Kai Mildenberger, chief technology officer, [a]insightsSocial speech, complemented by turning data into insights, is becoming more critical for marketers to employ and depend on when exploring new and emerging technologies, Kai Mildenberger, Ayzenberg’s chief technology officer said during the UCLA IS Associates’ fall meeting.
Mildenberger spoke at the school’s Nanosystems Institute, detailing how to better build real relationships with consumers by understanding them through social speech. He was joined by fellow speakers Mohammed Mahbouba, UCLA Health’s chief data officer, William Miller, chief information officer for NetApp and William Doherty, senior solution architect for GE Digital.
The IS Associates is a UCLA-sponsored organization that dives deeper into managing and understanding information systems and effective leadership of IT functions, a sentiment Mildenberger echoed throughout the course of his half-hour presentation.
“The world of marketing has fundamentally changed with the advent of social media,” said Mildenberger. “Ever since Gutenberg’s 1440 printing press, marketers have worked with gatekeepers—the printers, publishers, TV networks—et al. Now, consumers are speaking freely and directly to one another. But they are doing it at petabytes an hour all over the world. So, today’s challenge is to understand and act upon this massive influx of social speech. Data sciences and AI are the only way to do this.”
Mildenberger says marketers can learn virtually everything from consumers using this kind of technology, including preferences, dislikes and passions.
“We can learn who they are, what they are talking about, and where they are,” he says. “This last point isn’t referencing geography, because that’s not as important in social media, but where they are in the social fabric. Social speech can help us know their personality and understand their base psychological makeup, which is the best way to predict future actions.”
Mildenberger concluded his talk by highlighting emerging trends that marketers should absolutely know for AI-driven technology right now.
“AI and data science are just a conduit to connect social science with what we are trying to do—inject brands into authentic conversations to gain influence with the ideal consumers,” said Mildenberger. “And, of course, measuring that influence is key to success.”
Learn everything you need to know about turning insights into data at AList Sessions, a new invite-only event series for marketers, on October 26 in Los Angeles. Mildenberger will be one of the featured speakers.
The millennial traveler is changing the hospitality industry by redefining expectations. Over 70 percent of millennials from the US, UK and Canada said that travel is an important part of who they are as a person, according to a November report by Airbnb. Thanks in part to younger consumers, the US travel market is estimated to reach $381 billion by the end of this year, according to Deloitte.
Travel and hospitality brands are catering to the millennial traveler by appealing to their digital, social and experience-driven priorities. The idea is to create more memories for less money. Convenience is another driver—Google found that 41 percent of millennial travelers have used a smartphone to shop for flights, and 27 percent have shopped for hotels this way.
Air France has launched a new airline called Joon aimed at millennials whose lifestyles revolve around digital technology.
“The airline has been designed to meet the expectations of a new generation of travelers,” says Air France on its official website. “On the schedule—flexibility, a personalized and tailor-made travel experience. Joon is for anyone who is looking for a new travel experience.”
Joon will offer access to in-flight entertainment that streams directly onto travelers’ smartphones, tablets and laptops. All seats will be equipped with USB ports for the charging of electronic devices. Joon will begin offering flights out of Paris in December.
https://youtu.be/rXls9p8um04
Airbnb says that roughly 60 percent of all guests who have ever booked through its service have been millennials. When young consumers can just as easily crash at a stranger’s house than book a luxury hotel, hospitality brands are feeling the pressure.
Marriott also created its own millennial-focused brand in 2014 called Moxy Hotels. A boutique hotel with the “social heart of a hostel,” Moxy offers free WiFi and social experiences.
“[Moxy is] a brand that was created strictly for the millennial traveler,” Catherine Leitner, senior director of buzz marketing at Marriott International, toldAListDaily. “It’s led by a young, fresh, female executive who really has her finger on the pulse of what that traveler is looking for—from hotel and room designs to public spaces—and the price point makes it reasonable and attainable.”
The youth-focused hotel chain utilizes social influencers and branded content to foster its image of having fun away from home.
Cruise line Royal Caribbean has funded a guided tour company called GoBe that takes exploration beyond just port of calls. The offshoot is an answer to the idea that 80 percent of guided tour bookings are made offline, creating an opportunity to build a brand for those who don’t.
Using slogans like “GoBe adventurous” and “GoBe romantic,” the brand is able to cater to the world traveler market across age groups.
