Every company has a perfect customer. And at Verdict Media Strategies, we’re all about finding and engaging with them for you. We design, target and measure your content by combining art and science – beautifully crafted and intelligent copy with analysable metrics. Reach out to me to see how VMS can benefit your business with intelligent insights and powerful tools to increase your business activity and sales. Call John Dryden on +61 4 8461 3508
Designed for ultimate liveability, the spacious 1, 2 & 3 bedroom floorplans of Bowery give you room to live, relax and entertain in style.
94 Feet developed these fantastic Luxury Apartments that were in hot demand in 2017, with 35 sold off the plan by
the Urban Activation sales team says Matthew George.
HOME SWEET HOME Ideally located in St Kilda’s exclusive leafy east-end, the light filled apartments of Bowery will become your sanctuary. Bowery’s one, two and three bedroom floor plans feature spacious bedrooms all with built- in-robes and contemporary open plan living spaces within private balconies or oversized courtyards. Every residence has a full size kitchen, separate laundry, storage cage and one secure car park. With an elegant colour palette to select your finishes from, your apartment at Bowery will be your creation.
GETTING AMOUNGST IT Experience first-hand what makes living in St Kilda East so unique. Immerse yourself in the urban culture of St Kilda East by spending your Saturday’s at Alma Park tasting the eclectic delights of the Hank Marvin food truck market. For foodies and shoppers in the know, Bowery is just a hop, step and jump away from vibrant Chapel Street, home of some of the best hotspots in Melbourne.
CENTRE YOURSELF Zoned for comfort and positioned for lifestyle, Bowery is just 6km from Melbourne’s CBD, you’ll never look back from an easy city commute to work giving you more time for the finer things in life.
PERFECT PROXIMITY By car, bus, tram, train or foot, it’s so simple to get around St Kilda East. Enjoy the close proximity of popular haunts Chapel Street and Carlisle Street on the weekends for a relaxed brunch or fashion fix. After dark, head down to the inner seaside suburb of St Kilda and enjoy a cocktail or two by the beach.
The Urban Activation Team thoroughly enjoyed working on this project with 94 Feet, and were thrilled to sell every apartment off the plan before construction even commenced, and settled them all in 2017.
“Urban Activation continues to sell projects for developers around the country, and we look forward to speaking with you for any future projects” says Matthew George.
Frankie Apartments now complete in Yarraville – Stunning Development brought to you by 94Feet.
FRANKIE is a stunning new residential development on the leafy fringe of Melbourne CBD. Featuring limited 1, 2 & 3 bedroom apartments with uninterrupted golf course and city views, refined European interiors, and easy access to the best of Yarraville Village.
FRANKIE is your opportunity to establish yourself in a fast evolving inner-city suburb.
Drive, train, cycle, or walk, Yarraville is connected to everything by a major train line, freeway, as well as numerous bike paths. Whether you’re off to Williamstown Beach, Highpoint Shopping Centre, or Crown Casino you are only ever 12 mins from the best of Melbourne’s West.
“FRANKIE is a unique opportunity to provide a stunning new residential offering on the leafy fringe of Melbourne’s CBD,” said Dean Rzechta, managing director of Ninety Four Feet, “the location and the product is essentially a one-off.”
Designed by PEDDLE THORP, and Built by HAMILTONMARINO BUILDERS these apartments will stand the test of time, and they breathe a new lifestyle into Yarraville.
FRANKIE is only a short walk to many of the area’s vibrant cafes, bars and cultural activities that have ultimately defined this pocket of the inner-west. As we now feel the heat of Melbourne’s Spring and Summer, Yarraville Park opens its doors to long summer nights of food and wine at Melbourne’s largest food-truck park.
“With very little else of this caliber in the area, FRANKIE is a project that will set the benchmark for boutique inner city living in this fashion forward and evolving neighbourhood,” said Dean.
FRANKIE’s emphasis on modern design and functionality has led to an overwhelming interest achieving 100% of the apartments pre-sold and settling right now.
A simplicity in FRANKIE’s determination to blend in with Yarraville’s aesthetic, as well as an operating philosophy that ensures that Frankie is not only environmentally viable, but also environmentally sustainable, has lead to a community that supports the development, rather than one that denounces it.
Astute investors, owner-occupiers and more specifically, established local couples seeking an independent lifestyle, have dominated the sales arena with this project.
Well Done to the Team from 94Feet, Peddle Thorpe and HamiltonMarino Builders, as it was an absolute please to work on this project with you all, and our team grow in statue when delivering quality products.
To stay abreast of the projects that we are working on, reach out to us here at Urban Activation, and ask for Matthew George and the team, on HEAD OFFICE 1300 750 000, Level 1 / 54 Davis Avenue, South Yarra, VIC, 3141, Australia, +61 3 9820 8262
LinkedIn Marketing Solutions Blog Marketing Solutions BlogBig Numbers: 7 Stats That Define Key Marketing Trends in the Second Half of 2016 [B2B Beat]
Sean Callahan July 24, 2016
Marketers have never had so many choices. Every day, CMOs have the option to invest in emerging technologies, purchase new kinds of social media advertising, and experiment with an expanding array of mobile marketing programs. The following seven statistics, which the B2B Beat has curated, provide strong indicators where marketing spending is headed in the second half of 2016 — and beyond.
Read on to see why the numbers show that marketers should be paying close attention to the opportunities available in native advertising, mobile marketing, sales-enablement technology, programmatic ad buying, and more.
68.6% of B2B Marketers Are Boosting Their Spending on Sales Enablement Technologies by 6% or More
A recent survey by Highspot and Heinz Marketing found that 100 percent of B2B marketing and sales professionals said that their companies were boosting sales enablement investment they year compared with 2015. And the sales enablement budgets were growing significantly: 68.6 percent of those surveyed said their company budget for sales enablement was growing 6 percent of more in 2016 compared with the previous year. The bottom line for marketers is this: The tendency of marketing and sales to squabble is drawing to an end. Increasingly, marketers are seeing a crucial part of their role to support sales and drive revenue, and the numbers from this survey underscore the widespread nature of this trend.
