Is Facebook paid, owned or earned? The answer is yes.
Facebook is all. They integrate advertising units along with content created by brands on their Facebook pages, and allow for consumers to share their opinions right in the comments. Sometimes, ads look like social content, and it’s hard to distinguish the difference. At Altimeter, we see this convergence only increasing, and these Venn diagrams will continue to have overlapping circles of paid, owned, and earned.
To meet this converging media types, Altimeter kicked off a research project with Rebecca Lieb (a fantastic speaker in her own right), Jessica Groopman (expert researcher), and yours truly.
We found that companies must now integrate their marketing process, strategy, and tactics so each channel leverages each other. In fact, we’ve identified a few workflows that help marketers, and their agency partners do just that. If you’ve read the report, some of this is a rehash, but I wanted to share the story in the above embedded video of how I like to articulate it while on stage.
So here’s all three components in one location: The report that started it all, videos from a keynote speech to 2,500 marketers at Marketo Summit in SF last month, and all the slides. Wishing you all best in your efforts to converge media.
And yes, turn those phones on when I speak, not off.
What should 2000 marketers know about the future of digital marketing? Thanks to Marketo, I’ve been asked to share recent research from Altimeter Group on how Paid, Owned, and Earned is converging into one single form of media live at their customer event here in San Francisco.
Love to hear your comments, if your brand is already converging Paid, Owned, and Earned, so we can tell your story on your success. A thank you to Jessica Groopman and Rebecca Lieb at Altimeter, who co-authored this research and content with me.
This year, marketers were focused on promoting their owned corporate website. Of the few that promoted engagement with social ads, even fewer integrated paid, owned, and earned.
With 39m American Oscar viewers in 2012, a majority of them are viewing them with a second screen (mobile/laptop/tablet) in hand, disappointingly, most TV ads failed to use paid media to trigger these discussions, indicating that Converged Media of paid owned earned is not consistent in today’s marketing quiver. A few weeks ago, we conducted similar analysis of SuperBowl ads, and found a greater degree of integration, including cross-channel integration with Hashtags (31% incidence) from TV ads to trigger online discussions.
Last night, at the Oscar’s, integration from the 58 TV spots to the second screen was paltry at best, with a high reliance on advertising corporate URLs, an odd play given that most know how to use Google search to find websites. While many a brand was active in emulating Oreos “Real Time Marketing” by using pre-created photoshop templates, it felt contrived and forced. There’s a thriving discussion, from Jay Baer on the contrived impact of Real Time Ad Failures, and David Armano gives pause to share his perspective as an agency working with Kellogg who were deploying real time ads –despite no TV spot.
We analyzed 58 TV spots, from award kickoff to end (not red carpet).
About 75% of all ads integrated cross-channel integration, with a majority promoting URLs
While 17% of ads integrated Facebook, and 14% Twitter, they didn’t promote a specific URL, most focusing on the social network icons.
Hashtag integration was a mere 13%, (Superbowl ads were over double that at 31%) a missed opportunity, given the amount of second screen activity in this media heavy space
Samsung pushed the hashtag #galaxyatwork four times across their many ads, and purchased promoted trends on Twitter.
Marketing Efforts of Note
This year’s Oscar ads were contrived, forced efforts of brands and agencies running after the Oreo’s halo from Superbowl. Of note, JCP connected both there emotional TV spot, and tied it with Twitter engagement and even sent gift cards to Twitter followers that gave a positive reaction to the ads. Kellogg’s Special K deployed real time images in salute to award winners (Life of Pi), even without a TV spot, which limited their overall reach and opportunity to trigger engagement. Stella Artois had several photoshop templates that created Gifs that recognized winners, but didn’t push the content to the next level. AdWeek highlights how Oreos extended engagement from Superbowl to Oscars.
Above Diagram: Here’s one way brands should be integrated paid, owned, and earned, in a Converged Media manner. While most Oscar ads failed to complete this, JCP earned high marks, Read the full report.
