In their recently-released Q3 2020 earnings report, Netflix added 2.2M global net subscribers. This figure is just shy of their estimated gain for the quarter of 2.5M. Additionally, it fell short of analyst expectations that forecast the service’s growth in subscriber numbers would exceed Netflix’s own guidance. Accordingly, the company’s share price was down about 5% after market close. This is not the first time Netflix has faced challenges maintaining subscriber growth.

However, while the main metric of paid net adds may have fallen short, in many ways this has been a solid quarter for Netflix. The effects of the ongoing extraordinary operating conditions caused by the global pandemic are likely still benefitting the streamer.

One such effect is shown below, where we can see that in Q3 more titles are trending positive in demand across all regions. About half of all Netflix original titles saw QoQ increases in demand. The USCAN region in particular saw its share of titles trending upward increase by nearly 15%.

In another positive indicator, the decay rate of content on Netflix is improving across regions. This shows that demand for content available on Netflix is holding up better over time. This is good news for those who had concerns about audiences burning through content faster during lockdowns and bodes well for subscriber retention.

We know that tentpole originals are key drivers of subscriptions. Netflix itself, likely aware that the absence of these is keenly felt, reassured investors that tentpoles were coming, calling out specifically in the shareholder letter that production has restarted on Stranger Things S4 and The Witcher S2.

The chart below shows how demand for tentpole originals is a leading indicator of subscriber net adds. In the chart, demand has been forward shifted by one quarter to better show its predictive relationship with subscribers. Aside from the difference in Q1 2020, driven by the pandemic and catching everyone including Netflix by surprise, a previous quarter’s change in demand is a good indicator of subscriber growth. Demand for tentpole originals in one quarter drives subscriber growth in the next.

We’ve included Netflix’s Q1 2020 guidance in the chart above as an estimate of where net adds would have been in the absence of pandemic effects. As can be seen, Q4 2019’s sharp decline in original tentpole demand would have been in line with Netflix’s guidance which had forecast global subscriber growth slowing in the first quarter of 2020. Following the anomaly that was the first quarter this year, it appears that the historical relationship between a previous quarter’s tentpole demand and current subscriber growth has resumed. The Q2 2020 reduction in demand for Netflix tentpole originals presaged Q3’s slowdown in subscriber numbers.

Beyond tentpoles being a driver for subscriber acquisition, two genres in particular are key in supporting subscriber acquisition - children's and drama. We’ve previously shown the power of these genres for adding subscribers.

In dramas, a critical genre to lure subscribers and one in which Netflix has had historical strength, Netflix originals are losing share slightly in APAC and LATAM so far this year, down 2.7% and 1.8% respectively. A powerful force to reverse this trend would be another season of one of their tentpole dramas such as Stranger Things.

The above demand share analysis also reflects the competitive headwinds Netflix faces as new streamers enter the market. Peacock and HBO Max’s launches earned a mention in this quarter’s shareholder letter. Disney’s reorganization to focus on streaming was also specifically addressed. Netflix is certainly aware that the streaming wars are far from finished.

Source:Parrot Analytics

Yaccarino Adds Data Strategy Unit, Local & Regional Sports Network Sales, and Cross-Company Strategic Initiatives to Her Purview, in Addition to Global and National Sales

NBCUniversal announced that Linda Yaccarino has been elevated to Chairman, Global Advertising and Partnerships, NBCUniversal. She will continue to report directly to Jeff Shell, CEO, NBCUniversal.

In this expanded role, Yaccarino will continue to oversee all National Advertising Sales, Ad Sales Marketing, and Global Partnerships, and will now include Local Advertising Sales and Strategic Initiatives teams in that offering, as well as spearhead a new cross-functional Data Strategy effort across the company. 

With this move, NBCUniversal's continued focus on serving all audiences on all screens takes another step forward, creating a single, scaled advertising offering for clients of all sizes, no matter where they operate -- locally, nationally, or globally. 

Earlier this year, NBCUniversal unified its linear and digital assets as One Platform and introduced ad-supported streaming with Peacock. This new structure announced today is an extension of the One Platform strategy. It allows the company to strengthen its already robust local ad sales operation by tying it more closely to the company’s global sales efforts and provides additional resources to build growing areas like data and information strategy. 

