Philip Morris

WORKSHOP ESPECIALLY FOR

«PHILIP MORRIS»

STRUCTURE OF PRESENTATION

• KEY GLOBAL DIGITAL TRENDS

• FACTS & FIGURES OF RUSSIAN WEB

• CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

• BEST PRACTICE WITH ACCENT ON SOCIAL MEDIA

• COMPAIGN RESULTS TRACKING (KPI)

• BRAND REPUTATION MANAGEMENT. MONITORING

• EXAMPLES OF RUSSIAN CASES

KEY GLOBAL DIGITAL TRENDS

Content creation army

Open Source Programs

Mash Ups & APIs

Website & mobile applications

Number of people who can create

Programming knowledge needed

1990’s

2011

Real time web

Internet is a high-speed information channel

- Fastest news and updates

The more it develops the more efforts are invested into real time web search (searching social networks updates, Twitter etc.)

- Google in USA have launched SN search

- VK is going to launch an SE indexing

All these gives more opportunity for monitoring but also makes SM impact much stronger and much wider

KEY GLOBAL DIGITAL TRENDS

Users have capacity for multimedia experience and interesting technology

• The internet connection speed globally and locally is already on average quite high to support interesting visual and functional solutions, mass consumption of video content

• Big, beautiful, high quality, high definition, deeply interactive, social …

• Over 50% on-line users in Russia watch video on-line

• Internet users became more demanding for expressive value of digital content

• Content, banners, sites, services etc.

KEY GLOBAL DIGITAL TRENDS

KEY GLOBAL DIGITAL TRENDS

Social networks play significant role in digital media consumption

Social networks have become one of the leading digital channels

Russia has the most engaged social networking audience in the world

Top 5 sites in Russian web (monthly reach, %)

Source: TNS Gallup Media Web Index (1HY 2009), Russia 100+, 12-54 y.o.

KEY GLOBAL DIGITAL TRENDS

The rise of digital mass-media

The rise of UGC and social networks for some time made the industry feel like it’s the only future

Soon enough the thirst for quality, trusted content was understood

Media with distinctive quality audience, editorial content are in the spot light today - Advertisers on media-sites are deemed high quality

(according to OPA & Harris research

http://mediarevolution.ru/formats/vehicle/2560.html)

Media:

Media and communications:

information services:

KEY GLOBAL DIGITAL TRENDS

Total digitalization The rise of interactive TTL communication

- Digital is all around you • Applications • Video-mapping • Augmented reality • Geo-tagging & tracking

- Soon enough all object will be digital and will gather data & communicate

• A refrigerator will become a media

KEY GLOBAL DIGITAL TRENDS

Liquid content We create programs that we think people want to

watch, and then we let them watch where and when

and how they want.

– Dave Baldwin, EVP of Program Planning, HBO

Key challenge for brands within the digital world today is

shortage of attention

within the competition of content / services

generated by brands, media and people.

“The scarcest resource for today’s business leaders is no longer just land,

capital, human labor, and it certainly isn’t information. Attention is what’s in

short supply.” “The Attention Economy”, Harvard Business Review

KEY GLOBAL DIGITAL TRENDS

Digital challenges

Start and support dialogue Let consumers speak

High expressive value & technological leadership

Consumers are more and more demanding towards the content

and services brand provide – they require surprising innovations and

news.

Behavior based communication Learning not only the destinations

but also the behaviors and motivations.

Get off-line digitalized On-line is no ‘3rd space’ - it’s a real life

empower by technology. We need a deep connection between this territories.

Useful and meaningful advertising Brands need to bring value. It’s proven:

people do unite around the brand if useful service or aspiration idea is the center.

Quick reaction Brands need to bring value. It’s proven:

people do unite around the brand if useful service or aspiration idea is the center.

KEY GLOBAL DIGITAL TRENDS

FACTS & FIGURES OF RUSSIAN WEB

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Россия 100 000+

Москва

Internet penetration is 65% nationwide % от Monthly Reach, 12+ лет

Internet is one of key media channels

FACTS & FIGURES OF RUSSIAN WEB

Place of Internet usage March‘10, % от Monthly

Reach

89%

33%

5%

2%

8%

1%

86%

49%

1%

1%

6%

1%

У себя дома

У себя на работе

В учебном заведении

В интернет-кафе, в

компьютерном центре

В гостях

В другом месте

84%

24%

5%

3%

11%

2%

81%

38%

1%

2%

9%

2%

At home

At work

At school

In Cafe

Public places

Other

% от всей аудитории Интернета 12+ лет

% от работающей аудитории Интернета

Russia 100 000+ Moscow

Trend# 1: Home usage is high. It’s affected and affects personal internet usage (media, SN, games etc.)

