reactive perspectives 2014

A collection of viewpoints from our offices around the world.

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Introduction04 – 05

Google’s New Era of Search & Content06 – 11

What Price? The Currency of Privacy

12 – 17

Let Your Campaign Buzz with Technology18 – 24

The Hamburger in Design25 – 30

Unconditional Project-Rearing31 – 36

So, You’ve Decided to Go Mobile37 – 43

Contents

The Welcome Demise of Art & Copy

44 – 48

Responsive eCommerce: The Results Are In

49 – 56

Ignoring Risk Management is the Greatest Risk of All

57 – 61

The Marketer’s Guide to Wearables62 – 67

Serving Up Content Personalisation68 – 72

Innovating from Within73 – 78

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Perspectives 2014

Tim O’Neill

Co-Founder & Joint Managing Director

There is no turning the digital tide. Each year our industry brings new

technologies and new ways for marketers to speak with their audience.

Introduction

Perspectives 2014

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Introduction

In last year’s Perspectives, we looked at connected retail, expanding interface challenges and the value of personalisation – each one of which has proven to be an important concept for marketers to grasp if they want to connect to their customers.

2014 is, unsurprisingly, no different. This year we look at changes in Google’s search algorithm, developing for mobile, and wearables – things we think our clients need to be aware of and on the lookout for when it comes to succeeding with new digital communications. There is a lot of digital noise out there, and we want to help you filter through it.

But connecting to your customers is not the only important relationship your business will have this year. The way you communicate with your agency and the way they partner with you should not be overlooked. We are excited to delve into the client-agency relationship, whether it is how we make sure to talk less and ask more (‘Unconditional Project-Rearing,’ page 31), or how we make sure to regularly experiment so we always have a stash of ideas brewing for you (‘Innovating from Within,’ page 73).

I hope you enjoy Perspectives 2014 and, as always, would love to hear your feedback. Tweet @reactive with #perspectives2014.

Thanks for reading.

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Perspectives 2014

Jules LauHead of Content &

Lead Copywriter, Melbourne

Blair LarkinContent Writer, Melbourne

Google’s New Era of Search & Content

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Perspectives 2014

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Perspectives 2014

In August 2013, Google quietly switched on its new search algorithm without much fanfare.

Aptly named Hummingbird, it revolves around breaking down searches as questions and then

serving up relevant answers from the multitude of content they have indexed.

What does this mean for your brand’s search and content strategy?


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Google officially unveiled Hummingbird to the world, just in time for its 15th birthday. More than just a mere algorithm update (as Panda was), this was a complete overhaul of the entire search algorithm, changing the way Google pulls in search results from its inconceivably massive database of information.

At the time of the announcement, Google called it the next leap forward in search technology, with Hummingbird affecting around 90% of all search queries.

But...Why?The rise of mobile device usage led to two major insights. Firstly, with voice recognition applications on mobile devices (Siri, anyone?)

growing in uptake, more people are beginning to speak their searches into their smartphones and tablets. Secondly, instead of simply typing in keywords, more people now search using whole phrases and questions.

The result? An entirely new formula and search algorithm to handle these changing search habits.

While still incorporating many traditional aspects used in previous algorithms, Hummingbird shifts from keyword-based search to semantic search. This means that now Google can process real speech patterns and provide more relevant results based on the searcher’s intent of his query, not just the keywords he types in the search box.


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Particularly with voice search, which falls under the semantic search, people tend to do so with natural language – “I want pictures of the Eiffel Tower” rather than “Eiffel Tower.” So now Google will serve up images of the monument, and not just a bunch of links related to the Eiffel Tower. They are cutting out the need to sift through a heap of somewhat relevant content, thereby making it far easier and much quicker for a user to find exactly what he is looking for.

And with a smarter search engine comes the need for new and clever ways of creating and marketing content to get higher rankings and more traffic.


Get Smart…erContent is King – no matter how much we try to avoid that overused phrase, we somehow keep coming back to it. And in the constant battle around whether content should be created for search or for users, Google Hummingbird has laid down the law – it’s for both.

It’s about creating useful, quality content that’s directly relevant to what people are actually searching for. So setting up a blog and filling it with keyword-dense metadata and on-page copy just isn’t going to cut it anymore.

Traditionally, brands push out content that is developed by their Marketing Communications

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team promoting their products and services. Someone types in a branded search term, say “Nike Dri-FIT running shorts”, and gets results directly relevant to that particular product. But what if the user doesn’t know about the particular product, and types in “What to wear when running?” Even if the Nike Dri-FIT line is perfect for the user, Google would not rank that highly because content around that product line does not necessarily meet the intent of the search. The outcome? A lost opportunity. And we really don’t want that.

Now marketers need to think about what their target customers are actually searching for, and how those queries can be best answered. It’s the melding of Search and Content, using the former to identify the user’s needs and

then the latter to meet those needs. Product promotion can come in later, further down the page or later in the customer life cycle. Hummingbird is pushing brands to take searchers through an engaging and meaningful experience that spans the entire customer journey – from awareness and engagement to brand loyalty and advocacy – not just covering the browse and purchase model.

So looping back to the example above – if Nike pushes out content that may not necessarily promote the Dri-FIT line but addresses some of the common questions around running gear, Google will rank it higher up based on queries and users will be able to find information directly relevant to their searches – tips on buying running gear, running gear


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Perspectives 2014

wear and tear, etc. Drop in a couple of product promotions on the page and voila! An end-to-end natural shopping experience is created, engaging the user with useful information, encouraging him to browse relevant Dri-FIT products and then head to checkout. Simple and au naturel.

The point is: create and publish useful, informative content that answers the questions your target users are asking. Build your content around intent, not keywords.

So if you’re a Content Writer, time to celebrate. Google’s Hummingbird just secured your job for another few years.


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Perspectives 2014

David JonesAnalyst & Stategist, Melbourne

Brad PatonAccount Director Melbourne


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Privacy has always been a hot topic.

But the ease with which data can be transferred now over the internet, especially with the

explosion of mobile devices, has brought many aspects of privacy protection into firmer focus.

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At the same time, there is a trend emerging that suggests people are quite happy to “give up” certain rights to privacy in return for a product or service they value.

We are in an era of convenience. There is a level of expectation in the amount of value that a product will immediately provide users, catering to their needs.

