By Kestrel Lee
,How digital advertising fits in with omni-channel shopper marketing
,What We Do ,Integrated Digital ,Auto shows Multimedia Interactive ,VIP Hospitality ,Social Media Marketing Sports Activation
Press Launches ,Campaign Strategy and Planning Store Openings & Test Drives
,Product Launches
,Golf Hospitality
,Retail Shopper Marketing ,Below-the-line Marketing
Packaging Design ,Tournament Management ,Conferences
,Retail Roadshows ,Our People ,300 ,Across ,5 ,Markets in the Greater China Region ,Beijing ,Guangzhou ,Shanghai ,Taiwan ,Hong Kong ,Our Point of View
,What and why Omni-channel retail marketing is the answer to China’s ecommerce challenge
,Omni-channel or Online to offline consumer marketing? ,- In China O2O has increasingly been viewed as a way to drive brand activation from online to offline channels for lead generation & conversions. - For example: Starbucks: https://www.youtube.com/watch?v=p48ZkNKzD64 ,- For example: Nippon Paint: http://v.youku.com/v_show/id_XNTg4NDU0MTAw.html ,- For example: British Airways: http://mumbrella.asia/2014/01/british-airways-takes-wechat-chinese-new-year-promotion/ ,Omni-‐channel
marke.ng
approach
to
user-‐centric
shopping
behavior
,SPARK
,SEEK
,SAMPLE
,SHOP
,SHOWROOMING
,Create
memorable
social
campaigns
around
brand
values
to
create
buzz,
raise
product
awareness
and
drive
lead
genera.on
,Provide
product
content
to
emphasize
the
lifestyle,
consumer
and
strategic
benefits
of
using
our
client’s
brands.
,Sampling
at
stores
and
road
shows
for
drive
to
trial
programs
,Use
social
media
to
drive
TA
aFer
engaging
with
the
brand
online,
to
buy
from
ecommerce
shops
or
actual
stores.
,Tracking
Internet
Word-‐of
Mouth
(IWOM)
and
organic
search
traffic
for
brand/
product
queries
or
ecommerce
transac.ons.
,BLUE
=
ATL
SOCIAL
PROGRAM
,GREEN
=
POS/SOCIAL/Drive
to
Trial
PROGRAM
,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,6 ,Omni-‐channel
marke.ng
approach
to
user-‐centric
shopping
behavior
,SPARK
,SEEK
,SAMPLE
,SHOP
,SHOWROOMING
,Bought
Media
(Display,
Facebook
Ads)
Created
Media
(Facebook
updates).
,Bought
media
(Search).
,Earned
media
(PR/Blogger
Outreach).
,Created
Media
(Digital
screens)
Owned
Media
(Mobile)
,Earned
Media
,BLUE
=
ATL
SOCIAL
PROGRAM
,GREEN
=
SHOPPER
&
DRIVE
TO
TRIAL
PROGRAM
,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,7 ,China’s domestic shopping behavior is now driving its growth of its economy and its brands ,Nearly a quarter of Chinese shop on the toilet, and over half admit to shopping while at work. Highly contagious, online shopping is hitting epidemic levels, with over half missing sleep to shop late, and more than one in five saying their shopping addiction is negatively affecting “family harmony”. ,“Although some of our survey questions were tongue-in-cheek, we cannot overemphasize the importance of online shopping for brands in China,” said Tony Chen, Chief Digital Officer GroupM China. “The top e-commerce sites are no longer mere sales channels, but media in their own right, with hundreds of millions of visitors ripe for brand communication.” - Group M ,http://www.wpp.com/wpp/press/2014/jun/20/groupm-charts-china-e-commerce-frenzy/ http://v.youku.com/v_show/id_XNzI4NjkwODU2.html ,Brand casualties are starting to appear even in growth areas ,As the world’s second largest cosmetics market, China market has reached 200 billion Yuan in 2011. Besides, it is also one of the fastest developing markets with a 15% annual growth. National Bureau of Statistics of China also shows that the revenue of above-norm cosmetics enterprises has also reflected the trend. Over 80% of China ,cosmetics market is dominated by foreign brands. And yet Garnier and Revlon had to leave the market?