"Linda has done a fantastic job moving the advertising business forward, not just for NBCUniversal, but the industry at large," said Jeff Shell, CEO, NBCUniversal. “I'm excited for her to continue architecting the future of the ad-supported ecosystem and uniting all assets of this company to make us the best possible partner for our customers around the world." 

Since joining NBCUniversal in 2011, Yaccarino has led the growth of the company's advertising sales efforts both nationally and globally to a $10+ billion dollar business annually, while developing new opportunities with expanded creative and technological resources to better serve NBCUniversal's partners. Now, with the addition of Local Sales, NBCUniversal will offer a streamlined, scaled ad solution for small businesses to global enterprises via One Platform. Frank Comerford, Chief Revenue Officer for Local Sales, will continue to oversee all commercial efforts for NBCUniversal’s local TV stations, multicast networks and regional sports networks. He will report to Yaccarino and continue to partner closely with Valari Staab, President of NBCUniversal Owned Television Stations.

Yaccarino's role will also include the oversight of a new initiative and another division. She will lead an effort to create a unified, privacy safe identity vision at NBCUniversal as head of the company's new Data Strategy unit. This team, under a soon-to-be-named Chief Data Officer, will map out a strategic plan for information development across the organization, driving revenue generation and building deeper pathways into commerce. Strategic Initiatives, led by Senior Vice President Kathy Kelly-Brown, will also join Yaccarino's team, uniting Comcast Cable and NBCUniversal's Symphony efforts under the broader Advertising and Partnerships mantle. 

The Trusted and Innovative Authority in Video for Leading Organizations

Reinvigorates Brand Platform with Total Visual Redesign

Brightcove Inc.the global leader in video for business,announced a complete reimagination of its brand, inclusive of all-new positioning and voice, as well as a bold new graphic identity. The rebrand comes at a time when video is being fully embraced by both consumers and businesses across all sectors. This solidifies the company’s mission to own the video platform conversation globally as the definitive voice on how video is hosted, shared, monetized and experienced, while achieving customers’ goals through its leading technology.

Brightcove has been an integral part of the video industry for more than 15 years, pioneering innovations and creating award-winning technology and services used by media organizations and enterprises around the globe. Now, during a time when video reliance has quickly accelerated and seen exponential growth, this vibrant new identity reflects Brightcove’s ceaseless efforts to push the boundaries of what’s possible in video, establishing its continued dedication to empower its customers to tell their stories. 

“This is a pivotal time for our industry, and the need for video will remain an anchor for brands who understand the power it can deliver to unite, engage, and communicate,” said Jeff Ray, CEO of Brightcove. “Our customers represent some of the most innovative companies in the world, and we’re proud to partner with them to own the moments that matter. This brand evolution reflects who we are today, our ambitions for the future, and our commitment to the companies who place video at the center of their business.”

With over 50 industry-defining patents under its belt, Brightcove lives and breathes video - a key message the company clearly illuminates through this brand evolution. Whether it’s solutions for broadcasting or publishing, marketing, enterprise communications, virtual events or livestreaming - the Brightcove team takes pride in making video easier for its partners, and has yet to meet a video challenge it can’t tackle and innovate upon.

This is the second time in a row that the streaming platform has won the Award

ZEE5 Global, the largest and most comprehensive digital entertainment platform for Indian content, has won the ‘Digital Content and Streaming Service of the Year’ award for 2020 at the Telecoms World Middle East Awards for the second consecutive year.

The virtual awards ceremony, held on 13th October 2020, was part of a Telecoms World Middle East event in Dubai. The winners were chosen by a panel of expert judges brought together by Terrapinn, the organisers of the annual Telecoms World Middle East Conference and Awards. The awards recognize outstanding performance in key telecom-related areas across the region and recognize those players that make this one of the most dynamic sectors globally.

“We’re thrilled to be named the Digital Content and Streaming Service of the Year, that too for the second consecutive year. This award is a recognition of the tremendous love for our content across markets, the partnerships we have forged in the shortest span of time and our continuous initiatives to bring the best of Indian and South Asian content to our audiences worldwide. The Middle East is an especially important market for us, and we are very glad that our efforts and ambitions are being recognised here with this highly coveted award.” said Archana Anand, Chief Business Officer, ZEE5 Global

Catering to not only South Asians but also mainstream audiences across countries, ZEE5 is today, with over 125,000 hours of on demand content and 60+ live TV channels, the largest single point destination for Indian content globally. From expanding its global reach through strategic partnerships across key global markets, to establishing itself as a premium advertising destination, the platform has achieved massive success at rapid speed during the past year. It has also been recently featured as one of the top 10 streaming apps downloaded globally and the sixth most downloaded Android app, by Sensor Tower. 