Legislators across the globe are attempting to play catch up with an issue that has outgrown current laws with the proliferation of data. Personal information, or information that could be used to identify an individual, is being captured by increasing numbers of organisations. These details are useful because they can be leveraged to target

marketing materials or profile customers to identify business opportunities. However, it also comes with associated risks that are not always considered up front. In almost every jurisdiction, the collection and storage of personal information comes with responsibilities – the foremost of these being data security.

In March 2014 new legislation came into effect in Australia, while similar legislation is pending in the EU and many states across the U.S. The focus for most of these legal changes is not so much protecting privacy, but protecting data that has been captured – which is good for the consumer and great for brands looking to establish trusting relationships with their customers.


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The information being used as currency can range from anything as basic as a name, address and date of birth, to more advanced personal data like exactly where you are at any time (geolocation) and what type of activities you engage in. That information is then used by the service provider in a variety of ways to make their website, app or online tool commercially viable.

In its most simple form, the demographic data gained from a user signing up to a website is aggregated and provided to advertisers so that more targeted ads can be placed in front of the user. At a higher level, Google and its suite of products can build up a comprehensive view of all your online interactions. The content of a Gmail account can be leveraged to

Personal information is a currency.A concept that has gained significant attention online recently is the notion of “personal information as currency.” People are willing to trade their personal information as a form of payment to use what appears to be a free service. Services like Facebook, Twitter, LinkedIn, Instagram and Google (and its myriad of “free” services) all rely on this business model.


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“If you’re not paying for something, you’re not the customer;

you’re the product being sold” – Andrew Lewis [1]

details in exchange for something of value. The key to success is determining what value is sufficient to entice a user to hand over their prized personal details.

• The more fields you add to a form (e.g. a registration form), the less likely the form is to be completed (lower conversion rate).

• Ensure that your organisation understands its obligations under relevant privacy legislation, especially when transferring personal information across borders. A collection of international privacy laws can be found on the Australian Privacy Foundation website.

identify that you are emailing friends about an upcoming wedding. By encouraging users to be signed into Google Plus as they browse, Google can track what maps a user looks at or what videos they watch. All of this paints a rich picture for Google, which their clients can then leverage.

What does this mean for brands?Only collect data that is truly going to add value to your business. There is a temptation to get as much information as possible, but unless you are going to use that information to segment your customers, it has little value.

• It is a proven online business model that people are willing to give up their personal


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57% of respondents are fine with providing personal information on a website as long as it’s for their benefit and being used in responsible ways.

73% of consumers surveyed said they prefer doing business with retailers who use personal information to make their shopping experience more relevant.

74% of respondents get frustrated with websites when content, offers, ads, and promotions have nothing to do with their interests.

88% think that companies should give them the flexibility to control how their personal information is being used to personalise their shopping experience.

77% would trust businesses more if they explained how they’re leveraging data to improve online experiences.


The Personal Statistics

[2]

[3]

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References:

1. http://lifehacker.com/5697167/if-youre-not-paying-for-it-youre-the-product

2. Janrain survey: http://janrain.com/about/newsroom/press-releases/online-consumers-fed-up-with-irrelevant-content-on-favorite-websites-according-to-janrain-study/

3. PWC survey: http://www.pwc.com/us/en/industry/entertainment-media/publications/consumer-intelligence-series.jhtml

Perspectives 2014

Tim BuesingCreative Director, Sydney

Gabriel TamboriniArt Director, Sydney

Let your campaign Buzz with Technology

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Here’s one recent hot topic you may have heard: Can technology (not just digital) be the sole

foundation for a campaign? And if so, can only a technology brand run this sort of campaign?

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Let Your Campaign Buzz with Technology


Our simple answer: Yes and No, respectively.

It’s pretty clear why gadgets, innovations and tech stories influence campaigns. Technology and science are all around us, innovating with a speed that makes science fiction talked about as if it’s the weather. Mainstream media covers it regularly, whether in lifestyle magazines or featured on the weekly news, and many of our most valuable brands would not exist without it.

As marketers we accept that technology is a brand differentiator. The technical brilliance of an execution says a lot about how modern and savvy a brand is perceived, and vice versa for a campaign’s lack of technical brilliance. Not to mention – increasing a campaign’s tech-factor provides a higher cut-through all the buzz out

there, which saves on media spend. Tech is a talking point, and as a campaign element it is here to stay.

But before you start seeking out the most cutting edge technology and connecting it to your brand, ask yourself this: How do I make sure this technology is emotional, cool AND fits my brand’s core idea at the same time?

We have been fortunate enough at Reactive to succeed in doing exactly that. Last year we created an interactive robot arm driven by Facebook users and built for the non-profit organisation Save Our Sons. Anyone, anywhere had the ability to sign a petition calling for support for research for Duchenne Muscular Dystrophy (DMD) through Facebook Connect. The robot arm then signed their

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A third component was digital and traditional PR combined with media thinking – with a clever use of search and YouTube media, the campaign reached mainstream television and radio shows. With over 32,000 Australians ultimately signing the petition, The Most Powerful Arm became the most successful health-related petition in Australian history and has entered the political debate in the national Senate.

The takeaways from The Most Powerful Arm taught us more than a few things about how to get a campaign to ‘buzz with technology.’ And they are not just learnings for the non-profit world – any brand or company can buzz with technology for maximum impact.

name to a physical petition. It was ‘The Most Powerful Arm Ever Invented’ and, together with partner agencies, we targeted the Australian government to make research on this muscle-destroying disease a priority.

It was one thing to create a signature-writing robot (“sign for those who can’t”) connected to the world’s biggest social network. Adding live streaming video and posting photos of the action was an extended challenge.

But the second part was equally arduous, yet much less visible: getting the human story out there. Much of it was carried by the inherent social effect of Facebook and social media itself. The buzz factor came out of blogs discovering the story and users getting their friends to join in supporting the cause.


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When you do get into execution, please bear these additional principles in mind:

Get Physical

Try to manifest your creative thought in a physical shape. We don’t mean in a metaphorical way, but in an actual physical piece of technology. People are constantly fascinated by new technology and physical objects. It also gives mainstream media a nice visual to report on. So go on, build a bridge between the digital and physical world.

