Where Is Consumer Attention Going Right Now? | Marketing For The Now Episode #14

Podcast Summary

• Digital transformation during the pandemic: Effective online communication and direct-to-consumer sales have helped businesses survive and thrive amidst revenue decreases during the pandemic. Companies must invest in compelling storytelling and direct communications to engage their audience and succeed.

  The pandemic has accelerated the digital transformation of businesses, and those that have adapted by telling compelling stories online, shifting to direct-to-consumer sales, and becoming proficient at logistics have thrived. Kevin O'Leary, a successful businessman and investor, shared his experience of this digital pivot, which allowed 80% of his portfolio companies to survive and even thrive despite revenue decreases. The customer's attention is now primarily online, and companies that can effectively communicate and engage with their audience through storytelling and direct communications will succeed. The importance of this digital shift is evident in the hiring trends, with companies now seeking story writers, videographers, and photographers to create engaging content for their websites. The pandemic has created a captive audience willing and able to purchase products and services conveniently from home.

• Authenticity and transparency build strong relationships: Lying or deceiving in relationships or business dealings leads to lost trust and equity. Own up to mistakes, communicate directly with customers, and embrace the 100% gross margin business model in the future.

  Authenticity and transparency are key components of building a strong personal brand and maintaining successful business relationships. Gary Vaynerchuk emphasized that lying or deceiving, whether in personal relationships or business dealings, will inevitably lead to lost trust and equity. He encouraged owning up to mistakes and apologizing genuinely to repair relationships and build loyalty. In the business world, direct communication with customers, even when delivering difficult news, can lead to increased customer loyalty and revenue. Additionally, the shift towards direct-to-consumer sales allows for a 100% gross margin business model. The future of business will bring interesting challenges, such as channel conflict as retail continues to evolve.

• Consumers expect companies to make a difference and stand for something: Consumers demand brands take a stand and be of service, but operational realities can make it challenging for companies to fully act on their intentions, raising concerns about the accuracy of marketing data and reporting.

  Consumers today expect companies and brands to make a difference and stand for something beyond just providing functional benefits. According to Jim Stengel, a marketing veteran with a career spanning from journalism to P&G and now running his own firm focused on brand purpose, this shift in consumer behavior is a response to declining trust in institutions like government and increasing trust in business and marketing. Jim estimates that about 80% of companies are genuinely trying to make an impact, but the reality is more complex. While many human leaders within these companies may have good intentions, the operational realities of publicly traded companies with competing agendas can make it challenging for them to fully act on those intentions. Despite this, Jim believes that consumers are seeing a change as they increasingly demand that brands take a stand and be of service. However, he also raises concerns about the accuracy of marketing data and reporting, suggesting that there is a significant disconnect between the idealized brand lift studies and the real-world consumer behavior.

• Marketing Shift from Impressions to Consumer Connection: Marketing is evolving from a focus on impressions and PR to empathy, humanity, and consumer experience. Brands must be consumer-centric, bold, and creative to adapt and innovate in this transformative industry.

  The marketing industry, particularly large corporations, have been focused on impressions and PR rather than truly understanding and connecting with their customers. However, in the face of recent crises, there's a renewed focus on empathy, humanity, and agility. Brands are starting to shift their attention towards the experience of their brand with consumers and away from traditional above and below the line advertising. The future of marketing lies in being consumer-centric, bold, and creative, and looking for non-traditional talent and ideas to solve problems. The industry is undergoing a massive transformation, and those who can adapt and innovate will thrive.

• Anticipating shifts in consumer attention and adapting strategies: Stay attuned to the evolving media landscape, recognize the unique strengths of each platform, and be willing to experiment and adapt to engage and grow a dedicated audience.

  Successful content creators like Gary Vaynerchuk are constantly anticipating shifts in consumer attention and adapting their strategies accordingly. This was evident in Gary's early recognition of the potential for scripted audio content in the podcasting space, which he saw as the next level of audio consumption. He also acknowledged the importance of understanding the unique strengths of each platform and focusing attention and resources on those that align best with one's content and audience. For instance, while Gary is not personally drawn to TikTok, he recognizes its potential reach and value for certain types of content and creators. Ultimately, the key to success is staying attuned to the evolving media landscape and being willing to experiment and adapt in order to engage and grow a dedicated audience.

