What It Is. How It Works. Why It Matters.

Presented to: ______

By: Attack! Marketing

What’s Presence Marketing?

It’s not just another invented subdomain of marketing jargonese.

Many marketers are already executing aspects of Presence, just not in a holistic and integrated manner.

We mean to demonstrate how one-to-one, consumer-focused engagements can be integrated into a smarter, more platformed and strategic approach that we call Presence Marketing.

In doing that, we’re able to…

Define that approachDefine the attributes that make it succeedUse those attributes to create a template for successDrive results via Presence Marketing

So…is this Presence Marketing?

Are these?

What about these guys?

This?

Or… this?

The fact is, all of these can be elements of a Presence campaign.

But none in and of itself is Presence Marketing.

Let’s set a definition…and create filters that help define Presence.

Presence is about exactly what the name says:

Staying present in consumer’s lives and awareness, but in ways that promote dialogue, interaction and trust.

A good way to define it? Use its overall objective…

Creating consumer relevance through consistent and engaging personal brand encounters.

To achieve that goal, a Presence program needs to possess FOUR ESSENTIAL ATTRIBUTES.

Remove any of them and it’s no longer effective as Presence.

A true Presence program needs to have an in-depth, lived-in knowledge of the communities and consumers where it operates.

• Drives authenticity and credibility with its audience• Enables better targeting and engagement through

localized business intelligence• Results in greater proactivity, adaptability to local

circumstances

ATTRIBUTE: HYPERLOCAL IMMERSION

The brand needs to be a regular Presence in market, and consistent in its actions.

• Constant in timing and deployment• Consistent in behavior and engagement• This turns initial consumer surprise into expectation• Drives familiarity and acceptance

ATTRIBUTE: CONSTANCY & CONSISTENCY

A Presence program is inherently “on the ground” and needs to be able to quickly adapt to changing circumstances.

• Allows workarounds for weather, acts of God, other unexpected developments

• Lets a marketer capitalize on – or even create – opportunities• Allows adjustment to constantly-shifting local trends,

demographics and consumer interests, thanks to knowledge of the local market

ATTRIBUTE: ADAPTABILITY

The most important attribute: putting the right people in place allows a Presence program to enact the other attributes.

True “walking brand” personnel who represent the brand and its consumersHighly trained but honestly evangelical and authenticEnabling the invaluable one-to-one encounterIdeally local, of the community itself

97%

of consumers say staff’s ability to answer specific product questions is crucial*.

*Source: http://www.marketing.ie/jan05/article4.htm

ATTRIBUTE: PEOPLE

US Army: Strength in Action TourTo support the US Army’s Strength in Action program, staffing up with the right PEOPLE and properly training them were the first of many crucial concerns. Its Presence attributes?

• HYPERLOCAL IMMERSION: The Tour leveraged locally-based field teams as well as

local Army recruiters and other partners.

• CONSISTENCY: Strength in Action is a regular annual visitor to locations all across the

country.

• ADAPTABILITY: Logistically complex but designed to adapt to rain-or-shine weather

conditions and locational parameters.

• EARNED MEDIA MECHANISMS: Photo opps, signups for added-value offers and more

drive chatter, follows and media awareness.

• PEOPLE: All brand ambassadors in the program went through rigorous training to

ensure complete Army program knowledge, safety precaution and role responsibility

understanding.

• 45,000+ STAFF HOURS WORKED

• 300+ DAYS OF EXECUTION

• 250+ MARKETS VISITED

• 5000+ SHIFTS COVERED

PRESENCE IN PRACTICE

Nestle: NesquikA yearlong campaign in California not only generated brand awareness but grew to be a viral favorite.

• HYPERLOCAL IMMERSION: Local-based field personnel knew the high-impact

locations in each market.

• CONSISTENCY: Street teams were ubiquitous throughout the market, hitting city

landmarks, nightlife destinations, sporting events and festivals to deliver samples

and premiums.

• ADAPTABILITY: Our teams were agile and street-smart about their markets, able to

take advantage of opportunities when they arose

• EARNED MEDIA MECHANISMS: Creative stunts drove buzz; the Nesquik Bunny

alone drove countless photos and social forwards.

