Everybody talks about Digital Transformation and Digital Disruption and the impact on Marketing. Marketing needs to find new ways to interact, sure. But do digital transformation of marketing and digital marketing even exist? Not sure! Whatever, you still need to get ready for new technologies like Voice. And you should do it fast.
Thorsten Sachtje (Senior Consultant Digital Strategy @ metapeople - Part of Artefact) held this presentation as part of a 1,5 hour lecture to Marketing Management BSc students of Ruhr University Bochum (Germany) on June 7th, 2018.
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7. „ My goal with this presentation:
make you understand that companies
need to rethink the way
they interact with customers. “
Thorsten Sachtje
Senior Consultant Digital Strategy
@ metapeople
7
• @tsachtje
10. Creative Distruction
Process of industrial mutation that incessantly revolutionizes the
economic structure from within, incessantly destroying the old one,
incessantly creating a new one.
Joseph Schumpeter
Political Economist (1883 - 1950)
in „Capitalism, Socialism, and Democracy“ (1942)
10
• @tsachtje
12. 12
The way out of Digital Disruption:
Dual Transformation
• @tsachtje
Daily Business
Future Business
Source: Following Innosight, April 2017.
13. 13
The way out of Digital Disruption:
Dual Transformation
• @tsachtje
Daily Business
Future Business
Source: Following Innosight, April 2017.
14. Guiding the customer
14
Inbox Ad
Logout
Video
Native
Ad
Google
Search
Facebook
Instagram
Ad
Alexa
Query
Chatbot
Support
• @tsachtje
15. „ It is not about ‚digital marketing‘, it is about
marketing effectively in a digital world. “
Ivan Mezenes
CEO @ Diageo
15
• @tsachtje
16. Product . Price . Place . Promotion
Marketing
has not changed!
16
17. Unsere Dienstleistungen
17
Right Product: The one I like!
Analyze Data
e.g. data insights from website
analytics, SEO, SEA, Facebook, …
Target People
• @tsachtje
„ The aim of marketing is to know and understand the customer so well
the product or service fits him and sells itself. “
Peter Drucker (1909 - 2005), Management Thinker
e.g. via Retargeting, Programmatic,
Lookalikes, …
18. German Army
18
Decline in number of troops from
198.000 (2013) to 179.000 (2017).
Missing recruits in IT, engineering,
medical care. Increasing budget for
employer branding: 35.3 m €.
Snapchat
… and Facebook
… and Social TV via Youtube
… and Chatbot on Facebook
Messenger
Reach & Engagement
Audience / Target Group: age 17 – 25.
On Snapchat:
2.1 m unique filter users
7.5 m filter impressions
15.1 m ad impressions
Right Place: Where my attention is!
+
• @tsachtjeSource: W&V, October 2017 and March 2018.
20. 20
Right Time: When I want it!
Source: Google, May 2016.
Micro Moments and Moments of Truth: Be there when it matters!
• @tsachtje
21. 21
I want to buy! How do I get it right now?
Source: Google, May 2014.
?
Local Search:
Consumers search for a variety of local information:
Research Online,
Purchase Offline (ROPO):
Consumers would buy in-store
instead of online knowing they:
• @tsachtje
24. „ We always overestimate the change that will
occur in the next two years and underestimate
the change that will occur in the next ten. “
Bill Gates
Founder @ Microsoft
24
• @tsachtje
26. Established in 2016 (globally). … but not everywhere yet
26
Mobile first.
• @tsachtjeSource: StatCounter, November 2016.
27. Established in 2015 (globally).
Messenger: 3 out of Top 5.
Facebook: 4 out of Top 5.
27
Messenger first.
Facebook, Twitter,
LinkedIn, Instagram
WhatsApp, Facebook
Messenger, WeChat, Viber
• @tsachtje
28. „ If you think about it, all computer interfaces
have been designed for communication with
the computer, not with humans. “
Werner Vogels
Chief Technology Officer @ Amazon
28
• @tsachtje
29. Coding a brand’s voice pioneering Google Home
Major French retail chain
Not only did the recommendation algorithm
work beyond our expectations but marketers
were amazed by the brand’s voice capturing
Monoprix’s very own style.
As Monoprix aimed to pioneer Google Home
services, we gathered data scientists and
creatives to identify a valuable use case. They
came up with the idea of a predictive shopping
list.
Yes,
please
curry on!
I think I
know what
you need:
tomatoes !!
Add curry
to my
grocery list
Did I forget
something ?
30. Source: *Voice Labs 2017 Voice Report, January 2017.
Next: Voice First as the new standard?
• @tsachtje
*
30
31. „ 20% of mobile queries are voice searches. “
Sundar Pichai
CEO @ Google
Google I/0 2016
31
• @tsachtje
32. 32
Voice Devices are gaining traction …
Echo Spot
Echo
connect
Echo Show
Home
mini Home Max
Assistant
Siri
Alexa
HomePod
June 2015 Nov 2016
Echo Dot
October 2017
Cortana
9
3
2
1
#
Products
Invoke
December 2017
Echo plus
July 2017
Echo
Look
Echo
Buttons
Echo 2nd
gen.
March
2016
April 2017
Google
Home
4 devices in 2 years
10 devices in 6 months
Echo
2011
Siri
• @tsachtje
33. 33
… and the Voice race is on
• @tsachtje
Alexa Cortana Assistant Siri
34. Source: Barclays Connected Home / Ovum Digital Consumer Insights 2017: Smart Living
Google Assistant
Most common Virtual Assistant
Amazon Echo Devices
Biggest market share in Voice Devices
• @tsachtje
34
The question is: who wins the race?
38. „ Alexa is primarily about identifying
tasks in the household
that would be improved by voice. “
Jeff Bezos
Founder/CEO @ Amazon
February 2017
38
• @tsachtje
39. 39
Why Retail needs a Voice Strategy
• @tsachtje
Search keywords:
toaster
Search keywords:
WMF toaster
No Amazon‘s Choice
option?
Top ranked on
40. Clothing, Shoes & Jewelry
206 Collective
7Goals
A for Awesome
Amazon Essentials
Arabella
Buttoned Down
Cable Stitch
Camp Moonlight
Clifton Heritage
Coastal Blue
Comfort Denim Outfitters
Core 10
Crafted Collar
Daily Ritual
…
Denim Bloom
Emma Riley
40
Source: Recode, April 2018.
The underlying issue
• @tsachtje
David Kahan,
CEO of Birkenstock:
„Birkenstock does NOT
sell [via] Amazon“.
Amazon Private-Label
Brands:
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