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May 2008
agenda

        who am I?

     what is lateral?

   what have we done?

are you ready for web 2.0?

        questions
who am I?
what is lateral?
lateral is…
• a strategic and creative digital communications agency

• with a rounded view of communication

• and experience in both old and new (digital) media

• we understand brands & the business challenges facing
  them

• allowing us to deliver innovative & insightful yet effective
  & pragmatic marketing communications

• and we’ve won lots of awards
a history of digital innovation
   •1995:   One of the first major brand Web sites (Levi’s)

   •1996:   First shockwave game (Shrink-to-fit)

   •1997:   First interstitial ads (Levi’s)

   •1997:   First online multi-user Java game (Riveted)

   •2000:   Chat bots (Flat Eric)

   •2001:   Audio-mails (Bloomsbury/Harry Potter)

   •2003:   Online video re-mixer and messenger (Levi’s)

   •2004:   Mobile musical instrument & ringtone generator

   •2005:   Social media (“Antidote” youth engagement programme)

   •2006:   Instant publishing (“what did you do last night?”)

   •2007:   ‘Ringleader’ and ‘MVM’ mobile marketing platforms
what have we done?
Five newsletters




Prison break on MySpace
Are you ready for web 2.0?
What kind of brand are you?
Superconsumers                                 Consumer has power

                                                                                     Brand Control
     Brand positioning                                                               - Cynical and engaged consumer
                                                                                     - Issue based segmentation
                                   n
                                er
     in a consumer                                                                   - Cause marketing
                             od                                                      - Consumer agenda dialogue

                          t-m
     controlled         s                                            Brand ownership
                      Po                                             - Cynical consumer
                                                                     - Responsive segmentation
     world                                                           - Engagement advertising
                                                                     - Brand agenda dialogue

                                                      Brands icon
                                                      - Saturated markets
                                                      - Image based segmentation
                                                      - Symbolic advertising
                                                                                                    High differentiation
                                                      - Creative research

    Low differentiation                 Brand personality
                                        - Intense competition
                                        - Value based segmentation
                                        - Lifestyle advertising
                        l               - Affective research
                       a
                   sic
                s           Brands as reference
               a
            Cl              - Intense competition
                            - Targeting on demographics
                            - Rational advertising
                            - Cognitive research

           Generic
           - commodity selling
           - Suppliers have power
           - Volume & Price sales
           - Market data

                                                          Naive consumers
Supplier has power
Super consumers
                                                                            Brand control



Mapping your
brand position
                                                              Brand ownership



a quick look at tweens
                                                Brand icons



                                                                                            High differentiation
 Low differentiation
                                   Personality Brands



                     Brands as reference




           Generic




                                            Price consumers
Your Marketing Calendar
• Do you currently have a fixed marcoms calendar?
  • i.e. two major pushes a year / Christmas / holiday bias with
    a long fallow etc.

• The old web may have been visible 24/7/365 but if you add
  dialogue into the mix then you have to be able both listen,
  respond and participate.

• Therefore the first sanity check is evaluate the flow from
  sporadic to continuous marketing programmes.
Manpower versus ambition
• Do you have the resources to manage such a potentially time
  consuming activity?
  • Obviously that’s where your various agencies come in. Most
    brands will have a Digital Marketing Manager (or
    equivalent)
• Often we find upper management believes that this one poor
  overworked individual who has to handle campaigns / sites /
  search / mobile / etc can handle a major social media incursion
  without a little bit of help.
  • If you are in it for the long haul you should seriously
    consider having a community manager who can potentially
    be cross discipline with the research group
• it can become a pretty expensive hobby having somebody at an
  agency @ £800 a day to hanging out in facebook or on the
  blogs on your behalf!
Guardianship vs Openness
• Do you have a traditional ‘protective & precious’ marketing
  model?

 • Depending on your sector this may / should limit your
   options on which kinds of next-gen activities you can
   explore.

• It can also make it tougher to sell-in those on high who ‘don’t
  get it’ even if you do.