15

11

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Russia100 000+

Moscow

8

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Russia 100 000+

Moscow

Dial-up Broad band GPRS other

Connection types March‘11, % от Monthly Reach At Home/At Work, 12+ e.o.

At

Ho

me

A

t W

ork

Trend #2: Broad band usage is high. It brings capacity for heavy content and rises overall digital activity (time spend, traffic volume per user etc.)

FACTS & FIGURES OF RUSSIAN WEB

FACTS & FIGURES OF RUSSIAN WEB

Experience using the Internet March‘11, % от Monthly Reach, 12+

Trend#4: Audience of Moscow more experienced, so more sophisticated and demanding. Regional people are ok with more common approaches.

FACTS & FIGURES OF RUSSIAN WEB

15%

10%

8%

7%

5%

6%

Every day Several times a month Rarely

1.4 mln people

23% users

Moscow

9.1 mln. people

28% users

Russia 100 000+

Mobile internet usage March‘10, % от Monthly Reach 12+; inc. WAP and GPRS

Trend#5: Mobile internet users tend to be more active.

FACTS & FIGURES OF RUSSIAN WEB

Russia Moscow

60%

97%

95%

81%

78%

56%

24%

95%

92%

84%

75%

51%

13%

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Number of Internet users within age groups

March‘10, % от Monthly Reach and 1000 people 12+

Trend#6: Internet is no more youth media. Still in regions penetration among youth is higher.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Dynamics in social media

TNS WebIndex march 2010

• Vkontakte is leading (pirate video and music content, functional leadership, initial accent on youth) • While (according to game developers data) Mail.ru has more money on average

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Signed you to a page brand / group brand?

Do you participate in social discussions of copper in brand / product?

Whether you are looking information about the brand in Soc. Media?

Internet users are feel good about brand communities and brand-related discussions in SM.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Geo tagging – users can mark its location on the map.

• «Facebook places»

• Vkontakte geotagging

• Foursquare So

cial

Net

wo

rkin

g –

Tre

nd

s

Real Time Web – feed updates the status of friends in realtime. • Twitter

• Facebook

• Vkontakte

• Friendfeed

Social Networking – Trends.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

API – allows you to set the social media functionality on other sites. Register, comments, links, application.

• Facebook Connect • Vkontakte Share

Social Networking – Trends.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Mobile use of social media – mobile access and applications allows the use of social media everywhere • Facebook iPhone/iPad/Android

• O.facebook.com / 0.vkontakte.ru - Free access (MTS, Beeline, Megafone) via a mobile browser

• Vkontakte iPhone/iPad/Android • O.vkontakte.com - Free access (MTS, Beeline,

Megafone) via a mobile browser

Social Networking – Trends.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Augmented reality – compass, geolocation, and the camera will be built in the video stream on the phone screen virtual objects. Altergeo - http://www.youtube.com/watch?v=0zNmugtYcjc

Ru

Net

blo

gosp

her

e

•7.4 million blogs 6.9 million personal diaries 500,000 Communities 12% - active blogs, progressively reduced the number Russian language blogs account for 5% of the global blogosphere 76% of active blogs is located on four services: LiveJournal.com, Blogs.Mail.ru, Ya.ru and LiveInternet.ru.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Summary statistics of blog hosting services. The number of blogs.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

The average blogger - Girl from Moscow 22 e.o. She has 18 friends (13 of them - each other), she participated in 10 communities and has a blog for a year and ten months. Content : Every day, bloggers create a million records in Russian language - around 300,000 posts and 700 thousand comments. The mass media effect: At the most popular blogs (over 5000 friends) signed over 558 thousand people. This is 8% of the entire blogosphere.

The audience leaves. Part of the audience of blogs flows into social media in a more convenient format for communication. Blogs = media. An increasing number of readers, reduced the number of writers.

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Ways of action in digital space

• Groups and communities

- CRM, product & marketing dialogue, territories leverage

• Applications

• Content & stories

• Interactive experiences off-line

• Media campaigns

• Owned media

- Sharing & connect

CLOSE LOOK AT SOCIAL NETWORKS IN RUSSIA

Digital asset management approach

• Digital assets: site, video / audio / photo/text content, special projects in media, brand pages & groups in social media

- Digital assets management is working smart with content investment

• DAM – is a strategy that aims to: - Fine-tune the content to meet common search queries (common for the TA) – working with tags and etc.