$4.4 Billion: The Amount of Programmatic TV Ad Spending Projected for 2018
Programmatic buying of advertising of all sorts and is growing ubiquitous. It has long dominated online ad buying, and now it is moving to television. By 2018, programmatic TV ad spending will reach $4.4 billion in the United States and account for 6 percent of total TV advertising. Online, programmatic ad buying options continue to expand. For instance, LinkedIn recently introduced programmatic buying for its LinkedIn Display Ads. Marketers see LinkedIn’s quality audience as a key advantage of using programmatic buying on the platform.
88% of B2B Marketers Use Content Marketing
Echoing the words of Seth Godin, who said, “Content marketing is the only marketing left,” 88 percent of B2B marketers use content marketing, according to the Content Marketing Institute. Marketers are seeing content, such as blogs and ebooks, as essential tools for communicating with prospects and customers. Content offers are also the fuel for marketers to drive engagement via ads. Social media platforms offer both organic and paid avenues for content marketers. LinkedIn Company Pages, for instance, provide marketers an organic platform for sharing content, while LinkedIn Sponsored Content offers marketers a paid option for expanding the reach of their message.
More Than 90% of B2B Marketers See ABM As Important
A SiriusDecisions study found that more than 90 percent of B2B marketers described account-based marketing is either “important” or “very important.” While generating leads remains critically important for marketers, an ABM approach provides a crucial balance for identifying key prospects and targeting them with focused marketing programs. A variety of companies have recently introduced technologies to help marketers boost the effectiveness of their ABM efforts. In March, for instance, LinkedIn introduced Account Targeting, which helps marketers tailor their LinkedIn Sponsored Content and LinkedIn Sponsored InMail to reach a specific set of priority prospect accounts.
Spending on Mobile Video Advertising Will Increase 47% in 2016
A forecast from eMarketer projects that spending on mobile video advertising will increase by 47 percent this year. By 2020, mobile video advertising will account for almost half (46 percent) of the total spending on digital video advertising — with desktop accounting for 54 percent. Video is on a path to become ubiquitous as a marketing tool. According to Animoto’s Social Video Forecast, 84 percent of marketers used video for their marketing in the past 12 months, and 63 percent of marketers and owners of small and medium-sized businesses plan to invest more in video next year.
Marketing Campaigns Using Emojis Increased 609% Over the Past 12 Months
A recent study by Appboy found that marketers using emojis in their campaigns increased by 609 percent between the third quarter of 2015 and the second quarter of 2016. In June of this year, marketers produced 800 million marketing campaigns using emojis, which was 5.5 times more than the number produced in June of 2015. Emojis, however, are almost beside the point. The message should takeaway from this numbers is that it’s perfectly acceptable to be playful and human in your marketing. For this blog, we try to produce light-hearted “chocolate cake” posts like this one on B2B marketers.
Native Advertising Spending in Europe Will Increase 28.8% in 2016
In part to combat dissatisfaction with banners and the related questions about audience, viewability, and ad blocking, marketers around the globe are boosting their spending on native advertising. According to Enders Analysis, marketers in Europe will increase their spending on native advertising by almost 30% in 2016. By 2020, spending on native advertising in Europe is projected to skyrocket!
Between managing Facebook, Twitter, LinkedIn, your blog, and your email newsletter, time is tight at work. You don’t have very much space in that schedule for Instagram. And maybe your boss isn’t even convinced yet that the world’s most popular image network can deliver business results.
But you are. And you need to find a way to make it work efficiently.
Though we would advise dedicating as much time to Instagram as other social networks, we recognize that this just isn’t an option for many people. Whether you’re on a small marketing team or you’re self-employed, you need to budget your time carefully. Which is why we created this post.
If you only have 20 minutes a day to manage your Instagram account, this is how we would spend that time.
The quick schedule
3 minutes: Plan content
Fill your content calendar
Schedule Instagram posts with Hootsuite
Plan captions and hashtags
4 minutes: Edit and post images
Bulk edit using photo apps
Create streams within Hootsuite for monitoring
Keep posting to one or two images per day
10 minutes: Engagement
Respond to comments on your photos
Like and comment on follower photos
Use the Explore tab to find new users to engage with
3 minutes: Monitor hashtags
Find relevant industry hashtags or build your own
Use hashtags to surface user-generated content
3 minutes – Planning content
Instagram followers expect consistency. You can’t post a photo today and tomorrow, then not post anything for four days, and still expect your followers to stick around. That’s why it’s important to have a content calendar that includes Instagram.
Spend a little bit of time each day looking at your content calendar. If it’s empty, fill your calendar with image ideas/concepts that you’d like to post over the next week. These might include photos you already have and some you will still need to take. If your calendar is already full, see what images you have planned for today and tomorrow. Start thinking about captions and hashtags that might work well with them. Also consider whether these images would perform well if cross-posted to social networks like Facebook and Pinterest, or even embedded on your blog or website. All of these details can be included in your content calendar so you don’t forget.
social media calendar – content promotion plan
An example content calendar template
When you don’t have much time to allocate to Instagram, the more work you invest in planning, the less time you have to spend thinking about the details when it comes time to actually post your images.
4 minutes – Edit and post images
Editing and posting images is, in its essence, what Instagram is all about. You’re sharing images which create a visual identity for you or your brand. You strive to post only the best or most intriguing images in order to appeal to your following and the community at large.
Since image editing and sharing is core to the very purpose of Instagram, why have we allocated so little time to it? That comes down to several factors.
First, Instagram is extremely intuitive. With the help of preset filters, easy editing tools, tagging and social share buttons, you can build your entire Instagram post in just a few minutes and share it across your network.
Second, in addition to Instagram, there are a number of mobile photo editing apps built with Instagram in mind. These apps aren’t just valuable from additions to the Instagram editing suite, they also allow you to bulk edit your photos in advance. This means that, when it comes time to post, you already have the image part of the equation finished. A few minutes spent on the caption and tagging, and you’re good to go. Look into tools like Afterlight and VSCOCam, which are both very popular options in this space.
