evolution of advertising traditional to digital final

January / 24 / 2013

Evolution from Traditional to DigitalPresented by Jenna Rutschman to the Arizona Marketing Educators

Tuesday, February 26, 13

Agenda 01 Introductions

02 History of Advertising

03 Looking Inside: Advertising Agencies

04 Budgets

05 What Success Looks Like | Case Studies

06 What Success Looks Like | Verticals

07 Resources / Q&A


• Utilize data-driven statistics, industry trends and intuition to drive online marketing results

• We strive for results that will make your company reach its goals and increase revenue

• All campaigns are first tested and then refined to achieve continued business goals

• Development of solution-based online content that is optimized per execution (search, email, social, web, etc.)

Methodology | Terralever Philosophy

Science ArtResults





04 Budgets



07 Resources / Q&A


Results

Definition of Advertising

• What is advertising?

• Definition:• A form of communication used to persuade an audience

(viewers, readers or listeners) to take some action with respect


History of Advertising

1917 - the 4A’s was born

19201st Radio Spot

1925Birth of Consumerism

1939 Government WWII Propaganda

1941 1st TV Commercial

19501st Political TV Ad

1957 Birth of the longest used jingle


1963David Ogilvy

1970

1980

1981

1984

1994


1995


1997First Mobile Ad

1995-2000

2000

2002 - $7.53 Million TV Spot

2001

1995

1996






04 Budgets



07 Resources / Q&A


Looking Inside: Traditional Advertising Agencies


Traditional Advertising Agency

:30 TV SpotsPrint

The Pitch

One Stop Shop

Public Relations

Art Director & Copy Writing TeamsCreative Director

Mad Men-Esque

Big Budget

Madison Avenue

Agency of Record

Dog and Pony Show

Advertising Executive

Specialists

Super Bowl Spots

Glamor

“The” Idea

Entertainment Consumerism

Account Planning

Broadcast

Evolving into Integrated


Looking Inside: Digital Advertising Agencies


Digital Advertising Agency

Web Development

Search Engine Optimization

User Experience

Focused

Pay-Per-Click

Generalists & Specialists Mobile & Tablet

Cutting Edge

Measurement & Optimization

Anywhere USAResults Driven

Innovative

Paid Media

Social Media

Content Marketing

Strategy Solving Business Problems

Discovery Phase

Community Management





04 Budgets



07 Resources / Q&A


Results

Shift in Budget from Traditional to Digital Marketing*

0 5 10 15 20

% of total

*all data pulled from February 2012 eMarketer

Increased measurability and accountability

Increased customer engagement

Lower cost of customer engagement

Better ability to glean customer insights

Better customer conversion

Lower cost per lead

Lower cost of impression

Real-time nature of customer data gathered


TV

Internet

Radio

Mobile

Newspapers

Magazines

0 12.5 25 37.5 50

Time Spend Share Ad Spending Share

Time Spend vs Ad Spending Share*

*all data pulled from December 2011 eMarketer


0

17.5

35

52.5

70

2011 2012 2013 2014

TV Ad Spend Online Ad Spend

US TV vs Online Ad Spending 2011-2014*

*all data pulled from January 2012 eMarketer


2012

2013

2014

2015

2016

-3.75 0 3.75 7.5 11.25 15

Online Traditional Total

Local Online & Traditional Ad Spend Growth*

*all data pulled from March 2012 eMarketer


54% of responding companies are spending under 30% of their marketing budgets on digital channels and 31% are investing more than half of their marketing budgets in digital

However, 71% of companies surveyed derive up to 50% of their total revenues from digital marketing spend.

18% of client-side respondents indicate they derive more than 70% of their earnings from their investment in digital marketing.





