CeBit 2016 “ The Great Fragmentation Marketing Inside -Out ” 

  • By Greg Allardice
  • 11 May, 2016

CeBit 2016

“ The Great Fragmentation Marketing Inside -Out ”

Mr Steve Sammartino Author, Keynote speaker Steve Sammartino spoke at CeBit 2016 Australia the largest and longest running business technology event in Asia – Pacific region 2-4 May at Sydney Olympic Park.

 Media Futures interviewed Steve about “ The Great Fragmentation Marketing Inside -Out ” and it’s applications for the marketing and media sector

Here’s a snap shot summary of what Steve Sammartino had to say –

Question: How do we deal with fragmentation.

Response: Firstly we should not fight it, it is inevitable. The tools of production are so democratised now and so affordable. Previously if you wanted to be on a screen it would cost millions of dollars now you get get an audience for as low as 20 cents on Facebook. Fragmentation is in all areas of business. Don’t put boundaries around your business. Embrace the truth of the fragmentation. The best way to handle it is to open up and allow people to create something that they really want, like making a new product with you, allowing them to create something that suits themselves.That process elevates you to their levels by making something that people really want. It’s like creating a partnership with your customers rather than selling them something.

Question: 90% don’t do work at their place of work, is this the end of the office

Response: The office is the last industrial enclave. Look at history. We forget to look at at why things exist. If we remember why something was built in the first instance then its easy to forget why its still relevant. The office was originally attached to the factory and transporting information was physical and local. Now information is not physical nor local. The tools in offices used to be very expensive. Photocopiers used to cost $ 200,000. Centralised operations were designed to maintain costs but not now work can be done anywhere. Do people still need to interact, do we need it 5 days a week, no we don’t. The reason the 9am to 5pm working day exists is that this is when the sun shone into factory windows. If we had to redesign the office it would not be 5 days a week in the same space. We can now have the best of both worlds with new technology.

Question: How long does it take in the fragmented world from making the connection to profit

Response: To connect with a small audience is quite quick. To connect with mass audiences is hard and does not happen any more. Technology companies launch in beta and do private launches first. Air BnB launched city by city there was no big launch. In a fragmented world it’s hard to connect with everyone straight away. Sometimes there is a big lag between the connection and the profit. If we aim for small audience at a time we can profit from it and make a valuable connection and monetise it. If we want a big macro audiences you need to invest for the long term, the ROI won’t occur in the next quarter. We need to invest it forward.Venture capital is doing this on long lead times with monetisation a couple of years down the road thereby allowing organisations the time to make a return. It is an infrastructure re set. The supermarket shampoo strategy of invest now sell tomorrow does not hold true. Today it is about connect now and the revenue comes from outside. It’s the related revenue realm. It requires a different mindset from CTOs and marketers. Google gives away search but makes money on the sale of advertising.They give away the product and make money outside of the product. Its time for a different mindset. Think micro first get a return on investment then expand on scale.

Question: What advice would you give for aggregation and measurement of all media and not just measure selected mediums in isolation and that exclude new entrants or related mediums

Response: The first thing is remember is that the research companies and main stream media have a vested interest in what they are measuring. If the scope of the measurement is reduced it makes them look like they are performing better than they are. You can have x% share of voice or eyeballs, but we know this is not true, this is a classic example of don’t believe everything you read. Make your own interpretations of where the value is. For anyone reading this article have a look in your lounge room tonight and see where people’s eyes are. The way I define TV today is audio visual content streamed to eyeballs equals TV. Youtube is not measured in industry surveys yet it is TV. The truth is not being measured. It is fragmented and it’s harder but we need a realistic approach of what we are paying for and who is really seeing it. In digital media it is far more trackable you can measure who is watching and the mobile phone is so personal it has a 5 to 1 advantage in my opinion over desktop and laptop. Snapchat measures actuals, Twitter is opportunities to see, banner ads are opportunities to see. I have never believed TV box top ratings, who’s in the room and who pressed the buttons. Are we still falling for that?

TV is not dead but we are investing large dollars and need to understand that TV as an example is not a one size fits all, we are not going to get everyone. It takes more to find our audience in the fragmented world.