Real time marketing was experimental at best, with many brands still trying to develop their playbooks for the second screen. Brands failed to integrate their paid media with social media, missing out on opportunities for the content to engage and resonate. Next year, expect greater integration between all the elements of paid, owned and earned, which we call Converged Media.
The purpose of this post is to serve as an industry reference for converged media workflows: How companies will coordinate paid, owned and earned as one orchestration. This is continued coverage on Converged Media, read the full report.
Customers already experience advertising, corporate content, editorial, and social media at the same time, often in an integrated manner, although most brands do not approach the experience in one deployment. As Facebook, Twitter deploy social ads that utilize earned and owned content amplified by paid, these worlds are quickly merging. Brands that want to achieve the best experience for their customers in digital channels must approach in an integrated converged method, and understand how to utilize each channel’s strength. Brands that don’t have these workflows are at risk for inefficiency, and give agencies an opportunity to lead. Brands that produce these workflows working with agency and software partners can deliver an orchestrated experience.
Converged Media Workflows Represent Complexity in a Simple Graphic
This is continuing coverage of research I’m conducting with Rebecca Lieb (Bio, Blog, Twitter, Books), my co-author on this report as well as Jessica Groopman (Bio, Twitter), researcher. I recommend you first read the whole report on Converged Media (Paid, Owned, and Earned), in which we didn’t go into depth into the workflow that we found. As the industry starts to combine these often disparate channels, we’ll see new forms of workflows emerge that coordinate all these channels. Don’t be fooled by these simple diagrams, as each step transcends a different channel, intense coordination is required on brand side, agency side, as well as software. A new ecosystem of players will also converge in order to serve this new workflow, and professionals that run to meet this future need now will be ahead in their careers over those that do not.
Definition: A Converged Media Workflow is a simple yet comprehensive diagram that represent complex streams that coordinate paid, owned, and earned channels in a holistic manner across an entire customer experience –beyond a siloed approach. As a result, the entire customer experience has a greater net benefit to customers and brands than individual deployments.
Start with Strategy Companies should not approach the Converged Media approach without first having a goal in mind, as there are significant changes that happen both internally, with agency partners, and new software requirements. To get the most return in your effort, start by:
Have a Content Strategy that Works Across Paid, Owned, and Earned. Re-purposing the same content on each channel is not s recipe for success, as each provides a unique opportunity, challenge, and therefore approach. Instead, develop a broader Content Strategy by first understanding that all companies (even those selling widgets) are now media companies. Secondly, develop a strategy by understanding how to rebalance your marketing equation by developing a content strategy. Read Rebecca’s blog with many resources on this topic, or the specific report on Content Marketing to further understand this growing trend. New roles, content coordination, and the ability to track all of these content changes across the enterprise will emerge, as well as new professional opportunities for those that are seeking to grow.
Expect Savvy Marketers to have Playbooks –Supplemented by Agency Partners. Don’t expect to brands to recreate a new workflow each time from scratch, we’ve started to collect some of the workflows below, and expect that many agencies and brands will develop playbooks and bring them forth in the planning stage. Don’t overly rely on the same play, as competitors may exploit the same play time and time again, so expect flexibility based on what the data tea leaves are reading. When selecting a converged media workflow, ensure that it spans both paid, owned and earned channels, but also looks at media sites, social networks, microsites, brand sites and hosted communities. Ensure these are also representing a global perspective, and consider how it can impact multiple product sets within the brand.
Be Ready: Significant Industry Changes Ahead in Brand, Agency and Software. While the research report goes into greater depth on the predicted changes coming, we see a few significant changes to the entire ecosystem. Inside of brands, the marketing department will start to restructure outside of silos so that the advertising group, corporate communication, brand marketing, and social media teams start to work together on a more frequent basis. Then, we expect marketing leadership to demand that agency partners come together to look at converged media from one strategic viewpoint –digital agencies that lead this discussion will be in a position of power over those that do not. Lastly, new software solutions are starting manifest including from Adobe Digital Marketing, Salesforce Marketing Cloud, Oracle Marketing, Bazaarvoice, Lithium, ThisMoment, IBM, ExactTarget, and a host others of suites that I’m tracking. Expect a network of software point players to assemble and connect to each other –in order to counter the suites.
