PATEO - Automobile Artificial Intelligence (AI) in China, a Digital Marketing Case Study

A Marketing Case Study

Agenda

Situation analysis

PATEO intro and

strategy

Market climate

Industry inauguration

challenges

Analysis from a

marketing perspective

Becoming a Market

Oriented Firm

Educating the Market

Strategy Challenges Recommendations

Agenda

Situation analysis

PATEO intro and

strategy

Market climate


challenges

Analysis from a


Becoming a Market

Oriented Firm



Current Situation1. Market climate

2. Consumer and businesses needs guidance

“We’re moving from being just a hardware

provider to being a hardware, software, and

experiences provider,”

- Don Butler, head of Connected Vehicle and

Services for Ford Motor Company

Evolution of Technology

Mechanic Era Electric Era Information Era AI Era

What have we used to

control our devices?

Then

Keyboard and mouse

Now

Screen and touch

Conversation

Intelligent conversation needs…

Hear Clearly

Background noise control, testing

in various environments, hot-

words etc.

Understand Deeply

The most important step for

instigating intelligent

conversation, requiring vast

amounts of data and advanced

technology

Meet Needs

Provide accurate and thorough

information and service

What is Pateo?1. Insights into the New Industry

2. Pateo’s standing

Automobiles

PC and laptops

Smartphones and tablets

Industry Trend Observations

The past 10 years have seen U.S. consumer desktop PC sales

fall by nearly 50%Automobiles

PC and laptops


Once leading the way, Dell, Hewlett-Packard and Microsoft now

face a new world order led by Apple, Google, Samsung and

even Amazon.

Automobiles

PC and laptops


The Currently there are more mobile phones in

the world than people

The idea of being ‘unplugged’ for longer than it

takes to buy a coffee is anathema to the worlds

population

Connectivity is now seen as an essential need,

akin to water

AutomobilesPC and laptops


Pateo = The Next Step

The average American spends 280 hours per year behind the wheel

There are over 279 million cars on the road in China, and over

253 million in the US in 2015

Making the dream a realityCustomers

Lifestyle related services,

internet, new experiences,

connectivity, safety, user-

friendliness etc.

Governments

Autonomy, safety and new

energy development

Pateo’s Mission

Agenda

Situation analysis

PATEO intro and

strategy

Market climate


challenges

Analysis from a


Becoming a Market

Oriented Firm



Challenges1. Overview

2. Breakdown

5 Main Challenges

Automotive companies can’t benefit from telematics users

User experience is no where near the standard

of smart phones

Safety whilst driving is a major concern for drivers and

the government, and therefore for Pateo

People don’t yet perceive it as a lifestyle necessity

Challenge 1People don’t yet perceive it as a lifestyle necessity

“Why do I need to wait

until I get into my car to

book a flight?”

Current

customers

“I can’t bear to be

completely unconnected

while I’m in my car!”

Ideal

customers

Challenge 2User experience is no where near the standard of current

smart phones, therefore automotive companies can’t

benefit from its telematics users







Benefits

Costs

=Creating superior value for end users

and B2B customers




Benefits

Product

• Features

• Performance

• Reliability

• Packaging

• Design

Support services

• Training

• Maintenance

• Information

• Management

• Client support

Relationship

management

• Competency

• Courtesy

• Reliability

• Responsiven

ess

• Communicati

on

Image

• Company

reputation

• Brand

reputation

• Atmosphere

Etc.




Costs

Search costs

• Product

availability

• Relationship

management

• Competence

• Responsiven

ess

• Credibility

Acquisition costs

• Price level

• Timing

• Fulfilment

process

• Incentives

Financing costs

• Processing

and

administrative

• Flexibility

• Security

Maintenance

• Complexity

• Reliability

• Availability

• Repair costs

• Relationship

management

• Systems

management

Etc.

Challenge 2AI era has only just begun

De = Energized differentiation

R = Relevance

E = Esteem

K = Knowledge

Challenge 2AI era has only just begun

Energized

Differentiation

Relevance>Esteem

Knowledge>

Brand has captured attention and now

has the power to build relevance

Brand is better liked than known, desire

to find out more

Challenge 3Safety whilst driving is a major concern for all parties

The answer lies in AI

Challenge 3Safety whilst driving is a major concern for all parties

Credibility

And more…

ReviewsReliability

Reputation

Trustworthiness

Sound familiar?