A screenshot of popular editing app VSCOcam
A screenshot of popular editing app VSCOcam
Third, if you only have 20 minutes to spend on Instagram every day, you also need to have realistic expectations of the quality of image you’re looking to share (i.e. you’re not going to be on par with a professional photographer). And that’s okay. The Instagram audience is used to seeing images that look like they were taken on a phone (most are, after all). Oftentimes these images are more relatable than their studio-quality counterparts. People appreciate when a brand posts images that were clearly taken spontaneously on an iPhone and then shared with the world. It’s how most people use Instagram and adds a behind-the-scenes or personal feel that people enjoy coming from a business. So don’t stress out about the quality of the photo as much as you do about the substance of it, which you ideally will have taken care of in the planning stages.
Fourth, with Hootsuite’s new Instagram dashboard integration, you can actually build and schedule your Instagram posts in advance. This allows you to allocate time once a week to prepare your images, so you can use the rest of your valuable time engaging each day.
Finally, you probably shouldn’t be posting more than one or two photos every day. Even though people have come to appreciate brands on Instagram, they don’t want you to overwhelm their feeds. Don’t treat Instagram like Twitter. In an average day you should strive to post a few high-quality photos at most. Your followers will appreciate the sporadic brand image and this approach will remove any pressure you feel to constantly be churning out content.
10 minutes – Engaging
If you only have 20 minutes to spend on Instagram every day, at least half of your time should be spent on engagement. Engagement, which includes liking and commenting on photos, is how you’re going to earn new followers and strengthen your Instagram community.
Unsure of how to engage?
Start with your own photos and followers. When people comment on your photos, take the time to respond to them. Thank them for their comments, respond to questions, tell jokes; anything that will show them that you went out of your way to talk to them personally.
Follow those who follow you and take the time to engage with their photos
Follow those who follow you and take the time to engage with their photos
You can also take some of the people that have liked or commented on your photos, and return the favor by following them and interacting with their photos. Don’t spam them, but like a few photos and leave a comment or two. Having a brand comment on their photo can be a huge ego boost for a regular user. People also want to know that there is a real person behind your feed. This engagement helps you show you’re not a robot, and makes your brand more relatable.
These actions will help transform followers into brand advocates, who will help you grow your Instagram community more naturally, supporting your brand and consistently creating buzz around your content.
Once you’ve taken care of your own community, look outside of that comfort zone. Use the Explore tab to find new people and photos that are relevant to you and your business. According to Instagram, they choose photos “liked by people whose posts you’ve liked or posts that are liked by a large number of people in the Instagram community.” This is, once again, why it’s so important to be active in liking photos from people in your community. It will result in more relevant images and users appearing in the explore section.
The Explore tab surfaces users you may want to engage
The Explore tab surfaces users you may want to engage
Once the Explore tab has surfaced relevant users, engage with their content like you would with one of your followers. You might be surprised at how quickly they follow you back or engage with your content.
Not only is Instagram engagement core to building your community, it’s a self-sustaining process. The more you engage, the more engagement your photos will receive, which in turn will increase your chances of appearing in the Explore tab. Appearing in the explore tab will result in more followers and engagement, creating a positive feedback loop.
3 minutes — Monitoring hashtags and communities
With the rest of your time, look at the hashtags and Instagram communities that matter to your business. This is an opportunity to learn about these users: what photos they like and what photos they share, the hashtags they use, how they write captions and comments, their favorite emojis. Take note of these trends and use them to guide your content strategy on Instagram moving forward.
Screenshot via Instagram
Screenshot via Instagram
You may also want to consider creating a branded hashtag, or at least taking part in a relevant industry hashtag. Supporting a hashtag in this way, especially a branded hashtag, can create a reliable source of user-generated content. If you ask your followers to contribute their own photos to a campaign, like Herschel Supply Company does with #WellTravelled or Poler Stuff does with #AdventureMobile, you can then identify the best UGC and reshare it (with full credit) with your audience. Your followers will probably appreciate the exposure, while you get a reliable source of content, further decreasing your Instagram workload.
Time-saving tips for Instagram
Since 20 minutes is a very short period of time, it’s important that you make the most of it. We also wanted to share time-saving tips for Instagram that will help you stick to your 20-minute window.
Always be thinking about photos
Summer mobile work apps
Is there an event at your workplace, like a party or a presentation, that might be a good illustration of your work culture? Do you have a batch of new hires joining the company? Are you moving into a new office or have you improved your facilities? Maybe someone from a partner company or a local business paid you a visit? Recognize that potential in day-to-day work situations, pull out your phone and take a lot of photos. You can sort through them and find the best ones at a later time. The key is to build this repertoire, so you’re never short on content.
Share the photo workload
User-generated content can drastically reduce your workload and save you time by providing you with a steady stream of photos to choose from. Put a little extra work into creating a branded hashtag and encouraging your followers to contribute their own photos. This will pay off tenfold down the line, especially on slow weeks when you’re struggling to find content.
In addition to UGC, you can also share your workload by encouraging other employees to get involved in your Instagram efforts. Create a company hashtag and ask colleagues to tag (appropriate) work photos with it. You can then reuse these photos on the branded account.
Stick to a schedule
As mentioned, setting up a content calendar for your Instagram account will do wonders for keeping things organized, and ultimately keeping you on schedule. At the same time, sticking to a schedule will also benefit your Instagram growth, since followers will know what to expect from you. The last thing you want is to update your account once a day or once a week, and then disappear for weeks. Posting images at specific times every day creates a routine that will keep followers coming back, while also saving you the time you’d spend figuring out when (or even remembering) to send images.
Reorder your filters
When creating a visual identity on Instagram, you should probably stick to one or two filters for your images. Doing so will make your images more recognizable to followers as they scroll through their feeds.