For the millennial traveler, GoBe is launching a mobile app, plans to work with social influencers as well as travel and tourism personalities and has adjusted its booking availability to meet last-minute demands.
“Millennials plan things out with much shorter notice,” GoBe managing director Billy Campbell told AListDaily. “You can go on the site and get something booked for tomorrow or the next day, but [millennials] want to be able to book a tour today.”
Wearing your food used to mean dribbling ketchup down your shirt, but we’ve entered a new age of food fashion. It may seem silly, but brands—especially in the food and snack industry—are designing their own wearable fashions, and they’re selling out fast. From Big Mac boots to White Castle streetwear, you are what you eat and these food brands are cashing in.
Saucy Styles
Taco Bell is the latest brand to create its own fashion, teaming up with Forever 21 to launch its own line of clothing. From what the press have been shown, the designs are pretty saucy—literally. One tank top is modeled after a hot sauce packet. The two brands will debut the rest of the collection on October 10 in Los Angeles’ Fashion District, complete with a runway show, taco trucks and entertainment from a Taco Bell Feed The Beat artist.
The limited edition Forever 21 x Taco Bell collection will launch in Forever 21 stores and online globally October 11.
Finger Lickin’ Fashion
Kentucky Fried Chicken has reinvented itself as a millennial-focused brand that doesn’t take itself too seriously. In addition to a series of comedic TV spots and publicity stunts, fans can slip on some chicken-printed socks, don gold-colored “finger lickin’ good” necklaces or lay their heads on Colonel Sanders pillowcases.
Sure, it’s weird, but the extra crispy food fashion seems to be working. Many of the products on KFC’s online store are already sold out. Someone even bought the $20,000 chicken-sandwich-shaped meteorite.
“Our tongue-in-cheek humor and over-the-top selling is something that has been working well for us since many millennials distrust advertising to begin with,” George Felix, KFC’S director of advertising, told AListDaily. “Instead of running away from that, we run right toward it. We believe that our ability to poke fun at the conventions of typical advertising has given us credibility with millennials. We know the new brand positioning and advertising has put KFC back on the map.”
Cheesy Coutour
The cheesy, orange snack began offering Cheetos-inspired fashion this past holiday season that included Flamin Hot Pants, underwear, cuff links, a cheetah onesie and even a $20,000 sapphire ring.
“The Cheetos brand is always looking for fun ways to engage with our consumers beyond snacking with programs that are an extension of the playful brand personality we are known for,” Ryan Matiyow, senior director of marketing for Frito-Lay, the parent company of Cheetos, told AListDaily.
You Dew You
Last year, Mountain Dew partnered with youth culture fashion brand VFiles to celebrate the history of camouflage. “Camo Out” is a collection of smart clothes that include a hat, Bluetooth jacket, solar-powered backpack, as well as jackets and pants with built-in headphones.
“When the brand is at its best, it’s constantly innovating, instigating and pushing the culture in a meaningful way for all of our fans—they expect it from us,” Stinson Parks, Mountain Dew’s digital marketing manager, told AListDaily.
The collection debuted during New York Fashion Week 2016, with models wearing the tech-infused clothes on the runway. A month later, an interactive exhibit featuring Camo Out was featured during ComplexCon in Los Angeles.
FIFA 18 is now available, and fans across the world are congregating on the proverbial pitch to build their virtual soccer dream teams. EA Sports has been busy getting players psyched for the launch with livestreams, giveaways and gameplay tips while including the real-life soccer players themselves. Cover boy Cristiano Ronaldo is the face of FIFA 18, which will be releasing on the Nintendo Switch for the first time.
Through its different play modes, FIFA 18 hopes to capture the thrill of competition and players’ dreams of stardom. To accomplish this, EA has focused its marketing on the phrase, “more than just a game.” With international appeal built right into the sport, EA set out to attract attention from real-world soccer fans to esports enthusiasts and everyone in between.
A new skill in the game emulates a spinning move called “El Tornado.” EA’s other sports emulators like Madden, NBA Live and UFC recreated the moves in their respective games to share on social media. A special El Tornado pack was offered as a giveaway that includes a gold controller, a copy of the game, FIFA score plaque and more.
Much like for EA’s other sports simulators, soccer stars are personally invested in their virtual characters’ scores. When asked to give their teammates a FIFA score, the pros didn’t hesitate to poke and prod each other.
