kepios future forces 2016

@ESKIMON • FUTURE FACTORS1

FUTURE FORCESTECHNICAL INNOVATIONS THAT WILL SHAPE THE FUTURE OF MARKETING

@ESKIMON • FUTURE FACTORS2

SIMON KEMP@ESKIMON

@ESKIMON • FUTURE FACTORS3

@ESKIMON • FUTURE FACTORS4

FUTURE FORCES1. DON’T SHOOT THE MESSENGER

2. ACCESS DENIED3. MAGIC MOMENTS

4. STAYING IN CONTROL5. AUGMENTED INTELLIGENCE

@ESKIMON • FUTURE FACTORS5

1DON’T SHOOT

THE MESSENGER

@ESKIMON • FUTURE FACTORS6

DATA IN WE ARE SOCIAL’S ONGOING DIGITAL REPORTS REVEAL CRITICAL CHANGES IN DIGITAL BEHAVIOURS

@ESKIMON • FUTURE FACTORS7

+1% +14%

7.45 3.63

+21%

2.67

+28%

4.80

+27%

2.44

GLOBAL DIGITAL SNAPSHOTSEP2016

A SNAPSHOT OF THE WORLD’S KEY DIGITAL STATISTICAL INDICATORS

BILLION BILLION BILLION BILLION BILLIONURBANISATION: 54% PENETRATION: 49% PENETRATION: 36% PENETRATION: 64% PENETRATION: 33%

INTERNETUSERS

TOTAL POPULATION

ACTIVE SOCIAL MEDIA USERS

UNIQUE MOBILE USERS

ACTIVE MOBILE SOCIAL USERS

*SOURCE DATA CORRECTION

*

• SOURCE: WE ARE SOCIAL’S DIGITAL IN 2016 REPORT

YEAR-ON-YEAR GROWTH YEAR-ON-YEAR GROWTH YEAR-ON-YEAR GROWTH YEAR-ON-YEAR GROWTH YEAR-ON-YEAR GROWTH

@ESKIMON • FUTURE FACTORS8

ACTIVE SOCIAL USERS BY PLATFORMSEP2016

A SNAPSHOT OF THE WORLD’S KEY DIGITAL STATISTICAL INDICATORS

SOCIAL NETWORK

MESSENGER / CHAT APP / VOIP

1,712

1,000

1,000

899

806

652

555

500

313

300

300

FACEBOOK

WHATSAPP

FB MESSENGER

QQ

WECHAT

QZONE

TUMBLR

INSTAGRAM

TWITTER

SKYPE

BAIDU TIEBA

• SOURCE: WE ARE SOCIAL’S DIGITAL IN 2016 REPORT

@ESKIMON • FUTURE FACTORS9

BIT.LY/DSM2016YBBIT.LY/DSM2016DI

CLICK TO DOWNLOAD WE ARE SOCIAL’S FREE REPORTS:

@ESKIMON • FUTURE FACTORS10

BUT WHAT DOES ALL THIS DATA TELL US?

@ESKIMON • FUTURE FACTORS11

WE WILL SEE MOBILE MESSENGERS OVERTAKE SOCIAL NETWORKS TO

BECOME THE WORLD’S MOST ACTIVE SOCIAL MEDIA WITHIN 18 MONTHS.

@ESKIMON • FUTURE FACTORS12

WHY ARE CHAT APPS SO POPULAR?

CONVERSATIONS FLOW MORE NORMALLY

NO ANNOYING INTERRUPTIONS

MORE NATURAL

FEWERADVERTS

LESS DEMANDING ON DATA PLANS

CHEAPERTO USE

NO NEED TO POST REGULAR UPDATES

LESSPRESSURE

@ESKIMON • FUTURE FACTORS13

BUT THIS SHIFT TO MOBILE MESSENGERS HAS SERIOUS IMPLICATIONS FOR MARKETERS

@ESKIMON • FUTURE FACTORS14

MOBILE MESSENGERS CHANGE SOCIAL’S RULES

NO WAY FOR BRANDS TO TRACK OR JOIN PEOPLE’S

SOCIAL DISCUSSIONS

FEW OPPORTUNITIESFOR BRANDS TO

INSERT THEMSELVES

PRIVATECONVERSATIONS

HARDER TOADVERTISE

LIKES AND FOLLOWERS MATTER FAR LESS THAN

ORGANIC WORD-OF-MOUTH

NEW METRICSOF SUCCESS

@ESKIMON • FUTURE FACTORS15

CRITICALLY, A ‘BOOSTED CONTENT’ APPROACH WON’T WORK IN A MESSENGER-CENTRIC MODEL

@ESKIMON • FUTURE FACTORS16

SO WHATDO WE DO?