The brand has also grown from offering 12 content languages at launch to now offering content across 18 languages, including Arabic, filling a growing demand among audiences for language content. Fast moving into its next phase of growth, it will soon launch multiple localized content and other initiatives in priority markets like Bangladesh and Middle East.

Amazon, Spotify and Netflix Are Among the Biggest Risers in Ranking Amid Global Covid Lockdowns

Microsoft overtakes Google, to enter top three

• New entrants for 2020 include Instagram (#19), YouTube (#30) and Zoom (#100); re-entrants include Tesla (#40) and Johnny Walker (#98)

• Tech dominates the top 10, with a top three of Apple (#1), Amazon (#2) and Microsoft (#3)

• Amazon sees the largest increase in value, Spotify (#70) and Netflix (#41) achieve largest growth in ranking, while new joiner Instagram makes the biggest leap up the table

• Technology is the fastest growing sector, while retail struggled amid a global pandemic

Amid a global pandemic with its significant impact on business in 2020, Interbrand has announced the brands that have fared best in its 2020 Best Global Brands ranking.

As expected, social media and communication brands have fared well in the past 12 months, with Instagram (#19), YouTube (#30) and Zoom (#100) entering the rankings for the first time. Tesla has reentered the rankings at #40 with a brand value of US$12,785m, having last appeared in the Best Global Brands table in 2017.

Media companies have also seen success among the turmoil created by Covid. Spotify (#70), saw brand value increase by 52% to US$8,389m – jumping 22 places in the ranking, while Netflix rose to #41 with a 41% increase to US$12,665m. Business models have played a role in this success, with 62% of double-digit risers relying on significant subscription model businesses.

Top Ten

Amazon was a top performer, ranking #2 and increasing brand value by 60%, with a valuation of US$200,667m. While Apple retained its top spot in the table, Microsoft’s increase in value this year (US$166,001m) means it has overtaken Google (#4) to reach the number 3 spot. Google has moved out of the top three for the first time since 2012. Meanwhile Samsung #5 (US$62,289m) has broken into the top five for the first time ever.

The remainder of the Top 10 comprises: Coca-Cola #6 (US$56,894m), Toyota #7 (US$51,595m), Mercedes-Benz #8 (US$49,268m), McDonald’s #9 (US$42,816m) and Disney #10 (US$40,773m). The top ten brands accounts for 50% of the total table value this year.

Covid Effect

The 2020 Best Global Brands ranking also saw the ‘Covid effect’, with global shop closures causing the brand values of Zara (#35) and H&M (#37) fall 13% and 14% respectively, with both dropping at least six places in this years’ ranking. After two years as the top growing sector, luxury brands took a hit in 2020, with all but one brand value (Hermes #28) falling between 1-9%.

Other brands and industries have benefitted from the ‘Covid effect’, notably logistics which saw an average of 5% growth – UPS (#24), FedEx (#75) and DHL (#81) all saw positive brand valuation growth, as the logistics sector became more central to our lives in lockdown. PayPal (#60), Visa (#45) and Mastercard (#57) have also risen in the rankings, 12, 10 and 5 places respectively. The pandemic has seen the sudden shift to electronic as the primary payment method and the swift roll out of programs to support local business during pandemic lockdown, benefitting these trusted brands, who provide access to capital in times of economic uncertainty.

“Reports like Interbrand’s Best Global Brands are important for companies to better understand how we're being perceived in consumers’ hearts and minds,” said Mastercard Chief Marketing and Communications Officer Raja Rajamannar. “Especially during these unprecedented times, when consumer behaviors have shifted and trust is more important than ever, these rankings are a way for us to better understand how we can best serve our communities.”

Table Value

The overall value of the table has increased to US$2,336,491m (up 9% from 2019). Driving growth of the table is big tech. Average brand value growth among all growing brands was 14%. Average growth of technology and tech platform brands was 20%. Technology and tech platform brands now represent 48% of total table value versus only 17% in 2010. The top 3 brands in the table (all tech) represent 30% of the value of the entire table versus only 16% in 2010.

