Millward Brown’s Global Media Practice: Bringing a New Dimension to Media Planning: Millward Brown’s Global Media Practice: Bringing a New Dimension to Media Planning Prepared for the Asia Pacific Media Forum, Bali, March 2005 Brian Jacobs, EVP, Millward Brown Group


AGENDA: AGENDA Why has Millward Brown become involved in media? Who are we? What have we been doing? And how does it fit with media research as we know it? How do we work?


Clients are becoming more concerned..: Clients are becoming more concerned.. 'We continue to nourish a media buying process that does not put the consumer first (or second, or even third).' Jim Stengel, Pandamp;G 'The days of spending hundreds of millions of dollars on TV advertising are over…We must have insight driven ideas that connect us to individual consumers at the right time, and in a place where [they are] receptive to our message.' Bill Lamar Jr, McDonalds '…a box defined by uniformity and predictability is no longer sustainable in a hyper-fragmenting world…if we continue to confine ourselves to those roles, that box is going to become a coffin… the headstone will read 'THEY DIDN'T TRY'…' Steve Heyer, former Coca-Cola President 'In 1965, 80% of adults in the US could be reached within three 60 second TV spots. In 2002, it required 117 prime time commercials to produce the same result.'


..and are looking to us amongst others for help: ..and are looking to us amongst others for help Media Agency Creative Agency Consumer NEUTRALITY No ‘vested interest’ INSIGHT Have the data and resource CONSUMER FOCUS Rather than channel or creatively led Consumer-centric communication planning in parallel with media centric measurement Client Millward Brown


Introducing Millward Brown’s Global Media Practice : Introducing Millward Brown’s Global Media Practice


Millward Brown's media expertise: Brian Jacobs: 35 years in ad and media agencies. MD of Carat International; EMEA Regional Director at Universal McCann etc Melissa Ross: ex KPMG Consulting, plus 3 years at Carat Insight Karen Paterson: 12 years at MB in UK, Asia, America Michelle de Montigny: ex CEO Americas at KMR; TN Media Andrea Dinning: ex BMRB, Global TGI Millward Brown's media expertise Established at the end of 2003 with a brief to leverage Millward Brown’s global expertise and experience to help fuel and inform media strategies and plans. A consultancy practice within Millward Brown, drawing on MB’s resources. Not competitive with media agencies – rather an expert resource for them and for direct clients.


A market of growing complexity..: A market of growing complexity.. Fragmentation Money Competition Cost Sensitivity Clutter Technology Consolidation Choice Power Time Global/Local CONSUMER MARKET MEDIA CREATIVE Global/Local In an increasingly complex communications landscape it is no longer enough to employ traditional media to simply make repeated contact with consumers… Advertisers need to harness all channels (any point of contact/influence) and ensure a genuine connection (resonance and response).


The Global Media Practice: What are we doing?: The Global Media Practice: What are we doing? Rolling out a new consumer-led approach to understanding how communication channels, consumers and brands inter-relate: ChannelConnect Applying existing Millward Brown knowledge, data and expertise as an aid to media strategies and plans (e.g. weight levels, phasing strategies, inter-media selection). Channel neutral planning consultancy, using brand, market and consumer understanding to help allocate clients’ marketing funds to greatest overall effect. Expanding core MB tools (e.g. cross-media / experience trackers, measuring non-traditional channels such as PR and branded content, copy and concept testing for non-TV media) CURRENT FOCUS LEVERAGE DEVELOP


Media research and media researchers. Not the answer to everything: Media research and media researchers. Not the answer to everything


The problem with media research : The problem with media research A buying focus in a planning world Analysis over insight An obsession with technique over principles Media centric: media funded Forcing change won’t work, so let’s instead keep what we’ve got and add to it.


Consumer-Centric Channel Planningand ChannelConnect: Consumer-Centric Channel Planning and ChannelConnect


ChannelConnect: areas of focus: ChannelConnect: areas of focus Expectations and receptivity to messages from the brand. Credibility across different channels and environments Target’s mindset and interaction with channels within their daily lives. Role and value of channels in the context of these. Overall brand/category perceptions and their sources. Role and value of channels within brand consideration / purchase process.