 • What tends to happen in these situations is you end up in a
   perpetual cycle of ‘testing’ or ‘research’ without the
   corporate clout (read cash) to achieve anything significant
   enough to justify further expense.
Lexus: The Hybrid Debate
• Brief and objectives
 • Lexus approached a number of agencies with a brief to raise awareness of
   Lexus and hybrid technology online, potentially using a viral mechanism.
   We proposed a broader online strategy aimed at generating intelligent
   debate and online buzz amongst an audience they felt more appropriate
   for the brand.
 • The result was The Hybrid Debate, a website and blog where the
   wider issues surrounding hybrid technology and the implications of its
   mainstream acceptance could be discussed and debated.
• The specific areas proposed for discussion were:
       •   The environment
       •   Urban planning,
       •   Families and lifestyle,
       •   Politics and energy,
       •   Business and the economy
• Writers were asked to imagine a hybrid future and its implications in
  their specialist area. The team included Chris Vernon, European Editor
  of The Oil Drum, sustainable living expert Joanna Yarrow, visionary
  architect Neil Spiller and Sir Bob Geldof.
•
Lexus: Approach
• Launch
     The Hybrid Debate soft launched in Autumn 2007 with postings from initial contributors
 •
     and further content, including the Geldof articles, added for the official launch in December.

• Community
 • To generate awareness of the project and drive traffic to the site, We researched and
   targeted bloggers active in the five key areas under discussion as well as those with
   an interest in the automotive sector. We also worked with Lexus on a PR strategy
   designed to maximise on the comments of the key writers, particularly Bob Geldof
   whose participation boosted mainstream media interest in the project.

• Press
 • PR campaign generated articles - and references to the site URL - in The London
   Evening Standard, Metro and Media Guardian. Over 20 articles were written on and
   offline with the story picked up around the world in publications as far afield as the
   Adelaide Advertiser.

• Partners
 • More significantly, the online coverage lead to debate on the sites of publications like
   Autocar, achieving one of the objectives of generating online buzz around Lexus and
   hybrid technology. Republishing of articles on other sites also generated further
   debate. Hybrid Debate contributor Chris Vernon reposted his articles on the Oil Drum
   with each one leading to over 120 comments in response.
Lexus: Results
• Facts and figures
  • Over 6000 words media coverage (print and online publications)
    generated via the PR campaign including articles in the Metro, Evening
    Standard and Media Guardian (online edition).
  • Over 3,000 unique visitors spending an average of 4.10 minutes at
    www.thehybriddebate.com
  • Over 12,000 page views
  • Peak visitors on one day = 434
  • Over 12,000 words of user comment on The Hybrid Debate website so far
  • Over 4000 words of user comment generated on Autocar in response to
    an article about The Hybrid Debate
  • Over 300 comments posted on the Oil Drum website in response to
    articles republished from The Hybrid Debate
  • The Hybrid Debate has been picked up in over 600 blogs so far and a 25%
    uplift in blog buzz has been noticed (from .005% to .0075% - where the
    number equals the % of all blogs tracked
  • Nomintated for a webby
Internal Motivations
• Why are you doing it anyway?

• Was your boss sitting reading Marketing one day and decided it
  was about time you did a open a shop in second life.
• Did you sit in a brainstorm and decide it was time to make a
  facebook application since all your mates were on it?
• Did your PR folk finally wise up to the wonders of aggregation
  and decide now was the time for brandXNews24? etc etc?

• The magpie complex is one of the most common features of
  modern marketing.

• If you are asking ‘Why’ and the only answer is ‘because’ then
  you probably shouldn’t bother.
ROI – Models & Expectations
• How do you currently measure ROI against other media?

• Do you have a culture of qualitative and quantitative kpi’s
  to give that holistic view of what’s going on?

 • Many of the activities you can engage with these days can
   be di cult to track in absolute terms with old media and
   hence the ‘softer’ brand impact metrics might be over
   looked in favour of the ‘harder’ (and usually less
   impressive) direct conversion numbers.


• If your organisation is fixated on short term wins and hence
  measures activities thus then perhaps this ain’t for you!
Commitment & Longevity
• Who is going to be there in the next six / twelve months.
  • You may have developed the best long term engagement
    programme in the universe but it doesn’t help if the
    power’s that are become the power’s that were and you
    have to start again.

• The key to this is strategic phasing. Plan in six month
  increments and insure you’ve got a tight exit strategy
  should budgets be killed / priorities changed / the next
  sparkly thing comes along.