Stir an emotion

Connect your campaign with a deep-rooted emotion. Empathy with children and their parents is one such emotion. The real hero in

Technology shapes the idea, and the idea in turn shapes the technology. What does this mean in a brand-agency relationship? As a first, appreciate that this approach costs time and money before any campaign idea is formed. Reactive invests heavily into its own innovation capabilities through global Research & Development (R&D) Days, a time for our teams to explore ideas that do not always get the attention they deserve.

As a client, we have at your ready a catalogue of ideas and prototypes which we can meld together for your needs. Developing the actual execution in an agile process, the very first idea of how to use a technology might not become the final delivery.


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Reward Immediately

There are a million other things people could do online. We kept them on our page by introducing live streaming video from the robot’s location. Users also saw an accurate counter of minutes and seconds till the signature was going to be written.

Go Mobile

This might seem like a no-brainer, right? Everyone has a smartphone these days, and it has become a constant companion. But yet, quite often we see campaigns which have little or no mobile consideration. In our project we focused rather heavily on mobile. It was a live installation that allowed people to stand in front of the arm, sign the petition

our campaign was Jacob Lancaster, a 19 year old who is suffering from DMD. He is an incredibly brave young man, helping future generations who will benefit from the clinical research. To get that level of emotion across in our campaign, we not only featured Jacob in our intro video but also trained the robot to write in Jacob’s handwriting.

Set a goal

By announcing an ambitious but achievable goal of 20,000 signatures, we gave the campaign a story arch. It showed everyone a finish line and created positive suspense. The fact that we achieved and surpassed the goal added to the excitement.


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measure the impact the project had on the company or brand. There are inevitably plenty of campaign goals to measure, but do not overlook that successful tech campaigns will also lower internal resistance to new ways of doing marketing. At Reactive, we appreciate this shift and can identify future supporters for our new work as we continue to experiment and innovate. Technology is just the start of an idea, and the buzz around it should never stop.

on their phone and then watch the robot sign the petition with their very own name. Even though only a few thousand people actually saw the robot installation for real, close to half of all traffic to the website came from mobile devices.

As a principle you should involve digital and mainstream PR from a very early point. The more PR colleagues and online influencers that understand the project, the more momentum it will gain. Be ready to iterate the idea and execution, even after launch. Expect curve balls and you’ll be able to react in time to keep the project buzzing. Be aware of new approvals and the process required for it.

After briefly enjoying the successful launch of any campaign, it is important to immediately


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Perspectives 2014

Tim KotsiakosExecutive Creative Director,

Melbourne

The Hamburger in Design

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Take a close look at some of the apps you use on a regular basis. You will probably notice

a number of interaction patterns that didn’t even exist five years ago.

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Like so much else in digital, the rate at which the User Interface (UI) of applications has developed recently is rapid.

Applications are designed for regular use, with a shorthand of icons and hidden gestures that create a simple looking interface. But the knowing user is always rewarded with access to extra features and content with a swipe of the finger (kind of like a secret handshake) — being ‘in the know’ with apps relies mostly on learnt behaviour and a language of commonly used interaction patterns.

The ‘hamburger menu’ icon and the ‘pull down to update’ gesture are recent examples of interaction patterns that we take for granted. Another example is the Apple OS password failure screen that shakes left to right, as if to

say ‘sorry, but no’ in a subtle nod to actual human behaviour. And then there is the pinch to zoom out, the swipe to scroll … I could go on.

Applications are used much more widely thanks to the prevalence of smart phones and tablets. Instead of Word Processing and Spreadsheets, users are spending their app-time connecting with friends, sharing photos, trading second hand goods, or whatever else they may choose. People no longer use their Internet time to just browse websites, but to use all sorts of apps that connect them to the Internet.

The fact that the design of applications has increasingly been impacting the design of websites should come then as no surprise.

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Common TropesThe websites that look more like applications tend to incorporate any number of the following tropes:

• Discreet navigation that is sometimes identifiable by a simple (usually a hamburger) icon that:

- When clicked, produces an overlay with giant typographic menu options or;

- Reveals menu options in a ‘drawer’ from the side, top or bottom of the interface.

• A general preference for big icons (instead of words) for navigation, or icons that reveal words on rollover.

We now have an audience that has been exposed to a variety of new interaction experiences. This, along with more sophisticated website production techniques, has allowed digital designers and developers to liberate themselves from orthodox interaction patterns and employ a host of other new ones. In the past these patterns were relegated only to design applications.

Desktop UI is fast becoming much like something you would expect to download and install. There seems to be a growing emancipation of the pioneering days ten to fifteen years ago, when there was a bigger appetite for challenging convention.


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why and when should you adopt this sort of approach?

Going All Appy

When and why to adopt an app-style approach seems to differ from company to company. Sometimes it is hard to distinguish between genuine decisions that make the lives of the users better, versus simple aesthetic choice. But the most obvious reasons for an app-inspired approach to design seem to fall under one of five reasons:

1. The audience visits the desktop experience frequently, will quickly learn the interaction patterns and benefit from the conveniences they provide.

• An interface that scrolls in an unexpected way (for example, horizontally).

• An interface that organises content into tiles, which can be reshuffled by the user, or by the organic nature of the content itself.

These tropes are featured on a variety of different websites – everything from news media (NBCNews) to social networks (Myspace) to consumer products (Wacom) and website design services (Squarespace). Not all are the types of desktop experiences in which you would typically expect an app-like approach.

These tropes also seem to extend to short-lived marketing campaign sites and branded microsites. Which presents the question –


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Find the Balance

Now more than ever, the opportunities to produce the best work are prevalent. Every project needs to find the balance between expectations (from the user and the client), and the exploration of new ideas and methods. But it’s really only now, with better production techniques and a more literate audience, that we are beginning to see a new wave of best practice interactivity emerge.

A website that looks like an app is just one of the many liberations resulting from this new design era. The web is about to keep getting a whole lot better.

2. The desktop experience needs to be mobile first, and therefore inherits many of the mobile interface quirks by default.

3. The desktop experience intentionally mimics an existing app UI (so as to induce all the positive feelings associated with the usage of an application experience).

4. The experience needs to express a sense of creativity or innovation.

5. The experience needs to be unique and offer a point of differentiation.

Choices around the UI impact the success of the user’s experience, which impacts their perception of the brand, product or service. A poor desktop experience generally equates to a poor brand experience.


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Perspectives 2014

Brett ThompsonSenior Account Director, Sydney

Unconditional Project-Rearing

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This year I became a parent for the first time, learning very quickly some of those

lessons life waits until now to share.