,Brand casualties are starting to appear even in growth areas ,Our Point of View
,Why omni channel marketing is necesary
,1. E-Commerce and Brand Building Are Colliding in China ,Essentially, China’s large and growing middle-class have become accustomed to making frequent e-commerce purchases. Furthermore, as in many longer-standing e-commerce markets, they are also developing brand awareness, an increasing proclivity to purchase high quality and/or individually satisfying products, and showing a commitment to brand loyalty and repeat business: The future development of China’s e-commerce channel is closely linked to technology developments and also the behaviors of Chinese consumers, including the way they research and order products online, and their preference for speed and convenience. - KPMG’s China 360 report: E-commerce in China: Driving a new consumer culture, 14 Jan 2014. ,2. E-Commerce growth is offset by economic weakness in traditional Chinese economic drivers ,China’s growth in terms on online retail sales grew from 4.3% in 2012 to 6.3% by August 2013. ,3. B2C ecommerce has yet to prove itself against B2B ecommerce and C2C ecommerce ,4. Increasing consumption demand driving desire for ,more customer touch-points ,l Government policy to encourage public consumption l Higher government spending on health care and pensions encourage households to save less and China has little debt. l Rising wages and an ageing population will also shift the balance towards consumption rather than saving. “A massive push to urbanise is also under way, which should produce tens of millions of richer citizens seeking retail therapy. McKinsey, a consultancy, forecasts that consumption by urban Chinese households will increase from 10 trillion yuan in 2012 to nearly 27 trillion yuan in 2022 (see chart 1).” ,l ,http://www.economist.com/news/briefing/21595019-market-growing-furiously-getting-tougher-foreign-firms-doing-it-their-way ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,5. New consumer media habits in mobile, digital, social media are on the rise ,6. Media fragmentation is on the rise ,TRADITIONAL ,HYBRID ,OWNED ,SOCIAL ,Attention span has split. People needed to hear something multiple times from different media sources – to believe anything these days. Most of the time they are getting their news from social media on the brands and products they care about. ,7. Social media marketing is on the wane due to censorship, ,over-advertising etc ,8. Your millennial strategy is also your social and retail strategy
,Our Point of View
,The Consumer Segment targeted by Onmi-channel marketing
,2 Similar Brands in China = 2 Very Different Market Results ,l Adidas gained 11% of the sportswear market compared to Nike’s 12.1% l 12% rise in fourth-quarter China sales for a 15% climb during the full year l Nike is setting up more discount stores to get rid of its inventory which started stockpiling after Beijing Olympics ,l Nike + did not take off in China ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Adidas Adapted to an Increasingly Sedentary Consumer Segment ,Retail store counters report that they see more women walking into shop. Anecdotally, tracking of online buzz show "fairly positive" comments written about the campaign, like "This is exactly how I feel", "This encourages me to do sport", "Sports doesn't have to be hard", "This isn't like the brand that I had in mind before" ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,McKinsey: China’s Emerging Millennial Consumer Class Are More Emotional Than Past Generation of Consumers ,McKinsey reports that China's emerging consumer class is more emotional than previous generations of shoppers and firms must shift their marketing strategies to keep pace with them i.e. 51 per cent of city-dwellers by 2020, up from 6 per cent in 2010
,http://in.reuters.com/article/2012/09/25/china-economy-consumers-survey-idINL5E8KP0OQ20120925
,Group M China’s Dec 2013 Study also stressed the importance of building emotional connections with their consumers. Emotions impact consumers differently with market maturity. Respondents aged 15 to 64 in Tier four cities are the most bonded with brands, citing feel good factors such as 'make me feel more confident and attractive'.",GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese millennials will form the largest consumer base
in China in 2020 i.e. the size of USA’s population