• Engaging with Music and Podcasts through Visual Content and Education: Consumers prefer platforms that offer visual content and education in music and podcasts, leading to growth for YouTube and educational podcasts.

  The attention of consumers in the music industry and podcast world is heavily focused on visual content and education, respectively. In music, streaming services like YouTube are dominating the scene due to the appeal of creative music videos and behind-the-scenes content. Meanwhile, in podcasts, listeners are drawn to shows that offer unique perspectives and valuable education, such as legal analysis or political commentary. Consumers are constantly seeking new ways to engage with content, and platforms that prioritize these elements are seeing significant growth. Whether it's watching music videos on YouTube or learning from podcasts like Holding Court or The Black Effect, consumers are prioritizing visual content and education in their entertainment choices.

• LinkedIn: More Than Just a Job Board: LinkedIn's targeting capabilities for B2B marketing and its unique audience of professionals make it an essential tool for businesses to connect and build relationships.

  LinkedIn has evolved from a job-focused platform to a full-blown content ecosystem for both B2B and B2C marketing. While it still caters to job seekers and recruiters, its targeting capabilities for B2B marketing set it apart from other social media platforms. With the ability to target specific job titles and create content tailored to professionals, LinkedIn offers a unique advantage for businesses looking to reach and engage with their audience. The platform's explosive growth and the shift towards professional development conversations make it an essential tool for businesses to connect with their audience and build relationships. The psychological difference between a LinkedIn user and a user on other platforms should be considered when creating content, but the potential reach and targeting capabilities make it a valuable investment for businesses in various industries.

• Quality of creative content matters: In a data-driven world, creating high-quality, engaging content is crucial for capturing consumer attention, with personalized attention and platform convergence playing key roles.

  In today's digital world, while data and information have advanced significantly, creative expression remains a crucial variable for capturing consumer attention. Quantity, such as CPC, should not be the sole focus, but rather the quality of creative content. The importance of personal attention and the convergence of various platforms, including LinkedIn's new stories and live features, were also discussed. Additionally, the need for addressing privacy concerns in relation to consumer data and the lack of solutions in this area was highlighted. Overall, the conversation emphasized the significance of creating high-quality, engaging content in a world where data and technology continue to evolve.

• The Complexity of Privacy Concerns: Individuals have diverse privacy concerns, technology could lead to a more transparent world, education and awareness are crucial for informed privacy decisions.

  The conversation around privacy is complex and multifaceted, with individuals having varying concerns based on their unique experiences and societal contexts. Some people are more concerned about financial privacy and government surveillance, while others focus on social media posts from their past affecting their present opportunities. The lack of a common platform for discussing privacy concerns makes it difficult for individuals to articulate what they find upsetting and for society to come together and find solutions. However, the decentralization of information and transparency brought about by technology could lead to a more transparent world, where individuals are more aware of the consequences of their online actions. Yet, education and awareness about privacy and its implications are crucial for individuals, especially the younger generations, to make informed decisions about what they share online. Ultimately, a balanced approach that acknowledges the benefits of transparency while also providing individuals with the tools and resources to protect their privacy is necessary.

• Understanding the consequences of our actions in the digital age: Establish rules and boundaries, be aware of the impact of actions online and offline, and prioritize continuous learning for personal and professional growth.

  The consequences of our actions, especially in the digital age, can have significant ramifications, both theoretically and in real life. The line between personal and professional can be blurred, and the responsibility for self and parental responsibility is crucial. While society's norms may evolve, it's important to establish rules and boundaries. Additionally, the international market presents vast opportunities for businesses, particularly in emerging markets where technologies like blockchain and cryptocurrencies are leading the way. Furthermore, reading and continuous learning are essential for personal and professional growth. The Happiness Advantage by Sean Eckhart, for instance, offers a unique perspective on the importance of happiness in achieving success. Overall, it's essential to be aware of the impact of our actions, both online and offline, and to strive for growth and learning in all aspects of life.