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Any parent knows these lessons – namely:• The true meaning of spare time.

• The importance of routine.

• The value of un-broken sleep.

Like any new thing, these lessons come with literature, and like many new parents I spent a great deal of time reading up, thirsty for any bit of information I could find. It was one particular book on a more unconventional approach to parenting, however, that challenged me to consider its lessons on an entirely different level.

The book was called Unconditional Parenting. And author Alfie Kohn promised on the cover a provocative challenge to the conventional

wisdom about discipline. Published in 2005, it divisively encouraged parents to move away from the traditional model of punishment and reward, (‘conditional parenting’) to a more collaborative approach of teaching through love and reason (‘unconditional parenting’). Central to Kohn’s argument was a problem he found in most parenting books that begin with the question “How can we get kids to do what they’re told?” and then proceeds to offer techniques for controlling them.

Holding a mirror to the agency-client dynamic, it made me reflect on those moments when communication failed. This new outlook on parenting made me think – what if it was conditional processes that were to blame for agency-client failures? Would


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[4]

parties in a project to consider the whole when reviewing the parts that make it up. This is a bigger-picture view that can often get lost in the day to day management of the complexities of digital.

6 Steps to Unconditional Project-Rearing:

1. Be Reflective

“The errors hardest to condone, in other people are one’s own” – Piet Hein

Be introspective and willing to give yourselves a hard time, both as agency and as client. The qualities that particularly irritate some people about others turn out to be unwelcome reminders of one’s own least appealing character traits. This is something particularly

projects run smoother if they were managed unconditionally?

At its simplest was an observation that relationships – of any kind – are at their most ineffective when reliant on conditions, be they incentive or penalty. And it is no secret that conventional project management techniques can be weighed down with conditions intended to contain and control.

There are many techniques for managing digital projects, each of which have their merits and all of which would benefit from a more unconditional approach to the terms, conditions and human interactions that make them work most effectively. Be they governed by waterfall or agile methodologies, Unconditional Project-Rearing asks all


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project and don’t let minor setbacks derail the momentum or morale.

4. Change how you see, not just how you act

When an agency does something inappropriate, conditional clients are likely to perceive this as an infraction. Infractions naturally seem to call for consequences. Similarly, when a client does something inappropriate, agencies often react with penalty. Unconditional clients and unconditional agencies are apt to see the same act as a problem to be solved, not just punished.

5. Be authentic

Communicate as people and be genuine.

timely to remember when communication breaks down and relationships are challenged during high-pressure periods.

2. Reconsider your requests

Perhaps when your agency or your client does not do what you are demanding, the obstacle is not with them but with what you are demanding. Before searching for a new method to convince someone to do something, we should all first take the time to evaluate the value or necessity of that which we are requesting them to do.

3. Keep an eye on long-term goals

Keeping a sense of perspective is paramount to longer-term successes. Have a collective vision of what you want to achieve from a


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Remember that people respect those that can be candid about their limitations, speak from the heart, and confess they don’t always have the answers.

6. Talk less, ask more

Create a sense of safety and listen without judgement. People fearing judgement are less likely to speak openly, and therefore less likely to give you the information necessary to understand the source of the problem.

References:

4. Unconditional Parenting: Moving from Rewards and Punishments to Love and Reason, Alfie Kohn, Simon and Schuster, Mar 28, 2006.


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Perspectives 2014

Antony ClementsDeveloper, London

So, You’ve Decided to Go Mobile

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If you’ve decided to transfer your business into the mobile space, you’re already

making the right first step. But what’s next and what do you need to know?

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No one could help but notice the presence of Samsung’s Galaxy phone during the Oscars in March 2014. Mobile is present throughout our daily lives and products like the Galaxy or Google’s Nexus continue to improve rapidly, gaining market share and providing users with options beyond Steve Jobs’ iPhone.

But the iPhone still reigns – even at the Oscars, with Ellen swapping the Galaxy for an iPhone backstage. For years, techies have argued that the success of the iPhone is based on Apple’s decision to simply make mobile another extension of using the existing Internet and their aim to deliver this “real internet” in our hands.

And their strategy succeeded. The iPhone brought proper internet browsing to mobile

devices, which helped pave the way for the popularity of responsive design today. As a consumer, you now expect a website to adapt to the device you are viewing it on.

In 2008 Apple changed things, once more: The App Store was launched. For the first time, third-party developers could publish native applications. By last October, Apple had approved more than 1 million apps for the App Store, with users downloading almost three billion apps in the month of December 2013 alone. Some argue this is why the iPhone is a success – third party, native applications opened the door for everyone to get involved. And everyone has. App Store monthly revenues are four times greater than its nearest competitor, the Google Play Store (though it


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[5]

[6]

device’s camera or GPS, and then also storing data to be viewed offline. Web applications can be built once and are available anywhere via the web and device browsers.

Alternatively, native applications fully integrate into a platform and provide a familiarity to users with minimal effort.

For many app publishers, when building a native app, the first decision to be made is whether to build a purely native application or a hybrid application. Both have their own benefits and disadvantages, and there certainly isn’t a “one-size-fits-all” solution. Many factors can affect the decision, including: business needs, app requirements and development timeline.

should be noted the gulf between the two is closing).

If you’ve decided to transfer your business into the mobile space, you’re already making the right first step. But what’s next and what do you need to know?

Options

There are two pathways on to a consumer’s mobile device: through the web browser via a web application, or through the App Store with a native application.

With the rise in popularity of the HTML5 standard for developers, mobile web applications can offer users a rich experience by tapping into some cool hardware, like their


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iOS HTML5 Standard Cross-platform tools

iPhone Operating System, the name given to Apple’s mobile and tablet platform. Any operating system (OS) is software that manages the computer hardware it runs on and provides services to the programs that run on it.

HTML, or HyperText Markup Language, is used to make web pages and other content viewable via a web browser. HTML5 is the fifth revision of the HTML standard.

These enable developers to write code once and publish the code to the different platforms (OS) by bridging the gap between standard web technologies and mobile devices.

Web Application Hybrid Application Native Application

An application that runs within a web browser. It can be made to look like a native application on mobile devices.

An application that is wrapped in a native application using the operating system’s web browser control. Hybrid applications are a type of native application built with cross-platform tools that can be published to many different application stores.

