Video Killed The Digital Star: 6 Key Online Video Trends

Last Monday I was speaking about the latest Video marketing trends. Visual storytelling will be more and more important and naturally video is the most important way to tell visual stories. Video is growing rapidly and currently there does not seem to anything stopping this rapid growth:

  1. Video just keeps growing

We are living in visual age. Picture tells more than thousand words and video tells more than thousand pictures. In next three years video will account 79% of all Internet traffic. Businesses are expected to spend nearly $13 billion on video marketing in 2018. Lots of the discussions about video is focused on entertainment, but we tend to forget that YouTube is the world´s second largest search engine. 75% of consumers believe that a video describing a service is important and 25% will lose interest if your company is not explaining through video.

  1. Catching the attention is more difficult than ever

1/3 of of all YouTube videos have less than 10 views. That is quite pathetic and showcases the wide gap between hits and misses. Within top 10 most watched videos in 2016, there was only one ad (Nike The Switch). Of all the top 10 most watched ads, half were actually Superbowl ads. You are not only competing with other brands, you are competing of the time of your audience.

  1. It is not mobile-first, it is mobile-only

Mobile video is growing 25%, whereas desktop video consumption is declining for the first time ever. People are already consuming video 36 minutes on their mobile devices compared to 18.5 minutes on non-mobile devices. This mobile shift will affect your video production: Have you thought about vertical videos?

  1. Consumers are craving for instant gratification

Unfortunately average human attention span has fallen below the one of goldfish, so not surprisingly 75% of consumers prefer video under 60 seconds. YouTube is aggressively pushing their 6 second videos, which is enough time to tell even world´s greatest stories (below is Hamlet):

  1. Video platforms are eying for the prime time

YouTube are evolving from dubious quality user-generated snackable content to full-blown entertainment powerhouses. YouTube has couple of interesting offerings: YouTubeTV (cable-free LiveTV) and YouTube Red (ad-free offering focused on music and content creators). Facebook has not exactly resting on its laurels and Facebook Watch provides original video shows.

  1. Video is getting more interactive and immersive

This quarter there were over 2 million VR devices shipped (ranging from no-frill Google Cartboard to top-tier Oculus Rift), but VR has not yet hit mainstream. It currently works well with events and gaming, but we have not yet seen the killer app (or device) that would break VR to become a household name.

Augmented reality is already more mainstream (with Pokemon Go last year and popularity of face filters in Snapchat and Instagram). New Apple ARkit will just keep on making Augmented reality more popular.

Based on the calculations by Credit Suisse, VR/AR market could become as big as the current smartphone market:

Screen Shot 2017-10-16 at 4.01.47 pm

Source: Credit Suisse

So in the future, you do not only need to consider what is your content angle with your video. You have to also consider the depth of interactivity and immersion you want to obtain.

In many ways digital marketing is becoming more simple. It is all about two things: performance and content creation. The latter is all about video creation and to succeed in the market place, you have to be master of video production as well.

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The Rise of The Conversational Commerce

Last week I was speaking in Seoul in Digital Marketing Conference for 400 marketing leaders. My topic was around conversational commerce: a topic that I have been writing about a lot.

conversational commerce

Speaking about Conversational commerce in Seoul 2017

I was trying to find an answer to three burning questions that are keeping me awake at night:

  • Why Conversational commerce is happening right now?
  • What it actually means?
  • How your brand should act?

1)Three big trends enabling conversational commerce

a) Mobile-first world

Messaging apps have already surpassed social media apps in popularity. Our audience is not mobile-first, they are increasingly mobile-only and becoming messaging only. WeChat has already shown the future of messaging-first digital ecosystem.

Our audience want the service and content in the platforms they are using.

b) AI-first world

Aptly in the same city I was having my presentation around conversational commerce, Alphago Go-robot beat the hell out of Lee Sedol, the world´s best (human) Go player. It was not even close match, not to mention that apparently in 37th move in second match Alphago did a move that had not been ever done in Go history and was called the most beautiful Go move ever.