• Consumer behavior shifts during uncertain times: During economic uncertainty, consumers prioritize well-being and adopt new technologies for convenience and safety, leading to increased spending on essentials and luxury goods, as well as growth in pet ownership and digital entertainment. Mastercard is adapting by embracing new technologies like blockchain and staying relevant to younger generations.

  During times of uncertainty and change, consumer attention and behavior shift towards prioritizing well-being, both physically and financially, and adopting new technologies for convenience and safety. Mastercard, with its vast data resources, has identified these trends through monitoring consumer spending patterns and psychological shifts. Despite economic concerns, consumer confidence remains high, leading to increased spending on essential items and luxury goods in certain segments. The adoption of pets and digital entertainment have also seen significant growth. Mastercard is embracing new technologies like blockchain to enhance transaction capabilities and is making efforts to remain relevant to younger generations through sponsorships and associations with contemporary culture. Overall, the company is adapting to changing consumer needs and behaviors to maintain its position in the market.

• Brands adapt to changing consumer priorities in a post-COVID world: Brands focus on symbolic branding, indulgence, simplicity, and data-driven media planning in response to consumers' new priorities in a post-COVID world.

  Consumer attention is shifting towards digitization, remote work, and contactless experiences in a post-COVID world. Brands like Mastercard are focusing on symbolic branding and building equity in various segments, while companies like Sonic Drive In are embracing indulgence and simplicity in response to consumers' new priorities. As for marketing dollars, there's a growing trend towards more thoughtful and data-driven media planning, as marketers become more practitioners and seek better insights. Lori Abu Habib, CMO of Sonic Drive In, believes that consumers are seeking indulgence and self-care, and marketers need to adapt to these changing needs. Overall, the pandemic has exposed the importance of flexibility, innovation, and empathy in consumer marketing.

• Adapting to changing trends and consumer behavior: Maintain a clear brand positioning and continuity while adapting to trends through digital channels and a strong own channel ecosystem, and use influencer marketing strategically and authentically.

  Flexibility is key in today's marketing landscape, especially in the digital space. Brands need to be able to adapt and respond to changing trends and consumer behavior. This can be achieved through digital channels, as well as a strong own channel ecosystem. However, it's important to use influencer marketing strategically and authentically, rather than jumping on every trend. Consumers may not be able to keep up with a brand that is everywhere and trying to be everything to everyone, so it's crucial to maintain a clear brand positioning and continuity. Both internally and externally, letting guardrails down and meandering too much in response to trends can lead to erosion of brand positioning.

• Digital marketing shifts during COVID-19: Brands that align with consumer values and adapt quickly to changing behavior are favored during the pandemic. TikTok is important, but authentic influencer partnerships and diversified digital spend are crucial.

  The COVID-19 pandemic accelerated the shift towards digital marketing channels, with social media and search becoming increasingly important. Brands that align with consumers' values and take a stand on issues are favored. TikTok has emerged as an important platform, but it's crucial to build meaningful partnerships with influencers and create authentic content. The pandemic exposed the need for brands to be agile and adapt quickly to changing consumer behavior. For example, Foot Locker saw an increase in demand for brands that align with Gen Z's values and a shift towards digital channels. Champ Sports is focusing on social media, search, and ensuring a strong presence on their own channels to diversify their digital spend. It's less about taking budget from one channel and adding it to another, but rather about diversifying spend across multiple channels to maximize impact.

• Consider priorities and focus on specific business challenges on TikTok: Businesses should prioritize solving specific challenges on TikTok rather than just focusing on low-cost advertising. Collaborate between media and commercial departments to maximize both media metrics and business results.