Key Learnings

During the analysis of BGB 2020, one key question emerged – how can brands build economic resilience, individual confidence and make good on the possibility of a better future for us all?

“In such times, brands need to more human than ever”. Said Ashish Mishra, Managing Director, Interbrand India. “And like a fellow human, be sensitive, sensible, proximate and inspiring”.

Our analysis revealed three fundamental priorities:

• Leadership: setting a worthy purpose and a powerful ambition beyond turbulence and chaos helps brands to put a flag in the future.

o Tesla’s brand – its flag in the future – has driven demand and advocacy from its inception. Not only that, it has also built enormous liquidity by attracting and retaining a loyal following of retail investors.

• Engagement: great brands make consumers want to be part of their story by taking them on a shared journey.

o Salesforce has seen explosive growth by listening to customer communities and celebrating them, rather than the product. The business is in constant conversation with its customers, taking them on this shared journey.

• Relevance: a voice in the crowd - great brands lift consumers from indifference and make consumer choices meaningful.

o PayPal is one of the most trusted payment brands thanks to the work it has done to mitigate its customers concerns around fraud and to keep consumers’ money safe. At a time of heightened anxiety and economic uncertainty, nothing matters more.

“Leadership, engagement and relevance are three consistent themes we are seeing as brands try to navigate the rapidly changing business landscape.” commented Charles Trevail, Global CEO, Interbrand. “They are the keys to unlock results in the current crisis, building customer confidence and business resilience. By setting out powerful ambitions and pursuing them with courage and conscience, brands can help us lift our heads, make sense of chaos, and see beyond it, championing a new decade of possibility.”

Report and Methodology:

Interbrand’s 21st annual report, The Decade of Possibility, analyses how the world’s leading companies are successfully navigating a rapidly changing business landscape. Interbrand have over 30 years of experience delivering brand valuation analysis, having designed and led the world’s first brand valuation in 1988. 

Interbrand was the first company to have its brand valuation methodology certified as compliant with the requirements of ISO 10668 (requirements for monetary brand valuation) and played a key role in the development of the standard itself.

There are three key pieces of analysis that form the basis of Interbrand’s valuation methodology:

• The financial performance of the branded products or services

• The role the brand plays in purchase decisions

• The brand’s competitive strength and its ability to create loyalty and, therefore, sustainable demand and profit into the future

The research covers the period between 1 July 2019 to 30 June 2020, analysis was undertaken between June and September 2020. Interbrand reserves the right to make amendments based on significant events impacting a brand after these dates.

Kantar, the world’s leading data, insights and consulting company, announces the appointment of Alexis Nasard as Chief Executive Officer, effective 30 December 2020.

Alexis Nasard joins Kantar with almost 30 years’ experience in the FMCG and retail world. Most recently Mr Nasard is currently CEO of Bata. Prior to that, Alexis spent six years at Heineken, culminating in the position of President of Western Europe Business and Global Chief Marketing Officer.  Earlier, he worked for 17 years with Procter & Gamble, in a variety of marketing and general management roles.

Mr Nasard holds an MBA degree from UC Berkeley’s Haas School of Business, USA and an MS/BS degree in Civil Engineering from Saint Joseph University, Lebanon.

Of his appointment, Mr Nasard said “Throughout my career Kantar has been a trusted advisor. Kantar’s data, insights and advice informed many of the strategies, as well as communication and commercial plans my teams and I led. As much as I understand Kantar’s heritage and reputation today, it is our future that excites me most. The combination of Kantar’s deep understanding of consumers around the world, our proprietary data sets and our growing expertise in advanced analytics and artificial intelligence puts us in a leading position to reshape the insights and consulting market, whilst offering clients superior analytics they can monetize. This will be all the more relevant in the volatile and fluctuating environment we are living in as a consequence of the COVID-19 health and economic crisis, as clients need to operate on very steep learning curves.”

Announcing the appointment, Kantar Chairman Adam Crozier commented. “In Alexis we have appointed a world-class CEO. As a former CMO and client he understands the value Kantar delivers, and the role it plays in advising the world’s biggest consumer brands. Throughout his career Alexis has built a reputation for innovation, creativity and operational excellence. As we transform our business and position ourselves for growth, Alexis’ leadership and international experience will be instrumental in fulfilling the ambition that we have for Kantar.”