Artificial intelligence will enable machines (or robots, if I may) to emulate human-like traits and behavior.

c) Digital platforms will become assistants predicting your needs

There will be more virtual assistants than humans in 2021. All the big digital companies (Apple with Siri, Samsung with Bixby, Google with Allo and Home, Amazon with Alexa and Echo) are building the assistive layer to their products.

Because of mobile platforms and evolved AI, companies are able to predict what you need and provide you personalized service.

2) What Conversational commerce actually means?

 I would define conversational commerce as “enabling people to interact with brands with way that is natural to them”. Interaction is limited to customer service or selling products. There is only handful of brans that people would actually want to have conversation with and the odds are your brands is not one of them. The natural way to communicate means two things:

  • The style you communicate: Whether it is with Emojis and Slang with text or using voice
  • With what device you are communicating with: It can be either chat (with human), chatbot (with robot) in messenger or using internet-of-things device (currently Google Home, Alexa devices. In the future whatever device you will think of).

The benefits of conversational commerce for user are:

  1. Convenience: Use whatever method and device you feel comfortable.
  2. Personalization: You save time (not necessarily money) as you get recommendations suitable for you.
  3. Decision support: Conversational commerce helps you to do decisions easier by learning from your behavior and predicting your next move.

3)What it means to your brand?

There are five key considerations you need to take into account when considering your conversational commerce –strategy:

1. Don´t get caught by hype

Conversational commerce is bigger thing than Chatbots. Chatbots have been one of the first trials on making it work. And they have not been particularly successful yet. Facebook bots have had failure rate of 70% so they were able to get to 30% of requests without some sort of human intervention. That does not mean that people don´t want good service through their messaging apps. They don´t necessarily want it through chatbots.

2. Choose your pilot market wisely

Compared to social media landscape, messaging landscape is much more fragmented especially in South-East Asia. This means that you might not be able to replicate your activities in one market to another.

3. Find the right partners

You don´t necessarily need to create every algorithm from the scratch. There is already quite developed ecosystem around conversational commerce that you can tap into.

4. Provide value and make life easier for your consumer

Like I said earlier, majority of the people do not want to have a conversation with brands. They want to have value whether it is through buying products or getting good consumer service. While you might be interested in creating the most witty Chatbot ever, it might be more wise to first ensure that you are providing straightforward utility first and then start extending to more human-like interactions.

5. Be fun and natural

That being said, the great opportunity with conversational commerce is ability to humanize otherwise transactional brand-human relationships. When you have ensured that you are providing value and clear benefit to the user, the personality of your chat can be a true competitive advantage.

We are living in the peak of hype cycle with conversational commerce and there will be round of iterations when it will truly live to its promise. My point is however clear: it is not question about will the conversational commerce happen, it is how and when it will happen?

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The MAYA Principle: The Most Advanced, Yet Acceptable

“Making the strange familiar and making the familiar strange, again”

– David Foster Wallace (about realistic novels)

Reading the book “Hit Makers” reminded me about Raymond Loewy´s MAYA –principle. Raymond Loewy was one of the most iconic industrial designers of the last century. Among his works are Lucky Strike package (logo on both sides to maximize the visibility), Coke vending machines, Air Force One livery and Skylab space station (with window to look back to Earth) to name a few. MAYA-principle means:

“The Most Advanced, Yet Acceptable”

To sell something familiar, make it surprising. To sell something surprising, make it familiar. This is one of the most important things to understand about human beings. The battle between familiarity and discovery shapes our whole lives. We want to feel safe, but at the same time we enjoy the thrill of challenge. The conflicting forces of safety and excitement explains why we resonate and like things that are familiar enough but also have something new in them. Loewy´s theory (which worked in practice) was also later proved in academic research.

Humans don´t want the same old thing all over again, but they also don´t want totally new thing. They want the same thing with slight twist. That is why Spotify´s weekly playlist works so well, it exposes you to new music but at the same time plays songs you are already familiar with. “Let It Be”, “Don´t Stop Believin”, “Can You Feel The Love Tonight” and “No Woman, No Cry” are built on the same chord progression. However, it would be ludicrous to say that these songs sound the same. There is lot of innovation in these songs, but it is innovation with boundaries. Innovation is not about thinking outside the box, it is about rethinking the box.