Consequences for channel planning : Consequences for channel planning It’s never been easier to contact consumers Contact = reach, frequency etc It’s never been harder to connect with consumers Connect = engage with, form a relationship with Our measurement world is focused on contact Consider the mobile phone.. There are now c.1.4bn mobile phones in the world, more than TV sets; or cars; or computers


Making contact does not necessarily lead to creating a connection: Making contact does not necessarily lead to creating a connection 'The mobile device is often the single most important communication tool in a person’s life. It is often within arm’s reach 24/7. The user will not thank you for filling his life with rubbish.' Alan Moore, CEO, SMLXL


Making the connection: where are consumers most receptive?: Making the connection: where are consumers most receptive? Users Prospects Assist search for knowledge and make it easy to address the issue (ACCESSIBILITY). Help make condition more ‘everyday’ (REASSURANCE) Reach target through their lifestyles / passions, packaging message in the context of 'the good life' e.g. Lifestyle press, listings, travel programs, weekend papers, cinema, sponsor local sports events. Connection Opportunities for Pharmaceutical Brand 'Talk loudly, hear quietly' approach: Personal not direct channels - e.g. web chat-rooms, radio talk shows (‘eavesdrop’), am press (me-time) Public channels to de-stigmatise issue e.g. sponsorship (not direct advertising) of high profile sports events, aspirational spokespeople Move beyond ‘education’ to support sense of HOLISTIC HEALTH / WELLBEING. Emphasise role of brand in enhancing lifestyle and relationships.


Slide16: 'Our attitudes and behaviours differ dramatically from day to day and hour to hour as our context changes, and so too does the relevance of different messages, and with it our receptiveness to all forms of branded communication… …Millward Browns's ChannelConnect [is] a damn good attempt at understanding the diversity of individual behaviour in a way simple and succinct enough for normal people in ad agencies and marketing companies to grasp.' David Fletcher, head of MediaLab at Mediaedge:cia UK. Campaign, 17 Dec 2004 'The Year in Research'


ChannelConnect: Benefits: ChannelConnect: Benefits This approach provides far more tailored and actionable outcomes than traditional media and audience data: Takes account of ‘qualitative’ factors in channel consumption e.g. engagement, receptivity, brand relevance Helps remove the ‘line’ and explore all the potential places where people can encounter and connect with brands. Leverages media spend more effectively against consumer behavior / receptivity Encourages greater creativity and consumer focus within the channel planning process.


Consumer-centric planning: 7 stepsstrategy  execution  evaluation: Consumer-centric planning: 7 steps strategy  execution  evaluation


Consumer-centric planning: goals & inputs: 1. DEFINE BUSINESS OBJECTIVES 3. GENERATE CONSUMER INSIGHT / CONNECTIONS 4. MARKETING AND MEDIA ALLOCATION 2. SET MARKETING OBJECTIVES Understand business / brand issues and objectives for moving consumers up value chain. Set specific marketing objectives for each target group to meet business goals. Understand target’s channel use / interaction to construct channel consideration set. CPMs, tracking norms, Precis, Link, celebrity indices, branded content scores, other ad hoc/norms data NCBS, Customer/ Transactional Databases, NCAP, BrandZ, TGI, other syndicated surveys etc MB norms, target definitions, BrandZ ChannelConnect TGI / segmentation Compose, SportZ Prioritise and allocate budgets across channels to achieve target objectives. GOAL: INPUT: Consumer-centric planning: goals andamp; inputs


There is a increasing need for strategic synergy across all aspects of the client’s business…: There is a increasing need for strategic synergy across all aspects of the client’s business… Facings Price % Distribution etc Footfall Tickets Merchandise sales Signage etc Column inches No. of mentions Response rate etc Tracking Pre-tests U andamp; As etc MEDIA RESEARCH TRADE PROCUREMENT PR EVENTS BUSINESS OBJECTIVES GRPs Cost per thousand Reach Media Audits etc Cost savings Economies of scale etc


…linked and driven by business objectives: …linked and driven by business objectives BUSINESS OBJECTIVES MEDIA TRADE PROCUREMENT PR EVENTS Column inches No. of mentions Response rate etc Footfall Merchandise sales Tickets Signage etc Facings Price % Distribution etc Tracking Pre-tests U andamp; As etc Cost savings Economies of scale etc GRPs Cost per thousand Reach Media Audits etc RESEARCH


Media agency collaboration: Mindshare’s Mindset + MB’s ChannelConnect: Mindset provides a real-time quantitative survey of consumers' channel encounters (both traditional / non-traditional) within the context of their lifestyle and specific state of mind. Respondents are given a pre-programmed PDA that prompts every hour for two days with questions that cover location, mood, channel exposure, frequency and impact. Media agency collaboration: Mindshare’s Mindset + MB’s ChannelConnect ChannelConnect can then contribute qualitative depth and focus regarding: the motivations/mindsets underpinning these interactions, the particular role and influence of these channels within their relationship to the category/brand, and the targets’ receptivity / expectations in relation to communications from a brand within these different contexts.


Who pays?: Who pays? Media research is ‘free’ to the advertiser But we need more than ‘media research’ Communications planning research needs to be bespoke So the advertiser should pay Fund from media budgets via a ‘buy to plan’ approach (at least initially) Make it the norm to research the majority $, not just the minority


Millward Brown’s Global Media Practice: Bringing a New Dimension to Media Planning: Millward Brown’s Global Media Practice: Bringing a New Dimension to Media Planning Prepared for the Asia Pacific Media Forum, Bali, March 2005 Brian Jacobs, EVP, Millward Brown Group