• Ensure you understand the social contract you are making
  with you consumer.
  • Much of the 2.0 world is one of service – I feed you / you
    talk to me / we are happy together.
  • If you over commit early on and don’t manage consumer
    expectations they will revolt further down the line.
Antidote:
• Objectives
  – Bring the brand closer to its target audience and
    create collective experiences to develop and
    sustain Consumer Intimacy.
  – Be culturally relevant to consumers across
    Europe.
  – Encourage direct participation with the brand
    through Facilitation and Application.
  – Demonstrate innovation and foresight across
    channels.
  – Leverage existing relevant local consumer
    passion activity.
  – Tie in with the Levi’s® Stores.
  – Be sustainable as a long-term proposition, min 2
    years.
The deal in brief
• The purpose of the first phase was to recruit a network of communities and to
  establish credibility on the street
• In order for this to happen and really what is at the core of Antidote is a social
  contract with youth.
• It is critical that all parties feel that they are getting a fair deal and not yet
  another brand trying to exploit.

• The deal is simple:
  • The Content Partners will support Levi’s® via
    •   access to content & community
    •   documentation of activities
    •   promotion of the program where applicable
    •   allowing association with Levi’s® in press


 • Levi’s® will support CP via:
    • antidote content area on eu.levi.com
    • aggregation of content in Levi’s® print zine
    • facilitation of relevant events


• In this way it’s fully reciprocal relationship
Slide of cp’s




                www.lateral.net
Antidote TV




              www.lateral.net
Online & Print
                                    •   Print
• Online:
                                         – to add additional engagement collateral
  • Designed to be a ‘pile of
                                             to Levi’s® controlled retail
    stu ’ to give a taste of
                                         – to promote the overall program
    what’s out where and to
                                         – to deliver on our promise to the CP’s
    enable recruitment of new
    partners
                                    •   Distribution
  • Launched Summer 2005                 – Distributed using the existing Levi’s
                                             network
  • Approximately 150 pieces
                                         – Translated into 5 languages
    of content available on site
                                         – Published quarterly
  • Monthly Updates
                                         – 1.5M copies across 19 Countries
  • In terms of results, Antidote        – 1.2M Distributed in 233 Levi’s® Stores
    accounted for                        – Language Split
    approximately 8% of all                   • 35% English, 25% French, 5% German,
                                                10% Italian, 25% Spanish
    tra c to eu.levi.com which
                                         – 300K copies distributed through non-
    is signficant given it was
                                           Levi’s® distribution
    only promoted through
                                         – Cost to date £~60k per issue (.5m)
    events and the print zine.
Events
                                   •   Frequency
• The first season of events was
  from October-Dec 2005                 – 17 cities in 7 Countries
                                        – 30 Events in 3 Months
• The purpose of funding events
  is to
                                   •   Reach
  • Demonstrate Levi’s® ability
                                        – 259 000 Branded Flyers
     to facilitate youth
                                        – ~22 000 Total Venue Capacity
     communities
  • Generate word of mouth         •   Production Costs
     interest in the brand              – £30,820 Funding
  • Generate content                    – £34,450 Documentary
                                        – £17,000 Promotional
  • Give opportunities for
     depth research
                                   •   In addition we generated over 40
  • Recruit new partners               hours of broadcast quality
                                       interviews and documentation
• Key point to remember about      •   Average cost per event Approx £3k all in.
  the events is that the content       I.e. not very much
  partners, concieve, promote
  and execute them and hence
  us.
Questions?


    Contact:
 jon@lateral.net

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Jon Bains - The People vs. The Brand

