ECONOMY NEW IN THE SUCCEEDING Mark Power,Mark Founder and CEO Presented by @ Podean@ Building Brands.Building Standing Out. Selling Product.Selling

www.podean.com StrategicImperative AmazonNow A Is

www.podean.com About Me

Founder and CEO @ Podean - Amazon & Marketplace Marketing Agency & Consultancy

20+ years digital media and marketing tech leader & entrepreneur

Built and launched IPG's Amazon Center Of Excellence

Led IPG's award-winning mobile and innovation agency Ansible

Managing Director @ Reprise – IPG’s global digital media network

Author of new book Amazon For CMOs www.podean.com Marketplace Ecosystem Platform Market Target

www.podean.com Let’s Take A Closer Look At Amazon

www.podean.com (8x size of 2 Amazondominates. Of US eCommerce 51 eBay) nd % largest largest than Microsoft, Google and Has greater market share share market greater Has – AWS IBM combined of smart speaker speaker smart of 75% Google 24% category. But that means fierce competition and complexity. and competition fierce that means But product search onAmazon search product likely to begin a consumer consumer a begin to likely US shoppers are twice as than other any search 2x engine $10.1 A Juggernaut A growing at +60% YOY Advertising revenue, Est $16bn 2019 bn Only sellers advertise 15% 3m 500m+ of of products merchants 10% than product listing Less than Less ads/search domore Amazon as the hardest hardest the as Amazon platform to work with work platform to Digiday survey cited Of respondents to a 31%

www.podean.com Across devices Video Thinking beyond an store online There is muchmore Amazon.comthan is There Reviews Audio Streaming Voice Social Sharing Social Ecommerce Video Video Streaming

www.podean.com Search Managed Service Service DSP Media is only one Video &Video Audio O&O There is muchmore than is There - quarter of what’s quarterof required to succeed Amazon.com

www.podean.com Search Non Advertising Brands require expertise across every aspect of retail advertising of and aspect every across Brandsrequireexpertise - endemic Managed Service Service DSP Video &Video Audio O&O There is muchmore than is There Experiential Custom & Strategy Holistic Holistic AMZ Innovation Innovation Platforms Platforms Emerging Emerging & Amazon.com Protection Advocacy Brand Brand & Analytics Retail Retail Page Page Opt. Endemic Content, Content, Stores A+ A+ Retail Listing Listing Setup

www.podean.com “ to wrap their arms around because it spans operations, sales, sales, operations, spans it because around arms their wrap to marketing; it’s a a it’s marketing; business. So to hand it off to someone, like an e an like someone, to off it hand to So business. director, just doesn’t work work doesn’t just director, the lens of Amazon. Amazon. of lens the truly is holistic account management at every level. It’s about about It’s level. every at management account holistic is truly taking a a taking It’s been such a a such been It’s degree view view degree - 360 microcosm difficult platform platform difficult ” Chief Marketing Officer MarketingOfficer Chief Parness Michael of your whole business, through through business, whole your of — of everything that goes on in a a in on goes that everything of it’s not just one person’s job. It It job. person’s one just not it’s for many organizations organizations many for - OutwardHound commerce commerce -

www.podean.com

Typical Approach Typical

www.podean.com The Actual Consumer Journey Key Competitors Engagement Rate

Share Of Voice Location

Preference, Conversion Product Feedback

Brand Metrics Conversion Rates Re-Target To Convert Skills Downloaded/Freq

Preferred Creditcard Location Interests and Passions HouseholdEndless Spend Data SignalsDemo, Socio Add To List/Cart Shows, Genres, Interests Artists, Genres, Interests Location Location

Household Composition Brand Affinity Shopping Profile

Brand Affinity Deep Brand Engagement Attention Apps Used, Frequency

Passions Brand Engagement

Community “ Facebook can’t can’t Facebook purchase data. They know exactly how we buy. It’s not like like not It’s buy. we how exactly know They data. purchase Nielsen data or survey data data survey or data Nielsen accurate, they know what triggers affect your behavior, and and behavior, your affect triggers what know they accurate, they know exactly what happens when we buy. we when happens what exactly know they There is no platform that can match it match can that platform no is There — Amazon has has Amazon Chief Strategy at Officer Sabir — it’s totally detailed and and detailed totally it’s 25 years years 25 Semerkant of consumer consumer of — Google can’t, can’t, Google ” NaturesPlus

www.podean.com Current digital advertising revenue share: 37.2% 8.8% 22.1%

www.podean.com Verified Purchase Verified Display Video Product Searches Location Tablets Assistant Music , verified O&O, Top Pubs, Server O&O, Prime TV, 54% US market share* App, PhysicalApp, Stores 7.1% US share*** 67% market share** Prime Music – 50% of US FireTV , IMDB TV, Apps Smart TV - Server Sources: * ecom Jumpshot Sept, Sept, 2018Emarketer Dec 2018 *** 3 YouTube, 46% share Broad / Apps > 0.5% 30% YT, Music Google rd Party Data Party incl AdX Maps/Waze AdX Statcounter , March 2019

www.podean.com Tablets Assistant Music Location Display Video Product Searches Verified Purchase Verified 7.1% US share*** 67% market share** Prime Music App, PhysicalApp, Stores O&O, Top Pubs, Server O&O, Prime TV, 54% US market share* YES, verified – 50% of US FireTV , IMDB TV, Apps Smart TV - Server ecom Sources: * Jumpshot Sept, Sept, 2018Emarketer Dec 2018 *** No Negligible No Apps O&O, FB Network O&O, FB Network Negligible 3 rd Party Data Party Statcounter , March 2019

www.podean.com What About Brands That Don’t SellDon’t On Amazon?