Manage Instagram Filters
Many people aren’t aware that you can actually reorder your Instagram filters to save you time if you reuse the same ones over and over. To do so, start editing a photo. Once on the filters screen, scroll all the way to the end of the list until you see a settings icon. Within the settings menu, uncheck filters you’d like to disable, or reorder filters by dragging and dropping them using the three lines on the left hand side. Then tap the X at the top to save your changes.
With so little time to spend on Instagram, you don’t want to spend precious minutes playing catchup. Save yourself time by enabling push notifications from everyone for likes and comments, as well as new followers, Instagram direct activity, and photos of you.
MARKETING, MEDIA & SALES
A World of Differences
Entertainment and media companies can tap into many pockets of growth and opportunity. Our intensive analysis of five shifts roiling the industry can help you identify them.
by Chris Lederer and Megan Brownlow
Illustration by Guy Billout
Entertainment and media (E&M) companies are making great strides in pivoting to serve digital consumers around the world. However, at first glance, the outlook for E&M companies worldwide still may seem troubling. Declining pricing power, disinflation, and the trend toward free media and sharing all make it fundamentally challenging to grow organically. Despite growing 5.5 percent last year, this US$1.7 trillion global industry is likely to have difficulty keeping up with the economy as a whole. The Global Entertainment and Media Outlook 2016–2020 projects that E&M will rise at a compound annual growth rate (CAGR) of 4.4 percent in nominal terms through 2020 — lagging behind overall economic growth (see Exhibit 1).
But a closer examination brings a different picture into focus. E&M is a dynamic, diverse industry with steady and sustainable growth. Although the strong aggregate growth is not shared equally by all participants, impressive growth and opportunities can be found in many areas of the industry. Drastic slowdowns in some areas and stagnation in others coexist with spectacular expansion in “hot” countries, regions, and sectors. Which is to say: This global media landscape is multi-shifting.
In fact, for the majority of the countries we looked at — 36 out of 54 — E&M spending is growing more rapidly than GDP, often by a factor of more than 50 percent. Venezuela tops the list; E&M spending growth there is likely to outpace GDP growth by more than 14 percentage points in 2016. Many of the most populous E&M markets, including Brazil, Pakistan, and Nigeria, will also produce comparatively higher E&M growth rates (see Exhibit 2). But that’s just the beginning of the story.
At a global level, one of the most significant shifts evident is a reordering of the industry’s sectors (see Exhibit 3).
On the left of the exhibit, we’ve aggregated segments into five broad groups: Internet, video entertainment, publishing, music, and video games. As the chart shows, revenue across E&M is steadily shifting from publishing businesses to video and Internet businesses — in particular those that provide over-the-top (OTT) services and monetize consumer data. When we break down global spending by business model on the right of the exhibit, direct consumer spending models remain strong, while spending on Internet access, including mobile data, will rival advertising. This development creates more fertile ground for new entrants and traditional players alike — think OTT video and new e-commerce offerings, for example — to jump directly into new markets and segments.
We expect the transitions we’ve described to continue, as powerful macroeconomic, technological, and social trends work to change the face of many industries, not just E&M. But the obvious changes under way throughout E&M mask a series of counterintuitive shifts that are apparent only to those deeply immersed in the industry.
Each year, in putting together the Global Entertainment and Media Outlook, we and our colleagues collect and aggregate an immense amount of data, gain insight through discussions with colleagues and industry leaders, test hypotheses, and formulate strategies. This process enables us to pinpoint shifts that few others can see — and the ones we’ve identified this year promise a host of opportunities across the E&M sector. They should serve as a serious call to action for many of the industry’s incumbent leaders, which can take control of their future.
The biggest of these shifts are occurring in five dimensions of the global E&M landscape: demography, competition, consumption, geography, and business models. Simultaneous and interrelated, they influence and play off one another. We’ll look at each shift in turn.
Shift 1. Demography: Youth Will Be Served
A great deal is made — in the U.S. in particular — of the financial struggles of millennials. But the cultural trope of 20-somethings living in their parents’ basement and cutting the cord on cable TV obscures a larger trend. We’ve all seen the speed at which younger consumers adopt new consumption behaviors and their startling ability to multitask in different media. These same attributes allow them to lead the way in setting trends and driving consumption in E&M markets around the world. Companies may find it easier and more comforting to pitch their products and services at putatively more affluent older people. But our data suggests that in many countries in many parts of the world, the young will propel E&M growth through 2020.
As shown by our mapping of 54 countries’ population percentage under 35 against their projected E&M spending growth rates, there’s an almost perfect correlation between markets with more youthful populations and those with higher E&M growth (see Exhibit 4).
Why? Here’s our hypothesis. Younger people consume more media than older people, and are more open to adopting digital behaviors — and therefore more open to digital spending. Although some analog segments remain robust, digital media is where aggregate growth is strongest globally. In addition, many of the most youthful markets have rapidly growing middle classes whose discretionary spending power is on the rise — and E&M spending is usually discretionary. The opportunity for media companies is to understand how the young spend on digital content, and to be able to predict, for example, when they will pivot from paying for music downloads to streaming music services.
Of course, E&M providers entering new markets or seeking to accelerate growth in existing ones should take into account a country’s demographics along with its wealth or rate of economic growth. A number of lower-growth, relatively older markets, such as the U.S., remain fundamentally important because of their size and absolute growth. In older, less digitized markets, it may make sense to focus more on managing the decline of legacy media — in other words, in these markets, a large base of consumers comfortable with traditional media will make it possible to sustain profitability for some time, whereas pushing new technology too hard will risk alienating the considerable number of older consumers. In Japan, for example, the average daily newspaper circulation is 45.6 million, a number that has declined by only 6.3 percent in the past four years. There’s no immediate rush for Japanese newspaper companies to go all-digital.
In younger markets, by contrast, there will be a significant incentive for providers to shift completely to digital media, or to offer bundles, the better to target the large number of youthful consumers with less ingrained habits and preferences. India’s growing middle class has supported print newspaper growth.
But the ranks of Indian social media users surged by 26 percent in 2015, to 134 million. That suggests more digital reading is imminent. (See “India’s Triple Play,” by Suvarchala Narayanan.)