  While it's important to stay relevant and adapt to new platforms like TikTok, it's equally important for businesses to consider their priorities and focus on what truly matters for their brand. The underpriced nature of advertising on TikTok can be tempting, but companies should also consider how they can use the platform to solve specific business challenges. For instance, during the pandemic, a retail brand might prioritize virtual try-on experiences on Snapchat over a mass TikTok campaign. In the end, it's crucial for companies to break down silos and focus on common goals, ensuring that media and commercial departments work together to maximize both media metrics and business results. As for personal preferences, JB mentioned that he's been enjoying the show "The Queen's Gambit" on OTT and listening to music by Billie Eilish. He also shared a personal story about how he started listening to podcasts more frequently since working from home, particularly enjoying "How I Built This" with Guy Raz.

• Consumer appreciation for outdoor spaces leads to increased attention on outdoor advertising: During uncertain times, consumers value outdoor spaces and notice outdoor advertising more, making it a resurging form of media.

  Consumer attention is shifting towards various forms of media, both old and new, and outdoor advertising is seeing a resurgence due to the appreciation for being outside and the sense of normalcy it brings during these uncertain times. The pandemic has led to a change in behavior, with more people valuing outdoor spaces and noticing outdoor advertising more than before. While traditional out of home advertising may be associated with transportation infrastructure, it extends beyond that, encompassing local signs, bus shelters, and more. The link between wanting to be out more and the appreciation for outdoor advertising lies in the sense of familiarity and normality it provides. According to a recent survey, over half of consumers overall and around 70% in urban areas notice outdoor advertising more now than they did before. Physical ads, unlike digital within media or content, resonate more in this context.

• Outdoor Advertising's Digital Evolution: The outdoor advertising industry is shifting towards digitalization for flexibility, targetability, and growth opportunities, with digital screens and real estate monetization leading the way.

  The outdoor advertising industry is undergoing a significant shift towards digitalization. This trend is driven by the need for flexibility and targetability that digital advertising offers, while still maintaining the physical presence that is unique to outdoor advertising. The pandemic has accelerated this evolution, as advertisers seek more nimble solutions. Out of home advertising encompasses more than just billboards, it includes signage everywhere, from transit to airports and street furniture. The industry is moving quickly in this direction, with digital screens in strategic locations providing opportunities for rich media advertising and even content production. Real estate owners are also exploring ways to monetize their properties through advertising, not just digitally but also through traditional methods like murals and wall scapes. The speaker, who has only been in the role for a year but brings a background in mobile video and data operations, sees the potential for growth and innovation in this industry.

• OOH and mobile marketing: a powerful duo: OOH ads act as landmarks for consumers, leading them to search for products on their phones, and the combination of these mediums is becoming increasingly effective due to geo-fencing, social media sharing, and targeting capabilities.

  Out-of-home (OOH) advertising and mobile marketing are not enemies but the best friends of each other. The combination of these two mediums has been experiencing significant growth in the past decade and is becoming increasingly effective due to geo-fencing, social media sharing, and targeting capabilities. Consumers see OOH ads as landmarks and are likely to search for the product on their phones after seeing it in the real world. Smart CPG companies are leveraging this trend by building strong retailer relationships and adapting to consumers' shifting attention across various platforms. Overall, the continual improvement of these mediums and consumers' rediscovery of their value make them a powerful duo in today's marketing landscape.

• Be obsessed with media choices for success: Media executives should focus on granular strategies, understand cultural relevance, and adapt while maintaining a dominant logic to succeed in their media distribution.

  Media executives need to be obsessed with their media choices and the context in which they distribute their content, as the most successful companies are consumer-centric and understand the importance of media strategy in achieving business goals. The speaker emphasizes the need for granular focus and a clear strategy, using examples from radio and podcasting. They also discuss the importance of cultural relevance and being willing to adapt strategies while maintaining a dominant logic. Ultimately, media executives should be obsessed with their media choices, just as they are with their products, in order to succeed.

• Clear strategy and narrative for marketing success: Effective marketing requires a clear dominant logic and personalization while staying true to core values. Leaders should assess situation, determine core competencies, and create a manifesto to guide decision-making.