• PEOPLE: Besides appearances by the Nesquik Bunny, teams were young,

enthusiastic and well-versed in the product…but also local, part of their

communities.

• OVER 600 EVENTS VISITED

• OVER 10,000 COLLATERAL DISTRIBUTED

• 500,000 SAMPLES DISTRIBUTED

• EXPANSION INTO 2 ADDITIONAL MAJOR MARKETS IN 2012

• 20% INCREASE IN MARKET SHARE

PRESENCE IN PRACTICE

Triscuit Home Farming MovementTo promote the ‘simple’ nature of Triscuit, Kraft partnered with FFA and local “urban farming” advocates, garden clubs and community groups in a national “Home Farming” initiative.

HYPERLOCAL IMMERSION: Partnering with local advocates ensured effective

community outreach and positive engagement.

CONSISTENCY: “Home Farming” was promoted at events, at local retailers, through

a persiste online/social media campaign, even via 4 MM specialty packages.

ADAPTABILITY: Teams contended with local logistics, weather, even what crops were

preferred in each market.

EARNED MEDIA MECHANISMS: An online community site and social tactics allow

members of the “movement” to dialogue and promote their advocacy.

PEOPLE: Teams were training in the brand’s “simple goodness” platform and in how

to dialogue with local advocates and consumers back-to-basics urban farming.

• OVER 50 BRANDED GARDENS ACROSS 20 MAJOR MARKETS

• 4 MILLION SPECIALTY PACKAGES AT RETAIL WITH IN-PACK “SEED KITS”

• MEDIA TIE-INS A& COVERAGE BY ELLEN DEGENERES, HGTV AND MORE

• CREATED AN ONGOING USER COMMUNITY AND ONGOING IN-MARKET

PRESENCE

• DROVE SALES & AWARENESS INCREASES OVER FLAT/DECLINING PRIOR PERIODS

PRESENCE IN PRACTICE

The Four Attributes result in integrated campaigns greater than the sum of their parts…

4x

Hyperlocal Immersion

Constancy & Consistency

Adaptability

People

Consumer Sentiment

Trial and Referral

Social Forwarding

Word-of-Mouth

…by multiplying the reach and influence of each consumer encounter.

4x

It’s how we score in the Red Zone!

Consumers trust authentic, live, one-to-one brand encounters more than other touchpoints:

75% of consumers say that participating in a live marketing experience would make them more receptive to the product/brand’s advertising

75% of consumers said they would be extremely or very likely to tell others after participating in a live marketing event, extending impact through word-of-mouth

8 out of 10 consumers who had actually participated in experiential marketing in the past said that they had told others about their experience

Source: Jack Morton Worldwide survey

Source: Constant Contact Spring 2012 Small Business Pulse Survey

60%

50%

40%

30%

20%

10%0%

4

8%

40%

5

9%

17

%

1

8%

14%

In-PersonInteractions

TraditionalAdvertising

(print, radio,TV, etc.)

Total B2C B2B

Source: Constant Contact Spring 2012 Small Business Pulse Survey;Of the items you find to be effective, which do you rank as the #1 most effective?

• Fully Engaged customers are more likely to have had face-to-face interactions with a brand.

• 52% of Actively Disengaged customers had phone contact with a company compared with just 18% of Fully Engaged Customers.

• 76% of fully engaged customers had in-person interactions, versus 48% of Actively Disengaged customers.

In-person interactions create loyal customers better than other media:

Why in-store and POP activation? Because “unseen is unsold”:

• 74% of purchase decisions are made in the store (POPAI 1997).

• Yet consumers look only at fractions of brands available.

• The key is to be able to manipulate attention (Dreze, Hoch, and Purk)

Sources: Woodside and Waddle 1975; Bemmaor and Mouchoux 1991;Wilkinson et al. 1982.

Woodside and Waddle JAR 1975

It holds at retail, too.

Sales (coffee)

RegularPrice

600

400

200

0

100 20

0

166

500

-20%

Without POP displayWith POP display

BOUGHTThis media consists of:• Print advertising• Television• Web banners, paid search• Media deals

EARNEDThis media consists of:• Social media channel content

Blogs, videos, comments, pictures,Stories, conversations, wiki’s, feedback, tweets, applications,Emotion cons, and ratings.