The secret to create things that resonate with popular audience is to embrace the conflict in the humans. It is not choice between neophilia (curiosity about new things) and neophobia (fear of anything too new), it is about finding the balance. This dualism is crucial in our industry as we quite often fall into the trap of going after whatever is new and shiny. Or we are too lazy and just do something that has been done before without adding any of the magic. Both are equally bad approaches to talk to the masses (which is the main goal for advertising). You have to find the balance between typicality and novelty.

The secret to popularity is to add slight hint of danger but still maintain the feeling of safety in your audience.

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Three Secrets of Apple´s Social Media Strategy

Apple does not have particular social media strategy.

By being quiet, they are one of the most talked about brands in social media. It naturally helps that you make iconic products with almost religious following. They have social media channels though, because they have realized the importance of social media as a reach driver. Apple does a lot of social media advertising to help to sell more of their products. What they are not doing is “joining the conversation”. Social media is eyeballs, not likes or tweets.

applehasnttweeted

Therefore Apple´s Instagram account is refreshing detour for their muted social media presence. They are actually posting things!

appleinstagram.png

But again, it is not about Apple starting a conversation or begging for engagement. They are highlighting photos that iPhone users have taken. They are tapping to existing behavior (#shotoniphone-hashtag has nearly million photos in Instagram). They are not telling about themselves, instead they are showcasing people using their products. Instead of talking about popular culture, they are popular culture.

The odds are that you are not working with iconic brand, so you might need to approach your social media strategy differently. Still, these rules might serve as the golden standard to which you should aim for:

  1. Make products people want to talk about.
  2. Use Social media mainly as a channel for reach, secondly to engagement.
  3. Showcase your users, not your brand or products.
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No Moment too Early for Machine-created Creatives

Good copy stops you to read. Bad copy as well (so in that way mediocrity is something you should avoid):

I like to read paper newspaper as it keeps me in touch of the current decline of print advertising (not to mention Straits Times gives interesting viewpoint to the society, mostly by what it omits to tell). This ad is a good example on why we should already move to machine-generated creatives for majority of advertisers.

Of course AI will eventually be able to do even better, more touching and innovative creatives than we do at the moment. Meanwhile we should at least try to differentiate a little, show what humans are better: emotions, insight, feelings. If we cannot add even a little bit of magic to whatever we do, AI will overcome us faster than we have predicted.

 

 

 

 

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Supermarket Champagne and How Quick Win is Not Always Beneficial for Your Brand

For a person coming from Finland where you only can buy wines from government-run monopoly even seeing wines in supermarket is somewhat mind-boggling. However where I advocate liberal policies, being too accessible might not be that wise strategy if you want to be regarded as premium luxury brand.

In the case of G.H. Mumm the genie is out of the bottle (no pun intented) and it has definitely positioned itself as a mainstream champagne. However even for supermarket champagne this promotion is just plain ridiculous:

gh_mumm

Taking picture of receipts?

Sending messages to dubious WhatsApp numbers?

How low will your brand go?

To me if you want to be perceived luxury you should not even be having promotions or discounts. But even if having promotion you could create a better and more luxurious experience, maybe a nice landing page or if you want to use messenger apps: a chatbot.

Brands are after quick wins and forget that those actions will deteriorate the brand on the long run.

(Some smartass might ask why I bought the bottle in the first place, which is a valid question. In this case, the wacky promotion did not stop me from buying the product (but it was close). I just ignored the promotion) 

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UX is Everything

There are too many passwords to remember.

Therefore the user experience of “forgot your password”-button is essential. Not surprisingly when I had to reset my password for Skype, I was not particularly happy with this captcha:

captcha

How you should write this up? First the rows or columns? Funnily (or annoyingly) enough the audio did not make any sense.