  • 2. agenda who am I? what is lateral? what have we done? are you ready for web 2.0? questions
  • 5. lateral is… • a strategic and creative digital communications agency • with a rounded view of communication • and experience in both old and new (digital) media • we understand brands & the business challenges facing them • allowing us to deliver innovative & insightful yet effective & pragmatic marketing communications • and we’ve won lots of awards
  • 6. a history of digital innovation •1995: One of the first major brand Web sites (Levi’s) •1996: First shockwave game (Shrink-to-fit) •1997: First interstitial ads (Levi’s) •1997: First online multi-user Java game (Riveted) •2000: Chat bots (Flat Eric) •2001: Audio-mails (Bloomsbury/Harry Potter) •2003: Online video re-mixer and messenger (Levi’s) •2004: Mobile musical instrument & ringtone generator •2005: Social media (“Antidote” youth engagement programme) •2006: Instant publishing (“what did you do last night?”) •2007: ‘Ringleader’ and ‘MVM’ mobile marketing platforms
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  • 33. Are you ready for web 2.0?
  • 34. What kind of brand are you?
  • 35. Superconsumers Consumer has power Brand Control Brand positioning - Cynical and engaged consumer - Issue based segmentation n er in a consumer - Cause marketing od - Consumer agenda dialogue t-m controlled s Brand ownership Po - Cynical consumer - Responsive segmentation world - Engagement advertising - Brand agenda dialogue Brands icon - Saturated markets - Image based segmentation - Symbolic advertising High differentiation - Creative research Low differentiation Brand personality - Intense competition - Value based segmentation - Lifestyle advertising l - Affective research a sic s Brands as reference a Cl - Intense competition - Targeting on demographics - Rational advertising - Cognitive research Generic - commodity selling - Suppliers have power - Volume & Price sales - Market data Naive consumers Supplier has power
  • 36. Super consumers Brand control Mapping your brand position Brand ownership a quick look at tweens Brand icons High differentiation Low differentiation Personality Brands Brands as reference Generic Price consumers
  • 37. Your Marketing Calendar • Do you currently have a fixed marcoms calendar? • i.e. two major pushes a year / Christmas / holiday bias with a long fallow etc. • The old web may have been visible 24/7/365 but if you add dialogue into the mix then you have to be able both listen, respond and participate. • Therefore the first sanity check is evaluate the flow from sporadic to continuous marketing programmes.
  • 38. Manpower versus ambition • Do you have the resources to manage such a potentially time consuming activity? • Obviously that’s where your various agencies come in. Most brands will have a Digital Marketing Manager (or equivalent) • Often we find upper management believes that this one poor overworked individual who has to handle campaigns / sites / search / mobile / etc can handle a major social media incursion without a little bit of help. • If you are in it for the long haul you should seriously consider having a community manager who can potentially be cross discipline with the research group • it can become a pretty expensive hobby having somebody at an agency @ £800 a day to hanging out in facebook or on the blogs on your behalf!
  • 39. Guardianship vs Openness • Do you have a traditional ‘protective & precious’ marketing model? • Depending on your sector this may / should limit your options on which kinds of next-gen activities you can explore. • It can also make it tougher to sell-in those on high who ‘don’t get it’ even if you do. • What tends to happen in these situations is you end up in a perpetual cycle of ‘testing’ or ‘research’ without the corporate clout (read cash) to achieve anything significant enough to justify further expense.
  • 40. Lexus: The Hybrid Debate • Brief and objectives • Lexus approached a number of agencies with a brief to raise awareness of Lexus and hybrid technology online, potentially using a viral mechanism. We proposed a broader online strategy aimed at generating intelligent debate and online buzz amongst an audience they felt more appropriate for the brand. • The result was The Hybrid Debate, a website and blog where the wider issues surrounding hybrid technology and the implications of its mainstream acceptance could be discussed and debated. • The specific areas proposed for discussion were: • The environment • Urban planning, • Families and lifestyle, • Politics and energy, • Business and the economy • Writers were asked to imagine a hybrid future and its implications in their specialist area. The team included Chris Vernon, European Editor of The Oil Drum, sustainable living expert Joanna Yarrow, visionary architect Neil Spiller and Sir Bob Geldof. •
  • 41.
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  • 43. Lexus: Approach • Launch The Hybrid Debate soft launched in Autumn 2007 with postings from initial contributors • and further content, including the Geldof articles, added for the official launch in December. • Community • To generate awareness of the project and drive traffic to the site, We researched and targeted bloggers active in the five key areas under discussion as well as those with an interest in the automotive sector. We also worked with Lexus on a PR strategy designed to maximise on the comments of the key writers, particularly Bob Geldof whose participation boosted mainstream media interest in the project. • Press • PR campaign generated articles - and references to the site URL - in The London Evening Standard, Metro and Media Guardian. Over 20 articles were written on and offline with the story picked up around the world in publications as far afield as the Adelaide Advertiser. • Partners • More significantly, the online coverage lead to debate on the sites of publications like Autocar, achieving one of the objectives of generating online buzz around Lexus and hybrid technology. Republishing of articles on other sites also generated further debate. Hybrid Debate contributor Chris Vernon reposted his articles on the Oil Drum with each one leading to over 120 comments in response.