Our analysis of total E&M revenue growth in the world’s 10 youngest and oldest markets in demographic terms further underscores the vital importance of youth (see Exhibit 5).
On average, E&M spending in the 10 youngest markets is growing three times as rapidly as in the 10 oldest markets. In Pakistan, where around 70 percent of the population is under 35, E&M spending is projected to grow at a 10 percent CAGR through 2020; by contrast, Germany and Japan — two much wealthier countries with among the lowest proportions of people under 35 — sport a meager E&M CAGR of about 2 percent. Put another way, growth in E&M spending is more influenced by the age of a country’s population than by its comparative wealth. So youth will be served.
Shift 2. Competition: Content Is Still King
In 2015, the stocks of many of the world’s largest traditional media conglomerates, especially those based in the U.S. and Europe, suffered in comparison to both technology-driven platforms such as Netflix and communications platforms such as Verizon. Declines in media stocks were especially significant in the summer (see Exhibit 6).
Content was deemed to have taken a backseat to technology and communications. The symptoms: slowing ad markets for traditional, content-producing media; big ratings declines for cable and broadcast television; the currency drag from a strong dollar; and a slowdown in TV affiliate fees. As a result, it might seem that the mantra from the 1990s, “content is king,” had become outdated. But in fact, in an important yet widely overlooked shift, we believe that content will reign supreme as platforms seek to differentiate and expand internationally.
In a world in which Netflix can launch its streaming services in 130 new countries in a single day, it’s easy to assume that content is becoming more globally homogeneous. But the reality is that content is being redefined by forces of globalization and localization simultaneously.
In the global coffee market, a homogenizing force such as Starbucks, now present in 70 countries around the world, can thrive alongside local chains and coffee shops. The same holds true in E&M.
Netflix, for example, has said that locally produced content is its future.
Much of the E&M industry is growing more global, but cultures and tastes in content remain steadfastly local. The international opening weekend of Batman v Superman: Dawn of Justice (in March 2016) grossed $254 million globally on 40,000 screens in 66 markets outside the U.S., the fifth most successful international opening in history.
But the year’s biggest opening in China thus far, the Hong Kong–produced fantasy comedy The Mermaid, grossed $120 million on its opening weekend in February 2016.
The Hong Kong–produced fantasy comedy The Mermaid grossed $120 million on its opening weekend in February 2016.
Content-based business models across the world are being transformed to support this coexistence of global and local content offers. South Africa–based Naspers has an impressive portfolio including pay-TV operations that serve 48 African countries, and Nation Media is the biggest media house in East Africa, having expanded from its origins in Kenya to build major operations in Uganda and Tanzania.
Such companies thrive by blending international reach and local focus. A host of global television formats are produced domestically, in local languages with local talent.
More than 100 international variations of the British-created quiz show Who Wants to Be a Millionaire? have been produced since the original U.K. version debuted in 1998.
Talent shows, dating shows, and cooking shows have also proven to have universal appeal, but they succeed in domestic markets largely because of their local characteristics.
The dichotomy of global and local may be seen most clearly in those markets that combine well-developed digital distribution infrastructure and platforms with strong local content industries.
The preference for local content over “global” (often code for U.S.-produced) content is evident even in a mature, developed, English-speaking country such as Australia, where locally produced sports, reality shows, news, and drama offerings, such as Shaun Micallef’s political satire Mad as Hell, rank as the 10 most-watched television programs every year.
Local tastes are even more prevalent in India, the world’s most prolific producer of movies; in Nigeria, where Nollywood produces about 1,000 films a year (more than U.S. studios do); and in China, which will overtake the U.S. in 2017 as the world’s largest market for box office revenue.
These factors carry implications for media companies’ strategies. In particular, it’s important not to assume that past patterns in spending on “global” content in mature markets are a valid guide to future spending in emerging markets, which often have their own, even more deeply held tastes in content and cultures, on top of a variety of native languages.
As companies tailor their decisions about market entry, they also need to consider the mix of global versus local brands they will deploy in order to build audiences.
A particularly striking example of counterintuitive trends driven by local content demand can be seen in physical recorded music revenues in 2015. Global spending on physical recorded music — mainly CDs and vinyl — fell in 2015 by 6.3 percent. Yet spending on physical music formats in the U.K. was almost flat, which is quite an achievement considering the downward trend. And in Italy and Norway, the spending growth was remarkable: 22.7 percent and 30.5 percent, respectively (see Exhibit 7).
What happened? In each market, the impact of global music streaming was offset by specific local tastes. In the U.K., Adele’s new blockbuster album, 25, which was not made available for streaming, was almost single-handedly responsible for the strength of physical music; the legions of fans among Adele’s countrymen and -women were willing to pay for CDs. In Italy, a strong domestic repertoire, led by the 13th studio album of singer–songwriter Jovanotti, Lorenzo 2015 CC, accounted for the rebound in physical music. And in Norway, where the popular electronic dance music scene promotes record-spinning DJs as rock stars, vinyl sales accounted for 24 percent of all physical music revenue, a high proportion compared with vinyl’s 2 percent share of music revenue globally. Faced with an array of choices, consumers decide at the local — and indeed personal — level what to purchase. And that leads to wildly different outcomes, even in markets that might appear superficially similar.
Shift 3. Consumption: The Joy of Bundles
The ability to design and curate your own media diet has been one of the most powerful trends to emerge in the industry. Whether in the U.S. or Uzbekistan, consumers have never had a greater ability than they do now to curate their own playlists — through apps, YouTube, streaming services, social media, and OTT offerings.
Broadly speaking, many pundits have proclaimed the end of the bundle — the set of offerings that radio stations, cable and record companies, or even newspapers and magazines have traditionally sold together. And indeed, the rise of subscription content streaming services has been a major feature of the E&M landscape in recent years (see Exhibit 8).
