We may live in a digital era, but data, spreadsheets and market research are no substitute for human interaction and insight.
That was the theme for day one of the Future Flash 2012, the sixth annual thought leadership conference organized by the Institute of Communication Agencies.
In her opening remarks Wednesday afternoon, ICA president Gillian Graham shared a couple of important stats: 294 billion e-mails are sent every day and 500 million hours are spent each day on Facebook worldwide.
Yet, despite the ever-growing shift towards digital, people still “want tactical experience. It’s human behaviour that can be monetized, not the devices,” she said.
Burn the spreadsheets
Rory Sutherland, vice-chairman, executive creative director at Ogilvy Change, was the first speaker of the day and furthered the discussion around human behaviour, explaining that behavioral economics should replace market research to help businesses better understand why consumers make the decisions they do.
Back in the Mad Men era, human insight was a source of competitive advantage between competing companies. But this focus has since weakened despite the progress that has been made in psychology and understanding human decision-making.
The problem today, said Sutherland, is that people in finance are the ones making business decisions as if price points create demand. (i.e. if it’s cheap more people will want it).
“Since the invention of the spreadsheet, business has been taken over by expressing everything in numerical formula, which is fine if what you’re talking about is mechanical,” he said.
Advertising, said Sutherland, is a “reliable proxy to a company’s commitment to a category” and an “upfront expense that is recouped in the long term.” It’s not about making a quick buck, he said.
Physical vs. digital experiences
Later in the day, Michelle Klein, VP of global marketing, communications and digital for Diageo’s Smirnoff brand, stressed the importance of marrying digital efforts with real-life experiences.
“People are unquestionably engaged when there is a physical component,” she said, adding that most brands mistakenly confuse the act of being engaged with physical engagement.
Klein used Smirnoff’s “Nightlife Exchange Project” as an example of how to successfully combine digital marketing with a real-life experience. In its first year, consumers were asked to submit ideas on Facebook about what makes their home city’s nightlife unique. Categories included: music, food, dance moves, fashion, bands and DJs. The most inspiring ideas were packed into a crate and swapped among the 14 participating cities and used for a one-night event.
In 2011, the project expanded to 50 cities and included a dance search competition for a chance to join Madonna’s dance crew. Eventually, 11 finalists battled it out in front of more than 1,000 guests, including the Material Girl herself. The winner performed with Madonna during the half-time show at the Super Bowl in February.
“The magic in the content comes from the consumer and from them owning it themselves,” said Klein. “Without them, we couldn’t get the world to dance together.”