Christophe Jacobs, a Managing Director at Bain Capital Private Equity, added “This appointment is another important step on Kantar’s journey to become the world’s leading advisor on data-driven marketing and commercial strategies and a key ecosystem partner for global technology leaders. Mr Nasard understands first-hand the value such a strategy offers to the world’s leading consumer brands and has the creativity and operational experience to bring that strategy to life.“

Expansion of the Lionsgate® Zone will launch in early 2021 and feature the world's first theme park ride inspired by the popular John Wick franchise.

A Now You See Me movie inspired roller coaster will be the world's fastest single-car spinning coaster!

The region's largest immersive Hollywood-inspired theme park, MOTIONGATE™ Dubai, will start 2021 on a high note, and earn the park a multitude of world firsts when it launches two brand new, thrilling rides as part of its expansion of the Lionsgate® Zone.

Thrill-seekers and fans of the major motion picture franchises John Wick and Now You See Me, will be able to experience two record breaking new rides in early 2021. MOTIONGATE™ Dubai becomes home to the first ever theme park rollercoaster inspired by the global hit action franchise John Wick, whose first three installments have grossed nearly $600 million at the worldwide box office. The Lionsgate Zone will also introduce the world's fastest single-car spinning coaster based on the popular twists and turns of heist thriller franchise Now You See Me. The launch of these two world first coasters will earn MOTIONGATE™ Dubai the impressive record for the maximum number of rollercoasters in a single theme park in the Middle East. 

"This exciting expansion makes the Lionsgate Zone at Motiongate Dubai the epicenter of immersive blockbuster thrills in the region" said EVP and Head of Lionsgate Global Live, Interactive and Location Based Entertainment, Jenefer Brown.  "For the first time ever, it will offer fans the opportunity to experience the poetic action of John Wick and masterful misdirection of Now You See Me through exhilarating coaster experiences

Denis Pascal, General Manager at MOTIONGATE™ Dubai commented: "We're starting 2021 with a bang and offering our guests never before experienced attractions! We're continually looking at ways to enhance the MOTIONGATE™ Dubai experience and we cannot wait to break some world records with these two brand new coasters. They will not disappoint even the most daring amongst us."

Set over a 310-meter track, and reaching speeds of up to 64km per hour, John Wick: Open Contract will deliver up to 2.8 G-force from the 4D free spin coaster. Inspired by the events of the recent films, after stepping inside The Continental, guests will embark on a journey that simulates the epic action of the John Wick world as the coaster races down a 4D track that provides both forward and backward, freestyle spins. 

Reaching speeds of up to 70 km per hour, riders of Now You See Me: High Roller will feel like they are part of a daring Horsemen escape as they race to expose the antics of a criminal mastermind. Riders won't find a more intense coaster experience anywhere due to its drops, non-inverted loops, and Immelmann turn sections which will see riders make a full 180-degree turn after entering a thrilling half-loop section of the track, followed by a half twist.

A global study of 1,361 CMOs finds their #1 challenge today is understanding how COVID will lead to permanent changes to consumer behaviour

This challenge is compounded by falling spend, with two-thirds (62%) of CMOS cutting or holding marketing budgets flat over the next year

New thinking is also in short supply, with half (49%) basing their recovery strategies on approaches taken in previous recessions

However, a group of ‘frontier CMOs’ is emerging, reclaiming the strategic agenda through product development in particular

A new study of 1,361 CMOs across 12 markets, by global media, digital and creative communications agency dentsu, analyses how CMOs are navigating a new kind of recovery, revealing that, despite a challenging period, CMOs are reclaiming the strategic agenda with a particular focus on product development. More than 450 CMOs from Australia, China, India and Japan were surveyed.

The study finds that the number one challenge facing CMOs is understanding which consumer behaviours will change permanently and which will fall away in the post-COVID environment. CMOs report that this is compounded by the difficulty of aligning the business around changing consumer needs quickly enough and falling consumer spend.

The study raises concerns that half (49%) of CMOs concede they are basing their response to the coronavirus crisis on strategies that were pursued during previous recessions. Globally, just one in ten CMOs are looking at entirely new strategies. In Asia Pacific, nearly half (46%) in India are using ‘completely’ similar strategies to those pursued in previous recessions, compared to 17% global average. On the other hand, only 6% in China are doing so.