FIFA18‘s“The Journey” mode continues the story of Alex Hunter—an ambitious young athlete introduced in FIFA 17. In his rise to fame, the fictional character was sponsored by Adidas and now by Coca-Cola.
The Coke endorsement deal is played out in the game, including the filming of a TV commercial that reimagines the classic “Mean” Joe Greene spot from 1979. In a modern twist, Hunter takes a selfie with the Coke-offering kid instead of giving him a jersey.
Fans can pick up specially marked cans of Coke at participating North American Walmart and 7-Eleven stores with Alex Hunter on them. Download codes printed on the underside of the cans unlock additional in-game items.
Two worlds collide with EA’s FIFA 18 esports activations. Teams like West Ham United are signing esports players to represent them at esports tournaments, showing solidarity for the sport across mediums.
For its “largest ever” FIFA Interactive World Cup, the game publisher offered players worldwide a shot at representing real-world teams in official competitions. Ultimate Team Championship Cups will let virtually anyone qualify for a chance at glory in winter and spring events. In the meantime, Unilad Esports’ Gorilla took home the FIFA Interactive World Cup title August 18, giving inspiration for video game hopefuls.
Esports plays another role in FIFA 18 this year—players can rep esports teams in-game by unlocking special edition football kits for Team Liquid, Hashtag United and AS Roma eSports in Ultimate Team mode. The teams themselves hosted giveaways across their social channels as well.
Dubbed “FIFA Friday,” EA’s big game launch includes a sponsored hashtag that adds a soccer ball to posts with #FIFA18.
For governing body FIFA and soccer clubs around the world, gaining worldwide recognition for the sport means maintaining relevancy with young, digital native consumers–which really makes FIFA 18 “more than just a game.”
Carnival Corporation is making a serious investment in video game development, both through original mobile games and specially designed interactive experiences aboard its ships.
Princess Cruises is the first of Carnival’s nine brands to implement the on-board gaming strategy, beginning with the November launch of the Regal Princess. But Carnival’s PlayOcean gaming brand expands beyond Princess’ new Medallion Class ships, targeting the global mobile gaming audience.
John Padgett, chief experience and innovation officer for Carnival Corporation, told AListDaily that PlayOcean taps into the growing interest in mobile gaming by offering a selection of original games through two free downloadable mobile apps. PlayOcean Everywhere launched yesterday with a suite of four free-to-play iOS and Android mobile social multiplayer games, including Queen Sea Poker, Tipsy Tentacles Slots, Roulette on Deck and Bingo on Deck. PlayOcean Casino will debut in mid-November in tandem with the Regal Princess’ Caribbean sailings.
“Mobile gaming is all about interactivity with guests,” Padgett explained. “Traditionally cruising had defined gaming as equal to casinos, but casino gaming is just one dimension of gaming itself. We decided to take a much broader interpretation of gaming to be more inclusive to more people. That’s why we developed a portfolio of games that you can play for free without even being on a cruise ship.”
PlayOcean Everywhere will continue to add new titles over time. Carnival has enlisted console game development studios like PipeWorks, Epic Reach and Heavy Iron Studios, as well veteran Disney video game developers like Rich Criado and Ryan Rothenberger, to oversee the new extension of its brand. Padgett said this initiative will increase awareness and engagement with its cruise brands globally.
“As the digital and physical spaces begin to converge, we want to immerse our guests,” Padgett said. “Games are one of the best forms of interaction. Our focus is not to sell games. We’re after creating interaction and engagement.”
Carnival Corporation celebrated the official availability of PlayOcean on Thursday with an event in Times Square that synchronized multiple digital billboards to showcase the new games, as well as an activation center where people learned more about the gaming initiative.
Padgett previously worked with Disney Parks and Resorts to launch the MagicBand connected experience at the Walt Disney World Resort. He said before digital games existed, people would immerse themselves in fantasy-related activities extracted from the reality of theme parks.
“Now, with connectivity, great guest experiences are no longer constrained to theme parks,” Padgett explained. “The barriers have been broken down and companies like Carnival Corporation can step in. Because we operate around the world without boundaries with a fleet of ships that have many different flavors and styles, as well as trains, lodges and islands, we can add a digital element of engagement. The cruise industry accounts for two percent of global hotel rooms. When we expand the perception that the cruise is just one stage in a world of persistent interactivity, it’s a pretty big deal.”
Criado previously worked with Padgett on the MagicBand project for five years, which included work connecting that technology with the Disney Infinity game to unlock exclusive content at sea that could be played with at home.