Eventually it took 15 minutes for me to reset my password and even then I am not exactly sure of the logic of captcha. Not surprisingly I generally prefer Hangouts over Skype.

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The Age of Assistant: The More Personalized and Predictive Internet

starwars

We are entering the age of assistants, they just reside in our mobile phones.

Internet used to be about destinations. Typing in URL. Searching for something you need in Google and then following that search result to the rabbit hole of different sites. Clicking on banner ads and going to the websites from those banners.

That age is soon long gone.

Although majority of firms are still basing their digital strategies on destination approach, we have already moved to the age of assistant. Internet will become more personalized, predictive and the same time it will become more even more centralized. Our communications will start revolving around our messenger app (mainly WhatsApp), our information gathering will happen in Google app (increasingly through voice) and our buying will start to focus (again increasingly more through voice). Every brand needs to become better in predicting user behavior to provide more personal service:

  1. Prediction will trump the destination approach

When I have booked a flight, Google will automatically say to me to check-in, take a taxi and arrive on time. I am not going willingly to websites of either my airline, the airport or taxi company. The whole journey is prompted by the assistance of Google and I am happy for it. Our digital properties must be able to work in conjunction with this new assistant ecosystem. We need to balance between positive surprise (“How did they know that? So cool!”) and slightly creepy  (“How did they know that?” So scary!).

  1. People want the service in their own personal way

Chatbots have just scratched the surface of conversational commerce. We want to order pizza with emojis. Get song recommendations based on the context (“Hey Google, play that new theme from James Bond”). While the world will become more voice and message-driven, the transactions will become more personal and conversational. We must revamp our service process and lingo, so that we are able to serve our consumers in way that is intuitive for them.

The future of your digital business will be revolving around consumer data. The more you can have it, the better you can predict the behavior and more personal service you can give. We are entering the age of assistant and the best butler will rule them all.

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Turning Over a New Leaf

Last week I started a new job.

It is always exciting times. Lots of new faces and names. New processes. Different snacks in pantry. Different slang.

First couple of weeks are also devastating: you are already anxious to make your mark but you should also listen and absorb as much as possible. First weeks are great time to ask those stupid questions that everyone is anxious to ask, but after a while are too afraid to do so. So I have been mainly trying to talk to as many people as possible and to think as much as possible. I know that soon the time to think is of high value.

Many people asked what prompted me to change the job. I gave the following analogy:

The key to continuous progress when you are training with weights is to frequently vary your load or the amount of repetitions. Not too often, because then you lose the focus and just do random things. Not too seldom either because then your muscles get too comfortable to your current exercise. For a while it felt to me that I was doing the right exercises at work, but I did not develop as fast as I desired. Then you start to analyze can you easily vary your load, repetitions or should you change a gym.

After four great years in R/GA, it was time for me to change the gym and also the complete training program.

It is of course early days, but it already looks like the training program is starting to bear a fruit.

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Anatomy of An Insight: Don´t Ask The Internet

Cyberchondria is a growing concern among many healthcare practitioners as patients can now research any and all symptoms of a rare disease, illness or condition, and manifest a state of medical anxiety.
-Wikipedia

I seldom get sick, but when occasionally I start to feel under the weather I will enter to full-fledged hypochondria. After entering the rabbit hole of Google searches I will be convinced that I have gotten some weird tropical disease and I am on my way to early grave. Knowledge is power, but quite often knowing too much about potential diseases will just result in increased anxiety. To tackle this common behavior, the healthcare app Babylon has launched a new outdoor campaign “Don´t ask the internet. Ask a real doctor”:

hangover

Insight: People find visiting their doctor cumbersome, so they try to self-diagnose themselves with Google and avoid doctor visits as long as possible. This results in false diagnoses and growing unsubstantiated fear about potential problems.

sorethroat

Good campaign idea combining the humans need of convenience and rising cyberchondria. Babylon health app provides diagnoses from fully qualified GPs (with some AI) to your mobile phone, so you can get authentic info but don´t need to physically visit doctor:

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