It also found that despite the general advice that brands should not ‘go dark’ during times of recession, nearly two-thirds (62%) of CMOs recount that their marketing budgets are forecast to decline or remain flat over the coming 12 months. In Asia Pacific, Australia is the second highest market to predict marketing budget to decline (36%) and Japan is the third highest market anticipating that budget will stay flat (29% vs global average 22%). On the contrary, China is the second highest (56%) to predict budget increases in the coming year.

Overall, the study recognises that a new style of marketing leadership is emerging. “Frontier CMOs” are well placed to manage the recovery and are doing so by focusing on a handful of key strategies that set them apart from the rest:

Hyper-empathy: Developing superior consumer intelligence

Hyper-agility: Rapid development of new messaging, products and services

Hyper-collaboration: Integration across all elements of the marketing mix

Hyper-consolidation: Building resilience across brands and through M&A

Hyper-transparency: Ensuring purpose permeates all aspects of the business

Frontier CMOs are also significantly more likely to be accountable for digital transformation than other CMOs, proving their value and impact to company boards as they navigate the future of their business and industry.

Wendy Clark, Global CEO of dentsu, said: “Exceptional times call for exceptional thinking. The COVID-19 global health crisis has yielded an incisive economic downturn that creates an unknown and largely unpredictable environment for CMOs to navigate. And our survey reveals there is a risk that CMOs are still using existing approaches to manage a challenge that is without precedent.”

“However, we also see a new cadre of Frontier CMOs emerging who are leading their organizations into the unknown with confidence. These CMOs are putting consumer intelligence at the heart of their brands, matched by deep integration across all elements of the marketing mix and radical collaboration as a default across their business. Product development is firmly back on the agenda also, in order to deliver helpful consumer experiences and societal progress. These Frontier CMOs are reclaiming the strategic marketing agenda and, instead of buying into the idea that marketing’s role has somehow been denuded, they’re now leading their brands to recovery and growth.”

Ashish Bhasin, Asia Pacific CEO of dentsu, added: “The pandemic has significantly accelerated a number of existing trends. What would have taken five years has now only taken five months; it has pushed and forced us to learn. Changes to the workplace such as remote working is an example. With every disruption comes its own sets of winners and losers. It is crucial for CMOs to keep up with the new skills required in today’s new world to ensure success in the discontinuity. We are right in the midst of a change and this is exciting.”

Helping marketers navigate the challenges of addressing racial injustice and leading with purpose 

Guest edited by Kai D. Wright, Columbia University Lecturer and Ogilvy Global Consulting Partner

The Black Lives Matter movement has galvanized consumers and employees, demanding brands to identify and double-down on how they respond to racial injustice. Brands now look to move forward effectively in a way that provides empathy, earnestness and empowerment in their engagement with Black communities.

To help marketers navigate these challenges and lead with purpose, WARC, the global authority on marketing effectiveness, has today released the WARC Guide to Brand activism in the Black Lives Matter era, compiling insights and learnings from prominent Black voices in the marketing community.

Guest editor Kai D. Wright, Columbia University Lecturer, Ogilvy Global Consulting Partner, Author and Founder of blacklist 100, comments: "From the streets to boardrooms, Black Lives Matter has unified consumers and employees in fighting racial inequity, demanding more accountability from CEOs, organizations, and brands themselves.

"In the next 30 years, 90% of the US population growth will come from minority audiences, including Black households. This Guide offers research, inspiration, and advice on how to exercise brand accountability. Ultimately, it is a quick-start foundation for ethically activating Black Lives Matter to be relevant among, and resonate with, diverse communities by creating a new growth imperative based on their empowerment." 

Cathy Taylor, US Commissioning Editor, WARC, says: "Research shows consumers are demanding brands respond in ways that go beyond donations. This is not just about changing messaging or momentary gestures, it is about the very core of the business ⧿ addressing challenges and taking the right steps to drive long term positive change. 

"We are delighted to have worked with guest editor Kai and our many esteemed contributors in our quest to help businesses respond in authentic and meaningful ways to the BLM movement." 

Providing guidance for advertisers, agencies and media owners, the report features case studies from brands who've done it well - including, Procter & Gamble, Ford and Netflix - data on changing attitudes around Black Lives Matter, what consumers want brands to do, the internal work that brands have to do towards diversity, equity and inclusion, and how that affects marketing outcomes.