ATTRACTS:

OWNEDThis media consists of:• Corporate website• Portals• Microsites

ATTRACTS:fans

customers

strangersATTRACTS:

Presence can drive earned media…

Source: 2011 study: emarketer.com, Synaptic Digital & Kantar Video

Effect on Brand Awareness:

40%

30%

20%

10%

0%

…the most valuable tool for brand awareness.

• They’ve already embraced elements of Presence• Eventually they’ll integrate them under the Four Attributes

Major marketers will soon drink the Kool-Aid.

Source: Constant Contact Spring 2012 Small Business Pulse Survey

Which marketing activities do you find to beeffective for your organization?

90%

80%

70%

60%

50%

40%

30%

20%

10%0%

83

%

84%

81%

71

%

72%

70%

6

8%64

%

75%

49%

56

%38

%

41%

4

3%38

%

33%

23%

49%

22%

22%

22%

21%

22

%19

%

17%

22%

10% 1

7%

18%

15%

EmailMarketing

Website In-PersonInteractions

SocialMedia

Marketing

Events Phone Calls(for lead

Generation, etc)

PublicRelations

DirectMail

TraditionalAdvertising

(print, radio,TV, etc.)

OnlineAdvertising

(paid Search, etc.)

Total B2C B2B

Major marketers will soon drink the Kool-Aid.

How is Presence different from… Experiential Marketing? Event Marketing? Guerilla Marketing? PR/Stunt Marketing? OOH/Alternative Media?

What Differentiates Presence?

It comes back to 4x

Any strategy or tactic becomes Presence only if they possess the Four Attributes

Hyperlocal Immersion ✓

Constancy & Consistency ✓

Adaptability ✓

People ✓

Let’s pick an example: an Experiential Marketing tour visiting retail, malls or festivals

Not Hyperlocal

Only in-market for a (relatively) brief period

Highly scheduled and locked into logistics

Some staff may be highly trained, evangelical and local

Hyperlocal Immersion ✗

Constancy & Consistency ✗

Adaptability ✗

People ✓

Guerilla marketing can come close…

Can be hyperlocal, adaptable, and have solid human assets on the ground

Hyperlocal Immersion ✓

Constancy & Consistency ✗

Adaptability ✓

People ✓

• Presence enhances the power of every medium and touchpoint• Cross-functional and complementary• Lends authenticity to other media by being…well, present in

people’s lives

Presence is central…

Why does a Presence-type program not succeed?

“When an inadequate marketing plan is used without integrating it

with other marketing communication initiatives40 or when

ambient communication is trivialized and used without any specific

objective (e.g., it is used to imitate competitors or because it is a

“trendy” communication tool).”

Source: 2010 California Management Review, Vol. 52, #3

Presence Fails

“When there is an inadequate creative concept and/or execution,

either when the ambient initiative is not able to break through the

clutter, grab consumers’ attention, and generate word-of-mouth, or

when there is an exaggerated use of creativity that cannibalizes the

brand and that is not congruent with the marketing objectives (e.g.,

when the…initiative is used “for its own sake” and does not add

value to the brand).”Source: 2010 California Management Review, Vol. 52, #3

“When there is a lack of environmental/contextual

integration, which may occur either when there is an

improper relationship with the local authorities or when

ambient communication is improperly used to spread

messages to sensitive audiences on delicate social topics

where the initiative runs the risk of being misunderstood

and obtaining a counterproductive impact on the audience.”

Source: 2010 California Management Review, Vol. 52, #3

Pick four disciplines from this list where Presence works particularly well. Why?

• Relationship Marketing

• TV/Radio

• Public Relations

• Local Immersion Marketing

• Sponsorships

• Community Outreach

• Music/Sports Activation

• Grassroots Marketing

Presence Pop Quiz

RELATIONSHIP MARKETINGOne-on-one encounters on a constant & consistent basis create dialogue & trust that drive relationships

LOCAL IMMERSION MARKETINGUnderstanding local preferences, trends, activities results in more focused and relevant actions

COMMUNITY OUTREACHBeing part of the community allows brands to be “good guys” and esteemed neighbors

GRASSROOTS MARKETINGPresence creates authenticity that helps drive “bottom up” strategies and loyalty at the local level

Presence Pop Quiz Answers

What metrics & outcomes are important in assessing Presence?