That same concept of blending the real and virtual worlds will come to life when passengers board the Regal Princess. PlayOcean Casino is the first of a series of games that will allow passengers to bet real money on mobile devices. The PlayOcean Everywhere versions of all games will use virtual currency in the form of clams, which can be earned for free or purchased through the app.
“We’ve taken every game genre or category that exists in mobile and created a game in that category from family to traditional gambling,” Criado explained. “We’ve created characters and stories behind these games that make people want to engage with them at a different level. We didn’t want to recreate the Vegas experience. For Tipsy Tentacles Slots, we created characters like Tipsy the Octopus bartender who’s not very good as a bartender. He’s trying to help you play the slot machine game, but all the while he’s trying to serve you and guests drinks.”
Criado said that the concept of connecting the game world and virtual is also wired into the ship itself. When gamers log on to Ocean.com they create a personalized Tagalong avatar based on a turtle, seahorse or butterfly fish. This avatar is persistent across the Compass app, but also appears on the ship throughout the cruise experience. Stateroom TVs will feature this avatar and also serve up exclusive games like Tagalong Sprint that can be played using mobile devices as controllers.
Throughout the ship, 125 4K touchscreen monitors will reveal these avatars as sensors register the Medallions that each passenger carries on board. These avatars will even be featured on the giant 4K on the top deck digital outdoor movie screen, where different video game challenges like This or That can be played using any mobile device as a controller.
Criado said guests can also collect charms for their Tagalongs across a number of categories like status, destinations, celebrations, recognition, PlayOcean, events and entertainment, onboard, mood and interests. Three charms can be displayed at any time and appear with the Tagalong.
Another example of an exclusive onboard gaming experience is Ocean Treks Adventure, a digital scavenger hunt featuring American nature conservationist and TV host Jeff Corwin, who leads guests on quests throughout the ship to solve puzzles, follow mobile clues and answer riddles. The game sends passengers to various touchscreen displays, where simple 2D animated video games unlock information about key historical figures from the Caribbean. The Medallions track individual progress and unlock Tagalongs at different stations along the way. Three adventures will be available at launch with the goal of adding more over time.
“We’re exploring a dimension that hasn’t been done before that demonstrates to the guest that there’s a digital dimension to everything physical, whether you see it or not, and it’s there to enhance your experience,” Padgett said.
Princess has multiple Medallion Class ships rolling out over the next few years. The technology built into these Princess ships can be integrated across other Carnival brands like Carnival Cruise Line, Holland America Line and Cunard in the future.
Both Padgett and Criado said this interactive voyage for Carnival Corporation is just beginning.
MasterCard has combined virtual reality with its Masterpass digital payment service to unlock new opportunities for brands to sell products directly to consumers.
First up in exploring this opportunity is Swarovski, which worked with YouVisit to create a VR shopping app for the Atelier Swarovski home décor line. The app, which launches in October, immerses consumers in a decorated home where they can browse a collection of crystal home accessories designed in collaboration with renowned architects and designers, and purchase the pieces with Masterpass.
Abi Mandelbaum, CEO and co-founder of YouVisit, told AListDaily that VR has the potential to offer an entirely new shopping experience for consumers.
“The benefits are easy to see for a brand like Swarovski, which offers high-end, limited-edition pieces that might not be available everywhere,” Mandelbaum said. “But as VR becomes more and more common in consumer homes, experiences like this will enable people to shop with more confidence—to feel like they’re really seeing the products they consider purchasing and can buy with more confidence.”
Mandelbaum added that the key for brands to connect with consumers in VR is interaction.
“The more you give someone to do inside a VR experience, the more fulfilling they’ll find it and the longer they’ll stay,” Mandelbaum explained. “It’s important to offer many opportunities to try things, click on information and access additional media.”
The app lets users walk through the five areas of the virtual home to browse designs by artists such as Norwegian-born Kim Thome, Amsterdam-based Aldo Bakker, Spanish designer Tomás Alonso and the architect Zaha Hadid.
Once in the VR environment, they’re able to learn about the stories behind each piece, read through descriptions, see the pricing and in some cases, watch videos about its craftsmanship.
Masterpass enables consumers to check out from within the VR experience without having to add payment details.
Kiki Del Valle, senior vice president of commerce for Every Device at MasterCard, told AListDaily that the world of e-commerce is undergoing radical shifts.
