Forget kotler

Forget Kotler. The 20 new rules of marketing.

Two ways to look at the future: blue-sky. And extend key parts of the present.

Gibson: The future’s already here. It’s just not evenly distributed.

We all grew up

with Kotler’s 4P’s.

Product.

Pricing.

Placement.

Promotion.

Real-time Brand Management

These date back to 1959.

Let’s see what’s happening today.

Product: Neurons beat atoms

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Pricing: Variability beats fixed.

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Placement: Everywhere beats some places

Promotion: Less beats more

It’s time to let go of the 4Ps.

They’re almost meaningless.

And where they’re

not, they’re useless.

Real-time Brand Management

Things have changed.

So what are the new rules?

1. Digital is not niche anymore. It is mainstream. Even in India.

Here’s the current picture we see

Desktop

Net

users:

85m

Mobile

Net

users:

80m

Indian net users: 135m

Indian C&S homes: 105m

Star Plus viewership: 25m

ToI national circulation: 7m

Net users

C&S hh

2008 2009 2010 2011 2013 2012

10m

20m

30m

40m

50m

60m

70m

80m

90m

100m

2007

110m

120m

130m

140m

150m

160m

SM users

Critically, Indian internet users have already crossed Cable &

Satellite TV households. Soon social media users will, too.

And here’s the picture we see for 2014

Desktop

Net

users:

150m

Mobile

Net

users:

225m

Indian Net users: 300m

Indian C&S homes: 140m

Star Plus viewership (?): 35m

ToI national circulation (?):10m

Arguably, digital is the medium where properties have the largest reach in

India. Larger than any TV channel or print pub.

No TV or print property matches these digital properties in reach in India. Property Viewers/mth Views/mth Time/view Google 105m 5 8 min Facebook 38m 10 25 min Yahoo 28m 7 12 min YouTube 23m 4 18 min Blogspot 16m 3 7 min Wikipedia 12m 3 9 min Rediff 12m 5 14 min Orkut 11m 5 10 min IPL on TV (SEC A/B) 6m 5 24min StarPlus (SEC A/B) 5m 3 13min

2. It’s not just the users of digital that beat others. But the usage of digital does too.

More than the rise in users the story is

the rise in usage (IMRB/IAMAI)

2 hrs 15 mins a day rivals or

exceeds TV consumption.

Anybody who tells you digital is a small and unremarkable

niche or ‚a 2% medium‛ is either blind, ignorant, sells TV

or Print or all of the above.

3. Users and

usage are great. But the cost – often free – is

the best bit.

No TV or print property matches these digital properties in reach in India. Or cost. Property Viewers/mth Views/mth Time/view CPT (Rs.)

Google 100m 5 8 min 0-50 Facebook 38m 10 25 min 0-30 Yahoo 28m 7 12 min 100 YouTube 23m 4 18 min 0-125 Blogspot 16m 3 7 min 0-50 Wikipedia 12m 3 9 min 0 Rediff 12m 5 14 min 80 Orkut 11m 5 10 min 0-30 IPL (SEC A/B) 6m 5 24min 150 Star+ (SEC A/B) 5m 3 13min 100

If you want to reach the mass in India,

conventional wisdom says you buy ads on IPL on TV.

A match rates 3.5% TRP. That’s 1m SEC A/B homes. Or 2.5m people. At

Rs. 1 lakh per ad-second

Facebook alone delivers 6.75m (mostly SEC A/B) daily. For as little as free.

4. Social is the

fastest-growing digital

medium.

Regular portal users: Average (+12%)

Portal usage has stagnated at same

share, or lagged behind growth.

The growth isn’t from ‘traditional’

digital media.

Social network users: Blogspot (+196%)

Social network users: YouTube(+219%)

Social network users: LinkedIn (+308%)

Social network users: Facebook (+615%)

Social has taken over. Average (+250%)

5. The best statistic about digital isn’t a

statistic. It’s the most trusted medium.

If social media buzz is not managed well, reputations built over lifetimes can shatter in days

If social media buzz is not managed well, reputations built over lifetimes can shatter in days

Shattered reputations can cost billions

Or even topple governments: Arab Spring

6. Digital lets you side-step publishers – and become one yourself.

Your own newspaper /

TV channel

with a opt-in viewership of

millions. For free.