Global subscription spending on Netflix and other OTT subscription-video-on-demand (SVOD) services grew by 33.8 percent in 2014 and 32.3 percent in 2015 — that’s 77 percent in two years. The launch of Apple Music provided a major boost to digital music streaming revenue, and other streaming companies, such as Tidal, Beatport, Deezer, Earbits, Pandora, Spotify, and Rhapsody — to name but a few — arguably saw a boost due to the enhanced awareness Apple Music created among consumers. Partly as a result, global music streaming spending rose by 41.8 percent in 2015, to $4.07 billion.
But the bundle isn’t dead, not by a long shot. The rapid growth in on-demand streaming revenues is starting from a very low base, and even today on-demand streaming accounts for little more than 2 percent of global consumer E&M revenue. Meanwhile, video and cable incumbents, which were initially slow off the mark, are fighting back with gusto by offering their content on an integrated omnichannel basis, on TV, laptop, tablet, and smartphone. In numerous markets, many consumers — including cord cutters — still love the convenience of having their content aggregated in one place, rather than needing to root it out across a bunch of disconnected services. In the U.K., Sky’s Now TV stand-alone streaming service had more than 700,000 subscribers in early 2015. But Sky also offers those who subscribe to their main service a new multidevice streaming capability.
As such services gain traction, it’s clear that some consumers may opt for a set of “pure” à la carte offerings to keep costs down. And fewer will pay a premium price for a mundane collection of channels that they can watch only on television. But the traditional bundlers are adapting rapidly, and they have substantial advantages and large customer bases. As a result, we believe the bulk of digital OTT mass-market services will gradually be reabsorbed into aggregated offerings that will echo the traditional analog-style bundle, but that will be more flexibly priced and available on a full range of devices. These offerings will have features such as intelligent integration, which permits a consumer to watch part of a movie on one device and then finish it on another.
When this happens, the competitive battle may move up a notch from the OTT service level to the realm of service aggregators, which range from giants such as Apple, Google, and Verizon to small entrants such as WeShow and Aggrega. The big battles will no longer be fought mainly over networks, cable channels, and upstarts gaining access to content. The new battles will be among cable incumbents, technology giants, and telecommunications companies, fighting over gaining access to distribution. The heightened importance of ownership of broadcast spectrum will make spectrum auctions such as the one currently under way in the U.S. potentially pivotal.
Whoever buys and owns spectrum may be better placed to enter and win the race to offer streaming bundles. As bandwidth comes up for grabs, so too will the role of aggregator.
We also see bundles popping up, or reappearing, in other sectors. In Europe, newspaper publishers are enabling custom bundles by mashing content onto new digital platforms. Blendle, based in Utrecht, the Netherlands, launched an English-language version in March 2016 with 20 high-caliber publishing partners including the New York Times and the Economist. This experiment, which leverages micropayments, may prove attractive to digital consumers used to paying small amounts for apps, songs, and mobile games.
Shift 4: Growth
Generally, companies have had one set of expectations about developed markets (slow growth, low regulation, easier to access) and another about developing markets (rapid growth, high regulation, more difficult to access). The result was that a company might have one strategy for developed markets, and another, somewhat generic strategy for developing markets. But the dynamics are shifting rapidly.
In 2017, for example, when China overtakes the U.S. in box office revenue, it will mark the first time the U.S. has not held the leading position in an E&M segment. China is also well advanced in segments such as digital advertising. In 2016, three countries — China, the U.K., and Denmark — will become the first to reach the tipping point at which total digital advertising revenues surpass their non-digital equivalent.
Disruption is pushing markets to develop in different ways. The divergences are being driven by several factors. One is the differential growth rates among sectors.
The table in Exhibit 9 demonstrates that beyond zeroing in on the fastest-growing markets, such as Indonesia, India, and Peru, E&M companies must focus on those that are generating the greatest absolute dollar growth — namely, the U.S. and China. In addition, in every country, different sectors are driving growth to different degrees. The result of these divergences is that “opportunity” economies — even within the same region — can display significantly varied growth patterns.
In addition to understanding the where and how of growth by country, companies must grasp the importance of a third factor: regulation. In the E&M context, regulatory interventions include blocking entry of international companies, requiring a certain percentage of airtime to be dedicated to local market content, mandating government review and approval of content before content can be aired, and imposing different tax structures for local and international companies. And once again, the conventional E&M wisdom is often undermined by the facts on the ground. Simply put, some of the most heavily regulated markets are also those with the most growth.
In China, companies may face significant obstacles due to regulation. The websites of U.S. companies such as Facebook, Google, and Netflix are blocked, and the number of foreign films shown annually is limited. Yet China remains one of the most robust markets for E&M growth in terms of absolute dollars. The more restrictive environments tend to limit what media companies can broadcast and publish, and also limit who owns them, with a common focus on maintaining indigenous ownership and control. This often takes the form of governments funding local content or enacting regulations to prevent “excessive” outside cultural influence and protect local artists.
s+b Blogs ownership limits. But other countries are improving the regulatory environment for E&M companies. In Nigeria, which in 2014 created an online copyright registration system, the government is working to enact legislation to protect publishers more effectively against copyright infringement. Malaysia’s government has blocked tariffs on books in order to promote reading and literacy.
The fundamental and ingrained differences between markets represent a key factor that E&M companies must take into account when planning their global strategies. And it’s clear that despite globalization, such differences won’t go away anytime soon. The challenge for E&M companies is how to navigate around or through the barriers and thus gain access to these markets’ expanding consumer opportunities and growing revenues. One option is creating new, tailored business models and local joint ventures or partnerships, and then localizing content and advertising experiences to comply with local regulations on such issues as decency and public health, as well as to suit local tastes.
Shift 5. Business Models: Transforming with Trust
In 2013, Netflix CEO Reed Hastings (now) famously said he wanted to build Netflix into a company that actually resembled a premium cable network. This was a technology company racing to become a new kind of hybrid content company. Meanwhile, traditional publisher Time Inc. is emerging as a hybrid technology company. In March 2016, it acquired the data-driven marketing specialist Viant Technology. Such moves highlight another noteworthy shift. In many areas, the growth of technology and digitization acts as a powerful centrifugal force — breaking up existing relationships; pushing large, generalist entities to give way to smaller specialists; and allowing smaller, nimble competitors to beat out incumbents. But the reality is that the historic shifts now under way are forging the creation of new business models, and perhaps even new industries. Those that are able to integrate the capabilities and approaches that create value for customers will continue to thrive.
