2013 Littlefield Summit

Follow @littlefieldinc #BrandEvolution

Tuesday, September 17, 13

Product Distribution Experience







Leading ChangeHow you grow & prosper

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- Jack Welch

Why We Have To Constantly Change

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“When the rate of change outside exceeds the rate of change inside,

the end is in sight.”


... are transforming the world of business

“Knowledge Economy” Virtual Organizations Mergers & Acquisitions

Electronic Commerce Digital Convergence Privatizations

How Are You Going To Stay In Business When...

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Technical Personal

Every Change Has Two Parts

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1. Change is a process that can only be led, not managed. Are you ready to lead?

2. The change process must be linked to intrinsic, personal motivations. What are they?

3. Change is a strategic imperative for every business.

4. Building capacity for change is an evolutionary process. It never stops. Ever.

Principles Of Change

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Adapt Or Die

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- George Washington was born.

- 25-year-old Benjamin Franklin first penned “Poor Richard’s Almanac.”

- 44 years before the United States would gain its independence from British rule in 1776.

- It was also the year Rowland Company was founded.

1732 Was The Year

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- Started as a manufacturer of shovels, spades, springs for wagon wheels and other implements of manual labor.

- Rowland is now a specialty distributor/fabricator of industrial power transmission components for large machinery.

279 Years Of Change

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- “It is going to be a challenge with the old-world way of manufacturing…

- CEO said, “so we are segueing and getting more lines to deal with manufacturers who have more types of the emerging products.”

- Management sees the company undergoing even more changes to remain an integral “problem solver” for industry.

In 2032, I Bet The Same Conversation

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Creating Vision of Change

Motivating Change

Developing Support

Managing the Transition

Sustaining Momentum

The Vital Five

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Envision

Enable

Energize

Leading Change

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Current Situation

Restraining Forces for Change

External Driving Forces for Change

Who’s Got More Will?

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Resistance to Change

20% 40% 60% 80% 100%

Source: Information Week

Limitations of Structure

Lack of Executive Commitment

Lack of Executive Champion

Unrealistic Expectations

Lack of Cross-Functional Team

Inadequate Team and User Skills

Team Not Involved

Change Too Narrow

Barriers To Change Are Us

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Habit

Selective Processing

Economic Factors

Job Security

What Did I Do Wrong?

Individual Resistance

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Threat to Power

Threat to Resource

Inertia

Limited Focus of Change

Organizational Resistance

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Four Phases Of Death Transition

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Four Phases Of Transition

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ResistanceDenial


Four Phases Of Transition

Exploration Commitment

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- The brain likes to maintain current state to guard the body from threats.

- Change is a disruption to this state. The natural reaction to a disruption is the proverbial fight-or-flight response.

- Change can also be thought of as emotional pain. Ironically, the body reacts to emotional pain the same as if it were physical pain.

- When you introduce change, your employees are fighting to avoid it as if their lives depended on it, which their brains literally think is the case.

Hardwiring In The Brain

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- Change in the brain is represented by new wiring.

- New wiring is created from insights,which happen when we make a brand new connection in the brain.

- The brain loves insights. Insights release various brain chemicals associated with pleasure states.

What Is Change To A Brain?

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- Reduce Status

- Create Certainty

- Introduce Autonomy

- Communicate Relatedness

- Ensure Fairness

Make It Easy Easier

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- Nothing changes until something changes.

- The Change Agent uses the catalyst to motivate others of the need for change.

Change Needs A Catalyst

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Change Sponsor

Change Agents

Change Target

These are individuals or groups with the power to determine that a change will occur.

These are individuals or groups responsible for seeing that a previously determined change occurs.

These are individuals or groups who are asked to change something (knowledge, skills, or

behavior) as a result of the change.

Who’s On The Bus?

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What would make them supportive?

- Information / understanding? - Involvement and ownership? - Changes in planned actions? - Direction from more senior managers? - Evidence of the success of the change?

What would make them resist?

- Personal threat? - Non-involvement in decisions? - Personal rivalries? - Insufficient evidence in ‘trial period’ (defined by them)?

Influencing The Target

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Understands Change Appreciates Others Manages Resistance

Critical Skills Of Change Agents

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Culture Capacity

Leadership CapacityIndividual

& Team Capacity

FutureState

CurrentState

Leading

Designing

Reinforcing

EndingExplorin

g

Beg

inni

ng

Leadership

Communication

Org

aniz

atio

nal T

ransit

ion

Perso

nal T

ransit

ion

Elements Of Change Enablement

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Providing Resource for Change

Building a Support System for Change Agents

Developing New Competencies and Skills

Reinforcing New Behaviors

Staying the Course

Sustaining Momentum

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The King & The QueenRuling In The Digital Age


Is all content created equal?Are we all kings of our own content creation?Is posting a message to our friends the same as posting one to 20,000 people?Storytelling matters.