  • 44. Lexus: Results • Facts and figures • Over 6000 words media coverage (print and online publications) generated via the PR campaign including articles in the Metro, Evening Standard and Media Guardian (online edition). • Over 3,000 unique visitors spending an average of 4.10 minutes at www.thehybriddebate.com • Over 12,000 page views • Peak visitors on one day = 434 • Over 12,000 words of user comment on The Hybrid Debate website so far • Over 4000 words of user comment generated on Autocar in response to an article about The Hybrid Debate • Over 300 comments posted on the Oil Drum website in response to articles republished from The Hybrid Debate • The Hybrid Debate has been picked up in over 600 blogs so far and a 25% uplift in blog buzz has been noticed (from .005% to .0075% - where the number equals the % of all blogs tracked • Nomintated for a webby
  • 45. Internal Motivations • Why are you doing it anyway? • Was your boss sitting reading Marketing one day and decided it was about time you did a open a shop in second life. • Did you sit in a brainstorm and decide it was time to make a facebook application since all your mates were on it? • Did your PR folk finally wise up to the wonders of aggregation and decide now was the time for brandXNews24? etc etc? • The magpie complex is one of the most common features of modern marketing. • If you are asking ‘Why’ and the only answer is ‘because’ then you probably shouldn’t bother.
  • 46. ROI – Models & Expectations • How do you currently measure ROI against other media? • Do you have a culture of qualitative and quantitative kpi’s to give that holistic view of what’s going on? • Many of the activities you can engage with these days can be di cult to track in absolute terms with old media and hence the ‘softer’ brand impact metrics might be over looked in favour of the ‘harder’ (and usually less impressive) direct conversion numbers. • If your organisation is fixated on short term wins and hence measures activities thus then perhaps this ain’t for you!
  • 47. Commitment & Longevity • Who is going to be there in the next six / twelve months. • You may have developed the best long term engagement programme in the universe but it doesn’t help if the power’s that are become the power’s that were and you have to start again. • The key to this is strategic phasing. Plan in six month increments and insure you’ve got a tight exit strategy should budgets be killed / priorities changed / the next sparkly thing comes along. • Ensure you understand the social contract you are making with you consumer. • Much of the 2.0 world is one of service – I feed you / you talk to me / we are happy together. • If you over commit early on and don’t manage consumer expectations they will revolt further down the line.
  • 48. Antidote: • Objectives – Bring the brand closer to its target audience and create collective experiences to develop and sustain Consumer Intimacy. – Be culturally relevant to consumers across Europe. – Encourage direct participation with the brand through Facilitation and Application. – Demonstrate innovation and foresight across channels. – Leverage existing relevant local consumer passion activity. – Tie in with the Levi’s® Stores. – Be sustainable as a long-term proposition, min 2 years.
  • 49. The deal in brief • The purpose of the first phase was to recruit a network of communities and to establish credibility on the street • In order for this to happen and really what is at the core of Antidote is a social contract with youth. • It is critical that all parties feel that they are getting a fair deal and not yet another brand trying to exploit. • The deal is simple: • The Content Partners will support Levi’s® via • access to content & community • documentation of activities • promotion of the program where applicable • allowing association with Levi’s® in press • Levi’s® will support CP via: • antidote content area on eu.levi.com • aggregation of content in Levi’s® print zine • facilitation of relevant events • In this way it’s fully reciprocal relationship
  • 50. Slide of cp’s www.lateral.net
  • 51. Antidote TV www.lateral.net
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  • 53. Online & Print • Print • Online: – to add additional engagement collateral • Designed to be a ‘pile of to Levi’s® controlled retail stu ’ to give a taste of – to promote the overall program what’s out where and to – to deliver on our promise to the CP’s enable recruitment of new partners • Distribution • Launched Summer 2005 – Distributed using the existing Levi’s network • Approximately 150 pieces – Translated into 5 languages of content available on site – Published quarterly • Monthly Updates – 1.5M copies across 19 Countries • In terms of results, Antidote – 1.2M Distributed in 233 Levi’s® Stores accounted for – Language Split approximately 8% of all • 35% English, 25% French, 5% German, 10% Italian, 25% Spanish tra c to eu.levi.com which – 300K copies distributed through non- is signficant given it was Levi’s® distribution only promoted through – Cost to date £~60k per issue (.5m) events and the print zine.
  • 54. Events • Frequency • The first season of events was from October-Dec 2005 – 17 cities in 7 Countries – 30 Events in 3 Months • The purpose of funding events is to • Reach • Demonstrate Levi’s® ability – 259 000 Branded Flyers to facilitate youth – ~22 000 Total Venue Capacity communities • Generate word of mouth • Production Costs interest in the brand – £30,820 Funding • Generate content – £34,450 Documentary – £17,000 Promotional • Give opportunities for depth research • In addition we generated over 40 • Recruit new partners hours of broadcast quality interviews and documentation • Key point to remember about • Average cost per event Approx £3k all in. the events is that the content I.e. not very much partners, concieve, promote and execute them and hence us.
  • 55. Questions? Contact: jon@lateral.net