dovetail conference january 2016 - jim bilton
TRANSCRIPT
Jim BiltonManaging Director
Wessenden Marketing & Brandlab Research
#dovetail2016
Graze: driven by automated technology
Automated Insight• Register initial preferences• Track purchasing patterns• Constant product reviews• Constant NPD testing• Focus groups• The Audience Within
Graze: driven by automated technology
Automated Insight• Register initial preferences• Track purchasing patterns• Constant product reviews• Constant NPD testing• Focus groups• The Audience Within
Automated Fulfilment• Robotic pick & pack• Personalised comms• Tracking delivery
Graze: driven by automated technology
Automated Insight• Register initial preferences• Track purchasing patterns• Constant product reviews• Constant NPD testing• Focus groups• The Audience Within
Automated Fulfilment• Robotic pick & pack• Personalised comms• Tracking delivery
Automated CS• Website self-serve area• Clear FAQ’s• Twitter & Facebook• Email only CS
Graze: flexing the modelRetail
Graze: flexing the modelRetail More direct options
• Wholesale• Sharing boxes• One-off gifts• One-off self purchase• New packages
Project methodology & background
The mag sub in context
YouGov Survey (2,000)
7 focus groupsDovetail SSS (145,000)
Publisher research
Reimagining the mag sub
The mag sub in context
Mapping the RRM world
Mapping current mag purchasing
Enhancing the mag subscription
The B2B dimension
The structure of the report
Mapping the RRM world
9%
80%
22%
46%
41%
Amazon Prime
Amazon ad hoc
Other RRMs
Media RRMs
Magazine Sub
Penetration of the RRM into Mags
Base: All magazine readers / buyers
Following the global RRM trends
• From front-end choice to in-service control
• From lock-in to satisfaction
• From subscription to membership
• Free as a pathway to paid
• Maximising the multiples
Magazine content platform
2%
7%
21%
70%
Digital Only
Digital First
Print First
Print Only
Magazine Content Platform
Base: All magazine readers / buyers
Magazine content platform
2%
7%
21%
70%
Digital Only
Digital First
Print First
Print Only
Magazine Content Platform
Base: All magazine readers / buyers
95
127
35
Magazine purchase channel
5%
17%
24%
54%
Do not buy magazines
Subs Only
Subs & Retail
Retail Only
Base: All magazine readers / buyers
Magazine purchase channel
5%
17%
24%
54%
Do not buy magazines
Subs Only
Subs & Retail
Retail Only
Base: All magazine readers / buyers
93
148
79
The magazine purchasing model
Magazine Consumption
Content Platform
Purchase ChannelRepertoire Flex
Magazine Addiction
Subscription Mentality
Magazine purchasing personas
Magazine purchasing personas
10
20
30
40
50
60
70
80
90
100
110
10 15 20 25 30 35 40
Mag Sub %
Age (% under 35)
Persona Magazine Spend
Print ZealotsPrint Conservatives
121
Print Flexers
Print Dabblers
Digital Radicals
Digital Enhancers
Digital Experimenters
102
11644 63
128
35
Older Younger
DTLab
The “Audience Within” • Granular insights• Practical outputs• DT Staff engagement• Culture change in DT
• 3 groups of 8 people• 19-24 x 2 / 34-55 x 1• Range of job roles• Preparatory homework
“Publishers may know what readers want
to see in the magazine,but do they really know how their subscribers want to be treated.”
General context of respondents
• Light magazine readership
• Usage of other subscriptions
• Three distinct life-stages
• Common pressures
• Overloading
The overload cycle: subscriptions & benefits
Frictionless cancellation
“Netflix never query a cancellation. And they hold on to all my data. I cancelled, then changed my mind three months later. They just started me straight up again – with all my usage history – as if I’d never been away. It was more of a holiday than a cancellation. Why can’t we be more like that with magazine subscriptions?”
Frictionless cancellation
• 23 different refund policies among DT clients.• Some very negative: conditions, written, slow refund.• Time hungry. • Sours any ongoing reader relationship.
“Netflix never query a cancellation. And they hold on to all my data. I cancelled, then changed my mind three months later. They just started me straight up again – with all my usage history – as if I’d never been away. It was more of a holiday than a cancellation. Why can’t we be more like that with magazine subscriptions?”
“It doesn’t seem fair that someone who has been reading a magazine for years should pay more than someone subscribing for the first time. Couldn’t we give them a little thank you gift
or a reward?”
Not rewarding loyalty at renewal
“When someone wants to cancel, I’d like to be able to
offer them another mag from another publisher which would
be more appropriate, like an Amazon recommendation – we handle such a range of titles at DT. I know that we’d never be allowed to do that. But that is
what Netflix would do, isn’t it?”
Cross publisher choice of titles
The 360 degree flip: other issues
• First issue delivery
• Free trials
• Digital editions & bundles
• Smaller & more regular payments
• Membership benefits
• Adequate stock levels
• Multiple comms channels
Specific services
Specific services
• Instantly understandable offer & service• Membership benefits: exclusive & related to core• Flex the service in-service• Avoid front-end “cons”• Personalisation is key
What if?......
+ + = ?
The magazine consumer’s purchase optionsContent Platform
Delivery Channel Commitment Information
Unit Payment
Print Retail Single Copy Issue Method
DigitalHome Delivery
PostRetail home delivery
OngoingOpen-endedFixed term
Article Frequency
Click & Collect(shop save)
Minimum Information
Unit
DigitalStream
Download
Flow of free (access-level) content
DTLabThe “Audience Within”Granular insights & practical outputs
Unpacking the magazine subscriptionGivens Enhancements Variables
Content quality Rewarding loyalty Title flexibility
Competitive pricing Payment options Membership
Easy cancellation Frictionless processes Gifting
Fast & faultless delivery Trial Content Atomisation
Fast problem resolution Added value
Control & personalisation
Subscription theatre
Content architecture
Ecommerce
Understanding the magazine now
• Understanding buying as deeply as reading
• Tracking readers’ changing digital activity
• Understanding the role of the magazine brand
• Mapping the multiples
• Preparing for the Digital Jump
Following the global RRM trends
• From front-end choice to in-service control
• From lock-in to satisfaction
• From subscription to membership
• Free as a pathway to paid
• Maximising the multiples
Optimising the existing assets
• Joining up the dotsPrint + digitalRetail + directReading + buying
• Moving from bolt-on to rebuild
• Maintaining quality in every dimension
• Owning the complete magazine experience
• Tailoring offers & models
Some practical suggestions
• Break down the internal silos
• Take everything apart & then reassemble it
• Develop a deeper understanding of the end user
• Segment and automate everything possible
• Rethink what “customer service” really means
• Build partnerships
• Watch Amazon and grocery retail
Managing Change in Publishing
42
PublishingFutures2016
Publishers managing changeCompany
Vision
Company Culture
Company Structure
Staff Headcount
Staff Skills
Financial Resources
IT Resources
Some questions relating to Dovetail
• What will your company look like in 2 years’ time?
• What do you want DT to look like in 2 years’ time?
• What kind of relationship do you want with DT?
• Are you prepared to invest in that relationship?
4 key challenges for the industry
Balancing Retro & Relic
The loyalty timebomb
The smartphone opportunity
Breaking through the noise
A final thought about the future
“There are no more silver bullets. There’s only shrapnel.”
“Amazon wouldn’t do
that!”