Question : If Marketing moves horizontally how quickly do you need to move horizontally and I what steps

Response : Stop measuring market share it is based on verticals and supply chains. It makes assumptions on who we compete against and on supply chains. Banks may measure the amount of mortgages they make, however do they measure the amount of venture capital and crowd funding? Where money is moving is not in their market share calculations. As we move to a digital economy the market place is horizontal, people can hop into new industries, Apple became a player in the music industry, Air BnB owns no physical assets and is not measured in the figures of hotel chain category. It is about virtual connections and that makes it horizontal. To solve problems we need to look to the side and outside of industry verticals. We need to solve problems by connecting things and that’s horizontal. This is where different industries cut across each other because it’s possible.

Quote from Steve: “ If you want to make the effort and learn, it’s a few key strokes away on the internet. There has never been more opportunity to learn it and learn it quickly.If you want to be a one percenter, be the one percenter who pays attention to the changes.”

Media Futures undertook this interview in order to inform the media and marketing industry that the pace of change is faster than we think. Some may say I already know this fact, but have not yet acted upon it. The message to marketers and media practitioners is to be very precise in decision making and be astute to target more effectively.

If your media policy, media strategy, media planning and media buying have not addressed The Great Fragmentation it is time to investigate this current and real issue.

By Greg Allardice 19 Jul, 2017
Digital radio is generally regarded as an under dog medium and not taken seriously, but the latest GfK ratings July 2017 reveal unique audiences that are worth considering.

The DAB+ summary report shows the cumulative audience for digital only stations, which is the total number of different (unique) people who listen to a DAB+ only radio station in that market for at least eight minutes (one quarter-hour), in a defined period.
The DAB+ only audiences are still small compared to regular radio broadcasts. The biggest cume audience 10+ in the Sydney market for regular radio broadcasts is Nova with 974,000. However, the biggest DAB+ cume audience 10+ in Sydney is 82,000 listening to Coles Radio.
In Sydney, triple j Unearthed ranks #2 behind Coles with Edge Digital #3. There are 20 DAB+ brands measured in the Sydney survey.
In Melbourne there are 22 DAB+ brands jostling for audience with possibly the brand that spends least on marketing, Double J, ranking #1 with 67,000. The biggest commercial brand is Coles Radio with 54,000.
Smooth is the #1 brand in Perth followed by ABC Grandstand and then Double J.
Coles Radio and Grandstand are ranked the top two in Brisbane.
The Adelaide market favours 90s iHeartRadio followed closely by Buddha and Coles Radio.
Southern Cross Austereo reported its combined digital reach is 425,000 people every week. The company’s digital assets reach 26% of the DAB+ only market.
SCA’s Buddha station has added 30,000 listeners and it branded the #1 non-retail aligned commercial station.
Nova Entertainment reports Coles Radio has 192,000 listeners across four cities, Sydney, Melbourne, Brisbane and Adelaide, 32,000 more listeners than its closest competitor. Coles Radio is also the most listened-to DAB+ station overall in Sydney with a cume of 82,000 and Brisbane with 38,000, and most listened-to commercial station in Melbourne with 54,000 listeners. Coles Radio was introduced onto DAB+ in Perth on 10 May this year and will be included in the GfK DAB+ Digital Radio Report from Survey 6, 2017.

If DAB + has never been on your radar then the latest figures reveal a unique audience that is worthy of consideration and especially if you have mainstream AM and FM radio campaigns under plan. 

If your media policy, media strategy, media planning, media buying and media audit have not explored DAB + Media Futures recommends you seek out an independent media specialist. Media Futures presents industry articles in the constant quest for improving return on media investment.
By Greg Allardice 13 Jul, 2017
The subject of media churn is back in the spotlight but its not new. The media industry thrives on change and is inhabited with highly talented individuals who are always searching for more. Also given that media is an intangible product it means that longevity of message and length of tenure is short. This basic structure accounts for the high turn over of media people in agencies, client side and within the media houses. The media agency side is desperately reviewing this issue of staff churn. Research has shown that 70% are preparing to leave and switch jobs in any given year. That is simply too high. The rise of media specialists who work in house with clients and companies is one way of addressing the constant churn within third party suppliers such as media agencies.The media specialist is a professional who is 100% responsible for the media role, is available 24/7, takes responsibility for the media budget and the results it delivers. If media churn is depleting your business and leaving gaping holes in your media output, consider the better way forward - The In-House Media Specialist.