In a mobile context, a native application is an application that has been developed for a specific operating system (such as iOS or Android). Native applications are made available to users via the operating system’s “App Store” and will typically look and feel like the operating system it runs on.

Words to know


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Option Advantages Disadvantages

Web application • Quick development/prototyping time

• Build once, deploy anywhere

• Quicker update cycle

• No access to OS ecosystem: In-app purchases, push notifications, auto-updates, etc

• Limited or no access to external hardware

• Limited offline storage

Native application • Familiar platform look and feel is easy to achieve

• Access to all the latest features and hardware (including external hardware)

• Full integration into the platform ecosystem

• Longer development time if publishing across multiple platforms

• Knowledge of the platform development tools and API required

• OS fragmentation*

Hybrid application • App Store penetration

• Use existing html, css, javascript assets

• Shorter development time, developers can reuse code across platforms

• Relies heavily on the OS web view control

• Difficult to reproduce native application look and flow

• The cross platform-tool may not support all OS features (including access to external hardware)

* Operating system (OS) fragmentation is a potential challenge facing all native/hybrid app developers. Each new OS release brings with it a host of new frameworks, functionality and development tools. The challenge facing app developers is to utilise these whilst maintaining compatibility with older versions of the OS. iOS fairs better when it comes to fragmentation (compared to Android), with a much higher number of users adopting the latest operating system earlier. Latest figures released by Apple show that 83% of users are using the latest version of the operating system (iOS 7), with 14% using the previous (iOS 6).[7]


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You should use app updates to add new features to a stable, functional application. Refine your app, improve existing functionality, performance-tune, and release. And then repeat.

Reactive have over four years of experience developing native apps. Specialising in content driven applications, Reactive have published across global markets for global clients – including Reed Exhibitions, The Stationary Office, Cricket Australia and Meat & Livestock Australia.

References:

5. http://www.zdnet.com/apples-app-store-downloads-top-10bn-battle-for-developers-hearts-and-minds-heats-up-7000024884/ http://mashable.com/2012/11/19/apple-app-store-1-million-submissions/

6. OS vs Android The Guardian, December 2012. Retrieved January 2014

7. App Store distribution, Apple, March 2014, Retrieved March 2014

Next Steps

Regardless of the application type you’ve decided to develop – web, native or hybrid – the next step is to maximise the potential of success.

The key to a successful application is to focus on the user experience, and pay attention to the details. As you decide what to include in your app, don’t forget – the best apps, the ones that users access most frequently, are those that do one thing and do it well.

When it comes to development, mobile applications are best suited to agile development methods – iterate and increment frequently. Focus on stability and security; stable apps gain positive reviews.


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Perspectives 2014

Jules LauHead of Content &

Lead Copywriter, Melbourne



The death of the tried-and-tested Art Director/Copywriter team: while this has

been the talk of the industry for some time now, few have actually done anything about it.

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Continued proliferation of digital and social usage has completely upended the traditional advertising model, and consumers now need more than pretty pictures and some clever words on a page to buy into anything.

The 1960s heralded the Creative Revolution, when Bill Bernbach sat a copywriter and an art director in the same room and told them to do what they do best. One of the most influential figures in modern advertising, Bernbach saw creative limitations in separating copywriters and art directors and flipped it around, growing DDB into a powerhouse that was constantly churning out amazing advertising.

Those were the good old days of print and broadcast, during which the most important skill sets you needed were copywriting and

art direction. But now? Now is the time for change.

As Apple Once Told Us: Think DifferentThere’s little need to explain the business and customer transformations that digital and social media have created – they have been massive, and they have reshaped how the public consumes information and how advertisers need to talk to them. No longer a one-way communication model, consumers can now look at a product or service and determine if it makes things easier, if it excites or inspires them, if it caters to their needs – and then broadcast their views to the world.

Driven by digital, the media environment of today is much more fragmented and easily


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Bring it Back a Full CircleLet’s be clear – I’m not saying that the art director and copywriter are no longer needed. It’s more about being open to evolving the creative team structure we are all so used to, thrashing the rules of the old days. We need to widen that circle to include other skill sets, integrate them into the creative process and give them the respect they deserve.

When Bernbach placed the copywriter and art director in the same room, the two began producing ideas that revolutionised the industry. Now, an idea revolving around words and images simply doesn’t cut it. Say goodbye to telling a brand story, and hello to creating a brand experience. It’s about building an experience that’s well integrated

disrupted – up to 88% of US consumers are on their mobile devices while watching TV. There is just so much for the average consumer to do, and so many platforms to be on. As users are inclined to share, comment and check-in more so than listen and learn, it’s imperative for us as advertisers and marketers to rethink the way we generate ideas and present information throughout the brand’s entire communications ecosystem.

Because we’re no longer talking to a passive audience. We’re talking to consumers who are active, who spread their time across numerous devices and channels, who are desensitised to the traditional advertising messages that simply focus on selling. They need more.


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We do try our best. Along with the art and copy team, agencies now include UX specialists, planners, web and app developers, content and social media strategists, etc.

Being a creative today necessitates the versatility to work across a variety of disciplines and a firm understanding that it’s about generating that one great idea, no matter where or who it comes from. We need a variety of skill sets to deliver a great piece of communication, to produce a genuinely effective campaign. We need this team collaborating in a room from the very beginning, just as good old Bill pioneered so many years before.

References:

8. http://www.adweek.com/news/advertising-branding/goodbye- art-copy-hello-idea-engineers-101107

and consistent across channels, one which can grab attention and invite participation, that provides useful benefits, and generates more content for our information-hungry users.

A couple of years back, leading industry publication Adweek carried an article that pronounced the next generation of the creative team as ‘consisting of an idea architect and an idea engineer.’ The idea architect’s role is to figure out the best way to tell the story – whether it’s in pictures or words, they are the ones crafting the brand narrative. On the other side, the idea engineer is there to figure out the best way to bring that story to life and build it into a true experience that is highly relevant and engaging.


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[8]

Perspectives 2014

Stephen FoxworthyStrategy Director, Melbourne


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The debate regarding how best to provide a mobile-optimised shopping experience for eCommerce is certainly not a new one.

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But with mobile sales now capturing increasingly larger portions of online sales, eCommerce folk have no choice but to answer the question of how to approach their user’s mobile experience. What happened the last time you landed on a website on your mobile and the functionality was poor? I would be willing to bet you pretty promptly exited, abandoning a potential sale, and have not been back since.

