1. Dancing with Megaphones The New Rules, Realities, and Hard Data Behind Consumer Control iMedia Agency Summit December 13, 2010 Phoenix, AZ Pete Blackshaw: CMO, NM Incite, a Nielsen-McKinsey Company Lee Rainie: Director, Pew Internet Project

2. Webshots: lauryn6842 1 -Dances with megaphones: Lee Rainie

3. Megaphone 1: Internet and Broadband Flickr: Susan Ford Collins

5. 70% 66%

6. Consequences for info ecosystem Volume Velocity Vibrance Valence / Relevance

7. Variety – Explosion of niches

8. Networked creators among internet users 62% are social networking site users ~50% share photos 33% create content tags 32% contribute rankings and ratings 30% share personal creations 26% post comments on sites and blogs 24% use Twitter / other status update features 15% have personal website 15% are content remixers 14% are bloggers 4% use location-sharing services

9. Megaphone 2: Mobile connectivity Flickr: Susan Ford Collins

10. Cell phone owners – 85% adults 96% 90% 85% 58%

11. Mobile internet connectors – 57% adults 62% 59% 55%

12. New cell and wireless realities More than 2/3 of adults and 3/4 of teens use the cloud Web vs. apps struggle: 35% have apps; 24% use apps Features used by cell owners – 76% take pictures – 74% are texters (text overtakes talk in frequency in 2009) – 39% browse internet – 34% are email users – 34% record videos – 34% play games – 33% play music – 30% are IM-ers – 7% participate in video calls

13. Consequences for info ecosystem Anywhere Any device PresencePlace

14. Anytime media Attention zones Continuous partial attention Deep dives Info-snacking Media zones Social Immersive Streams Creative / participatory Study

15. Megaphone 3: Social networking Flickr: Susan Ford Collins

17. Consequences for info ecosystem Social networks as sentries (WOM)

18. Consequences for info ecosystem Social networks as information evaluators

19. Consequences for info ecosystem Social networks as forums for action

20. Webshots: lauryn6842 2 -Dances with megaphones: Pete Blackshaw

21. The Big & Emerging Questions for Brands 1 IssueThe Big Question CredibilityHow to manage and protect credibility and trust in a highly transparent, 24/7 feedback environment? Influencer Management How to extend the notion of key influencer management to everyday consumers and even employees? Cultivating Earned Media How to generate earned media from customer service, and how service in general can be leveraged more strongly for brand and business-building via social media? OrganizationHow to best manage day-to-day digital/social media operations, recognizing that social media breaks down geographic and organizational barriers. Listening & Measurement What are the right listening & measurement protocols to drive accountability, feed engagement strategy & investment?

22. diversedemandingemergingconnected Landscape: Diverse, Demanding, Connected, Emerging

23. TrendWhat It Is, What It Means Mass SocializationSocial “earned” media & paid media become more intertwined Platform ProliferationNew devices and multi-tasking abound Mobile Comes of AgeExtends mass socialization & extends media to point of sale Apps EverywhereDisruptive growth in apps, fueled by games and service utilities Dominance of FacebookA juggernaut, rewriting rules + shifting attention from websites Rise of Social CommerceRedefining consumer retailer interactions, powered by GPS, etc Relevance & PrivacyCautious advance to addressability; heightened scrutiny Infrastructure GrowthIncreased access and speed expand digital opportunities “Heads Down” Generation Dramatic consumer habit change; all eyes to wireless devices Digital DownsizingMore filtering/control of apps, friends, followers, choices 23 What’s Ahead / Next? Near Term Trends for 2011

24. 59% of Americans use TV and the Internet Simultaneously Dramatically More Cross-Platform / Media-Mixing Source: Nielsen Three-Screen Report

25. Channel Preferences Dramatically Diversifying Question: Those who would contact the company to… Discuss New products Complain Get Advice Make a Reco. Crisis Email 9697949676 Call a live representative 9495929095 FAQ on company website 94NA92NA74 Post an opinion or question on company website 8780778248 IM through the company's website 8178 7671 Posting on a company message board 7769717447 Posting on a blog sponsored by that company 6861646841 Telephone - automated response/recording 57 625952 Reading company's Facebook page 55NA53NA36 Sending photo or video to company 5348 5141 Posting on the company's Facebook page 504247 31 Texting the company via mobile device 3634403741 Source: Nielsen Consumer Channel Preference Study ‘09

26. Apps Usage: Gaming & Utility Big Drivers Relevance to BP Location Finders Shopping Aids Travel Services Environmental & Weather Apps

27. Proliferation of Service Apps, Many Sponsored by Brands Pizza Hut Convenient pizza ordering experience Experience B& J through peace, love and ice cream Discover recipes for any occasion. Communicate with co- workers for coffee runs Simulate your favorite choc. milk experience at anytime Ben & Jerry’s Kraft Hershey’s Dunkin Donuts Relevance to BP Price Finders Product Info Travel Services Environmental Info

28. Website FacebookTwitterMySpaceLinkedIn Social Commerce Ecosystems From Destination-Focused Websites to “Brand Stands”

29. Value Consumer = Price Value Consumer = Benefits/Price The Recalibration of “Value”…Beyond Price Other New Variables…Corporate Responsibility, “Green” Many consumers shop for more than just price. They’re willing to pay more if they perceive the value of additional benefits received.

30. Market TrendsDescription Digital & SocialFrom separate roles to unified and integrated (now one & the same) Mobile DisruptionRe-setting the entire landscape Activism & Social MediaSmarter, Creative, More Empowered/Linked & More Sophisticated Payments and FeesFriction-free and seamless (already in play with iTunes) Globalization of SocialCreating huge opportunities….and huge operational challenges 30 What’s Ahead / Next? Longer Term Trends & Disrupters Organizational TrendsDescription Media BlendingIncreasingly sophisticated: Paid, Owned, Earned Brand ManagersMoving to “Community Manager” Roles & Responsibilities Enterprise SMDramatic expansion beyond marketing channel innovations Marketing + ServiceNew synergy between marketing & operations Agency IntegrationSocial prompting greater integration from agencies & suppliers SpeedbackingPractice of immediately responding to key issues, especially crisis

31. Mobile Phones Will Overtake PCs by 2015 Source: Nielsen

32. Nielsen Online Digital Strategic Services, Pete Blackshaw (5, 09) Rise of Media Blending (Media Mix Modeling 2.0?)

33. Technology-Driven Retailer Innovation Source: Company websites; Progressive Grocer & Pittsburgh Post-Gazette Can BP empower its franchises and/or products around innovation?

34. Rise of the Organizational War Room: New Listening Models for CRM 24/7 Real-Time War Room24/7 EngagementListening Beyond Borders All aspects of integrated, brand- monitored social media Deliberate effort to shape and manage messaging Listening tools cover multiple languages & regions

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