,Pollution, food safety and climate change stand out as major concerns for China’s millennial generation. While China is raising its profile on the world stage, the study notes 88% of Chinese millennials believe their country can effect change in the world, “they care more about improving the world than other generations’. ,http://www.jwtintelligence.com/trendletters2/#axzz2fowQpbh4 ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese Millennials Love Brand Experiences That Are ,Inline with Their Self Expression ,China takes 1st place for going online for self-expression and transaction. Australia takes 22nd place for self expression. Mindshare Digital Normal Index 2013. ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,The Edelman 203 “BRANDSHARE” also shows that the Chinese expects the same from brands i.e. to express their brand heritage beliefs, product development / making approach, product performance, allowing them to co-create with their favorite brands while providing product inputs. ,Chinese Millennials Favor and Take Action for Brands ,With Experiences Different from Their Parents ,An exclusive look into the China millennial behavior from Edelman's global 8095 millennial study done in 2010 and updated in 2012: http://www.edelman.com/insights/intellectual-property/8095-exchange/ ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese Millennial Trust Friends and Search, ,Not Brands ,An exclusive look into the China millennial behavior from Edelman's global 8095 millennial study done in 2010 and updated in 2012: http://www.edelman.com/insights/intellectual-property/8095-exchange/ ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese Millennial Are Strong Brand Influencers ,On Friends, Families and Even Elders and Superiors ,An exclusive look into the China millennial behavior from Edelman's global 8095 millennial study done in 2010 and updated in 2012: http://www.edelman.com/insights/intellectual-property/8095-exchange/ ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese Millennial See Their Online Selves As Their Real Selves ,“In my real life, I exist as a ‘virtual me.’ I go to work. I try to live up to the expectations and pressures from parents, my coworkers and society. Then, I go home. I open my computer, I put on some music and I start to dance. That’s the real me.” // REBECCA XIA ,[Without the Internet] I would lose the passion to see the world outside of my parent’s eyes.” // “LIZ,” 22 ,I would rather be a common person in daily life, but I have to be uncommon online. It’s my own choice. // “CHENG E.T” ,VIRTUAL ME // REAL ME ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Chinese Millennial Are Apt to Take Actions on ,Brands Offline Based on What They Read Online ,An exclusive look into the China millennial behavior from Edelman's global 8095 millennial study done in 2010 and updated in 2012: http://www.edelman.com/insights/intellectual-property/8095-exchange/ ,Chinese millennials are open to co-creation and giving product feedback on the brands they like ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Attract Millennial Shoppers to Increase Your Social Commerce Efforts ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Source: Tong Ji university ,Millennial Social & Spending Habits Driving Social e-Commerce ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Source: Tong Ji university ,Social Content Drives Brand Preference And Buying Decisions for Chinese Millennials ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Source: Tong Ji university ,Millennial Social & Spending Habits Driving Social e-Commerce ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Source: Tong Ji university ,Our Point of View
,The Consumer Space targeted by Onmi-channel marketing
,Our Point of View
,Big Data on Designing beyond The Big Idea, Brand Experiences
,Integrating retail spaces with millennial consumer behavior is key ,Starbucks success has inspired many businesses to copy its third space strategy. The next move is the Fourth space strategy. Creating cultural movements for Starbucks fans and customers by integrating social, in-store, technological and ,mobile experiences ,IKEA: Third Space for families ,Nursing area for games, store sleepovers, café rest stop ,Starbucks’ 4th space strategy: Drive brand preference via GLOCAL initiatives between Starbuck’s in-store and local culture experiences ,Starbucks' new Fuzhou store has a Chinese chess (weiqi) theme with pictures of the nearby Fushan mountains built into the store murals. Channeling the ambiance of a thousand-year-old Song Dynasty garden, Starbucks did not ignore Fuzhou's pervasive cultural norms by embracing Fuzhou's historic ambiance and classical Chinese architectural themes. ,Starbucks’ 4th space strategy: Integrate social and mobile experiences into the in-store experience to