Altimeter’s Research Found a Workflow Pattern There are many workflows –this is just the most common one, although we know many more will emerge. Altimeter conducted research with 34 ecosystem contributors and continue to take briefings and share this workflow with others. Depending on who you speak with, you’ll find different emphasize on different parts of the workflow.
Above: Altimeter found a workflow pattern based on 34 interviews, while we heard a variation on workflow patterns, this one was common, read the full report to learn more.
Matrix: Breakdown of One Converged Media Workflow
What You Need
What No One Tells You
Real-Time Measurement & Iteration (Center item)
This is a baseline requirement across all phases. This internal center effort is apart from periodic reporting, as it should be gauging in real time the performance of all paid, owned, and earned channels and allow for rapid iteration. Don’t expect this team to be able to see the forest through the trees as they peer in closely, so ensure the periodic reporting phase is included –you need both.
Real time measurements require a sane way to communicate these changes to the company, by providing daily wrap ups, trend diagrams, and maybe even real time tickers. Barry Judge, former CMO of Best Buy told me he has a digital ticker in his office with all mentions of his company so he can make iterative changes in real time.
Periodic Strategic Analysis and Reporting (Top)
If your effort is kicking off, start by conducting analysis of what’s happened in earned, and owned channels. We often heard from interviews that earned tells you what target market is saying or where they are, which informs owned. However in most cases, launches were built off existing products so analysis on owned was common. This analysis should be conducted looking back several periods (months to years).
In addition to seeing what your customers say, analyze what’s being said of competitors and what they’ve said. Find out what’s resonated and what has not and why. Follow colleague Susan Etlinger to learn more.
Content Strategy (Clockwise)
Often companies jump to decide what they say, without analyzing what people want to hear, and that’s why the prior phase on analysis and reporting was a requirement. Companies can now develop a content strategy, but should understand how it changes and varies depending on the following variables: product type, geography, channel, screen, and source of information. Note that this spans many internal teams from corp comm, brand marketing, media buying, social media team and all related agency partners.
To try to focus on a consolidated content strategy across all of the permutations (we call this the Dynamic Customer Journey) get focused on the top persona behaviors in each of the three channels and top screens. Get focused.
Publication Across Channels
This phase requires both internal governance on message and engagement orchestration that includes communication, internal collaboration, a series of meetings, a clear leader and the tools to support. We’re currently seeing a variety of tools from CMS, media network management, and social media management system (SMMS) technologies span this environment.
Agency and brand stakeholders are seeking collaboration tools that will span all teams, in particular, watch how PBworks and Adobe Creative Cloud develop to serve these real time needs.
Real time measurement and iteration (center item) should be occurring as a baseline, as a result, post-publication, teams will identify hot paths and hot conversations where content is resonating. Then, teams should invest in sending in content experts, community managers, product leads, executives, or influencers to trigger further discussion.
Don’t limit engagement to only when a hot discussion is occurring, but set a baseline in monitoring and engagement. Consider how many brands are already deploying Command Centers (focused on social now, but quickly going broader)
New media units have been on the rise from Facebook and Twitter in the form of social ads. These units often can be promoted based upon resonating with earned or owned content in social networks. Double and triple down on content that’s resonating to reach a broader audience, or tap into the social graph by allowing those involved to share with their networks.
Social ads are not limited to social networks alone. Bazaarvoice has already launched social ads “media” product that aggregates ratings and reviews into IAB approved units. Expect new media networks to emerge that support social content.
Nothing is static in this real time world –even your umbrella messaging and tag lines. Understand that messaging must evolve and change in real time to meet needs the changes of the market. Savvy marketers will know when to bend, by involving customers into these process –and know when to stay on overall message to lead market to a new stance in positioning.