@ESKIMON • FUTURE FACTORS17

TREAT SOCIAL MEDIA ENGAGEMENT AS THE OUTCOME OF GREAT MARKETING,NOT AS JUST ANOTHER VANITY METRIC TO BE BOUGHT FROM MEDIA OWNERS.

@ESKIMON • FUTURE FACTORS18

WE NEED TO USE EVERY ELEMENT OF OUR BRANDS’MARKETING MIX TO INSPIRE ORGANIC CONVERSATION

@ESKIMON • FUTURE FACTORS19

PRODUCTS

CUSTOMER SERVICE

POS ACTIVITY

ADVERTISINGPACKAGING

RECRUITMENT

@ESKIMON • FUTURE FACTORS20

2ACCESSDENIED

@ESKIMON • FUTURE FACTORS21

WELL OVER HALF OF THE WORLD’S INTERNET USERS HAVE USED AD-BLOCKING TOOLS

• SOURCE: GLOBALWEBINDEX, Q2 20-16

@ESKIMON • FUTURE FACTORS22

MOST INTERNET USERS HAVE USED AD-BLOCKERS68

%66

%65

%64

%64

%63

%63

%63

%62

%61

%61

%60

%59

%58

%58

%58

%58

%58

%57

%57

%56

%56

%56

%55

%55

%54

%54

%53

%53

%51

%49

%49

%47

%46

%28

%

CH

INA

POLA

ND

CAN

ADA

IND

IA

SOU

TH A

FRIC

A

MAL

AYSI

A

USA

PORT

UG

AL

SPAI

N

PHIL

IPPI

NES

GER

MAN

Y

AVER

AGE

VIET

NAM

HO

NG

KO

NG

FRAN

CE

SWED

EN

RUSS

IA UK

MEX

ICO

SIN

GAP

ORE

THAI

LAN

D

TAIW

AN

IND

ON

ESIA

AUST

RALI

A

ARG

ENTI

NA

BELG

IUM

UAE

IREL

AND

TURK

EY

ITAL

Y

SAU

DI A

RABI

A

BRAZ

IL

SOU

TH K

ORE

A

NET

HER

LAN

DS

JAPA

N

• SOURCE: GLOBALWEBINDEX, Q2 2016; PERCENTAGES REPRESENT INTERNET USERS WHO HAVE EVER USED AN AD-BLOCKER.

@ESKIMON • FUTURE FACTORS23

NEARLY THREE-QUARTERS OF US DELETE COOKIESSO THAT WEBSITES WON’T BE ABLE TO REMEMBER US

• SOURCE: GLOBALWEBINDEX, Q2 2016

@ESKIMON • FUTURE FACTORS24

WHY ARE SO MANY PEOPLE BLOCKING ADS?

ALMOST ALL INTERNET ADVERTISING AIMS TO

DISTRACT US FROM WHAT WE’RE TRYING TO DO

WAITING FOR THIRD-PARTY AD SERVERS SLOWS PAGE

LOADING AND DELAYS OUR ACCESS TO CONTENT

FOCUS SPEEDAD-SUPPORTED CONTENT MAY BE FREE, BUT PEOPLE HAVE TO PAY FOR DATA IN

ORDER TO RECEIVE ADS

COSTTHE VAST MAJORITY OF

INTERNET ADVERTISING IS DIRE: IT’S POOR QUALITY, UNINTERESTING RUBBISH

INTEREST

@ESKIMON • FUTURE FACTORS25

INTERRUPTIONIS CORRUPTION

@ESKIMON • FUTURE FACTORS26

IF WE DON’T ACT SOON, AD-FUNDED MEDIA WILL DISAPPEAR, AND WE WON’T BE ABLE TO ADVERTISE

@ESKIMON • FUTURE FACTORS27

SO WHATDO WE DO?

