digitalization. a perspective

Digitalization. A perspective.

Roope Ruotsalainen Chief Digital Officer

Digitalization is everywhere in marketing.

Frankly Partners digitalization

92 % of all data in the world has been saved during last two years.

Frankly Partners digitalization

Frankly Partners digitalization

Digitalization and data does not equal to re-targeting.

Digitalization changes structures, we are incapable to see.

Frankly Partners digitalization

No candle-maker has become bulb manufacturer.

No carriage-maker has become car producer.

The post office did not invent the email.

Frankly Partners digitalization

Frankly Partners digitalization

Technology is the media

New

demand patterns

will emerge

Future leadership is the only growth driver

Frankly Partners technology is the media

technology is the media

Since Gutenberg and 1450’s, printing press was the core of media. Now,

Frankly Partners technology is the media

President Roosewelt begun his famous Fireside Chat radio speeches in 1940’s. President Obama continued the tradition, but not in radio. Technology, Google Hangouts replaced the media.

Frankly Partners technology is the media

Putous (most watched TV show

in Finland, week 5)

1 931 000 viewers

Pew Die Pie (random Swedish game geek, one clip, week 5)

6 225 000 views

(and 20M YouTube followers)

Frankly Partners technology is the media

Sanoma (content)

10 000+ employees 1081 M€ market value

Instagram (platform)

16 employees 730 M€ market value

Frankly Partners technology is the media

If the content is the king, technology is King Kong.

Frankly Partners technology is the media

However, the content is only as good as people sharing it, not as good as people making it.

new

demand patterns

will emerge

Frankly Partners new demand patterns will emerge

Technology has changed how people behave and think. In business,

Frankly Partners new demand patterns will emerge

1992  MP3-­‐standard  

2003  iTunes  

2008  Spo3fy  

Frankly Partners new demand patterns will emerge

1992  MP3-­‐standard  

2003  iTunes  

2008  Spo3fy  

1995  Consumer  priced  CD-­‐R  recorder  

1999  Napster  &  

peer-­‐to-­‐peer  networks  

Frankly Partners new demand patterns will emerge

“The only thing keeping most big companies from creating new categories is their

lack of imagination - to see beyond what they’re selling today”

Eddie Voon & Linda Deeken Harvard Business Review 03/2013

Frankly Partners new demand patterns will emerge

“People tend to visit same sites, watch the same videos, read the same articles, and eventually, think the same thoughts.”

Internet = Xerox?

Frankly Partners new demand patterns will emerge

Within the endless loop of sharing and curating, winners are those creating new categories, thus new demand.

Technology has changed travel & booking. But not yet the cruise industry.

Frankly Partners new demand patterns will emerge

Create a new category. Create new demand.

Frankly Partners new demand patterns will emerge

Customer centricity

“What causes the customer behavior?”

“From the age of the mass to the age of the individual.”

Source: Helge Tenno

NEW VALUE PROPOSITIONS

NEW BUSINESS MODELS

NEW JOBS- TO-BE-DONE

NEW CUSTOMER JOURNEY

NEW MARKETS

NEW RELATIONSHIPS

NEW MEETING PLACES

Frankly Partners future leadership is the only growth driver

Data and analytics changed already the game. But the

future leadership is the only growth driver

Frankly Partners future leadership is the only growth driver

“With data-driven insights, companies can achieve 10 % to 30 % improvements in marketing performance, yet

maintain their existing budgets.”

- Nichols, on Harvard Business Review

Frankly Partners future leadership is the only growth driver

REVENUE

MARKET

SEASON

UNEMPLOYMENT

CONSUMER INDEX

GAS PRICE

ONLINE DISCUSSIONS

COMPETITORS PRODUCT LAUNCHES

PRICING

ADVERTISING

PROMOTIONS

ACTIVATION

REVENUE SOLD ITEMS MARGIN MARKET SHARE CLIENT LIFE-TIME VALUE

PRINT ADS

TV COMMERCIALS SO-ME

DIRECT MAIL

SEARCH (SEM/SEO)

MARKETING

PR DIALOGUE

MOBILEAPPS

CLIENT SERVICE

PROMOTIONS

POINT OF SALE

EARNED MEDIA

PRICING

DIGITAL SERVICES

MARKETING BUSINESS

SEARCH BEHAVIOUR SOCIAL RECOMMENDATION SERVICE USAGE VISITS TO BRICK&MORTAR

Source: Harvard Business Review

Frankly Partners future leadership is the only growth driver

Hmm, okey. Good to know. [What I was doing before being disturbed…?]

Hey, I’ve forecasted that next week there’s less demand than normally!

Frankly Partners future leadership is the only growth driver

Measurement, data, analytics and insights are nothing, without re-thinking leadership.

It’s about asking right questions. It’s about asking “why”, not “what”.

Frankly Partners digitalization

Finally…

Frankly Partners digitalization

When everything is digital, digital commerce follows clients to analogic.

Frankly Partners digitalization

Newspaper published by MrPorter.com online fashion shop

Frankly Partners digitalization

Thank you!

Roope Ruotsalainen Chief Digital Officer