Let’s take advertising as an example. The rise of large integrated data sets, smart analytics, and new visualization and delivery platforms — combined with the growth of programmatic advertising and the advent of native content — would seem to significantly undermine the role of the traditional agency and media company. This view is reinforced by a migration of advertising revenue away from companies whose core product is “the big idea” and toward those, like Google and Facebook, whose differentiator is their algorithmic buying platform. At the same time, multichannel networks, social media, and content marketing businesses are seeking to grab a slice of the advertising pie.
But what if all these changes are creating an opportunity for incumbent agencies to reorient themselves to become invaluable to markets? One might argue that the established agency holding companies are uniquely well positioned to bring together programmatic capabilities, analytics, data aggregation, and native content. And in fact, they’re already doing it. The biggest holding companies are scaling world-class programmatic capabilities, while also developing software to buy digital advertising faster and more efficiently. What they cannot build, they buy or access through partnering. Enter the new “super” agency.
In September 2014, the advertising holding company WPP injected $25 million and the ad server platform from its programmatic media arm Xaxis into ad technology provider AppNexus, in return for a significant stake in the business. (See “Sir Martin Sorrell of WPP on Coming Together,” by Deborah Bothun and Daniel Gross.) Announcing the deal, WPP, whose Kantar unit represents one of the largest consumer retail data sets available, said the move continued its strategy of investing in fast-growing sectors such as ad technology and programmatic media buying. Other savvy, forward-looking agencies also have large and valuable data assets, and are working to evolve them to world-class levels. For instance, Publicis bought Sapient, which includes SapientNitro and Razorfish, thus enabling the company to build a portfolio of leading technology and digital assets.
As these players in the advertising value chain develop their data strategies, the new linchpin for competitive advantage could be bundling in content marketing (or, as some say, “brand to demand”) at scale. This next-generation marketing strategy offers promise not just to the agencies, but to content creators as well. In Australia, the three biggest newspaper publishers — News Corp, Fairfax, and APN News and Media — have all set up or bought a content marketing business in the last couple of years. These organizations may be very well suited to capture this opportunity because of the trust equity that lives in the brands, especially when it comes to assuring consumers who have privacy concerns. Globally, revenues from the creation and provision of content marketing grew 13.3 percent in 2014, to reach $26.47 billion, according to PQ Media. E&M companies that embrace technology and combine it with industry-centric assets — such as relationships, customers, and knowledge — will thrive and evolve.
Navigating Multispeed Markets
As the five shifts that we’ve described play out, so will changes in the E&M landscape. This industry is learning from experience and becoming nimble; more and more, it will position itself to seize the opportunities that appear. The E&M industry is getting used to the new normal — a multispeed marketplace that expects and plans for disruption.
Why do we say this? From the vantage point of today, it might seem that any strategy for the next five years will be rendered not just obsolete but irrelevant by 2018, let alone by 2021. Just think about how E&M companies’ five-year pro forma plans from 2011 look today in light of the disruption we’ve seen.
Even so, E&M companies are learning, acting, and, in many parts of the world, thriving. Each of the shifts we’ve highlighted can help companies plan and do business better. The power of youth, the primacy of localized content, the resilience of a new kind of bundle, the deepening of developing markets, the potential for new business models: All are taking place against the backdrop of steadily growing industry-wide revenues.
For E&M companies with the right strategies and insights, the opportunities are legion. And the shifts play to the strengths of companies with big market positions, capital they can invest, strong brands, and strength in understanding local tastes and preferences. If they make the right calls, incumbents can position themselves to capitalize on the next phase of change and drive growth.
To do this, they’ll need to ensure that their capabilities are both up to the job individually and aligned such that they add up to more than the sum of their parts. Strong brands must be underpinned by the best talent, which must be empowered by low-friction digitized processes that enable them to glean and use deep consumer insight from data. Companies that combine these attributes and establish positions in high-growth markets will be the most likely to succeed.
Chris Lederer advises senior management in the media industry on issues of strategy and growth for Strategy&, PwC’s strategy consulting business. He is a principal with PwC US based in New York. He has published previously in Harvard Business Review and with Harvard Business Publishing.
Megan Brownlow focuses on market diligence and strategy for the entertainment and media sector at PwC. She is a principal with PwC Australia, based in Sydney.
Edward H. Baker, “The Surprising Endurance of the Boob Tube,” s+b, Sept. 9, 2015: Author Michael Wolff’s argument about why television maintains its audience.
Christopher A.H. Vollmer and Matt Egol, “Five Rules for Strategic Partnerships in a Digital World,” s+b, Dec. 22, 2014: For leading companies in E&M, the future depends on the capabilities and insights they can tap by working with others.
We will be continuing the conversation around the Global Entertainment and Media Outlook 2016–2020 at major industry conferences, on our websites, and in future articles. Topics could include deeper dives into measurement, mobile, and privacy, as well as country-specific conversations. Go to www.pwc.com/outlook to get access to more Outlook information and subscription options.
Topics: advertising, analytics, digital marketing, digital media, disruption, innovation, internet, marketing, media, media
As a practitioner and educator in social media, where I work with Professionals and Students in social media, I am aghast at the lowering of age to 13 years where you can hold a TINDER Account.
It is hard enough educating consenting adults on how all of these platforms work, and to bring them into the current age, without their young children being given access to a “Hook Up” site where over 26 Million people hook up on a daily basis! Tinder claims to have hooked up over 10 Billion matches to date, and still counting and growing daily. It just worries me about young people having access to this information where potential trawlers can incubate searching for the right child to lure into their web.
People playing outside of the scope this app, generally use it to meet people who want to have sex with them.
As a educator, practitioner and researcher in social media, Tinder is highly spoken about however little is understood about it as an app.
