6 th Transatlantik Dialog 15.03.2004 Digitalising and new forms of advertising Jürgen Rösger

1. 6th Transatlantik Dialog 15.03.2004Digitalising and new forms of advertisingJürgen Rösger

2. Lifecycle Communication functions Emotional adress: Branding Information Transaction Service Communi- cation channel Print TV possible cross- media integration Online Post Telefon Outlet Crossmedia links different communication functions ... and thereby raises the advertising effect

3. Online breaks up compromise • Transmitted amount of information • Degree of individual adaption of information • Degree of interaction • Validity of information • Timeliness of information Richness Simultaneous increase of richness and reach eg face to face dialog Breakup of compromise • Trigger: • Increasing reach • Individualization technology Traditional compromise relationship eg mailshot letter Reach Abb.: Online Marketing Strategien;Conrady, Jaspersen, Pepels; Luchterhand 2002, S.69

4. Online marketing: 3 market segments MAR-COM. SEGMENT MAR-COM. GOAL GOAL ALT. TYPE OF MEDIA AV. CPM ONLINE EXAMPLE O - I - O - T Selling products or services over the web. ++ Direct Mailings (higher cpm for bulk mail, market up 2,4% in 20031) ++ Yellow Pages (market under pressure, minus 2% in 20032) Source: ZAW (2003): Werben in Deutschland 1) 335 2) 353 On the Internet increasing reach is followed by decrea-sing cpm, at AOL it is at 6,36 €. LOYALTY Commerce Response Awareness CONSIDERATION PURCHASE O - I - OF - T Temporarily limited campaigns to support other marketing activities or sales to retailers and especially consumers. Functions of consumer-promotion: ++ Information-function (brochures, leaflets etc.)++ Motivation-function (raffles, sampling etc.)++ Sales-function (tokens, give-aways) ++ Television (stable cpm during the last five years at approx. 18 €) ++ Daily newspaper (lost marketshare in 2002, made good in 2003) ++ Radio (stable marketshare in 2003) The AOL-cpm is at 12,02 in 2003 Promotion Response Awareness CONSIDERATION PURCHASE LOYALTY O - I - OF - T The success of a brand concerning: ++ potential for success (brand-awareness, brand-image, brand-attitude)++ Key success data (marketshare, brand-loyality)++ brand value (total revenue und profit, value of brand in monetary units) ++ Television ++ Magazines (big losses In revenue but stable cpm) ++ Outdoor Increased reach is followed by increasing cpm, AOL at 18,71 € for 2003 AWARENESS CONSIDERATION PURCHASE LOYALTY Brand Equity Resp.

5. Learn from TV business, use TV presence

6. Crossmedia today: „Is it Love?“ Offline: television and print

7. Crossmedia today: „Is it Love?“ Online: interactive, engaging, diverting and playfully

8. Crossmedia today: „Aibo“ Offline: TV

9. Crossmedia today: „Aibo“ Online: interactive, diverting and playfully

10. Crossmedia today: „Aibo“ Online: information and engagement

11. What do we need to do tomorrow? • Less is more • Reduction of overall inventory and implementation of AD-penetration rules analog to privat TV. • Take care about consumers needs • Intrinsic instead of extrinsic ad-formats are the success driver of online advertising because it is voluntary! Otherwise the „blocker decade“ has only just begun. • Be relevant and entertaining • Create and offer crossmedia communication-functionalities with high entertainment, fun and maybe „humor“ aspects to increase involvement. • Involve online experts in strategic planning • Online integration in the early development process of campaigns to ensure fulfillment of overall marcom value chain.

12. Vielen Dank für Ihre Aufmerksamkeit! Es freut sich auf den Dialog mit Ihnen Jürgen Rösger VP Interactive Marketing AOL Deutschland GmbH & Co. KG