1. The Content Marketing Revolution 18 th January 2013 Digital Ad Lab

2. Content Revolution Three audiences Agencies Clients / Brands Consumers Content Marketing Print Digital Mobile

3. Vision Make CMA synonymous with content marketing CMA to create cut-through by establishing and owning content marketing in UK using Research Thought leadership White papers Events and social media

4. Attract spend to the customer publishing/content marketing industry from other initiatives Start owning the content space Multichannel and integrated solution: magazines (including posted messaging) and digital Prove the effectiveness of content marketing Inspire and educate brands Unite all members – power of working together CMA Objectives

5. The art of telling stories about a brand = consumer engagement Serialisation versus tactical campaigns Content & convergence Reach v. results Clients increasing want to own the dialogue with consumers Earned media v. paid media Monetisation of content Integration of content CMO officer positions Its all up for grabs – but only content agencies really get it = journalism skills Content Marketing – key trends

6. Marketing Overview – quality free content

7. The agency view

8. Revenues are rebounding upwards Print aficionados become multi-media cognoscenti Digital is creating industry resilience Genesis of advanced digital media Print has a place and still is healthy (paginations, titles) In tough times agencies have worked more efficiently A sense of cautious optimism pervades Key findings in the report

9. Today revenues are rebounding from a 2009 low

10. In an advertising context, the sector is outperforming

11. Source: APA Member Survey/Mintel Research Consultancy Digital reach: websites are updated frequently showing commitment to fresh content One in three websites is updated daily

12. Source: APA Member Survey/Mintel Research Consultancy Content is being delivered in a more integrated way than ever before

13. Digital future – a selection of verbatim Source: APA Member Survey/Mintel Research Consultancy Digital future: A selection of verbatim As patterns of media consumption change digital communications offer a range of ways to engage with customers. Their strengths include interactivity, immediacy and the ability to fuse different media together and personalise messages. And of course these channels are vital to reach digital natives and those consumers for whom print has lost its pre-eminence. The future’s digital. For clients where we publish a traditional magazine format, we are invariably also providing a digital element. We have invested a great in the digital team and expertise and have begun creating tablet apps for clients. There’s been more of trend for clients to move to digital, not because they believe it generates a higher return, but because it saves on print and postage costs.

14. Brands

15. 500 omnibus interviews with higher/Intermediate managers who make key decisions about Marketing --- Fieldwork dates: 06.06.2012 - 08.06.2012 --- 43% of the sample were aware of the split of their marketing budget apportioned to content marketing The Approach

16. Content Marketing is multiplatform

17. Content Marketing works for brands

18. Base: All respondents aware of budget allocation (218) To the nearest per cent, what percentage of your total marketing budget is apportioned to the creation and dissemination of content? Budget split devoted to content marketing Content Marketing spend now accounts for a fifth of total marketing budgets. Average % devoted to content marketing: 21% Budget split devoted to content marketing

19. Base: All respondents aware of budget allocation (218) Do you expect your content budget to increase over the next 12 months? 73 per cent of marketers will increase or maintain their content marketing budgets over the next 12 months 73% DK = 11% Content Marketing revenues grow in next 12 months

20. Base: All respondents aware of budget allocation (218) Do you expect your content budget to increase over the next 12 months? Digital growing, but magazines still holding firm Digital clearly the future for content marketing, but 1 in 4 advertisers will still be looking to customer magazines as a key way to connect with consumers Share of mentions: Digital: 76% Mobile: 30% Traditional: 23% Note: Mobile included in digital % Digital growing, but magazines still holding firm

21. Over 20% of budgets will be devoted to content marketing With this amount likely to increase year on year Digital is a clear driver of new activity, but magazines will still have a vital role to play for a large number of advertisers Five per cent of marketers think their content budget will increase significantly in 2013 The industry is on track to meet Mintel’s prediction to reach £1 billion by the end of the year Key conclusions