Media Futures presents articles relevant to the media industry. If your media policy, media strategy, media planning, media buying and media audit are not good enough and could improve with a media specialist, Media Futures recommends talking to one today.
By Greg Allardice 26 May, 2017
Code Club Australia General Manager Kelly Tagalan recently spoke with Media Futures about why learning code is important. Code Club was designed for school age children but as Kelly reports there are also applications for business. Here is what Kelly had to say.

Q1 . Why is learning code important


It actually goes beyond coding and we say coding is not the outcome we want kids to be creative thinkers and to solve problems. We want kids to break down complex problems into simple steps and conquer big questions like why is there too much traffic in Sydney.



Q 2. How can business take advantage of Code Club


There are a couple of ways that business can get involved. Firstly by volunteering say an hour a week the other way how are going to find and maintain top talent. Other ways are to come in to Code Club or even bring your kid to work day where Code Club can show and transfer skills and give a look at what it’s like to work inside a technology company. At times businesses become mentors and that’s a great outcome for code club.



Q 3. How can business benefit by building proprietary online systems using code.


When we build proprietary code we own it outright and are able to experiment with it more. From there we learn about the outcomes that the technology is bringing about. Most Australian companies use technology that was brought over from the USA or Europe. Building proprietary technology is how we are going to solve specific Australian issues and having that skill set here is absolutely the key to innovating the country and moving away from outsourcing or replicate business ideas from overseas.

Media Futures views learning code as a component of Media Policy, Media Strategy, Media Planning , Media Buying and Media Audit. If it has not been addressed, talk with Code Club, it might unlock new opportunities for your business.

By Greg Allardice 16 May, 2017
SEO Efficiency covers a raft of options but the two main platforms hinge around your website and Facebook. In other words double your chances. Facebook as an example is good for new offers and new products, it's an easy to read format and users can post comments.  Consider it as a quick stop and look experience.
A Facebook post is easy to do and will go to your current data base or connections.
For more content , deeper explanations and detail of offers your website is the place to be. The richer data and content should be designed to draw in the user and give as much detail as is required for the reader to make an informed decision on whether or not to contact you and do business now or in the future. 

SEO is enhanced by using both platforms. From there add on other online tools and platforms that can assist your SEO and put you at the top of the page.

Media Policy, Media Strategy, Media Planning, Media Buying and Media Audit should include the mix of Facebook and website as a standard practice. Double your impact with this simple rule of thumb. 

Media Futures presents industry articles in the constant search for improving return on media investment.
By Greg Allardice 08 May, 2017
Standard audience reporting across all mediums from an independent third party will ensure a level playing field.
TV, Radio Print / Press and Outdoor have industry recognised audience reporting procedures, though the media category with half the media spend does not. This refers directly to digital audiences which at times are suspect and not the real deal. The industry and particularly advertisers need to have industry recognised comparable figures. In essence a level playing field. Any media owner can make a claim of what their audience is, however this can never be reliable. If there is to a level playing field in audience measurement it is overdue and is a matter of priority. Billions of dollars in media funds cannot go down the drain because the medium chooses not to be audited or at worst fudges it's own figures.
If your media policy, media strategy, media planning, media buying and media audit have not addressed a level playing fielding audience measurement, it's time to force this to occur.
Media Futures presents industry articles in the constant quest for improvement in media return on investment.