7. Competing on digital doesn’t need large budgets. Digital helps Davids beat Goliaths.

Once a brand with a Rs. 20 cr ad

budget feared another with a

Rs. 200 cr ad budget.

Once a brand with a Rs. 20 cr ad

budget feared another with a

Rs. 200 cr ad budget. No longer.

Media budgets don’t make a big difference.

Now it’s a fight between people – or creative budgets. Rs. 25k a month?

Rs. 2.5l a month? Rs. 25 l a month?

Is your story worth repeating?

Are you being remark-worthy?

8. Media is vacating

editorial to become

marketing.

Marketing can now

take on editorial leadership.

It’s not about advertising –

but your own editorial.

It’s not about advertising – but your own editorial.

9. Number of fans is irrelevant. Your edge rank drives relevance. Edge rank is driven by engagement. Measure engagement.

Edge rank in action: Updates can reach no one.

Getting a fan is a waste of money if

you don’t get engagement.

A note on Facebook engagement

metrics

Unprompted Engagement: E1: 1000+

Prompted Engagement: E2: 2000+

Passive Engagement: E3: 5000+

Performance metrics, engagement levels

E1 scores

E2, E3 scores

10. Campaigns

used to be

built in

months. Now

they need to

be built in

minutes.

The marketing manager’s job is now

very different.

3 years versus 3 months

3 months versus 3 weeks.

pin STORM

pin STORM

3 days versus 3 hours

Political

ads?

Lawyers

ads?

Flipkart?

Landmark?

11. The whole process needs to

change: 1st step.

LISTEN

It stars with research – or active listening

This brand is talked about more than 7,000 times a day. Others twice as much.

Google Alerts is not tracking. That tracks <0.5% of mentions

of your brand typically.

It’s not technology. It’s not services.

It’s both.

12. The new process continues – with immediate action.

LISTEN REACT

pin STORM

13. After

listening and

reaction comes

the analytics and planning.

LISTEN

PLAN

REACT

Analyse and report trends

Sentiment analysis

Competition tracking

Issues faced by Mobile Services Customers

Figures for September reflect overall trend

14. After listening,

reacting, planning comes the pro-

action

LISTEN

PLAN

REACT PRO-ACT

Social Media properties created

Reactions to our tweets!

On Twitter..

15. The process continues, relentlessly. 7

days a week.

LISTEN

PLAN

REACT PRO-ACT

Some brand customers are more active on weekends. Does that mean we won’t talk to them because we

don’t work weekends?

Pinstorm creative teams now work in shifts. Some day others will, too.

16. The big change is not in how agencies work – but how marketers need to work.

Looking at the process again

LISTEN

PLAN

REACT PRO-ACT

Corporate Communications,

Brand Marketing

Brand Marketing,

Product Marketing,

Employer branding Customer Service

LISTEN

PLAN

REACT PRO-ACT

Customer Service Corporate Communications,

Brand Marketing

Brand Marketing,

Product Marketing,

Employer branding

What happens if you’re not

coordinated?

It’s easy to get it wrong in digital: short-term thinking, non-integrated work

It’s easy to get it wrong in digital: focusing on SMM & not ORM

It’s easy to get it wrong in digital: different teams on ORM, SMM

It’s easy to get it wrong in digital: look, feel and action that is different everywhere

How will you re-organise?

17. It’s about training people to speak like you do.

Find and define your voice

– and tone of voice.

18. It’s not about being a generalist. Or

a specialist. But about being a multi-

specialty agency.

SEM

Site/SEO

E-com

Optimi-sation

SVO

SMM

Comp.

Track

Directory

listing

Online

Evangelist

Mgt

Digital is increasingly not about specialization. But about multi-specialization.

ORM

The era of the specialist is over. Pinstorm started as a pure SEM firm 8 yrs ago. Now none exist. No pure-SEO, pure-display, pure-site dev firms exist any more either. Today’s pure-social firms will disappear too. Multi-specialists will survive.

19. You need to map out an entirely

new set of channels – or evangelists.

Database of

3,500+: Essential to

building bespoke

evangelist lists

20. The new book on the rules of marketing is yet to be written. It’ll take people, technology and boldness to create this future. Partner with a co-explorer.

mahesh@pinstorm.com

@maheshmurthy

+91 98922 49969