Why are those important?

How do we measure them?

Measuring Presence

Presence provides a continuum of multiple touch points in a consumer’s life.

Your Consumer’s Day, Week, Month, Year…

How do you measure Presence? By what outcomes matter most for you.

Assessment can be based on results from multiple types of metricWhat types are specific to each program and goalsDevelop a “measurement matrix” before each program, with associated targetsOne goal or many?

Does Presence work?

Following is an example of Presence Marketing sales trends compared to national and like-market trends, and observed ROI, drawn from a national CPG marketing program.

Growth vs other markets: PM Market A vs. others

$ Vol

Velocity: $ Sales/ CDP

Share

Year 1 AVERAGES (% Chg Vs YAG)

Distribution: CDPs

24 9 5

7 (7) (3)

4 1 0

15 18 8

$ Vol

Velocity: $ Sales/ CDP

Share

Distribution: CDPs

(27) (16) (17)

8 (7) (5)

(9) (3) (4)

(31) (9) (8)

CON

VEN

IEN

CEG

ROCE

RY

NATIONAL LIKE MARKETSPM MARKET A

NATIONAL LIKE MARKETSPM MARKET A

Growth vs other markets: PM Market A vs. othersAffects on grocery velocity (Q4 2011 – Present)

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

May-12

Jun-12Jul-1

2

Aug-12

200

210

220

230

240

250

260

270

280

290

300

San Fran

Linear (San Fran)

CDPs

Tot

al

Distribution: Q4 2011 - Present

Oct-11

Nov-11

Dec-11

Jan-12

Feb-12

Mar-12

Apr-12

May-12

Jun-12Jul-1

2

Aug-12

300

340

380

420

460

San Fran

Linear (San Fran)

$ Sa

les p

er C

DP

Velocity: Q4 2011 - Present

PM Market: +11.3%National: (7.4%)Like Markets: (7.0%)

PM Market: +12.1%Like Markets: +6.1%

$ volume PM Market A: +28% (National +4%, Like Markets -1%)

$ Vol

Velocity: $ Sales/ CDP

Share

Distribution: CDPs

56 25 39

37 23 27

4 6 5

9 11 6

$ Vol

Velocity: $ Sales/ CDP

Share

Distribution: CDPs

(11) (11) (15)

3 6 5

(6) (1) (1)

(16) (10) (9)

CON

VEN

IEN

CEG

ROCE

RY

Growth vs other markets: PM Market B vs. othersYear 1 AVERAGES (% Chg Vs YAG)

NATIONAL LIKE MARKETSPM MARKET A

NATIONAL LIKE MARKETSPM MARKET A

PRESENCE MARKETING R.O.I.PM Expansion/Profit & Loss Analysis – 3 years (2013-2015)

Based on current assumptionsCumulative NPS: $24.578MM Cumulative Margin: $8.318MMTotal Investment: $13.300MM

Net Investment: ($4.982MM)

Opportunities not includedIncremental Trade: $2.941MMAmplified effect (.5%):$1.562MMSynergies $1.064MM

NET Investment (incl. opp):$.585MM

Opportunity to create margin positive investment over time!

What marketing programs do you have underway now that are Presence?

Or…what programs could be modified to become Presence programs?

Are You Using Presence Already?

Incorporating the FOUR ATTRIBUTES

Logistical and executional investment

Synergy with brand, with advertising, with online

Tactical enhancements that extend Presence – social/mobile overlays,

sales promotions, shopper marketing, to name a few

Looking at consumer influence from the ground up, as an eye-

to-eye encounter first and foremost

What Makes Presence Work?

Done right, it does what it promises:

Presence Marketing creates consumer relevance through consistent and resonant, personal brand encounters.

Summing Up

By generating that presence and relevance in their day-to-day lives, a brand earns authenticity and trust…which drives consumer action, engagement and loyalty.

Summing Up

Thanks for your time!Any questions?That’s it!