During last year’s holiday season, there was a tremendous increase in transactions on both mobile and tablet across the host of eCommerce sites we manage, and powered by Codagenic eCommerce.

Mobile growth Tablet growth

Visits 94% 104%

Transactions 181% 161%

Revenue 215% 114%*Source: Codagenic eCommerce client sales Dec 2013 vs 2012

With growth like this, the question surrounding mobile optimisation is no longer ‘if’ but ‘how?’ Companies today have three options for optimising for mobile sales:

• Responsive web design.

• Native applications.

• Web applications (“M-sites”).

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experience has shown that eCommerce businesses benefit the most from responsive design.

But why?

Email Marketing is here to stayA particularly strong argument for responsive web design over apps or m-sites is eCommerce marketers’ reliance on email. It remains one of the primary mediums for keeping in touch with customers. As customers rely on mobile more than ever, it is reported that up to 51% of all email is now viewed on mobile. (See graph, page 55.)

The concern with email marketing is that it can be difficult to craft landing pages for both desktop-optimised sites and mobile-optimised

Responsive web design is a process of making your website content adaptable to the size of the screen you are viewing it on. By doing so, you can optimise your site for mobile and tablet traffic, without the need to manage multiple templates, or separate content

Native Apps are downloadable applications installed on your own device that can provide unique experiences.

M-sites are separate websites that have been custom-coded for display on a small-screen device. Generally, the website will detect that a mobile device is being used and will serve the m-site in preference to the full website experience.

Which of the above makes the most sense is reliant on a variety of factors, but our


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Managing a dynamic website for optimal performance in search engines is an on-going, time-consuming task. As a result, anything that makes this simpler is a boon for most eCommerce marketers.

While a well-structured mobile-specific site can rank as well as a standard website in search engines, there are many more pitfalls and technical requirements to optimise an m-site than responsive web design. These can include the need to manage multiple domains or sub-domains, duplicate page content, canonical URLs and content management between the different sites. For this reason, Google recommends responsive websites where possible and practical.

sites, particularly for high volumes of email marketing. Responsive web design avoids this issue, with all content automatically adapting for the device displaying it. A single page caters to traffic from all readers, whether on mobile, tablet, or desktop.

For one Codagenic client, conversion rates from email marketing campaigns on mobile devices are more than double their website average. If consumers enjoy a high-quality user experience on their mobile, they have demonstrated they will purchase.

Search Marketing sends customers your wayAnother major traffic driver to eCommerce websites is Search.


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[9]

mobile devices, something that can be tricky to achieve with dedicated m-sites – especially if the mobile-optimised site is just a slimmed down version of the desktop environment. This makes maintenance on the backend easier for you.

Finally, there are native mobile apps. These are downloaded and installed on your device and can provide unique interfaces, functionality that you do not easily get within a web browser, and the ability to save personal details to make transactions simpler and easier. Apps, however, are generally targeted to an already highly engaged customer base who are transacting with you frequently enough to go to the effort of downloading your unique app.

Social Media sends customers tooAnd finally, let’s look at social media.

Social media is a major traffic driver for popular eCommerce sites. Many retail brands invest a tremendous amount of time building social advocacy and communities around their brands.

The good news is that social media sharing is effectively free promotion for retailers. The catch is that nearly all social media interactions happen on mobiles devices these days. Adobe reports 71% of people use mobile to access social media (a very good reason to make sure your brand is active there).

Responsive web design ensures in-bound links from social media are all available on


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[10]

DesktopMobile Webmail

*Graphic Source: https://litmus.com/blog/mobile-opens-hit-51-percent-android-claims-number-3-spot

Email reading, by device

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Content provided by Codagenic.

Codagenic eCommerce is a fully mobile responsive software platform developed by Codagenic, a Reactive partner.

If you already have a large, active client base on your eCommerce website, Codagenic have developed APIs to enable native iOS and Android apps to seamlessly integrate with your eCommerce platform.

But if you’re just diving into mobile for eCommerce, we think the evidence is clear. Usability and functionality are directly related to eCommerce sales. Responsive web design ensures your eCommerce store offers the best experience for the widest possible audience with the minimum amount of management for you.


References:

9. https://developers.google.com/webmasters/smartphone- sites/details

10. http://blogs.adobe.com/digitalmarketing/mobile/adobe-2013-mobile-consumer-survey-71-of-people-use-mobile-to-access-social-media/

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Perspectives 2014

Liesl PfefferSenior Project Manager,

New York


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As anyone working in digital knows, things go wrong.

Sticking your head in the sand and hoping everything works out perfectly is one option.

For the enlightened digital project manager, embracing risk management is probably a better one.

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Last October 1, after a long fight to pass the Affordable Care Act (ACA), a stomach-wrenching six (6) total Americans were able to sign up for Obamacare as a result of the failed government website. The next day, it ‘skyrocketed’ to 248. What followed was a very public outcry over the website – how could Americans be expected to believe in the ACA if the website didn’t even work? It’s since come to light that these issues are in part a result of inadequate project management – one that failed to fully appreciate the inherent risk involved with such a massive undertaking. As anyone working in digital knows, things go wrong. Probably not on the scale of the ACA debacle – but nonetheless, unanticipated missteps can feel just as severe when it comes to your agency’s reputation and its ability to deliver.

What exactly is risk management?At its most basic level, Risk Management identifies and assesses risks, then sets out a plan to minimise any impact if (and when) something does indeed go wrong. Unfortunately when it comes to digital, applying risk management fundamentals has fallen to the wayside – not that it’s anyone’s fault.

As businesses continue to shift their customer service efforts online, operating web-based transactions and storing information in the cloud, marketing teams have been tasked with managing them, instead of the IT department. The risk management practices stringently applied in IT departments aren’t always being carried over to the studies and practices


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rapidly in recent times. Smart organisations have a senior executive role that manages risk, and this risk management function is highly integrated into all decision-making.

In the digital agency scenario, the project manager typically owns the risk management function for project delivery and is consequently the only role with proper training. However, all members of staff have risks to weigh and mitigate, and risk management responsibilities can no longer be relegated to the act of tracking risks in a spreadsheet (although that is an essential part of the process).

Agencies need to give staff the tools required to manage risk effectively and invest in educating them in risk management

of most marketers. Marketing departments rarely have risk management staff or risk management methodologies that are deeply integrated into their processes.