04 Budgets



07 Resources / Q&A


Case Study / 1

L’OrealMarketing Reinvented*

• $2.1 Billion ad spend in 2011• 10% spend in digital• Remove the traditional barriers allowing

Print and TV campaigns to dictate all marketing

• Digital is the centerpiece for all marketers• Conversion & ROI Focused• Consumer Product Goods online campaigns

are seeing a 9% lift within three months vs 8% lift from TV campaigns over 12 months


Case Study / 1

L’OrealMarketing Reinvented*

• “In the old days, television was a shrine in people’s homes. They gathered around and watched. Advertisers had the power. Now, with more channels and more choices, people are more empowered. Video has a strong place in our hearts. That box in the living room is more than just live TV, it is on our mobile phones and laptops, and people are controlling how and when they watch. TV is unboxed.” • L’Oreal USA CMO Marc Speichert

• L’Oreal realized they have to be present when the modern family is making evaluations and buying decisions

• 50% of consumers research brands online before they make a purchase


Case Study / 2

Levi StraussGlobal Go Forth Campaign

• Appeal to aging Levi’s loyalists as well as the young artistic and hip

• Market share has been hard in recent years with lower-end ripoffs and “luxury” brands

• Women’s jeans sales went from 5.4% in 2005 to 4.4% in 2010

• Men’s jeans sales went from 8.4% in 2005 to 7% in 2010

• Youth stirring tagline “Now is our time”• Launched “Go Forth” campaign with TV spot

(“short film”) in 19 language versions • Including English, Japanese, French,

Spanish and German• Used Walt Whitman’s poem “Pioneers! Oh

Pioneers!”

Featuring “The Laughing Heart,” a poem by Charles Bukowski


Case Study / 2

Levi StraussGlobal Go Forth Campaign

• Included digital-engagement program featuring present-day pioneers from around the world with smart use of Facebook

• Seeded videos throughout web within hip movement focused blogs, corporate FB and YouTube pages

• Initially the “Go Forth” campaign featured online social challenge partnering with Water.org

• Facebook advertising and Sponsored Stories will increase views among friends within 24 countries

• Focus:• Digital• Digital & Event• Content Creation

• During campaign revenue went up 9% over pervious year-long campaign





04 Budgets



07 Resources / Q&A


What Success Looks Like | Integration


What Success Looks Like | Content

Content Strategy ensures that all brand executions have a unified message across the platforms where consumers search for information.

As Bryan Eisenberg states do the “sucking wind” checklist:

• Do you offer a clear and valuable message?• Have you established trust and credibility?• Have you answered all the main objectives?• Have you addressed the emotional “ownership” of

the sale?• Have you substantiated your claims?• Have you made the next steps clear?• Could you have said the same thing in one-third of

the words?


What Success Looks Like | Social Media


What Success Looks Like | Mobile

Mobile is the future the only media that has a gab between time spent and budget allocation is mobile.

Consumers are savvier than ever and want to connect with brands and businesses who have a proper mobile experience.

Time Spent

Budget Allocation

Responsive Design


What Success Looks Like | Measurement

Website

Retarget

Social Media

Pre Visit Planning

Paid Ads

Mobile Site

ATTRACT CONVERT RETAIN

Pre Visit Planning

Visit

Post Visit

Social Media WOM

SEOEmail

Email


- Success Measurements and Key Performance Indicators (KPIs)

- Technical Implementation - Testing and Optimization- Customized Reporting & Recommendations- Refine, Adjust, Test & Optimize

What Success Looks Like | Measurement





04 Budgets

05 What Success Looks Like

06 Verticals To Get Behind NOW

07 Resources / Q&A


Everyday Blogs:• Convince & Convert

• http://www.convinceandconvert.com/• Mashable

• http://mashable.com/• eMarketer

• http://www.emarketer.com/• Bryan Eisenberg

• http://www.bryaneisenberg.com• The Community for Education Leaders - Cisco’s Get Ideas

• http://getideas.org/

Books:• Mark Schaefer Return on Influence: The Revolutionary Power of Klout,

Social Scoring and Influence Marketing • Malcolm Gladwell (series) Blink: The Power of Thinking Without Thinking • Bryan & Jeffrey Eisenberg Call to Action: Secret Formulas to Improve

Online Results

Resources & QA


http://www.convinceandconvert.com/

http://www.convinceandconvert.com/

http://mashable.com/

http://mashable.com/

http://www.emarketer.com/

http://www.emarketer.com/

http://www.bryaneisenberg.com/

http://www.bryaneisenberg.com/

http://getideas.org/

http://getideas.org/

Jenna RutschmanAccount Strategist

[email protected]

Thank You


mailto:[email protected]

mailto:[email protected]

evolution of advertising traditional to digital final

Documents

denition of advertising

digital marketing

marketing budgets

online marketing

case studies

resources qatuesday

history of advertisingtuesday

local online traditional