22. Consumers

23. 1049 interviews with UK Adults aged 16+ conducted by PanelBase Fieldwork dates: 06.06 - 08.06.2012 Quotas set to ensure the sample is nationally representative 49% Male / 51% Female 31% 16-34 / 34% 35-54 / 35% 55+ The Approach

24. Content marketing helps the consumer

25. Consumers – digital content

26. A similar story when looking digitally … 72% agree 7% disagre e Source: PanelBase / Base: Monthly digital users (526) We'd like to know whether you agree with these statements below regarding websites that are produced by brands? ‘I trust content on a website if I know the brand involved’ 71% agree 6% disagre e ‘I'm positive towards brands that deliver relevant content to me online’ 44% agree 17% disagre e ‘The content on websites produced by brands is of similar quality to 'normal' websites’ Quality digital content

27. Which ultimately delivers more than conventional advertising 59% are more likely to recall products and promotions on a website produced by a brand compared to a normal online advert Source: PanelBase / Base: Monthly digital users (526) We'd like to know whether you agree with these statements below regarding websites that are produced by brands? Which ultimately delivers more than conventional advertising

28. Consumers – mobile content

29. Research Approach 952 users interviewed using survey software on their iPad 48% from Europe, 35% from North America 19% 15-24 / 47% 25-39 / 30% 40+ Fieldwork conducted between 18 March – 8 April Source: Dres Consulting Research approach

30. Users are committed to their iPad Over a third are considering buying another Tablet PC in the next 12 months Brand Loyalty: 70% wouldn’t even consider swapping their iPad for an new alternative tablet brand for free Source: Dres Consulting - Base: All Respondents (952) 79% of those would consider buying an iPad2 Users are committed to their iPad

31. Once you’re hooked… 95% use their iPad at least once a day Average usage of 2h 17m each day Source: Dres Consulting - Base: All Respondents (952) Once you’re hooked

32. A similar story when looking digitally 26% Mean % of overall online / time using apps spent with sites / apps published by a brand Source: PanelBase / Base: Monthly digital users (526) Thinking of all of the time you spend online or using apps what percentage of that time is spent reading magazines published by a brand? Strong showing digitally

33. Apps - an area for opportunity 50% of users have over 40 iPad apps With 95% paying for ¾ or more of their apps Source: Dres Consulting - Base: All Respondents (952) Apps – an area for opportunity

34. Apps: Play, Inform, Communicate The range of genres shows the versatility of the iPad as a communication tool Source: Dres Consulting - Base: All Respondents (952) Apps: Play, Inform, Communicate

35. Opportunity: The branded content ‘gap’ 84% of users have 10% or less of their apps in association with brands Over 1 in 4 do not own a ‘branded content’ app 67% would like brands to produce more interesting or exclusive content for their iPads Source: Dres Consulting - Base: All Respondents (952) Opportunity – The branded content ‘gap’

36. Where should brands get involved? The key to success is to create content that is relevant, fun and informative Which areas should brands get involved in when creating new apps? Source: Dres Consulting - Base: All Respondents (952) Where should brands get involved?

37. What should the pricing model be? 73% would prefer a free app that is associated with a brand rather than having to pay 68% would prefer a free branded app with NO ADVERTISING rather than an independent app with advertising A free, branded app with no advertising is the clear winner with users Source: Dres Consulting - Base: All Respondents (952) What should the pricing model be?

38. Driving future actions As a result of using an app users have... have recommended an app to family/friends (61%) visited the developer’s/brands website (33%) considered buying a product or service (29%) Source: Dres Consulting - Base: All Respondents (952) Driving future actions

39. Executive Overview iPad users are committed enthusiasts and brand loyal Once you’re hooked... 57% use their iPad for at least an hour every day Content is King: Willing to pay for apps but would rather have free branded apps with no advertising Presents great opportunity for brands to produce free branded apps with relevant, fun and entertaining content Brands can maximise on the powerful word of mouth association with a positive and creative app Source: Dres Consulting Summary

40. The Content Marketing Association Patrick.Fuller@the-cma.com @the_CMA www.the-cma.com