drive traffic and social engagement ,- ,The best global digital practices is not to treat social and mobile as standalone channels to a brand’s experience but to integrate them. ,- Mobile, social and in-store experiences overlap at Starbucks, especially since 50% of Weibo users access WIFI at Starbucks’ stores via their smart phones. Conversion opportunities arise from campaign with an integrated customer journey from store to online and mobile ,How Online-to-Offline is working out for luxury brands ,How Online-to-Offline is working out for F&B brands ,THAT’S NOT ALL. OMNI CHANNEL MARKETING IS RESHAPING RETAIL MARKETING VIA BIG DATA. ,MULTI-CHANNEL MARKETING ONLY WORKS WHEN ALL CUSTOMER DATA IS COLLECTED TO A SINGLE INTERFACE FOR ANAYSIS, REPORT AND TRACKING. IN THIS WAY, YOUR CUSTOMER DATA HAS BECAME BIGGER, INSTEAD OF BEING SEGMENTED TO DIFFERENT SILOES. ,OMNI CHANNEL MARKETING IS RESHAPING RETAIL MARKETING VIA BIG DATA ,From 2013 onwards, Gucci has decided to not open too many new shops in China in new cities, but to renovate and expend the existing ones, to raise customer service standards, creating VIP events, and creating new promotions. So how is it going to do that? ,Reference:https://www.youtube.com/watch?v=3Vg5idj_590 ,BIG DATA RESHAPING RETAIL MARKETING ,1. BIG DATA ALLOWS US TO CONNECT AT SCALE ,STARBUCKS REFERENCE: https://www.youtube.com/watch?v=MSLCCsncJEU ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,BIG DATA RESHAPING RETAIL MARKETING ,BIG DATA ALLOWS US TO CHANGE PUBLIC PERCEPTIONS ,RICE CODE REFERENCE: http://v.youku.com/v_show/id_XNzQwMTIxNTA4.html ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,BIG DATA RESHAPING RETAIL MARKETING ,BIG DATA ALLOWS US TO CONTROL THE NEWS ,RICE CODE REFERENCE: http://v.youku.com/v_show/id_XNzQwMTIxNTA4.html ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Adidas wants to own those stories. It wants to ensure that its brand is front and centre of its audience’s minds as and when the action unfolds in Brazil and it wants to be central to the successes of its athletes, as it was when Andy Murray ended that long, long wait for a British Wimbledon champion. ‘Newsjacking’ other people’s news isn’t enough. ,Our Point of View
,Omni-channel marketing are best driven by emotional impulses
,Creating Emotion-based Marketing in the age of digital ,Once a product is known for being reliable, functional and usable, what’s next? ,Need to create social/emotional relevance into such experiences to create brand advocates and drive word-of-mouth. ,What? ,How? ,Why? ,“People don’t buy what you do, they buy why you do it” ,Inspired
by
Simon
Sinek.
,http://www.ted.com/talks/simon_sinek_how_great_leaders_inspire_action.html ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,INTEGRATING PAID, OWNED & EARNED MEDIA
,Emotional stories ignite integrated communications programs by answering ‘why’ – why should people care (emotional trigger) and then why should people share (motivations). ,Crafting campaigns based upon an emotional insight gives us the best chance to scale via earned/traditional media – which is at the center of every great digital campaign (e.g. Sketches, World’s Greatest Job etc). ,DHL China created a retail experience using World Cup Fever ,http://v.youku.com/v_show/id_XNzQwMTIzNjQ0.html ,http://v.youku.com/v_show/id_XNzQwMTIzODE2.html ,Creating Emotion-based Marketing Through Social Purpose Branding ,1
Dove Art Project ,Mars / Dove Chocolates ,(China) ,2
,3-year itch campaign ,Continental Tires (China) ,3
,Spare Space, Spread Love ,Johnson & Johnson (China) ,Campaign introduction: http://v.youku.com/v_show/id_XMzM3NTM3MzAw.html ,GPJ Experience Marketing proprietary and strictly confidential. Copyright reserved 2014. ,Campaign introduction: http://v.youku.com/v_show/id_XNTY4MTMyMDA4.html ,Campaign introduction: http://www.damndigital.com/archives/74205 ,Please Consider this document proprietary and strictly Confidential. The Concepts, methodology and information produced by George P. Johnson (A Project: Worldwide Agency) and Contained in this document shall not be used or adapted in any form, either in part or as a whole without the written permission of George P. Johnson (A Project: Worldwide Agency). Copyright Reserved 2014. ,本文档所述信息须严格保密。文档中所述创意概念、方法、信息属于George P. Johnson (A Project: Worldwide Agency)拥有的知识产权。 未经George P. Johnson (A Project: Worldwide Agency)书面允许， 均不得以任何形式（无论局部或整体）使用。版权所有 2014年 ,Please contact us directly if you wish to learn more about GPJ and the Project Worldwide Group of Companies. Joe Wong, Business Director, Integrated Marketing Services (Greater China). E: joe.wong@gpj.com ,