The eight key takeaways highlighted in WARC's Guide to Brand activism in the Black Lives Matter era are:

1. The US is moving toward a majority-minority culture 

According to US Census data, in 2014 minorities made up 38% of the country, but by 2060 they will be in the majority at 56%. Marketers should no longer default to white culture. Non-US marketers should note the call for better representation is present in many markets, and lessons from the next wave of brand activism will be relevant globally.

2. Black Lives Matter is bigger than messaging, affecting how brands operate internally and externally 

It is not just a multicultural issue; it's a human rights issue. And it's not just about posting a black square in protest on Instagram. For some brands, confronting racial injustice is new territory, but other brands came prepared. What they share is a strong brand purpose and often a history of addressing social issues.

3. Addressing racial injustice is a business imperative

More than a third of consumers have taken action based on a brand's approach to combating racial injustice - and they influence others to act in the same way. Especially in younger demographics, people say they will vote with their wallets and voices in terms of what brands they purchase.

4. Brands need to accept discomfort and be prepared for polarization in addressing racial inequities

Consumers firmly want brands to show solidarity but are torn as to what pace or scale. According to PSB Insights, there is clear polarization around how brands are seen as "responding to the current conversations and protests around racial injustice".

5. Ads that reflect diversity work

A global analysis of over 11,000 ads on Kantar's Link platform showed ads are more likely to get viewers' attention and be remembered if they feature people from diverse backgrounds. They're more enjoyable and involving, and show sales benefits.

6. A brand purpose, alone, is not enough

It only works when brands show true commitment and willingness to change. Visa, Levi's and P&G are committing to diversity, equity, and inclusion (DEI). Visa is reviewing progress every quarter.

7. Media budgeting is overwhelmingly skewed toward the general population

Only 6% of all US media spend of the total $480bn per year is geared toward minority groups. Brands need to act on bringing more equity to media investment.

8. Consumers prefer concrete action

Consumers prefer community investments and internal diversity, over donations. Research by WARC and Wunderman Thompson shows that of 1,006 adults surveyed in the US from Sept 3-9, 47% of Black/African American versus 32% of the general population want brands to change current internal practices and policies.

A sample of the WARC Guide to Brand activism in the Black Lives Matter era is available to download here.  The full report is available to WARC subscribers.

To complement the Guide, WARC will host two webinars: October 27 with Monique Nelson, Chair and CEO at UWG and Kai D. Wright entitled Marketing to Multicultural Consumers Now and in the Coming Majority-Minority; October 28 with Kantar entitled A Global look at Racial Representation in Advertising.

Paul Coxhill, Managing Director, WARC & Lions Intelligence, added: "WARC is committed to help advance diversity and inclusion in our industry. This Guide, together with our other BLM initiatives, will help brands, agencies, as well as the next generation of marketers, address the challenges and take the right steps to drive long term positive change."  

Created by FCB’s Creative Data Marketing Agency FCB/SIX, ‘me too.’ Act Too

Converts Awareness into Action That Is Permanently Blockchain-Protected

On October 15, 2017, two words thrust into the public consciousness and ignited a global movement: #MeToo. Three years later, FCB Global is honored to help ‘me too.’ Movement founder and activist Tarana Burke launch the next chapter of her organization’s evolution. Brought to life by FCB’s creative data marketing agency, FCB/SIX, ‘me too.’ Act Too is a breakthrough platform and brand campaign that engages the world to take part in ending sexual violence.

On this three-year anniversary of the day the hashtag #MeToo went viral, FCB/SIX introduces ‘me too.’ Act Too, an interactive website and crowdsourced, blockchain-powered tool that encourages people to take action. It’s part of the nonprofit organization’s mission to demonstrate that it’s more than just a hashtag by showing not only survivors but also advocates and allies alike how they can take tangible actions to join the fight against sexual violence.

“FCB Global has been moved by recent events to apply our industry leadership position to catalyze social change,” said Carter Murray, FCB Worldwide CEO. “Fresh off FCB/SIX’s award-winning ‘Go Back To Africa’ campaign, we set out on a bold, new social justice mission: to help the ‘me too.’ Movement define the next chapter of its evolution. It’s been a personal honor to work with Tarana and her inspiring team through our two-year journey and to continue the legacy of their incredibly important work. There’s still a tremendous amount of change needed to win the fight against sexual harassment and assault, but we’re emboldened by the progress made and optimistic for lasting impact ahead.”