@ESKIMON • FUTURE FACTORS28

WE NEED TO CREATE MARKETING THAT PEOPLE CARE ABOUT – ACTIVITIES THAT ADD VALUE TO THEIR LIVES

@ESKIMON • FUTURE FACTORS29

THE THINGS THAT PEOPLE WORRY ABOUT, THAT STOP THEM

GETTING TO SLEEP AT NIGHT

THE THINGS THAT PEOPLE CAREABOUT, THAT WAKE THEM UP EVEN

BEFORE THEIR ALARM GOES OFF

PROBLEMS PASSIONS

ADDED-VALUE MARKETING ADDRESSES:

OR

@ESKIMON • FUTURE FACTORS30

WE CAN ACTIVELY DELIVER THIS VALUE THROUGH ALL OF OUR BRANDS’ MARKETING, NOT JUST WHEN PEOPLE

BUY OUR PRODUCTS OR SERVICES

@ESKIMON • FUTURE FACTORS31

PRODUCTS

CUSTOMER SERVICE

POS ACTIVITY

ADVERTISINGPACKAGING

RECRUITMENT

@ESKIMON • FUTURE FACTORS32

3MAGIC

MOMENTS

@ESKIMON • FUTURE FACTORS33

TODAY’S DIGITAL TOOLS FINALLY ENABLE USTO SOLVE AN AGE-OLD MARKETING PUZZLE

@ESKIMON • FUTURE FACTORS34

THE RIGHT MESSAGETO THE RIGHT PEOPLEIN THE RIGHT PLACEAT THE RIGHT TIME

@ESKIMON • FUTURE FACTORS35

HOW NEW TECHNOLOGY MAKES THIS A REALITY:

THE ABILITY TO IDENTIFY THE SPECIFIC PERSON WE’RE

ENGAGING ACROSS MANY DIFFERENT CHANNELS

THE ABILITY TO PREDICT WHAT THAT PERSON

WANTS, NEEDS OR DESIRES AT ANY GIVEN MOMENT

INDIVIDUALIDENTIFICATION

PRESCRIPTIVEANALYTICS

THE ABILITY TO DELIVER OPTIMISED, PERSONALISED

MARKETING IN THE BEST MOMENTS AND PLACES

DYNAMICDISTRIBUTION

THE ABILITY TO INTERACT WITH EACH AND EVERY ONE OF THESE INDIVIDUALS, BUT

ALSO DO SO AT SCALE

INTERACTIVITYAT SCALE

@ESKIMON • FUTURE FACTORS36

HOWEVER, WE’RE WASTING THE POTENTIAL OF THESE TOOLS BY TOTALLY IGNORING CONTEXT

@ESKIMON • FUTURE FACTORS37

MOTIVATIONS

LOCATIONSVS

@ESKIMON • FUTURE FACTORS38

(IF WE’RE STILL INTERRUPTING PEOPLE, WE STILL HAVEN’T IDENTIFIED THE RIGHT TIMES AND PLACES)

@ESKIMON • FUTURE FACTORS39

SO WHATDO WE DO?

