marketing trends 2016

Marketing Trends 2016 How to Make the Most Out of It

2 What We Were Looking For Methodology

Gain understanding on how marketers are seeing this next year

in terms of:

•  Trends

•  Challenges

Mission

Business, Marketing and Sales Executives

357 interviews

Target

Marketing Trends Pulse 135% More Participation than Last Year

2012

We launched our first Marketing Trends Pulse

2015

152 interviews

2016

357 interviews

3

Looking back to 2012, we can fairly say that:

1.  the way consumers engage with the

brands in a completely different manner

2.  “word of mouth” now know as “shares” is

what brands should be looking for

Game Changers What is taking the most relevance?

4

2012 Game Changers A Little Bit of History

5

Digital 16% Social Media

11% Technological changes

6% Text Messaging

5% Understanding new media

Non-Digital Mentions Demographic Changes

Other Digital Mentions QR Codes

Online trends

Source: Marketing Trends 2012 Survey

2015 Game Changers Digital and Social Media

6

Social Media 32% of respondents mentioned Social

Media as the trend with the major impact

on how the industry was going to market

products and services

Puerto Rico’s Economic Crisis Which included the increase and imposition

of taxes, tax reform and the Obamacare

impact among others

Media Mix Followed by 31% considered the change in

pattern behavior regarding the media mix

and the inclusion and increase of new

media channels such as online and social

media


Digital 16% Social Media

11% Technological changes

6% Text Messaging

5% Understanding new media

Non-Digital Mentions

Demographic Changes

Other Digital Mentions

QR Codes

Online trends


7

Social Media 13% of respondents mentioned Social Media as the trend with the major

impact on how the industry is going to market products and services

Puerto Rico’s Uncertainty 13% of the participants marked this as a game

changer depending on the outcome:

•  Demographic changes

•  PR Financial Situation

•  Market contraction and composition changes

•  Government changes

•  Federal impositions and regulations, among

others

Everything Digital 30% From Digital Marketing, Content Marketing, Videos and Live

Streaming to the changes in Media Mix and print reading patterns

are considered by the executives to be the next driving force of this

year’s trends

•  Search Engine Optimization (SEO), Zero Moment of Truth

(ZMOT) are being brought to the table



8

Social Media 13% of respondents mentioned Social Media as the trend with the major

impact on how the industry was going to market products and services

Everything Digital 30% From Digital Marketing, Content Marketing, Videos and Live

Streaming to the changes in Media Mix and print reading patterns

are considered by the executives to be the next driving force of this

year’s trends

•  Search Engine Optimization (SEO), Zero Moment of Truth

(ZMOT) are being brought to the table


In Fact 8 out of 10 Increased Digital Budget

20%

40%

60%

80%

100%

79% Increased investment

20%

40%

60%

80%

100%

15% Remain the same

9

Customer

Service

Insights

Insightful Solutions

Technology Changes / Trends

Research / Analytics

Word-of-Mouth / Referrals

Geo-fencing / Geo-targeting

Other Mentions Customer Knowledge and Insights CRM /

Loyalty

Brand Strategy Vs Advertising


Are These Game Changers Being Carried to the Budget

2016 Budget Digital and Social Media Investment Will Increase

11

87% will increase the investment on Social

Media

1 out of 2 will increase the investment in

eCommerce

Like in eCommerce, 50% are planning to

increase the investment in training

2 out of 5 will increase the efforts in Public

Relations

Same will happen with research, 5 out of 10 will increase the spending in

getting to know the customer and analytics

61% are not satisfied with the consumer information

available today

42% are assuring the increase in the

spending of creative and production

services


2016 Budget But the Opposite will Happen to Traditional Media and Sponsorships

12

Increase

Keep Current

Reduce


2015 Budget Allocation Traditional Mass Media Carried ½ of the Budget

13


2016 Budget Levels Traditional Mass with Digital 41% and 44% Respectively

14


15 Puerto Rico’s Current Fiscal Situation Has had an impact in your Marketing Budget

15% Increased 53% Decreased q For 42% of the participants,

the budget decreased by more than 10%

32% Remains Unchanged


How to Successfully Engage with the Customer, In the Digital World, will be 2016’s Main Challenge

16


19% 14%

17%

9%

36%

13%

21%

15% 12% 14%

9%

44%

12%

20% 17%

13% 12% 10%

48%

13%

20%

TV Radio Print Shopper Marketing Digital Out of Home Promotional Activities

2015 2016 2017

Everything Digital Content creation and content marketing are key

Is not only “to be there” but be wanted, be needed, be SHARED!

Are We Correctly Staffed To Deal With What Lies Ahead

17

18 B is the Grade Our Teams Received

We asked you to evaluate your current Marketing Team

Know what is going on with the consumers

68%

Have a sense of urgency

66%

Took our brand to the next level

66%

Understand new trends

60%

Understand the opportunities and challenges ahead

66%

Constantly watching over our consumers’ needs

74%

Self-confident

65%

Passionate about the brand

84%

Find the time to create innovative ideas

65%

Open to changes

65%

2.90 average out of a 4.0 point rating


19 B is the Grade Our Teams Received Passion and Consumer Needs being the best performing attributes

Know what is going on with the consumers

68%

Have a sense of urgency

66%

Took our brand to the next level

66%

Understand new trends

60%

Understand the opportunities and challenges ahead

66%

Constantly watching over our consumers’ needs

74%

Self-confident

65%

Passionate about the brand

84%

Find the time to create innovative ideas

65%

Open to changes

65%

2.90 average out of a 4.0 point rating


What Are These Results Telling Us

20

If We Want Take Our Brand To The Next Level

21

Whether is via traditional research,

analytics and/or business intelligence;

knowledge about the market and

consumer behavior will dictate the ways

to engage effectively and efficiently

Knowledge

01 02

04 03

Will be key this year, and the ones with

the best engaging strategy will insert the

brand into the conversations the market

is having

Digital

“Difficult times call for extreme

measures”, but companies can outrun

the financial crisis by being more

creative and even smarter when mixing

media. These channels can be managed to carry

out a personalized-type of message

Budget To know the market, being passionate

about your brands and care about the

customer are the current strengths.

Is time to develop the ability to

understand new trends, find time to

create innovative ideas and do it with

a sense of urgency

People

22 World Is Changing Rapidly And Waits for No One

Innovative ideas are imperative in a world where the: •  Most valuable retailer, has no inventory

•  World’s largest individual transportation company, owns no

vehicles

•  World’s largest accommodation provider, owns no real estate

•  World’s most popular media owner, creates no content

Take Action:

Watch Out for Trends And be responsive to them

Using All Tools Even the ones that are not even

created yet

To Develop a Strategy Don’t leave important decisions in the

hands of random events

Contact Us See you soon...

1571 Calle Alda, San Juan 00926, Puerto Rico

787-250-0006

[email protected]

www.arteaga.com

23

A&Answers is Arteaga & Arteaga’s Market Research Division