• And even produce content based on query analysis

- Gain domination of brand-created or brand-approved content over negative & low quality UGC content

Fine-tune content and tags to meet seasonal search needs

• And if SEO if quite common on Russian and global market, optimization of content in photo & video services (YouTube, Flickr etc.) is a great opportunity

- Pictures and video get into search engine results as well

Low competition

Key benefits: low cost & high quality search traffic through optimization, brand image support (search results control)

BEST PRACTICE WITH ACCENT ON SOCIAL MEDIA

Canon EOS integrated campaign

Create a new form of social networking, based on sharing the inspiration behind photographs.

94 photos uploaded every day since launch, which is 4 photos an hour

12 minutes average time on website

Samsung Corby Ambient

Interactive displays in one of the biggest malls in Moscow

BEST PRACTICE WITH ACCENT ON SOCIAL MEDIA

Happy birthday from Guinness video birthday cards for CRM program

A totally personalized video from a pub (barmen says your name) which gives you a voucher for free Guinness pint and gives opportunity to ask friends to join

Great example of CRM e-mail truly leveraging the totally personal approach.

60% opened the email, 95% of those interacted fully.

96% unprompted recall in post campaign research.

BEST PRACTICE WITH ACCENT ON SOCIAL MEDIA

COMPAIGN RESULTS TRACKING (KPI)

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Tracking is not a threat. It’s a huge opportunity.

Tracking display CTR% , ATR%, behavior (pixels to track clicks on different zones within a banner)

Tracking search • Brand site position on

selected queries

• Search queries number on brand events, initiatives, brand name

Maximizing the trust 1

:1

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mm

un

ity

\gro

up

& m

edia

M

ass

Media types

Scale growth

Media=media

People=media

Interaction level

EXPOSURE INVOLVEMENT ACTION

TRUST Digitally empowered and off-line communication between people (one2one)

Blogs, communities, SNs, forums, comments

Mass digital communication tools

Driven by idea, content and motivation

Personal recommendation (link) from your friend on Skype

Banner on Yandex.ru main page

COMPAIGN RESULTS TRACKING (KPI)

COMPAIGN RESULTS TRACKING (KPI)

Tracking SM 1

:1

Co

mm

un

ity

\gro

up

M

ass

Media types

Scale growth

Media=media

People=media

Interaction level

EXPOSURE INVOLVEMENT ACTION

TRUST Digitally empowered and off-line communication between people (one2one)

Blogs, communities, SNs, forums, comments

Mass digital communication tools

KPI: reach, CPC, CPM, CTR%

KPI: number / tonality of posts, authority level …

KPI: number / activity of discussions, number of community members

Driven by idea, content and motivation

COMPAIGN RESULTS TRACKING (KPI)

Tracking owned media Number of registered users

Number of active registered users

Time on site

Page views

External links

Respond rate to e-mailing

Participation in web-site activities

Tracking a viral campaign Quantitative - Reach - Number of links and posts - Number of comments - Quantity of UGC content - Number of SN sharings

Qualitative - Tone of comments (take all the comments,

divide them into 3 groups “positive”, “neutral”, “negative” and analyze)

- More complex semantic analysis can be performed

- OL reached - ATL media reached & on-line mass-media - UGC content quality

BRAND REPUTATION MANAGEMENT. MONITORING

Key steps to efficient reputation management in digital Analyze key risks (overall, seasonal, initiative-based, connected to current campaign etc.)

Create a risk management plan to follow

Constant monitoring to track when action is needed

Risk management essentials • Create and nurture user bases in SM

- blogs, targeted SN groups, forums

• Risk management strategies:

- Open polemic

- Hidden polemic

- ‘Circuit noise’

- Trolling

• Build relationship with bloggers and digitally active OL

BRAND REPUTATION MANAGEMENT. MONITORING

Monitoring • Don’t fall into monitoring

services

- They don’t work properly and cost lots of money

• Put needed search query (in RSS format) in Google, Twitter, Yandex into any RSS reader and track it

- NetNewsWire, FeedDemon etc.

EXAMPLES OF RUSSIAN CASES

Camel Access Competition of Camel. The main prize - a trip to Argentina.

EXAMPLES OF RUSSIAN CASES

Dunhill Modern Classic Auction with elite lots from Dunhill VIP-Series.

EXAMPLES OF RUSSIAN CASES

Davidoff Davidoff Club loyalty. Large selection of luxury gifts (furs and jewelry).

EXAMPLES OF RUSSIAN CASES

Gauloises. Freedom Festival Amateur video clips contest on the theme "Freedom always". The main prize - a trip to Hungary on the music festival Sziget.

EXAMPLES OF RUSSIAN CASES

Pall Mall Imagine That Social networking for Pall Mall’s fans. Participate on online promotions and events.

THANK YOU!