Challenges

Benefits

Costs

=Creating superior value for

end users and B2B customers =

How What Why

User engagement

B2B customer touchpoints

Agenda

Situation analysis

PATEO intro and

strategy

Market climate


challenges

Analysis from a


Becoming a Market

Oriented Firm



Overall strategy

Becoming a

Market Oriented firmEducating the market

Market Orientation1. What is market orientation

2. Strategy

What is Market Orientation?

Discover what customers/clients need and cater products to them

Distribution of market intelligence throughout company

Responsiveness to market intelligence

Discover Distribute Respond

Current and future

end user needs

Current and future

B2B customer needs

Competition

Collaborators

Clarifying overall

objectives

Communication of

marketing intelligence

Cross department

Honoring promises

Respect

Collaboration

Business culture

values

Overarching Strategy

B2B Wechat and Networking1. Wechat Statistics

2. Methods

3. Creating great content

4. Key Takeaways

Wechat StatisticsWechat is the most

popular social network

in China, it dominates

the country’s

communicationsWechat combines the

best of Facebook,

Twitter and WhatsApp

into one mobile app

Can scan and pay at

stores, order movie

tickets, follow their

favorite brands and

accounts etc.

Users can share

messages with friends,

post updates, photos

and videos for their

fans

Wechat Statistics

Increasingly, touchpoints between companies and B2B

customers are extending beyond person to person

User engagement becomes more and more difficult

Wechat is best as a loyalty part of the customer

journey and not great for brand awareness

However, there are methods to maximize the platform

that would give the company the most exposure

Methods

• Influential

businessmen

• Leveraging their

personal brand equity

• People who have a lot

of followers

• Can spread the

message

KOLs

Key opinion leaders

• Can be shared and

passed on

• Informative, engaging,

moving

• Make them smile,

laugh, feel happy, sad

etc.

• Video, pic, infographic,

text, stories

• Great content will be

shared if its targeted at

the right people

Great ContentLayout and Visual

Elements

• Mobile platform only

• Optimize content

accordingly

• Videos under 3

minutes long

• Text that doesn’t take

more than 10 minutes

to read

• Font is readable.

Preview Everything!

Anything you post on your

Wechat is equivalent to

anything that leaves your

office, and therefore

contributes to your

company’s reputation.

Methods

• Influential businessmen

• Leveraging their personal

brand equity

• People who have a lot of

followers

• Can spread the message

KOLs

Key opinion leaders

• Can be shared and

passed on

• Informative, engaging,

moving

• Make them smile, laugh,

feel happy, sad etc.

• Video, pic, infographic,

text, stories

• Great content will be

shared if its targeted at

the right people

Great ContentLayout and Visual

Elements

• Mobile platform only

• Optimize content

accordingly

• Videos under 3 minutes

long

• Text that doesn’t take

more than 10 minutes to

read

• Font is readable.

Preview Everything!

Anything you post on your

Wechat is equivalent to

anything that leaves your

office, and therefore

contributes to your company’s

reputation.

Key Takeaway

1 post of high quality original content per week is better than

many posts of mediocre content.

Especially for B2B inaugural businesses such as Pateo

Product is King

Content is King

Key Takeaway

1 post of high quality original content per week is better than

many posts of mediocre content.

Especially for B2B inaugural businesses such as Pateo

Creating Great Content

Service Accounts Subscription Accounts

Account is displayed on the main

page alongside other chats

Advanced features such as interactive

menus

4 posts per month, may include

multiple messages in one post

No spam

Straight to their personal feed

More interactive

Pros

Cons

Less frequent content has be to very

good to stand out

1 message per day

Housed under the subscription tab,

users must actively check for content

Pros

Can connect with followers everyday

Cons

Too much noise, crowded

Content hungry

Takes users an extra step to get to the

content


SEO is more important

than ever

Baidu PATEO


Service Accounts Subscription Accounts

Account is displayed on the

main page alongside other chats

Advanced features such as interactive

menus

4 posts per month, may include

multiple messages in one post

No spam

Straight to their personal feed

Very high quality

Pros

Cons

Less frequent content has be to very

good to stand out

1 message per day

Housed under the subscription tab,

users must actively check for content

Pros

Can connect with followers everyday

Cons

Too much noise, crowded

Content hungry

Takes users an extra step to get to the

content

Consistent and clear company and brand message

Helps clients see your progress and relate to your vision

Creates precedent for future business and developmental conduct

Simple, but PowerfulIncreased user engagement and B2B touchpoints

Entrepreneur + capital = products + customers = business

=

Educate end users, paving the way to the future

- Steve Tobak

Thank You