By Greg Allardice 28 Apr, 2017
In an age where the internet has made everything instantly global, the "think local" tag is often overlooked. Media started as local entities with the local newspaper, then local radio station, then local TV stations, local outdoor signage and local promotions. However even in a global media market "think local" still applies. People can only live in one place at a time, so local media will never die out. Consumers are looking to connect with local retail, entertainment, restaurants, cafes and leisure in their local area. The view that local media is dead is simply not true. Even online usages are local. Instant messaging apps such as Kakao in Korea and We Chat in China are examples of localised online models that do not have a global user base or presence. "Think Local" makes sense. The media trend to be all things to all people is a misnomer. One size does not fit all in media. It pays to do your Media Policy, Media Strategy, Media Planning, Media Buying and Media Audit around Localism. Then expand your thinking based on the availability of your product, brand or service.  Media Futures presents industry based articles in the constant search to improve return on media investment.


By Greg Allardice 26 Apr, 2017
There is no denying that the smartphone has already changed the way people communicate and as a result also the way that advertisers can communicate. AI or artificial intelligence is the next step in media campaigns and in particular voice intelligence where the consumer speaks to their smartphone and through voice only without visuals a two way transaction takes place. This opens up a new offering for advertisers where the traditional one messaging or commercial is replaced with artificial intelligence via voice. The shift is to assistance based marketing , where the personalisation of the interaction takes over. For example, consumer says to smartphone book my airline ticket from A to B on this day at this time. The machine is programmed to understand the local language, tonality and needs. The machine does the rest, booking the ticket and issuing payment details. Does this sound fanciful? No it's not, as the technology is in it's infancy and over the course of the next few years will be reality. This takes the use of media to a new level of fulfilment. It will be common place and so simple our friend in the photo could use it.
Your Media Policy, Media Strategy, Media Planning, Media Buying and Media Audit can take advantage of artificial intelligence. If you have not addressed AI and if it is suitable for your business, Media Futures recommends you seek out an independent media specialist. Media Futures presents articles in the constant search for improving return on media investment.
By Greg Allardice 23 Apr, 2017
The role of commercial media is to entice you to spend your media budget and spend it all with them. However rarely if ever does the media or the media agency ever say STOP spending your money or simply STOP for a period of time. 

A wise media specialist will be across 2 sets of business conditions, firstly what's happening in your business on a daily basis and secondly what's happening in the media market. Often there comes a time when the media specialist needs to advise you to STOP media spending because your business does not need media at that point of time, there are issues within your organisation that no amount of media will fix, your  future business conditions are mapped out well enough to have a clear picture of the road ahead or that the media market is not right; IE it is not the right time to invest your media budget.  

In other terms knowing the right time to STOP and advise you, the client,  clearly why their media budget should be held back and conserved for a concerted effort at a later date. 

If your media specialist has not got the guts to advise you when to STOP spending in the media  then it's time your media policy, media strategy, media planning, media buying and media audit are due for a re think.

Media Futures presents articles in the search for ever improving return on media investment.
By Greg Allardice 17 Apr, 2017
Longer form lengths of video messaging such as 30 and 60 secs in online settings are on the way out.  They simply are too long in an age of nano second communication. Attention spans are best catered to in short form messages like the six second "Bumper Ads" . This definitely applies to mobile phone video messaging.

These are non skippable and in essence " force " the audience to watch. These come at a premium price but are worth it in your media mix. 
There is nothing worse than an audience who click you off and you still pay for the click.  What a waste of money.  But so many just keep throwing their media budget down the drain. So it pays to go short and pay for the full six seconds.  When linked to remarketing it's a powerful combination.

If your media policy, media strategy, media planning , media planning and media buying have not addressed short form online video it's worth considering. Media Futures presents articles in the interest of improving ROI and best practice in media.
By Greg Allardice 12 Apr, 2017
 Most media consists of one way messages. The viewer or reader sees the message and hopefully they might interact with you product. Now add on Blockchain where the media user can click and be connected to a one to one transaction system from Point A to point B. The money part is completed directly not through third party. The transaction is via an open decentralised database community. Think about the applications for your business. You the advertiser and the buyer are a one to one transaction eliminating third parties. This link came from extending your media technology over and above a one way message.If your media policy, media strategy, media planning and media buying have not addressed Blockchain it's time to include it into you media thinking.
Media Futures presents articles of interest with the aim of always improving media practices.
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