Content Is King


Homegrown


Polished and Slick


The Grand Slam


Same Old Song & Dance


Who are they?What do they have in common?Why are they interested in us?What do they want or expect from us?Knowing will help develop your voice.

Know Your Audience


Develop Your Voice

How you talk to your audience.Similar to casting an actor for a movie role. Casual? Formal?Always be conversational.Listen.Think about what they want to hear.Say something worth hearing.


Great content in a vacuum isn’t so great.Grow your own channels—social media.Tailor your content for each channel.Same message, different deliveries.Photos, memes, video, text, polls.Know your channels.

Distribution Is Queen


Know your audience.Develop your voice.Create content they’ll engage with.Leverage your channels.Be The King, Know Your Queen,Rule The Digital Age.

Rule The Digital Age



Digital Evolution to Revolution



- 18 Years Old- Had Lots of Hair- Wore Glasses

- 38 Years Old- Slightly Less Hair- Lasik Surgery

20 Years Ago Today


TV & Radio20 Years AgoBroadcast TVRadioCable TV

TodayBroadcast TVRadioCable TVDigital Satellite TVSatellite RadioConnected TVsApple TV, RokuStreaming video & audioNetflix, Hulu, Xbox, Amazon, YouTube, Pandora, iHeartRadio, Spotify, iTunes Radio, Podcasts…


Print

20 Years AgoNewspaperMagazine

TodayNewspaperMagazineTabletsKindleNookOther E-readersDigital NewslettersRSS FeedsSocial BookmarksDigg, Reddit


Outdoor20 Years AgoBillboardsPostersTransit

TodayBillboardsPostersTransitDigital BulletinsTaxi TV3D Projection MappingDigital Cinema AdsPlace-Based Digital NetworksGyms, Bars, Convenience Stores, TouchTunes…


Online

20 Years AgoFirst Banner Ad didn’t run until October 1994

TodayBanner AdsRich Media UnitsVideo AdsMobile Web BannersSmartphone & Tablet AppsGeo-FencingAnd many more…


Social Media

20 Years Ago

Myspace launched 10 years later in Aug. 2003

Facebook in February 2004

Twitter in March 2006

Instagram just 3 years ago in Oct. 2010

Today

Facebook

Twitter

LinkedIn

YouTube

Pinterest

Instagram

Foursquare

Hundreds of others


Media fragmenta-on is growing at an exponen-al rate, crea-ng an ever more

complex media environment.


Increasing fragmentation leads to more time spent with media.


Every day people are consuming 12 hours of media in only 9 hours.

~Source: comScore


77% of connected users watch TV with another device

Source: eMarketer 2013

To accomplish that, multitasking has become the norm.


Media fragmentation and the explosion of personalized media are cropping up so rapidly

that it’s almost impossible for digital marketers to keep up.


There is hope


RISE OF THE MACHINESPROGRAMMATIC BUYING


“Humans really are not suited to the task. Not only are we too slow, but we're generally bad

with numbers and complain far too much.”~Chris Sukornyk


Programmatic buying is the process of executing media buys in an automated fashion

rather than through manual negotiations.


A Brief History Of Digital Advertising Buying

- Digital advertising used to be purchased and sold 100% manually.

- Those with ads to sell, such as Yahoo! or MSN, would pitch their ad inventory directly to advertisers and agencies.

- At the same time agencies and advertisers would issue RFPs requesting access to ad inventory available on the publisher websites.


As ad networks and the alphabet soup of associated platforms such as DSPs, SSPs and RTB systems emerged, the need arose for an automated process to help facilitate the buying and selling of digital advertising.

Programmatic Buying allows advertisers and publishers to interact in the complex landscape of today.


Similar to the evolution of the stock market where trades were once performed through human interactions

and are now primarily done through automated systems.


Why Is This A Revolution?

- Advertisers can buy impressions individually, not grouped by the thousands or millions.

- Each ad marketplace auction allows an advertiser to serve one specific ad to one single consumer in one single context realizing true one-to-one marketing at scale.