  Successful marketing strategies require a clear dominant logic and a well-defined narrative. Brands like Oreo that effectively personalize their marketing while staying true to their core values have an advantage. Leaders in large organizations need to assess their situation, determine their core competencies, and create a manifesto that guides decision-making. Providing clear guidelines and decision rights empowers employees to take action and innovate. Bob Pittman, the CEO and chairman of iHeartRadio, who has experience building dominant forces of attention in both television and audio industries, emphasized the importance of a clear strategy and narrative. By understanding their unique strengths and staying true to their values, companies can effectively navigate the constantly evolving landscape of consumer attention.

• Revolutionizing media formats and distribution: Media companies thrive by catering to unique audience needs, adapting formats, and providing companionship through audio content across platforms.

  Successful media companies identify and cater to the unique needs and desires of their audience, adapting their format and distribution methods to fit the changing cultural landscape. Bob Pittman, a media industry veteran, shared his experiences in revolutionizing MTV, AOL, and IheartRadio, highlighting the importance of making the consumer's life easier and providing companionship through audio content. Pittman emphasized that the essence of radio is not limited to AM/FM but encompasses all platforms where listeners are present. He also noted the evolution of media formats and their coexistence, with each having its moment in time. Ultimately, the success of a media company relies on word-of-mouth and becoming a topic of cultural conversation.

• The importance of being present on multiple platforms and understanding audience preferences in both B2B and consumer marketing: Be present on various platforms where your audience is, deliver authentic and valuable stories, and understand their unique preferences to capture their attention in the complex attention economy

  Both content and distribution play crucial roles in reaching and engaging audiences, whether in a B2B or consumer context. The speaker from iHeartRadio emphasized the importance of being present on multiple platforms where listeners are, while acknowledging the agnostic nature of consumers towards devices. They also highlighted the unique value of radio as a companion medium, especially during crises. From a B2B perspective, SAP's CMO Alicia Tillman agreed that storytelling is key in capturing decision-makers' attention, despite the differences between B2B and consumer marketing. Ultimately, understanding your audience and their preferences, as well as delivering valuable and authentic stories, are essential in navigating the complex attention economy.

• Aligning with values and making a positive impact: Brands that resonate with customers' values and contribute to positive change are more likely to succeed. Interactive media offer opportunities for engagement and innovation.

  In today's business world, having a strong narrative, purpose, and relevance are essential for capturing the attention of customers and stakeholders. Brands that align with people's values and contribute to making the world a better place are more likely to succeed. Interactive media, such as video and chat, provide opportunities for buyers to engage and shape the innovation around products and services, making them a valuable investment for the future. Additionally, for those aspiring to reach leadership roles in marketing, focusing on communication skills, empathy, inclusivity, and employee care can set you apart. The fear and rigidity of traditional education and past failures may hold some back, but passion, energy, and a belief in one's ability to change things are crucial for success.

• The importance of ongoing learning and real-life experiences: Continuous education, soft skills, and real-life experiences are vital for successful leadership.

  While formal education is important, it doesn't teach all the necessary skills for success in the real world. Soft skills like empathy and leadership, as well as the ability to adapt to changing circumstances, are crucial for great leaders. Education should be seen as a continuous process, with ongoing learning and interaction being essential. The conversation around real-life experiences and their application to different situations is just as valuable as classroom teaching. Additionally, good lighting can significantly improve the quality of work and overall mood.

• Embracing challenges and staying committed to goals: Despite juggling multiple roles and unexpected circumstances, a full-time corporate leader, mom, and entrepreneur has started new ventures and pursued passions, leading to greater fulfillment through embracing challenges and staying committed to goals.

  Fearless living is possible even in the midst of a busy and uncertain life. The review from today's featured guest, a full-time corporate leader, mom, and entrepreneur, highlights the importance of embracing both failure and success, and the value of continuous inspiration and motivation. Despite the challenges of juggling multiple roles and unexpected circumstances, such as a deployed spouse and a global pandemic, she has started new ventures and pursued her passions, leading to a greater sense of fulfillment than ever before. Gary and Lureview's content have been instrumental in helping her push through moments of doubt and move forward. Overall, this inspiring story reminds us that fearless living means being open to new experiences, welcoming challenges, and staying committed to our goals, no matter what life throws our way.