2017: the tipping point for print media

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WILL 2017 BE THE TIPPING POINT

FOR PRINT MEDIA?

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Why a :pping point?

➤ Agencies re-‐evaluate print

Concerns about metrics digital media

Lack of transparency digital media and agencies

Ques;oning effec;veness digital media

Threats of digital media content

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“I think that actually we’re star;ng to see with tradi;onal media , par;cularly newspapers, a bit of a pendulum swinging back because the market will realise that they are more powerful than people give them credit for”.

“Some clients are looking at whether they have over-‐invested in some new media alterna;ves”.

“Facebook can't really claim that a three-‐secondview -‐ when 50% of the ;me the sound is off -‐ isthe same as a 15”, a 30”, a 60” TV ad or someone reading a The Times for 40 minutes”.

Sir Mar;n Sorrell, CEO WPP

Agencies re-‐evaluate print

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“We are in a transi;on period, in a vacuum. Our most important goal is to offer a beVer advise to our clients”. With an average age staff of 32-‐33 years, most of the Group M staff has not been brought up with print. Training and informing staff about print is therefore a key taskof the agency and of the Print Summit.”

Mathias Brüll, CEO Group M Germany


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“At the same ;me as they’re buying views online blind, adver;sers are abandoning a medium that has been proven to be effec;ve. Tesco has cut its print adspend by 85% this year despite studies showing that the channel can almost triple the effec;veness of retail campaigns.”

Maisie McCabe, deputy editor in chief Campaign UK

Re-‐evaluate print

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“What we find in this study, yet again, is a re-‐itera;on of the importance of media that can deliver over the longer term. ...shows that newsbrands’ ability to contribute to long term effec;veness is a key driver of success for brands.We are being over-‐hyped and over-‐soldon a uniquely digital future. We need toget real and take a more evidence-‐basedview of what really drives effec;veness.”

Peter Field, effec;veness consultant and author

Re-‐evaluate print

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Why a :pping point?


➤ Concerns about metrics digital media




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Credibility metrics?

“Due to the miscalculated data, marketers may have misjudged the performance of video adver;sing they have purchased from Facebook over the past two years. It also may have impacted their decisions about how much to spend on Facebook video versus other video ad sellers such as Google’s YouTube, TwiVer , and even TV networks”.

The Wall Street Journal

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“Aviva’s group brand director has expressed her “outrage” and “anger” over Facebook’s metrics blunder which saw the social media pla<orm miscalculate video views for more than two years.Jan Gooding, also chair of Publishers Audience Measurement Company, has now publicly called on digital players to be subjected to audits that match the scruGny of tradiGonal media”.

Marke;ng Week

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“Buyers and sellers are moving away from the ad serving metrics such as click and towards brand KPIs to evaluate digital video adver;sing campaigns. 67% of agencies and adver;sers are using brand awareness as a key effec;veness metric to evaluate digital video campaigns”.

Internet Adver;sing Bureau (IAB) Europe

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Why a :pping point?




➤ Ques;oning effec;veness digital media


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"We targeted too much, and we went too narrow. And now we're looking at: What is the best way to get the most reach but also the right precision."

Marc Pritchard, P&G’s chief marke;ng officer P&G


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"Views aVracted by each video in the series varied widely. One, which introduced Hayes as the new presenter, clocked up more than 750.000, while several more reached 6 figures. But many others received far less aVen;on, with none of the nine films posted in 2016 managing 1.000 views”.


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“An important group of marketers belong to the group called "the lost genera;on", people in their 30s and early 40s who don't yet have grown up children who are digital na;ves and weren't digital na;ves themselves. These are people who are leading so many of our brands and businesses, and they're bluffing too much about digital from what they read in the Financial Times or Marke;ng Week."

Keith Weed, Chief Marke;ng and Communica;ons Director Unilever


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Why a :pping point?





➤ Threats of digital media content

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“It can become very difficult for anyone to tell the difference between facts that are true and ‘facts’ that are not, therefore facts don’t work.” “In the digital age, it is easier than ever to publish false informaGon, which is quickly shared and taken to be true."“News publishers have lost control over the distribuGon of their journalism, which is now filtered through algorithms and pla<orms which are opaque and unpredictable.”

The Guardian

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“The right-‐wing news site Breitbart has declared “#WAR” on Kellogg’s, calling for a boycoW of the cereal company’s products aXer they decided to cease adverGsing on the site. In response to Kellogg’s, Breitbart published a furious aWack on the cereal company saying that the move represents “an escalaGon in the war by leXist companies ... against conservaGves customers. ”

The Guardian

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“The iniGal bargain might be fine, but the follow-‐up by companies can be annoying and unwanted. People repeatedly expressed anger at the barrage of unwanted emails that oXen comes aXer”.“LocaGon data seems especially precious in the age of the smartphone. Some of the most strongly negaGve reacGons came in response to scenarios involving the sharing of personal locaGon data”“Profiling someGmes seems creepy. The words “creepy” and “Big Brother” and “stalking” wereused regularly in the answers of those who worryabout their personal informaGon”. Pew Research Center

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Why a :pping point?



➤ Lack of transparency digital media and agencies



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Programma;c buyingTradi;onal buying

Target audience Channels that fit audience One person Algorithm “Personal” advert

Advertising appears in selected channels

Click-based - non-humanQuantitative & qualitative - human

Advertising appears in selected and unknown channels

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“We recently reviewed the list of sites where our ads can be placed and decided to disconGnue adverGsing on Breitbart.com. Many companies do not realise they were adverGsing on Breitbart because their campaigns are run through automated systems which distribute ads across a large network of sites”.

The Guardian

The ANA papers• Cash rebates from media companies to agencies, adverGsers indicated they did not receive rebates or were unaware

• Rebates as free media credits were offered to agencies• Rebates structured as “service agreements” in which media suppliers paid agencies for non-‐media services

• Markups on media sold ranged from approximately 30% to 90%, and media buyers were someGmes pressured to direct client to spend to this media, regardless were in the clients’ best interests

• Dual rate cards in which agencies and holding companies negoGated separate rates with media suppliers when acGng as principals and as agents

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Lack of transparency (digital) media and agencies

Test & Trial phase Digital First phaseRe-

evaluating phase

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The three phases of digital channels adop;on

Basis: adver;sing expenditures in digital media UK (source ZenithOp;media)

0

5000

10000

15000

2000 2001 2002 2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013 2014 2015 2016 2017 2018

$mio

AdverGsers/ brand owners, agencies and media owners express the need to re-‐evaluate their digital media share of the media mix

Digital media will remain an important part of the mix, but the three parGes involved are eager to develop a beWer balance between the channels

This is the moment for Print Power to act strongly, becoming part of this discussion between the three players. Voicing a knowledgeable POV, underpinned with data and passion

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A general change of aqtude

Thank you

Ulbe Jelluma@Ulbe @printpower

printpower.eu

Business

2017: the tipping point for print media