“Consumers are leading an increasingly connected, digital lifestyle—where the digital and physical blend seamlessly together,” Del Valle explained. “MasterCard is always looking to make shopping a seamless experience for consumers—whether it is online or in physical stores.”
While VR is still in its early days of consumer adoption, Del Valle said early adopters tend to be pretty tech savvy, which aligns well with the digital leanings of many Masterpass users.
Masterpass is MasterCard’s digital acceptance for roughly 340,000 merchants to enable online and in-app purchases at more than six million merchant locations in approximately 96 countries that accept contactless payments.
“Our goal is not to tell consumers what technology they should use while shopping, but to provide consumers with the choice to shop when they want, how they want in a manner that is as seamless as possible,” Del Valle explained. “We also want to provide our merchants with the ability to accept payments across all technology platforms possible—in-store, in-app, online and in AR and VR.”
With VR, Del Valle believes merchants and brands can shape the story and experience of consumers as they browse, shop and purchase.
“We are looking forward to exploring the limits of VR commerce,” Del Valle added. “Automotive and travel are verticals that seem to lend themselves well to the capabilities of VR.”
Mandelbaum said VR allows car makers to go beyond the current online and mobile offerings of researching a vehicle before making a purchase.
“The experience can be improved for consumers if instead of seeing the car interior and exterior views, they could experience the sensation of driving or hear the design story from the car designer and its performance details from the engineer in VR,” Mandelbaum said.
And it’s not just VR that’s changing the opportunities for brand interactions with consumers. With giant tech companies like Apple, Google and Microsoft all supporting AR, Del Valle said the technology creates a platform to add data and information to the physical world that is personalized, contextual and highly relevant to the task at hand.
“We are exploring opportunities to enhance both VR and AR experiences with Masterpass and other technology from MasterCard,” Del Valle said. “The availability of this technology in devices enables us to integrate payments in commerce platforms where consumers are already engaging.”
Game of Thrones Season 7 may be over, but the show’s hype won’t simmer anytime soon. HBO and its partners have been hard at work creating immersive experiences to keep fans enthralled until Game of Thrones‘ eighth and final season premieres next year.
On Tuesday, HBO and series composer Ramin Djawadi took to Facebook Live to announce a Game of Thrones Live Concert Experience in 2018. Last year, Djawadi took the show across Canada and the United States and performed songs from the first six seasons leading up to Season 7.
Now, with new music in tow, the composer is kicking off a world tour in May that features special sets, projected imagery and a live orchestra with choir.
Those longing to return to the show’s gritty realms of Westeros and Essos will be able to do the next best thing on October 28—visit their props and recreated locations in a touring museum exhibit. Game of Thrones: The Touring Exhibit will make its debut at the Musea Marítim in Barcelona, Spain with future locations to be announced at a later date.
The exhibit features a 10,000-square-foot interactive space filled with props and costumes, all displayed within their respective, recreated realms from the show. Of course, the centerpiece is the iconic Throne Room, where visitors can gaze longingly at the foreboding Westeros seat of power.
HBO chose Barcelona as the first stop on its exhibition journey for two reasons—to promote the newly released HBO España streaming service and to celebrate a partnership with Spain, which has hosted many of the show’s filming locations.
https://youtu.be/4RxHf_EPPZ4
Ireland is another filming location for the show and it, too, is celebrating its association with the hit program. Tourism Ireland has created a giant 252-foot-long medieval-style tapestry that covers the story of the show from its beginning to the latest episode of Season 7.
Artists and weavers painstakingly recreated key moments from each episode, which were hand-woven into the finished product. The Game of Thrones tapestry is currently on display at the Ulster Museum in Belfast, Ireland.
An upcoming mobile MMO strategy game called Game of Thrones: Conquestwill challenge players to lead their own house, navigate the political landscape of Westeros and make alliances or battle rivals in pursuit of the Iron Throne. The game will feature key characters from the show and their likenesses, including Daenerys, Jon Snow and Tyrion.
One thing Game of Thrones fans love to do is associate themselves with one of the great houses, each of which is constantly battling for supremacy. To emulate Westeros’ modus operandi of “rise, fall, power and reign,” HBO recruited urban streetwear designers to create unique, show-inspired pieces for the fans.
Dubbed “Rep The Realm,” a new piece was introduced each week during Season 7, beginning with tote bags and tee shirts by Carrots.
