Where to Start Customize Create Relevance—P&G’s biggest challenge was integration Talk about them, or get them to talk about them with you, or talk about.

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Where to Start

• Customize

• Create Relevance—P&G’s biggest challenge was integration

• Talk about them, or get them to talk about them with you, or talk about you in a way that shows that you can uniquely solve their problem

Butch Harmon

Hank Haney

Fixing Your Swing

How to change your fundamentals when you’re #1

and get even better.

Sales leader 6 years running

100,000

150,000

200,000

250,000

300,000

350,000

1999 2000 2001 2002 2003 2004 2005

The Pursuit of Perfection

“What Lexus has done, I think, is indicative of what most marketers need to do.”

“Lexus, in a bit of marketing Jujitsu, is running a sweepstakes that turns viewer control on its head.”

“Success of the Lexus spot on TiVo could alter TV economics.”

Why

Change

Account Service

Creative

Media

Event Marketing

Interactive

Acco

unt S

ervi

ce

Cre

ativ

e

Interactive

Eve

nt M

arke

ting

Media

Star Team

Performance

The gap on performance

Gap: -28%

99%

69%73%

49%

97%

55%

69%

77%

97%

66%

74%71%

AWARENESS LUXURIOUS QUALITY PERFORMANCE

Competition had more buyers age 35-49

BuyersAge 35-49

26%

BuyersAge 35-49

40%

BuyersAge 35-49

32%

650% of previous year

0

10,000

20,000

30,000

40,000

50,000

2001 2002 2003 2004 2005 2006Goal

Annual IS Sales

Target Video

Couldn’t pull-the-wool over their eyes

IS Target Media and Lifestyle

Ian Smith is the typical IS driver. He is a Male, between the ages of 30-49, he has a HHI of $100K+

and he has a College degree or higher.

He is an Independent Thinker: Intelligent, self-directed and values authenticity. His defintion of prestige is

more about enhancing his well-being and less about status. He has a tendency to spend more money on

"new experiences" over "new possessions."  

His passions are: Travel, Technology, Having a good time,

Contemporary Art/Theatre

Technology NeedsOwns PDA/Handheld Computers (266)

Owns DVR (259)Monitor Investments/Stocks Online (248)

Access online from cell phone/wireless device (239)Read Technology News Online (239)

Read Sports News Online (234)Broadband Wi-Fi access at home (202)

Owns Home Theater System (173)Owns MP3 Player (170)Owns Digital TV (161)Online everyday (135)Owns Big Screen (133)

LifestyleTakes foreign business trips (586)

Acquired or added stock in past year (392)Member of business club (362)

Acquired investment real estate in past year (340)Has internet banking account (315)

Carries small business insurance (307)Carries travel insurance (296)

Member of frequent flyer program (290)Drinks super premium domestic beer/ale (272)

Has a 401K retirement savings plan (269)Went on international honeymoon (266)

Drinks scotch whiskey (259)Carries boat owners insurance (252)

Attends sporting events: basketball, golf, etc. (269-227)

Activities (within past year)Scuba diving (428)

Skiing (366)Snorkeling/Skin Diving (336)

Mountain Biking (318)Golf (309)

Water Skiing (293)Soccer (261)

Running/Jogging (259)Tennis (257)Hockey (256)

Snowboarding (248)Sailing (247)

Backpacking/Hiking (233)

Shopping (within past year)Shops on-line (390)

Men’s business suit (365)Electronic personal organizer (350)

Golf clubs (340)Digital camcorder (324)

Orders concert tickets on-line (301)Orders airline tickets on-line (294)

Digital camera (251)New imported vehicle (243)

Gas grill (230)Eddie Bauer (188)

Banana Republic (185)Nieman Marcus (184)

Meet Ian Smith

Day in the Life

Integrated Campaign Video

The role of television

Surpassed year 1 goal in month 10

IS Sales MY 2006

40,000

51,232

0

10,000

20,000

30,000

40,000

50,000

60,000

GOAL ACTUAL

IS buyer age

IS BuyersAge 35-49

22%

IS BuyersAge 35-49

31%

2005 2006

Performance

+7%+7%

Lexus Performance RatingPost-Launch Improvement

49%

56%

PRE-LAUNCH POST-LAUNCH

IS shifts perceptions

Lexus ImageAttribute Ratings

+6%+6%

+6%+6%

+3%+3%

+5%+5%

+7%+7%

+6%+6%

56

55

37

39

41

52

35

46

49

50

34

33

HIGH PERFORMANCE

INNOVATION

ASPIRATIONAL

EXCITING

INSPIRED

PROGRESSIVE

Post-Launch

Pre-Launch

IS campaign is compelling

+10%+10%

Ad Persuasion39%

49%

LEXUS TV AVERAGE IS TV

Different than others. Fits all your needs. Even though you’re familiar with Lexus this will be a

different experience.

Different than others. Fits all your needs. Even though you’re familiar with Lexus this will be a

different experience.

Another dimension – being different from the crowd.

Another dimension – being different from the crowd.

Lexus is different – multi-dimensional

Lexus is different – multi-dimensional

Unique. Cutting edge. Classy. Fast. Technological.

Unique. Cutting edge. Classy. Fast. Technological.

New, different from other cars. Exciting, powerful, multifaceted car that can appeal

to many people.

New, different from other cars. Exciting, powerful, multifaceted car that can appeal

to many people.

Thought provoking, interesting, different – would want to test drive it even though I

wasn’t interested before.

Thought provoking, interesting, different – would want to test drive it even though I

wasn’t interested before.

I think it’s the car of today and tomorrow, gave me the impression of sporty and fast with great

power and handling.

I think it’s the car of today and tomorrow, gave me the impression of sporty and fast with great

power and handling.

Lexus is on the cutting edge of technology and evolution of cars.Lexus is on the cutting edge of technology and evolution of cars.

Why live in one dimension – speed, style, luxury, for many emotions and senses – provides the car for you.

Why live in one dimension – speed, style, luxury, for many emotions and senses – provides the car for you.

Fast, great performance and can compete with anything, even BMW.

Fast, great performance and can compete with anything, even BMW.

IS campaign is compelling

7th industry-leading year

Actual Sales2006

322,434

274,432

248,080

100,000

150,000

200,000

250,000

300,000

350,000

LEXUS BMW MERCEDES

Lessons we learned

• Put consumer behavior in the middle

• Agree on a campaign idea before finalizing any executions

• Create a “Star Team”

• Use RASCI

Getting the most out of an integrated agency

• Let them integrate!

• One P&L makes collaboration easier

• Put money in play for the best idea regardless of discipline

• Tell your agency up front what success looks like (keep it simple)

“You’re a Client” Questions

• Was it relevant to P&G’s problem?

• Can you summarize Team One’s strengths concisely?

• Would you want Team One to move forward in the pitch process?

• If you needed to execute a big multi-discipline campaign?

• How about a small Direct Marketing or print campaign?

• Team One is professional, but is it personal? Who are they? How do I know their not assholes?

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