Marketing In The ‘Now’ And ‘Next’
These five trends show how offline-to-online advertising is ushering in the era of 'now-to-next' marketing, writes Kinetic Global CMO Liliana Caro.
One clear thing coming out of dmexco last week is that the nature of the customer journey has evolved, crisscrossing the physical and digital worlds. As marketers, so must we. We no longer need to ask whether they’re “connected” or not: All people are already part of this morphing “always-on” world. It’s great news for brands and agencies alike, striving to create more timely and dynamic conversations between businesses and customers.
What’s even better? We’re now able to precisely understand in which offline contexts these audiences digitally engage with brands. Think of mobile engagements triggered in-store: While it’s made in the moment, it’s also paving the way for retargeting. So this should not only help us understand the “now,” but also be many steps ahead of the game. Here are five trends showing how offline-to-online advertising is ushering in the era of now-to-next marketing.
Generation Z is always moving
Generation Z is the top contending demographic of the day. Like their Gen Y brethren, they are mobile first. With over 96% of them owning smart phones, they are tech savvy. As a result, their world is one that constantly keeps them moving. So, how do we best engage with them to harnesses both the power of their constant movement and their connection to mobile phones?
Studies show that over 53% of all Gen Z consumers select brands that understand them as individuals. The personal user data that smartphones collect for us provides incredible opportunity to best contextualize and interact with the individual. After all, they have lived an entire lifetime with a smartphone, so the data we collect about them today will serve them for years to come. With the strong marriage of Out-of-Home advertising and mobile marketing today, we are able to target these audiences in the context of their environments.
Environments are growing interactive
The physical landscape is ripe for groundbreaking marketing opportunities; environments are becoming increasingly interactive. What we can begin to anticipate next is how these interactions will help us target and retarget to better reach our audiences.
As consumers grow more mobile, they become less attached to time and place. Instead, environments are both physical and virtual. So what does this mean next for marketers? Everything needs to happen away-from-home, making room for direct interactions. Out-of-Home advertising is the missing link — and most fundamental part, when it comes to moving from mass communication to personalization. Coupled with mobile, the dynamic “power duo” makes for vastly more transactional campaigns.
You see, the digitalization of Out-of-Home real estate is rapidly helping consumers interact within spaces, generating and increasing transactions in both real and virtual worlds. By transforming everyday spaces into an opportunistic “playing field”, we are able to effectively share the experience of our brand with them while simultaneously receiving invaluable information and data about the passerby. Visually or virtually stimulating is not enough; there must be interaction.
Dynamic content delivers greater engagement through programmatic
If utilizing programmatic buying to capture audiences is the now, leveraging what worked well to further anticipate and dynamically understand their physical journey is what comes next.
The combination of programmatic inventory and dynamic content delivery drives contextual engagement. While programmatic buying optimizes both budgets and placements, dynamic creative delivers and updates the content in context.
This trend is also closely connected with real-time advertising, fully automated and data-driven media shopping, and the optimal distribution of marketing messages. The rise of AI will significantly impact dynamic and digital Out-of-Home, automating the creation of custom content based on the target audience and context they’re engaging with.
The brick is getting smarter
The interconnectivity between smart cities and smart cars will reshape the way we stay connected at all times. The data that we obtain through these constant connections will power us to understand and target where personal journeys lead next. Digital interactions with individuals will give great power to tools like Wi-Fi, geo-fencing, beacons, proximity networks, and more – opening new realms of interaction and engagement.
Rarely in life do we ever get from point A to point B in one single step, and we may not even know what point C or D will be yet. It is this truth that opens the doors for incredible opportunities within smart cities and cars. If journeys are long, we must be there for every step; not just physically, but contextually. Moreover, the data captured or interacted upon must best serve future interactions. We can take this information in real-time to further influence the customer’s journey to points C and D. Relevance is key in the “smart” space.
The value exchange as the purchasing power
Peer-to-peer payment became so popular over the past years because it’s a simple value exchange. We all make quick payments and transactions amongst ourselves using our smartphones. In China, mobile payments have already accounted for over 100MM transactions. This behavior is already established in the every day life of most people on the globe, but how do we build upwards from this foundation? What comes next?
The rise of crypto-currencies and blockchain models suggests that the value exchange between a brand and an audience might fuel purchasing power. For instance, Kik’s KIN has created a new transactional model for brands, by which users earn a social currency and buy products through brand interactions. This is opening up an entirely new realm of generating in-channel, or “in-brand” commerce.
**Liliana Caro is the Global CMO of Kinetic Worldwide, a global agency dedicated to connecting with and activating audiences on the move. In this role, she elevates client performance through the digitalization of Kinetic’s product offerings and a unique methodology that delivers communications in context. As Kinetic evolves to keep pace with consumers that move faster than ever, Liliana brings new platforms and processes to ensure clients can effectively leverage the ubiquity of interactivity of Out-of-Home advertising across the globe.