5 Trends from CES 2015 and how they will impact marketing in the next year from Performics.

1. CES 2015: 5 Future Implications for Marketers

2. • The Internet of Every “Thing”
• Evolution of Wearables
• Semi-Unbundled TV
• Auto Tech Innovation: Safety
• Practical Uses of Virtual Reality
CES: 5 Trends & Implications for Marketers

3. • At CES, the Internet continued
to extend to just about every
“thing” imaginable, including
things outside the household:
– Samsung SmartThings enable
users to easily build smart,
connected homes
– Parrot Pot & H2O connected
plant pots
– Intel SteadyServe iKeg
– Intel Internet-connected coffee
machines
Trend: The Internet of Every “Thing”

4. • Connectivity creates a world where personal
data is generated at every point of product
interaction
• Data optimizes the product experience
– e.g. a better cup of coffee or beer
– e.g. insurance premiums may change as product usage
data is gathered for home devices
• Data powers advertising
– e.g. connected washing machine data could help a
detergent brand:
• Know when most people do laundry, helping
media flighting
• Know who does laundry more, informing targeting
– Ad campaigns & content can run on the mobile
application for controlling the connected thing
(e.g. reminder to buy more detergent)
The Internet of Every “Thing”: Implications for Brands

5. • 33% of fitness bands are discarded after 6 months (CNET)
• Very crowded space
– Wearables with heart rate monitoring, GPS, calorie counts, mileage counts &
activity tracking are just table stakes
• Design influence is becoming more relevant (Apple)
• Comfort is key
– Jabra & Sony headphones wirelessly monitor
heart rate & play music based on heart rate
– Sony SmartBand Talk light & streamlined v.
Microsoft Band
– Glasses still bulky & distracting
• Integration w/ equipment is promising
Trend: The Evolution of Wearables

6. • The quantified self creates a plethora of new data
points (e.g. health, location)
• Wearables data may soon become accessible for
advertising & content distribution
– e.g. health insurer targets people on activity level
– e.g. apparel (shoes, outdoor) targets active people
– e.g. food brand targets people interested in health
• Insurance premiums may change as data (heart
rate, calories burned, steps) is gathered for people
– Oscar band (rewards)
• Brands will need to establish rigorous guidelines
for use of personal data
• Apple Watch will change everything
Wearables: Implications for Brands

7. • Intro of Dish’s new Sling TV offering:
– Curated # of content providers (including ESPN) over
users’ Internet connections for $20/month, without a
contract
– First time that ESPN has unbundled, sending a signal
to the industry that cord cutting is a marketplace
opportunity
– The user experience is designed to feel like TV, easing
the consumer transition from cable to online
• HBO & CBS have also announced stand-
alone online streaming services
• Extension of the quantity & quality of TV
that people can view w/out a pay-TV
subscription
Trend: Semi-Unbundled TV

8. • Sling TV will plant the seed for further unbundling
activity in the marketplace
– It’s what consumers (especially young ones) want
• New unbundled services will increase the available
supply of quality ad inventory
– This has been a key issue throughout 2014 as
audiences have migrated to ad-free subscription
services like Netflix or UGC platforms like YouTube
• Think about online video advertising opportunities
Semi-Unbundled TV: Implications for Brands

9. • Evolution from previous years:
– Super-connected cars
– Self-driving cars (controlled by smart watches)
– Electric vehicles (even a BMW that charges by parking in an inductive space)
Trend: Innovation in Auto Tech: Safety
• But what stood out as brand new? A
few new prototypes centered on safety:
– Smart Headlights
• BMW’s M4 Concept Iconic Headlights
– Eye Tracking
– Button-less Cars

10. • These innovations may soon
impact
– Street signs
– Road infrastructure
– On-road mobile
communications
– Insurance rates
Auto Tech Safety: Implications for Brands

11. • Oculus generated a huge buzz with its Oculus Rift
Crescent Bay demo
– This placed users in a series of virtual environments
• But the practical potential for using VR in brand
communications was highlighted for the first time:
– Lowe’s HoloRoom enabled consumers to experience
their yet unbuilt kitchen or bathroom
• Consumers design their new room using Lowe’s 3D model
• Then they use Occulus Rift glasses to see the room in a life-
like way
Trend: Practical Use of Virtual Reality

12. • Immersion: create a compelling brand experience by immersing consumers
in a whole new world
Practical VR: Implications for Brands