Brands are all about engagement!

"Gone are the days of repetitive, one-way communications urging your target market to buy your product or service. This means your trusted print campaign may not be getting the best ROI. Today's brand strategies have to include methods to engage with your consumers by capturing their hearts, minds and conversations throughout the purchase and relationship cycle, while remaining brand-centric™ at every touch point."
Read the full note on the non-traditional ways of engaging with customers by Desiree Gullan.

The business of "events" and their current relevance to brands.

Influencing audience mind-share by way of events is increasingly becoming tough. Reasons are many, however; ubiquity of sponsored events is the primary reason. There is a huge clutter of “events” which address the same targeted audience, be it a youth or a decision maker in a corporate. This huge exposure to events (aided by additional exposure to worldwide events content via the media & internet) has made the audience more demanding and selective of events which they are willing to engage in.

As the audience gets choosy, the brands are increasingly looking at events either to enhance or alter strategic positioning of the brands or/and to generate business leads.

The events need to be relevant. Forums which have something special, fresh and unique be it fun / knowledge / networking for the audience tend to work. Also events, by their nature are one on one interactive forums, they should not be viewed from a mass reach out perspective – there has to a special reason for engagement for each audience.

The brands need to spend a lot more time and effort on pre-research to address the changing levels of sophistication and exposure of the audience. The “newness” of the initiative goes a long way in making the impact. Content is critical to events – why should the audience choose an event over another. It is not enough for the brand to be a logo at the event.

Events which are restrictive to the audience at the venue will find the going tough due to the huge per audience acquisition costs. Events will need to be amplified and will need to touch a much larger audience base, be it by traditional media, ground level activation or interactive media like the internet or mobile, while ensuring a personalized engagement at the audience front.

Co-ownership is increasingly going to be the way to go, where best of breed partners will take the event experience to new levels and each partner will gain in their own unique manner. In a lot of cases the audience will tend to be a partner as well and contribute in terms of content.

Way forward is to open up the format by engaging the audience within the content creation and to co-create events with the audience participation.

Tracking the trends.

A comprehensive report on the growth of the BTL marketing services across industires with reasons for the same and the most effected aspects of the "traditional" media formats. Please download the full report from the Articles and White Papers section of The BTL Life from here.

Analytics made understandable by the Red-Shirt Phenomenon.

I came across this brilliant piece of work by Matt Bailey of Site Logic Marketing, on analytics / analysis of the Red-Shirt Phenomenon in Star Trek. You don’t need to be a fan of Star Trek to enjoy and understand this (of course I am a big fan). You also don’t need to be into data analytics to enjoy this - though it will hit home harder!

Loved the research finding “When Captain Kirk meets an alien woman and “makes contact” the survival rate of the red-shirted crewmen increases by 84%.”

Read the article here & enjoy.

Here more on the BTL trend.

In a recent meeting in Hong Kong, about 10 days back, my friend and colleague Conrad Chiu, floored me with some of the charts which he shared with us, in his trademark simplistic manner. Conrad has years of experience on the Asian market not only from a BTL prespective, but he runs a hugely successful 360 offering of BatesAsia in Hong Kong. I thought it would a sensible thing to share the information in its original format with all the readers of this blog.

While it reinforced the fact that BTL spends were increasing, the interesting part was to look at the where the growth is coming from. While the source of data here was different (refer to earlier posts), the trend was unmistakable.

While the difference in the rate of growth of ATL vs BTL is a known and understood fact, I think the next two charts which indicate that the ATL growth is way below the average A&P growth rate while BTL growth rates are higher is a new and an interesting finding.

While the trend looks at spends in the US, it highlights the direction in which the marcom managers in Asia will tend to move / or are moving.

RIP ~ ATL (well almost)

We have been discussing & reading about research which indicates drop in the ATL spends while there is corresponding increase in the BTL (including online) spends by one industry vertical after another. However, the recent research article based on the survey conducted by the Chartered Institute of Marketing, UK – the "Marketing Trends Survey," conducted by Ipsos MORI, kind of made me sit up and marvel at the speed at which the change is happening.



As per the survey only 15% of the marketing budget is planned to be invested into adverting, the balance is opportunities in the “btl and digital” domains: deep dive into the article here:

However, going a little back in time, the trend was eminent (the scale and speed are stunning) and inline with a different research undertaken by IDC in the US years back, which was focused on the major IT industry spenders, which very clearly indicated an intention to drop spends on both org. personnel and the $ spends on ATL (as much as 20%) while moving larger allocations to Direct. This was 3 years back.


Also very clear where the areas of focus for most marketing decision makers / spenders. They were obviously gunning for tools which had worked and showed the higher returns on the
marketing dollars as against the traditional media. This was more so in verticals where the marketing spends were predominantly focused on a B2b or B2 “a well defined C” formats. Lead generation and digital were the areas to place bets on! (refer below) In a way what was projected as “possibilities” in 2003 are turning to realities in 2007.


However, I think the trend has never been questioned in the last decade or so (other than by a few die hard ATL fans). It is also very obvious from the investments being made by media holding companies: they are without doubt investing into marketing services and digital. That’s where the growths are.

The fact that BTL (read promo) outweighs ATL, was established in markets like the US as way back as 03. Well documented in the PMA and Promo study. Below is the image from the study presentation which had shaken all of us then, where-in it was 1st established that Promo spends are higher than ATL in the US.





While the facts and figures are beyond doubt, and the trend is moving eastwards, the reasons for the change in scenario is simple – better and defined ROI, period.

BTL is the google way !!

Call it Below-the-line marketing, brand activation or promotional marketing ~ these are taking on the traditional advertising companies and winning. Promotions related spends are over the ATL spends for some time now (ref. http://promomagazine.com/ for the Promo Spends Survey). Also the BTL spends are going to grow faster in the time to come. However, this is old news – interesting to discuss why and what works.

Ability to relevantly filter the TG and “almost” individually target with customized brand communication to initiate desired action is where we are headed. And that’s what the BTL communication is all about - not brand building but brand usage. Focused from concept to implementation on return generated on the marketing dollars.

I believe Google is the largest BTL agency around (for that matter the largest marketing and communication agency around – definitely the fastest growing). Adwords – the big revenue churner – is but a classic example of filtered audience {filtered by way of what you are looking for and where are you looking for the service }, served relevant and customized messages {geographic and content-specific} to initiate action {click thru} and the model is entirely ROI driven. The spillage of message on irrelevant audience or geography is no longer a concern.

Adwords revenues for Google (and hence spends which have moved away from the traditional advertisement pie) and the fast adaptation to the model by advertisers at enterprise level as well as SMBs is an indication of things to come.

While the agency business model is not going to be dependent on the final “sale” the closer the model can come to the sale the more future ready the model is.