Additional pieces include a varsity jacket by Billionaire Boys Club (limited to only six), gold sneakers by Koio Collective that pay tribute to Jamie Lannister and his golden hand, skateboard decks by Visual and more.
https://youtu.be/XEsTVU0-6s0
Of course, the best cure for the “in-between-seasons-blues” is to immerse oneself in the show. While fans wait for Season 7 on Blu-ray and DVD this winter, HBO released a special behind-the-scenes series called The Game Revealed.
The seven-part series takes a deeper look at the making of Season 7 with interviews from cast and crew alongside behind-the-scenes footage. HBO has also been releasing storyboards and set photos across its social channels to show how certain scenes came together.
“Game of Thrones fans are constantly hungry for new ways to engage with the show, and they particularly love any type of video content that provides deeper context and insights directly from the creative team that works so hard to put the show together,” HBO’s director of digital content Tanner Stransky said in a press release. “Season 7 was packed with huge battles, shocking twists, and highly anticipated encounters between fan-favorite characters. By releasing The Game Revealed post-season, we hope to give fans an outlet to dive deeper into the big moments of Season 7 now that it’s reached its dramatic climax, keeping them engaged with the series and giving them a chance to see how all of the pieces were put into place to deliver such a thrilling season-long arc.”
Fans can get a sneak peek at the 45-hour bonus disc included with Game of Thrones: The Complete Seventh Season DVD/Blu-ray with an animated history of the seven kingdoms.
Throughout the decades, brands have recruited famous stars to promote their products, but not all celebrities are flesh and blood. Little Orphan Annie promoted Ovaltine in the 1930s, and Snoopy sells MetLife dental insurance to this day. Even Minnie Mouse teamed up with fashion designer Monse for the New York Fashion Show this year, proving that the cartoon fashionista has “still got it.”
Fictional characters can be just as effective as spokespeople for a brand as their real-life counterparts—if not more so. Especially when reaching a young demographic.
Now that video games are close to becoming a $1 billion industry, brands are finding that certain game characters have just as much star power as traditional celebrities. This realization has led to a trend in signing video game stars to represent products worldwide, from beverages to fashion and everything in between. Fictional characters are amiable coworkers: they don’t go against a brand’s message, demand more money or post drunken tweets.
Coca-Cola: Alex Hunter
Coca-Cola recently announced that it has signed FIFA‘s Alex Hunter as its very first fictional character for a sports endorsement deal. Created for FIFA 17‘s Journey Mode, Hunter was endorsed by Adidas in the game but is now helping to sell Coke Zero inside and outside of FIFA 18.
In FIFA 18’s Journey Mode, players go behind the scenes of the endorsement deal as well as shooting a commercial. The virtual TV spot re-imagines a classic Coca-Cola commercial from 1979 in which a young fan offers “Mean” Joe Greene a Coke, which lifts his spirits.
“We created that experience inside the actual FIFA Journey Mode and instead of giving him his jersey, he takes a selfie with the kid,” Dave Madden, SVP of global brand solutions at EA said on a panel at the New York Media Festival on Tuesday, noting that the TV spot is being shared on Coca-Cola’s social channels. “It just takes the experience of FIFA and brings that to other stages—not just in the video game.”
Coke is offering cans printed with Hunter’s image on them at 7-Eleven and Walmart stores in North America—each with a download code to unlock additional in-game content.
J-Gel: Guile
Video games are full of colorful and unusual characters, and that includes Guile—a Street Fighter character with a rather unusual hairstyle. The fighter is now an official spokesman for J-Gel in Japan, complete with an interview and photo shoot.
Guile says that J-Gel keeps his distinctive ‘do in place even while performing his signature move, the somersault kick.
“The disturbed hairstyle leads to disorder of the heart,” says Guile. “It’s not cool,”
Louis Vuitton: Lightning
Last year, Louis Vuitton cast Lightning, a recurring character in the Final Fantasy game series, as its spokesmodel for the Spring-Summer 2016 “Series 4” collection. Lightning appeared in a number of magazine ads and videos posing with the collection of women’s clothing and accessories. Square Enix, publisher of the Final Fantasy series, wrote that the partnership was not just a celebration of Lightning as a character, but also of the “global, heroic woman.”
“This collaboration is not just a promotion of a game, and it is a great honor that the character herself received an offer from a world famous brand,” said Tetsuya Nomura, Lightning’s character designer, in a press release. “As a result of this collaboration, this has infused new breath into the character.”