It is something that I had thought of that I will never allow my kids to use while living under my roof, nonetheless, I thought that I should do some investigating and try to get an idea of just how popular this “hook up” app really is and how it works.
As I began my research, it didn’t take long to confirm my fears.
Tinder is widely known as an “app that helps you meet people for sex.”
Although the app is intended for adult users to meet new people in their local area, it was disturbing to find out that the app is growing in popularity among young teen users.
Here’s the description of the app from the iTunes Store:
Tinder is a fun way to connect with new and interesting people around you. Swipe right to like or left to pass. If someone likes you back, it’s a match. Chat with a match or snap a photo to share a Moment with all of your matches at once. It’s a new way to express yourself and share with friends.
The App Store rates Tinder as being for ages 13+ due to “Infrequent/Mild Sexual Content or Nudity; Infrequent/Mild Profanity or Crude Humor; Frequent/Intense Mature/Suggestive themes
How Does Tinder Work?
Once you have downloaded the app, Tinder requires that you have a Facebook profile in order to create an account. Your Tinder profile will display the same profile information as your Facebook account. It will also display pictures that you have uploaded to your Facebook account.
When you set up your profile, you specify your preferences for finding matches (age, gender, location). Tinder matches you with other users based on these parameters. You must have GPS enabled on your device and specify a radius for your matches in your account settings.
Once your profile is set up, you can scroll through pictures of users matching your search parameters. If a picture strikes your fancy, you can swipe the photo to the right to ‘like’ it. If you swipe to the left, you pass on it. If another user ‘likes’ your photo in return, Tinder will send you a notification message that there is a match and you can make contact with that person.
You may disagree, but to me, even for consenting adults, this process has creepy written all over it. I just have to be thankful that I am not part of the modern-day dating scene and hope my children have the good sense to stay away from apps like this and choose to find their mates the old-fashioned way.
What Parents Should Know about Tinder
Tinder was intended for users over the age of 17, however it has now been lowered to age of 13!
Tinder seems to be full of vulgar, rude, sexually-charged content.
In fact, some of the creepy users have created their own Facebook page dedicated to this sort of content.
It’s called ‘Tinder Creeps’. Notice I did not provide a hyperlink to this page, as I don’t want to be responsible for sending you there. View at your own risk – it is content you would NEVER want your children exposed to – at any age.
Given how Tinder works, it seems it could easily be a potential playground for stalkers and pedophiles. Similar “dating” apps have been linked to cases of child rape by grown men posing as teens while using them. For more information about this, see this article: Social App Skout Suspends Teen Community After Rape Allegations
Tinder requires users to have a Facebook profile in order to use the app. These may lead some to believe that if users have a valid Facebook profile, they won’t be on there with creeps who cannot be identified easily. Keep in mind it takes only a few minutes to set up a false Facebook account – and anyone can do it.
Tinder matches users based on their relative location, not their exact location. However, there is nothing stopping a naïve youngster from revealing their exact location when they start chatting with their new-found friend.
Users are anonymous until they both like each other’s photos, at that time they can message each other.
Consider carefully how you feel about an app that allows your child to be judged, and essentially accepted or rejected, based on their appearance. Rejection like this could be devastating to a vulnerable adolescent’s self-esteem. Through my research I learned that apps like Tinder are often used to “prank” other users by creating fake profiles and using them to say outrageous things to people that they would never say in person. Tinder seems to be yet another platform for the worlds youth to cyberbully each other.
What Parents Should Do
Of course, start by looking at your child’s device and see if they are using the Tinder app. Follow this link to see what the Tinder icon looks like in the iTunes app store. If you find this app installed on your kid’s device, you may be tempted to take a look at what they’ve been up to on the app, and as a parent who is likely paying for that device, I think you are well within your rights to do so. If your child is under the age of 17, you should sit them down and talk to them about why the app is inappropriate for their use. Then be sure to delete the app.
Be on the Lookout for these Other “Hook Up” Apps
Now that you know apps like this exist, you may want to keep an eye out for the similar apps listed below. Unfortunately, new dating and “hook up” apps like Tinder are cropping up all the time, and it’s pretty difficult to keep up. Here are some of the more popular ones that you may want to be on the lookout for on your kids’ devices. I’ve included descriptions of the apps directly from the iTunes App store.
OkCupid is the best and highest rated dating app on earth. We use math to calculate your best matches, making dating simple and fun… and it’s 100% free.
Blendr: Chat, Flirt and Meet New People Find nearby dates with Blendr, the free, socially flirtatious chat-to-meet app. Blendr uses your mobile device’s location services to connect you with the fun singles closest to you who share your interests and want to chat it up! With more than 200 million users around the world, Blendr is the best way to break the ice with more people around you.
MiuMeet is the awesome new app that lets you meet, chat and even flirt with new friends looking for some company just like you! With this app, you’ll be talking to new friends and local singles in no time. MiuMeet lets you start conversation with new people through its messaging platform so you can meet up live and in person with that special someone. Whether you’re looking to branch out into a new social group or interested in dating that special person, MiuMeet is perfect for you and anyone else in between.
Grindr The world’s leading mobile social network app exclusively for gay, bi and curious men – is sexier and faster than ever. With over 7 million guys in 192 countries, Grindr finds guys close to you for chatting and meeting anywhere in the world. Find your perfect guy right now.
3nder Dating hookup site for couples and singles, kinky, curious and open-minded individuals that wish to partake in threesomes, exploratory, and different combinations of Female, Female and Male, or Male, Female, Male or variations there of.
Skout is the global network for meeting new people.
Instantly meet people near you or around the world. Discover new friends at a local bar or in Barcelona. Millions of people are connecting and meeting through Skout every day. Use exciting in-app features to increase your chances of friending or chatting!
MeetMe helps you find new people nearby who share your interests and want to chat now! It’s fun, friendly, and free! Join 100+ MILLION PEOPLE chatting and making new friends. It’s for all ages, all nationalities, all backgrounds — EVERYONE!