Benefits Of Programmatic Buying

Reduce WasteAvoid payment for the

wrong kind of consumer that happens to be

visiting a certain content property or even the

right kind of consumer when they are visiting in

the wrong context.

More PropertiesDue to its real-time

connection with many large inventory sources, programmatic buying

can consider vastly more websites and digital properties than any

manual buying process ever could.

More DataTraditional buying may

define segments with just a handful of attributes

like age, gender, income, geography, education.

Programmatic buying systems can evaluate

millions of data features all in real time.


Display Banners Video

Mobile Social

Multiple digital channels currently supporting Programmatic Buying


Nearly one-fifth of US display spending will be automated this year.

- US display advertisers will spend $3.34 billion this year on real-time bidding ads, up 73.9% from last year.- Programmatic video advertising accounts for 19% of the marketplace up 71% versus 2012.


Plethora of terminology surrounding Programmatic Buying


RTB


Real-Time Bidding (RTB) is a method of buying and selling through an online auction,

in real time, one ad impression at a time.


Programmatic Buying and Real-Time Bidding (RTB) are not interchangeable.

RTB is a feature of programmatic—a subset.

Programmatic can serve marketers, vendors that don't bid in real time.

Real-Time Bidding

ProgrammaticBuying


Ad Exchanges are the marketplace that facilitates real-time, auction-based transactions.


Just as there are multiple stock exchanges (NYSE, Tokyo, London), there are multiple Ad Exchanges.


Demand-Side Platforms (DSPs)System that allows buyers

of digital advertising to manage multiple ad and data exchange accounts through

one interface.


Data Management Platforms (DMPs) Consolidate online and offline customer data

from various sources into a single location.

DMP

Website Data

3rd Party Data

CRM Data


Data Management Platforms (DMPs) Then break the data down into specific demographic and

behavioral segments that can be used to target online advertising.

Audience Insights

Audience Segmentation

Audience Modeling

DMP


DMPs are designed to help both marketers and publishers make the data they have actionable.


DMP RTB DSP Exchange

Programmatic Buying is the process of executing media buys in an automated fashion. A

dver

tiser Publisher

Technologies facilitate the automated process.


“Programmatic Buying will become the dominant method of purchase across all media channels in the near future.”

~Bonin BoughTuesday, September 17, 13

Analysts predict television will be the next form of media to embrace Programmatic Buying.

Today, we can already buy digital OOH across the country using the programmatic

auction in taxi cabs, malls, airports, and other digitally connected settings.

As off-line media takes on digital buying principals, the line between digital

advertising and traditional advertising may soon be erased.


Automation will not replace media management.

- Programmatic Buying is both an art and a science.

- The scientific component—the algorithm—gets most of the glory, but the human element is crucial to proper execution.

- Algorithms are only as good as the data that feeds them, and data is only as good as the strategies it informs.

The human element of Programmatic Buying is critical to its success.


The Evolution of media through fragmentation has created an ever more complex media landscape.

Marketers need to embrace the “Programmatic Buying Revolution” for the benefits it provides and to keep

in step with the future of advertising.



Littlefield Summit 2013The Evolution of Your Brand.


The Evolution of Our Brand.


It doesn’t matter how well you say the wrong thing.


How People Make Buying Decisions


95% of Thinking is Subconscious. 5% is Rational.


The single, most persuasive idea that’s: - Most relevant to your customers.

- True to who you are.

- Can be delivered across all brand touch points.

The One Thing


Outperform competitors in stock-market performance by 8:1.


Outperform general market and comparison companies

by 15:1 and 6:1, respectively.


400% higher revenues.700% greater job growth.

1,200% higher stock prices.


Top 50 Brands vs. S&P 500Top 50 S&P 500


A Brand Purpose

Each brand was built on an ideal of improving lives in some way, regardless of size and category.

What Did The Top 50 Have In Common?

Top 50 Brands vs. S&P 500


Your Brand Purpose - Internal

- Gives employees a unified, inspiring reason to go to work every day.

- Gives your entire business extreme focus—from HR and Marketing to R&D and Finance.

- Helps you make a much stronger connection with every customer interaction.


Brand Purpose

Delivering Happiness.



Brand Purpose

Caring for the happy, healthy development of babies.





Brand Purpose



The Purpose of Purpose




Crown, A World of Entertainment



Purpose: Sharpens your offer


Purpose: Changes the !ules


Purpose: Connects people



“I make the cars go faster”




Purpose: B!eaks down "ilos


Purpose: Creates new

business models


K!yptonite for Purpose


Follow @littlefieldinc #BrandEvolution