@ESKIMON • FUTURE FACTORS40

PLAN MARKETING AROUND RELEVANT MOMENTS IN PEOPLE’S LIVES, NOT JUST PLACEMENTS IN MEDIA

@ESKIMON • FUTURE FACTORS41

USE THESE POWERFUL NEW TECHNOLOGIES TO UNDERSTAND WHERE AND WHEN THESE MAGIC MOMENTS OCCUR, NOT MERELY TO

DELIVER MORE TARGETED INTERRUPTIONS

@ESKIMON • FUTURE FACTORS42

4STAYING INCONTROL

@ESKIMON • FUTURE FACTORS43

WE’RE ON THE VERGE OF A REVOLUTION IN THE WAY WE CONTROL TECHNOLOGY

@ESKIMON • FUTURE FACTORS44

50% OF SMARTPHONE USERS SURVEYED BY ERICSSON EXPECT SMARTPHONES TO DISAPPEAR WITHIN 5 YEARS

• SOURCE: ERICSSON CONSUMERLAB

@ESKIMON • FUTURE FACTORS45

(R)EVOLUTION IN DIGITAL INTERFACES

WE’LL SEE MANY MORE INTERFACES THAT BUILD ON THE SUCCESSES OF APPLE’S SIRI AND AMAZON’S ECHO

THE TECH IN MICROSOFT’S KINECT AND NINTENDO’S

WII WILL EVOLVE TO POWER NEW KINDS OF DEVICES

VOICECONTROL

MOTIONSENSORS

DEVELOPMENTS SUCH AS TOBII WILL ALLOW US TO

CONTROL DEVICES DIRECTLY WITH EYE MOVEMENTS

EYETRACKERS

WE’LL SOON BE ABLE TO CONTROL DEVICES DIRECTLY

WITH OUR THOUGHTS USING A ‘BRAIN INTERFACE’

THOUGHTCONTROL

@ESKIMON • FUTURE FACTORS46

THE REVOLUTION IS COMING FASTER THAN MOST MARKETERS ANTICIPATE, AND MOST AREN’T READY

@ESKIMON • FUTURE FACTORS47

!

@ESKIMON • FUTURE FACTORS48

WE’LL SPEND FAR LESS TIME LOOKING AT SCREENS, SO TODAY’S MARKETING PARADIGM WILL BE IRRELEVANT

@ESKIMON • FUTURE FACTORS49

WE NEED TO FUNDAMENTALLY RETHINK ADVERTISING’S PURPOSE AND BUSINESS MODEL IF WE’RE TO REMAIN RELEVANT IN A WORLD POWERED BY THESE INTERFACES

@ESKIMON • FUTURE FACTORS50

SO WHATDO WE DO?

@ESKIMON • FUTURE FACTORS51

WHEN NEW INTERFACES ARRIVE, LOOK FOR NEW WAYS TO ADD VALUE, NOT JUST TO DELIVER ADS

@ESKIMON • FUTURE FACTORS52

MARKETING NEEDS TO FOCUS MORE ON UTILITY, AND LESS ON ENTERTAINMENT AND DISTRACTION

@ESKIMON • FUTURE FACTORS53

5AUGMENTED

INTELLIGENCE

@ESKIMON • FUTURE FACTORS54

‘PRESCRIPTIVE ANALYTICS’: USING DATA TO IDENTIFY PEOPLE’S NEEDS AND BEHAVIOURS IN ADVANCE

@ESKIMON • FUTURE FACTORS55

PRESCRIPTIVE ANALYTICS ARE INFLUENCING EVERY ASPECT OF OUR LIVES, OFTEN WITHOUT US NOTICING

@ESKIMON • FUTURE FACTORS56

THESE ‘ALGORITHMS OF LIFE’ ALREADY INFLUENCE:

ALGORITHMS IN SOCIAL MEDIA SELECT WHOSE

POSTS WE SEE, SHAPING OUR RELATIONSHIPS

SUGGESTION ENGINES (‘PEOPLE ALSO BOUGHT’) SHAPE AWARENESS AND INFLUENCE PURCHASES

WHO WETALK TO

WHATWE BUY

THE ALGORITHMS BEHIND DRIVERLESS CARS WILL

SOON INFLUENCE WHERE WE GO AND WHAT WE SEE

WHEREWE GO

STOCK TRADING SYSTEMS DETERMINE SHARE PRICES, IMPACTING OUR SAVINGS

AND OUR SALARIES

HOW MUCHWE EARN

ALGORITHMS IN DATING APPS PLAY A KEY ROLE IN

DETERMINING WHO WE MEET, DATE, AND MARRY

WHO WEMARRY

@ESKIMON • FUTURE FACTORS57

BUT WHY ARE WE ALLOWING ALGORITHMSTO TAKE OVER SO MUCH OF OUR LIVES?