New tools will emerge that allow customers/end users to help collaborate in creating future messages and integrating across all channels. Watch Adobe, Salesforce, Oracle for tools that can enable this at the enterprise level.
The workflow is a circle and in this workflow, the cycle should continue repeat, fueling consistent and constant content across coordinated channels.
What we don’t know is how often this cycle will repeat, as there isn’t industry data on how fast this process can occur.
Notable Industry Converged Workflows Altimeter has obtained a few of these workflows through online search, slideshare, as well as received content from contributors. I’ll continue to add notable examples as I see them overtime, please leave comments below.
Today, most workflows are limited to individual channel deployment and lack a holistic view of the entire customer experience. We found few public workflows in our quest, but see more emerging in briefings with software marketing companies and agency leads. Expect that a playbook will emerge from lead agencies and digital marketing suites that outline how all these channels and efforts work in a consolidated way. New opportunities for the emergence of a new market, professionals, strategists, and software and agency partners will emerge, and those that lead will have more opportunity to shape the conversation over those that follow.
I look forward to the dialog as this space evolves, please leave a comment with your point of view, or URLs to related Converged Media workflows.
To join in an active discussion and presentation, co-author Rebecca Lieb and myself will be hosting a webinar convering the findings from the research, please register for the webinar on Converged Media. Altimeter directly interviewed 34 agencies, brands, technology vendors and industry experts to answer how media are changing. we found:
Summary: Converged Media a Reality –Significant Ecosystem Changes Ahead
Paid, owned, and earned is converging (like social ads) at a rapid pace, we found 11 criteria of success, a handful of case examples, yet companies are hampered internally and with fragmented agencies and technology to make this happen. Converged Media utilizes two or more channels of paid, earned, and owned media. It is characterized by a consistent storyline, look, and feel. We foresee that to achieve cross-channel integration in a consistent way there will be considerable changes inside of the marketing org chart, and a clear strategy on getting agencies to collaborate, and intensive system integration of vendors.
Open Research: Use, Share, and We’ll Create More
Altimeter practices Open Research, we provide our research to you, and encourage you to use with proper licensing as outlined by Creative Commons. Also, we believe in transparency in financial relationships of the companies which we covered in this report, and disclose our relationships if allowed. If you found this report useful, please actively share, which helps us to generate energy to create more.
Overview of needs, market definitions, overview of brands, agencies, and software providers.
Three framework graphics ideal for powerpoint: Converged Media venn, use case workflow, criteria checklist.
Checklist of 11 criteria required for converged media success.
Four real world case studies bringing this concept to life from four leading brands.
Pragmatic recommendations for marketing leaders for internal needs, agency strategy, and vendor deployment.
Vendor showcase of ten technology providers who are seeking to solve this opportunity.
My focus over the past years have been owned corporate content (owned) and social (earned), however my viewpoint on the paid side has been limited. Thankfully, I was able to partner with Altimeter’s Rebecca Lieb who hails from Manhattan and has a strong background in advertising, search, (paid) and corporate content (owned), together with researcher Jessica Groopman and editor Chris Silva, we sought out to answer these questions and bring multiple perspectives together.
At the bottom of this post, I’ll cross-link to all thoughtful conversations, extending the conversation, below the report is embedded directly below:
Above: Today, advertising, corporate content, and social content is often separated, but tomorrow, we expect these circles to converge and overlap, with little or no separation. Hence the term “Converged Media”. We deliberated at great length on how these items would be properly fit into this framework, and
Above: Although we expect many workflows to emerge, this pattern became evident within interviews. In particular, we frequently heard that analysis of social content was often a precursor to content creation by the brand. Furthermore, very few technology providers will be able to solve this entire use case, and brands and agency partners will be relegated to system integration and methods to coalesce.
Above: 11 Success Criteria to Make Converged Media a Reality: We found through interviews a set of patterns from respondents on what will make this a reality and organized the criteria into four distinct categories: Strategy, Organization, Production, Analysis. While this process is likely followed in any individual point channel, now, it must be an integrated approach