From Awareness to Action

‘me too.’ research found that the original hashtag movement in 2017 was effective in waking the world up to the prevalence of sexual violence and giving survivors a powerful voice. However, unlike causes such as climate change or Black Lives Matter, it was less clear where allies fit in or the ways in which they can help. A second challenge was that the success of #MeToo had reduced the movement to a hashtag in certain people’s minds. Working with FCB/SIX, Burke’s team envisioned its next chapter to be about inciting action — such as changes to laws and policies — and increasing the accessibility of the movement so it had an equally important role for advocates and allies, as well as survivors.

To counteract the historic silencing of survivors’ voices, the work involved a novel application of blockchain technology, so that each user’s contribution to the movement is recorded permanently in a public ledger that can’t be silenced, altered or erased.

“Awareness is nothing without action and that’s what we wanted to convey in our next act,” said Burke. “Today, we all have the chance to write another chapter, and to contribute to everyday activism as simple as joining a march or reading a book.”

She added: “Working with FCB/SIX opened my eyes to the possibilities of applying innovative technologies in service of a future free from sexual violence. Through ‘me too.’ Act Too, the history of this movement will be written by the activists themselves, and recorded for posterity to a permanent archive on a public blockchain so that their voices can never be altered, disputed or erased.”

Powered by Everyday Activism

The ‘me too.’ organization worked with the creative data specialists at FCB/SIX to concept, create and build the technology platform and supporting brand campaign. Central to ‘me too.’ Act Too is an “action hub,” an interactive platform featuring:

Nearly 1,000 Actions: Powered by a recommendation engine modeled after best-in-class e-commerce sites, the utility uses intelligence to recommend personalized actions people can take to support the movement. From micro-actions (like watching an educational video) to formal actions (like donating or volunteering), the platform curates suggestions based on each individual’s interests, level of commitment, location and more. 

To-Do List: Users can create their own personalized plan, saving meaningful actions and crossing them off as they go.

Blockchain Record: When a user completes an action, they are given a unique block that gets added to the blockchain-powered indelible record, a new way to write history.

Monument to the Movement: For every action taken, a 64-character block image becomes one piece that is stitched together into a larger blockchain visualization, a digital tapestry celebrating iconic forebears, from Harriet Jacobs to Rosa Parks, in the fight against sexual violence.

Recorded in a Public Ledger

Too often, people in power write the narrative, while marginalized voices get silenced or disputed. The FCB/SIX team wanted to change the narrative by shifting focus on to the survivors. The platform is powered by blockchain technology, a decentralized peer-to-peer ledger of transactions often used in handling financial transactions that records an indelible public record.

FCB/SIX global president Andrea Cook explains the concept: “We like the poetry of when you take action, you help bring each of those moments to life and you become part of the movement’s history. Through a novel application of blockchain for activism, FCB/SIX wanted to create a living, irrefutable record of the survivors and allies that can never be erased. Everything about this innovative technology — its openness, peer-to-peer approach and transparency — seemed perfectly suited to our goal. Leveraging FCB/SIX’s position at the forefront of technology, data and creative, we created a breakthrough digital platform for civic engagement. We see this as the face of a New Activism.”

Advocacy Through Amplification

The ‘me too.’ Act Too platform will be supported by a cross-media campaign from FCB/SIX that reaches survivors, advocates and allies alike. Its unique digital mural will be shareable on Instagram and other social media and brought to life in outdoor activations. For example, today, a digital billboard in Times Square and other prominent locations will promote the new platform. Celebrities and influencers will further amplify the campaign on their social feeds. Through a brand partnership program, launch sponsors such as Levi Strauss & Co. can champion an action that resonates with their organizations. For the 360° campaign, FCB/SIX relied on help and support from several IPG sister companies across its network, including Acxiom, Current Global, IPG Mediabrands, ITB Worldwide and UM’s J3.

Statistics show that 1 in 4 women and 1 in 6 men will experience sexual violence in their lifetime, and rates of sexual violence typically rise during states of emergency. The National Alliance to End Sexual Violence has seen that close to 40% of rape crisis centers surveyed noted an increased demand for services in the initial months following the COVID-19 outbreak.