@ESKIMON • FUTURE FACTORS58

HOW ALGORITHMS ADD VALUE TO OUR LIVES

WE CAN’T EVALUATE SO MANY OPTIONS;

ALGORITHMS HELP TO FOCUS OUR OPTIONS

WE STRUGGLE TO MAKE INFORMED CHOICES ABOUT COMPLEX OR

CONFUSING SUBJECTS

TOO MANYCHOICES

LACK OFCONFIDENCE

WE WANT TO ‘DELEGATE’ LOWER-VALUE AND LOWER-

INTEREST TASKS

IMPROVEDEFFICIENCY

WE WANT MORE OF THE THINGS WE LIKE;

ALGORITHMS HELP US FIND THEM

SEARCH FORINSPIRATION

@ESKIMON • FUTURE FACTORS59

HOWEVER, THIS RELIANCE ON ALGORITHMS ISN’T JUST SHAPING INDIVIDUAL ACTIVITIES

@ESKIMON • FUTURE FACTORS60

THESE TOOLS ARE FUNDAMENTALLY CHANGING THE WAY WE FORM PREFERENCES AND MAKE DECISIONS

@ESKIMON • FUTURE FACTORS61

A DRAMATIC CHANGE IN DECISION INFLUENCES

FOR THE MAJORITY OF HUMAN EXISTENCE, THE PEOPLE WE KNEW AND INTERACTED WITH HAD THE GREATEST INFLUENCE ON CHOICE

FOR THE PAST 150 YEARS, MASS-MEDIA JOURNALISM & ADVERTISING

TOOK OVER AS THE GREATEST INFLUENCE ON PEOPLE’S CHOICES

SOCIALCIRCLES

MEDIACOVERAGE

VERY SOON, THE DATA COLLECTED, PROCESSED AND SHARED BY OUR DEVICES WILL BECOME THE MAIN

FACTOR IN OUR DECISION-MAKING

TECHNICALPROCESSES

@ESKIMON • FUTURE FACTORS62

AS A RESULT, FUTURE BRAND SUCCESS WILL DEPEND ON HOW WELL WE CAN INFLUENCE THE ALGORITHMS

@ESKIMON • FUTURE FACTORS63

MARKETING TO THE MACHINES

@ESKIMON • FUTURE FACTORS64

SO WHATDO WE DO?

@ESKIMON • FUTURE FACTORS65

WE’LL NEED TO ADD NEW SKILLS THAT ENABLE US TO UNDERSTAND & INFLUENCE THESE NEW ‘AUDIENCES’

@ESKIMON • FUTURE FACTORS66

WE ALSO NEED TO START PLANNING FOR MACHINE-TO-MACHINE SOCIAL – THE ‘SOCIAL WEB OF THINGS’

• SOURCE

@ESKIMON • FUTURE FACTORS67

FUTURE FORCES1. DON’T SHOOT THE MESSENGER

2. ACCESS DENIED3. MAGIC MOMENTS

4. STAYING IN CONTROL5. AUGMENTED INTELLIGENCE

@ESKIMON • FUTURE FACTORS68

IT’S ALLCOMING...

@ESKIMON • FUTURE FACTORS69

IT’S UP TO YOU TO TURN IT ALL TO YOUR ADVANTAGE...

@ESKIMON • FUTURE FACTORS70

5 TIPS

@ESKIMON • FUTURE FACTORS71

SOCIAL MINDSET

SOCIAL MEDIANOT

@ESKIMON • FUTURE FACTORS72

ADD VALUE

ADVERTISEDON’T

@ESKIMON • FUTURE FACTORS73

MOMENTS

MEDIANOT

@ESKIMON • FUTURE FACTORS74

UTILITY

DISTRACTIONNOT

@ESKIMON • FUTURE FACTORS75

EMOTIONAL

RATIONAL

TECHNICAL

&

&

@ESKIMON • FUTURE FACTORS76

LET’S CONTINUE THE CONVERSATION: @ESKIMON

@ESKIMON • FUTURE FACTORS77

SIMON KEMP

@ESKIMON

SIMON@KEPIOS.COM

+65 9146 5356

KEPIOS.COM