The good news: essentially all risks across the entire digital landscape can be identified, managed and mitigated through careful planning. We just need to adopt the risk management skills and responsibilities that were previously owned by IT. These include methods like incorporating risk analyses into all decision-making, and practising methodologies such as the ongoing maintenance of a risk register.

Agencies can learn from enterprise companies who have been taking steps to increase risk management processes continuously and


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Agencies with staff who are adept at risk management will see improvements in quality, efficiency and timeliness of project delivery as well as increased employee retention. Clients who are provided the tools they need to mitigate their own risks will be more satisfied with increased revenue and savings on project costs.

With all the web-based and instantaneous activities being conducted these days, especially across social media, the reputational risk for our agencies as well as our clients is astronomical. As savvy, innovative marketers, we should be ready to consider risk management both as a service offering and a fully integrated element of our business management approach.

processes. Staff can attend courses at local colleges or online. In turn, rigorous systems and processes need to be introduced and followed. Agency staff need to outline and implement standard processes that educate the client and provide the client the tools they need to own their client-side risks.

Digital agencies, as a global sector, also have a responsibility to increase our activities that advocate, educate and protect our staff and clients on how to manage risk effectively. Our industry already excels at knowledge sharing. I predict that educating each other on risk management through conferences, articles, meet-ups and other events and communication channels will (and should) become more of a focus in the near future.


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Perspectives 2014

Tim O’NeillCo-Founder &

Joint Managing Director

The Marketer’s Guide to Wearables

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The Marketers Guide to Wearables

As I sit here drafting this, glancing at my wrist hardware to check how much activity

I’ve done today, there’s no doubt that wearable computing is exciting new territory.

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In 2013 it remained mostly a talking point, but this year it’s hitting the mainstream. January 2014’s Consumer Electronics Show (CES) held in Las Vegas saw a plethora of new wearables being announced, from pretty much every major electronics company (Sony and LG among others) as well as many consumer brands (such as Nike).

In the world of product development, wearables offer up interesting avenues for brands to get closer (literally) to their customers. But what are the opportunities for marketers, and how do wearables fit into the broader customer experience?

Taking a look at three of the most popular types of wearables now and in the future, how can these be used by brands?

In 2013, fitness bands sold like crazy, led by the Nike FuelBand, Fitbit and Jawbone UP, appearing on (slim, healthy!) wrists around the world. Both Fitbit and Jawbone provide ‘API access,’ giving marketers the ability to create their own branded apps using activity data. Walgreens for example rewards customers with loyalty points for exercising regularly.

As the cost of fitness tracking wearables come down, it will be practical for brands to create their own wearables, supported by their own branded apps. It’s easy to imagine Weet-Bix, or any other breakfast brand, giving away a simple fitness tracker with every three packs sold, and then giving prizes to the most active Weet-Bix Kids. Yes – attaching the device to the family Labrador is cheating!


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Wearables: A Future History

Looking further, smart glasses (such as Google Glass) will either be the must-have fashion accessory of the year or have fallen flat on their proverbial face.

Either way, developers, agencies and brands can have some fun, creating truly unique and memorable experiences.

2015

Fitness bands sold like crazy, led by the Nike FuelBand, Fitbit and Jawbone UP.

Both Fitbit and Jawbone provide ‘API access,’ giving marketers the ability to create their own branded apps using activity data.

Companies reward customers with loyalty points for exercising regularly.

2013

Smartwatches are appearing around every corner, with dozens of new watches announced already.

Samsung’s Galaxy Gear developer community is currently invite-only, and Pebble only launched their App Store in February.

2014

aisle-by-aisle directions to your predefined grocery list, and sports franchises can give live score updates to your wrist.

Looking further ahead, in 2015 smart glasses (such as Google Glass) will either be the must-have fashion accessory of the year or have fallen flat on their proverbial face. Either way, developers, agencies and brands can have some fun, creating truly unique and memorable experiences.

The challenge is getting glasses into the hands (and on the faces) of customers – not many brands invest in an experience that only a small niche of their customers can enjoy. Notable experimenters include ELLE, The New York Times, Coupons.com and Evernote, who have all created Google Glass branded apps.

These days, smartwatches are appearing around every corner, with dozens of new watches announced already in 2014. Until now, brands wanting to jump on the smartwatch bandwagon have had limited opportunities. Samsung’s Galaxy Gear developer community is currently invite-only, and Pebble only launched their App Store in February 2014.

Consumer interest in smartwatches will be followed by interest from brands. There are limitless opportunities for brands to create branded apps that run on a smartwatch, most likely in companion with an iPhone or Android phone app. Mercedes, for example, have announced a forthcoming Pebble watch app that will show your car’s fuel level, door-locks and current location. Retailers can provide


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Apart from apps, smart glasses are being used in interesting ways for content creation – New Orleans Tourism captured exciting sightseeing footage from Glass-wearing “influencers.”

At Reactive we are busy experimenting with these new wearables, and presenting practical and relevant opportunities to our clients. Our teams are fortunately already more active, running on time and (shortly) will be able to see into the future.


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Perspectives 2014

Stephen FoxworthyStrategy Director, Melbourne

David JonesAnalyst & Strategist, Melbourne

Serving Up Content Personalisation

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Imagine if the websites you visited most frequently knew you were there before pageload. Or if the local takeaway restaurant knew that you

prefer Chicken Korma on a Saturday night and Lamb Rogan Josh midweek.

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Whether you think this is scary or awesome, it is the future of content personalisation. It has proven effective at driving conversions and many surveys on the subject have indicated that a majority of users understand the benefits for themselves. While content personalisation can be overwhelming, it will be infinitely more successful if marketers plan well from the start.

What is Content Personalisation? Content personalisation involves serving content that is tailored to a specific user’s interests rather than having a “one size fits all” approach. There are numerous ways that users can be profiled or segmented with Sitecore’s Digital Marketing Suite, Adobe’s Test and Target, and Umbraco’s Spindoctor all offering variations on a theme.

Broadly speaking, segmentation of users falls into one of these four categories:

1. Profiled Personalisation

Information that is known about the user because they have signed in to the website. This could include information held in the customer relationship management software (CRM).

2. Behavioural Personalisation

Information that is known about the user because of browsing behaviour that they have displayed on the site during the current session or a previous visit.

