce the same content – such as an app – for the lack of joint content management. A US study illustrates the scale of this problem. There, B-to-B companies annually produce deficient content to the tune of 958 billion US dollars, simply because their content management is inefficient. And in the UK, this lack of cooperation skills leads to 15 percent of companies never publishing a massive 50 percent of the content they have produced .
Motorola Solutions has learned from this. The telecommunications company now has a pool for all its content materials which communicators add to, research in and use. Thus, ridiculously expensive duplications are avoided and the expert abilities of other departments utilized.
The potential savings in content management seem considerable. If you weigh this off against the cost of content marketing, you will probably quickly come to the conclusion that content marketing can pay off.
Get content-strategic expertise
If your company does not have any employees with content-strategic competence, you should change that quickly. Even if you plan to outsource content marketing tasks, you need at least one expert in the company who can assess the quality of the work done externally and manage it objectively.
It needs to be someone with editorial know-how, who knows the brand messages, and who can handle the service providers involved, because there could be many of them: from the online agency to PR, events and media agencies. Ideally, they should be experienced in dynamic newsroom management, because content tasks are always a “work in progress”. We are dealing with evolving processes that need highly flexible management.
Content-strategic preparations are the pre-conditions for successful content marketing. Nevertheless, this step is often skipped in the mistaken belief that it is an unnecessary burden. But the absence of a content strategy is virtually a guarantee of failure, as shown by the Content Marketing Institute. Of the companies that are disappointed in their content marketing, only 7 percent have one. And of the completely satisfied? 60 percent are in possession of a content strategy.
Stay alert – the content landscape changes rapidly
One feature of good content marketing is that it works in the long run. It is not a campaign that can simply be stopped and replaced. Content marketing is a long-term companion, which must constantly be monitored and refreshed.
So remain vigilant, because customer needs and favoured touchpoints change rapidly. Who knows what will come after Snapchat, Instagram or Periscope? We currently should, for example, monitor content publishing platforms, Medium, LinkedIn and Facebook attentively and, if useful, integrate them in content marketing strategies.
We should indeed use the power of Google and Facebook, but not accept them as God-given at the same time. Through their filtering mechanisms, it has become difficult to approach people outside their “interests bubble”. For this reason, companies should consider additional tactics to attract the people’s interest.
So as you can see, content marketing is much more than an add-on. It enriches all communications because it changes the perspective in favour of high-quality content, which is essential for the design of a fascinating world of adventure.
Do not forget technology!
In the content marketing process, technologies play a significant role. What does that mean? In all stages of the process, the market offers different tools – from individual solutions to the emerging full-service approach for the mass market of the Top 500 advertisers: content / social marketing cloud systems. These provide integrated solutions for the entire process, but are leaner and more agile than the big marketing cloud systems.
The top players here are called Sprinklr and Percolate. We at the Serviceplan Group use all the technologies for our customers . We need to as well, as increasingly customers themselves bring along their own proprietary technologies and solutions or we need to modify them at the customers’. This means we must be flexible.
In the content distribution process, we are currently strongly focused on the global rock star, Sprinklr. However, we are also investing heavily in our own developments to have the technological development capabilities to meet individual customer needs in our own hands.
For that we have developed two of our own technologies: one for asset and workflow management, the second for analysis and reporting.
Is content marketing just a passing trend? No way.
First published in German: Leserautor Gastbeitrag in W&V.