The Chinese consumer is a western marketer’s dream—young, wealthy, tech-savvy and fantastically brand loyal.
Chinese Internet conglomerate Tencent hosted a three-hour presentation at Advertising Week today on how to reach them, giving interested attendees a battery of information about the average Chinese traveler. Here are the highlights:
In China
China will have 200 million upper-middle class and affluent households by 2030.
Consumer spending has grown—and will continue to grow—by 10 percent annually, reaching $6.2 trillion by 2021.
Among the 18-35 age group, discretionary spending will grow from $700 billion in 2011 to $2.6 trillion in 2021.
A total of 7.6 million households bought luxury goods last year, spending $75 billion overall and an average of $11,000 per household.
When advertising to the Chinese market, the presenters urged localizing content and acknowledging Chinese culture, but warned against overdoing it. Chinese consumers’ main reason for purchasing luxury products is their attachment to globally well-known brands.
To reach this rapidly growing, luxury-hungry market, Tencent recommended focusing on mobile, citing much higher saturation rates for mobile than Internet. As Tencent has a monopoly over Internet and mobile in the country, the conglomerate offered itself as the best partner to send messages to the Chinese luxury consumer.
Luxury products isn’t the only market where China is taking the lead. Just this year, the country accounted for 57 percent of esports consumption as well.
In the United States
Three million million Chinese travelers come to the US annually, and will spend $34.7 billion per year.
Vacationers spend an average of $12,000 per trip, of which they spend $6,000 on shopping alone.
The average income for the Chinese vacationer is $75,000 per year.
Independent tourism is the new mode: 65 percent of Chinese vacationers travel outside of tour groups, and the number is expected to grow to 76 percent by 2021.
Among travelers to the US, 61 percent stated that shopping was the most important criterion for selecting a destination.
Beyond individual figures, Benny Ho, senior director at Tencent, gave a few key insights on how to drive sales among Chinese shoppers.
Ho urged the assembled audience to rethink the purchase funnel in this case, explaining that Chinese consumers plan out their shopping itineraries long before they reach America. “They’re here to buy, not to shop,” he said.
Citing these statistics, Ho emphasized the need to send brand messaging to Chinese vacationers before they depart to the United States in order to make it into their limited consideration sets at all—again pointing to Tencent as the means to this end.
The conglomerate has recently unveiled plans to expand into the US market.
Due to the explosion of mobile devices, content and branded messaging, it’s becoming more important to create messages that draw in customers, rather than broadcasting ideas straight to them. Many metrics measured by ad hosts emphasize the interruptive nature of advertising—number of impressions, repeat impressions for individual users and time spent viewing the ad—which panelists on Monday said can actually drive customers away.
Natalie Monbiot, senior vice president of futures at Samsung, said that the methods of judging effectiveness of digital advertising emphasize ways that annoy consumers.
Ian Schafer, chief experience officer at Engine USA, added that “as long as we’re doing interruptive ads, we want to be as interruptive as possible.”
Despite pushback from Google, studies show that 60 percent of websites are mostly using autoplay ads; interruptive is by far the current paradigm.
“Research shows people just don’t like sound-on autoplay on the web,” said Russ Freyman, head of partnerships for emerging products at Google. “They find it disruptive.”
According to the executives, expanding voice technology, and more specifically emotion tracking, is likely to bring on the necessary shift in tactics. “The more data brands have, the better the advertising experience will be,” Schafer said.
“What we want to avoid is causing contempt,” Monbiot added.
They went on to describe the “birdshot” approach, or pushing interruptive content in front of as wide of an audience as possible. Brands are becoming suspicious of this. Both P&G and Unilever substantially reduced their conventional digital advertising budgets and saw little change in revenue. Rather than focus on spreading their message too thin, the panelists agreed that content worth seeking out would bring the best results.
“Advertising that’s native—it kind of disappears into the content,” Monbiot said.
Other discussions touched on the same point. Luis Di Como, senior vice president of global media at Unilever, emphasized the importance of creating “seek-out” content for the Chinese market. Keith Weed, CMO of Unilever, addressed the fact that 600 million consumers have installed an adblocker. “If you have a rubbish experience, they will indeed move away from your advertising,” he said.
Whatever the future may hold for the ad industry, the impetus is to change the approach sooner rather than later.
“The phone is probably the last screen we’re going to get to place ads on,” Schafer predicted. “The solution is going to come from new marketers, not from new platforms.”