3. Entry Based Personalisation

Information that can be assumed about the

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would best sit in order to be most effective. Going back to the local takeaway restaurant example, the team would need to consider what content assets would be required (banners or text?) and where this content should sit (header or body?). How many assets will be required – are there going to be assets for every meal on the menu, or assets with the menu segmented into courses? These decisions have a significant impact on how much time and effort will be required to make the content personalisation effective.

For many marketers, it is at this point that even the simplest proposition can start to look overwhelming.

But effective planning of a content personalisation strategy can help avoid

user because of where they have entered the site (e.g.via a certain landing page, advert, promotional email,or search term).

4. Objective Personalisation

Information that can be assumed about the user because of how they are browsing the site (e.g. IP address, geolocation, device or browser type).

All of these categories require content assets to support the personalisation, which is often not considered early enough in the process. It’s important to remember that each variation will require a different content asset to appeal to the identified segment.

The design and development team also need to identify where this personalised content


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3. After an initial brainstorm, create a personalisation matrix that lists the content requirements, areas to be personalised and what the trigger would be to spark personalisation.

4. After choosing the best personalisations on the basis of business objectives, write stories that can be fed into the development requirements.

As more and more customers come to expect catered digital experiences, diving into a content personalisation strategy should be in most marketers’ plans – and doesn’t need to make you feel like your plate is full.

content headaches further down the line. The following process has worked very well with Reactive clients:

1. Focus on business objectives. What is the personalisation seeking to achieve? Prioritise personalisation that is going to help drive macro or micro conversions and overall business goals. Don’t engage in personalisation for vanity’s sake.

2. Avoid creepy. Is this going to be something that the visitor is going to find useful, that will ease their user journey or is it going to make them unsettled? This comes down to what content is being personalised and the tone of the personalised content.


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Perspectives 2014

Carl PanczakPresident & CEO, New York

Innovating from Within

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Many companies are asking themselves how WhatsApp, the Silicon Valley startup that was

created less than 5 years ago, could sell for the astronomical price of $19 billion.

Or how the digital hospitality brand Airbnb could have a projected market value higher than

major hotel chains like the Hyatt and Intercontinental.

Today’s startups could be tomorrow’s global market leaders.

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So what can we learn from the approach and culture of these hugely successful startups to help our own companies become more innovative?

The speed by which these companies can innovate products and go to market is largely based on their operating model: purpose driven, agile, collaborative, flexible and digital.

At Reactive we’ve been taking steps internally as well as in partnership with our clients to help foster a culture of innovation and build a more agile and adaptive organisation. This effort allows us to build digital products, services, and internal capabilities in a more dynamic way.

Cross-Functional Collaborative TeamsWe have structured our business around cross-functional teams in each of our offices for over 10 years. Our teams combine skills from user experience (UX), visual design, engineering, strategy and project management, across different levels from junior to senior. Teams are always built around clients so we have consistency and focus, while ensuring that knowledge, expertise and relationships are grown and maintained.

Over the years we’ve learned how to optimise this structure, adjusting the mix of skills when necessary to ensure the right level of management and expertise, resulting in the most efficient workflow for our clients.


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Day we have a whole new range of projects prototyped for real-world application, ready to go.

Celebrating EntrepreneurshipOur founders Tim Fouhy and Tim O’Neill have always encouraged and celebrated entrepreneurship within the business. Nurturing and growing talent and promoting from within the organisation are high on their list of priorities. Once our first office in Melbourne was firmly established, we continued to expand our business and offer management opportunities to existing staff. Today, Reactive has four additional offices in different parts of the world, with three of them created by employees sourced from within the company.

Quarterly R&D DayThree years ago we introduced a quarterly Research and Development Day (R&D Day). We stop ‘business as usual’ for an entire day and form small teams in each office around the world to focus on a selected area of innovation. There are specific guidelines or themes around each R&D Day to help focus everyone’s energy and ensure great results.

Ultimately R&D Day gives us an opportunity to experiment with new technologies, such as Google Glass, iBeacons or touch screen technology – or build robots! Our teams find it allows them to investigate and solve problems that have been stewing in our minds but never gained the attention they deserve. It is also beneficial for our clients: after each R&D


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Ideas From AnywhereTo innovate a company must be open to new ideas. This requires a flat, non-hierarchical structure to ensure freedom of expression and a culture of ‘no idea is a bad idea.’ We encourage our teams to collectively contribute to setting goals and constantly look at how we can improve our processes, become more efficient, and eliminate waste. We believe in ‘fail fast, fail often,’ in that we celebrate experimentation and exploration. It is better to try something and fail than to do nothing.

Onsite TeamsSomething we are doing more and more with clients is deploying onsite teams to work collaboratively with their in-house staff

With offices in very different locations (Melbourne, Sydney, London, Auckland, New York), it has also become important that each office operates with a large amount of autonomy and runs as a standalone company in its own right. This ensures each office is financially independent, whilst also remaining adaptive and responsive to local markets’ specific needs. Of course we still maintain strategic oversight and common initiatives and goals, but we strike the right balance between autonomy and conformity. When a local team or office develops a new process improvement or client idea, we have remained unified enough globally that we can roll new initiatives across the rest of the business.


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Some clients are actually embracing agile methodologies into their marketing process, which requires our team to be closely aligned and communicating constantly to ensure we are able to facilitate fast, iterative decision making. But most of all it allows us to be primarily focused on results – not on unnecessary process.

to deliver projects. This can take the form of shorter-term engagements to facilitate technology handovers and training, or expand to month-long assignments to work on full-scale implementations. It is easier to avoid mistakes when teams are collaborating closely and making small adjustments in direction to changing parameters.

Agile ProcessAgile methodology assumes that the final result will evolve as the product is built, and that all requirements cannot possibly be known, nor accurate at the beginning of the project. The idea is that getting a usable product into the hands of your customer early will yield valuable feedback, and allow the product to be iteratively refined and improved.


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We hope you enjoyed this edition of Perspectives. Please share your thoughts with us @reactive using

#perspectives2014, or find us on Facebook.

MelbournePhone: +61 (0)3 9415 2333

Email: [email protected]

SydneyPhone: +61 (0)2 9339 1001


LondonPhone: +44 (0)20 7550 8200


AucklandPhone: +64 (0)9 309 5696


New YorkPhone: +1 (718) 801 8040