www.podean.com proposition and all our expectations expectations our all and “ proposition be learned from what they do well. How do we become become we do How well. do they what from learned be - open more were to look at our industry, what would he tell tell he would what industry, our at look to were Bezos Jeff us to do going forward? My guess is that he would not do do not would he that is guess My forward? going do to us many of the things that we have been doing. It’s time for us us for time It’s doing. been have we that things the of many to make a leap, to think like Amazon does. does. Amazon like think to leap, a make to Amazon has has Amazon minded about new ways of doing business? If If business? doing of ways new about minded changed the whole consumer journey journey consumer whole the changed CMO at Mitsubishi Motors North America Motors at CMO Mitsubishi North Kimberley Sweet Gardiner — there is so much to to much so is there ”

www.podean.com www.podean.com www.podean.com www.podean.com Model- Where you live Preferred content specific purchase Life Competitors they’re also looking at - OEM brand pages (drive leads) brand (drive OEM pages Stage change change Stage Services booked via Amazon booked via Services Target OEM/Dealer CRM list CRM OEM/Dealer Target – Cars they’re interested in Experiential engagement mountains, city,beach, countrysuburbs, Experian income levels Household makeupHousehold Amazon Garage DM DM audiences eg. Seat covers, windscreen wipers – driving songs, Grand songs, Tourdriving . Expecting a baby a eg. Expecting

www.podean.com www.podean.com www.podean.com Lifestage Car driven, age of car,driven,age Car of purchased when Value and frequency of purchases of frequency and Value /Life events eg How often change cardsoften How change Cardthey currently use Household makeup Household Whereyoulive DM audiences Experiential . Baby and wedding registry wedding Baby. and

www.podean.com www.podean.com Morestreams Amazon’s alreadythan ads Max 6 minutes of ads, no pre Maxno ads, minutes 6 of in all other 3 other all in Launched Jan 2019 during content) rd party apps combined roll (all (all -roll

www.podean.com www.podean.com 150m and 75m ( Hulu 75m Netflix150m and Prime Video has 96m people streaming versus streaming people 96m has Video Prime 14,210 movies (vs Netflix 3803 / Hulu 1,437) Hulu movies (vsNetflix/ 14,210 3803 Emarketer July 2019July - US) www.podean.com Echo owners spend 10% more on Amazon Amazon on more 10% spend owners Echo Integratedinto appliances/devices 28,000 100m+ Alexa Estimated 38m Echo devices in US than before they owned one 70,000 skills 70,000 - enableddevices sold

www.podean.com www.podean.com 3.2 million broadcasters 2.2million -3.2 month each 34, 21% USAmajority21% 18-34, male, 81.5% 15m daily daily 15m viewers 95 minutes per dayminutes 95 per 9 million channels million 9 148m subscribers148m

www.podean.com www.podean.com Leverages Amazon’s iconic packaging Live streamed on Twitch to 1.5m Star - Experiential studded and curated event curated and studded

www.podean.com Interactiveexperienceat Integratedover smart100 devices Live streamed on Twitch to 1.5m Full product integrationproduct Full Thousands participated Thousands Experiential ComicCon 2018

www.podean.com Utilizing all Amazon assets to impact your audience and drive awareness. drive and audience your impact to assets Amazon all Utilizing Custom/Impact High / Experiential Engaging the right customers in an impactful way an impactful in customers right the Engaging Video Amazon marketing loop closed funnel, a full is ecosystem Using 1 Using network. partner the and properties Amazon on Both ProgrammaticDisplay st party data Reach new customers Reachin new customers BroaderDisplay Customers don’t just use Amazon search use just don’t Customers Re in Capture Search - targeting shoppers. targeting -market consumers aisle on Amazon O&O Amazon on -aisle

. Research and Insight and Research

Platforms and Technology

www.podean.com Frameworks For Success

www.podean.com Insist on the Highest Standards Hire and Develop the Best Curious and Be Learn Are Right, A Lot Invent and Simplify Ownership Customer Obsession Amazon’sPrinciples Leadership 14 Thinking Like Amazon Like Thinking Deliver Results Have Disagree Backbone; and Commit Dive Deep Trust Earn Frugality Bias for Action Big Think

www.podean.com craft one thing and decide that’s how it’s always going to to going always it’s how that’s decide and thing one craft “ be. Don’t treat it like we’ve treated traditional brick traditional treated we’ve like it treat Don’t be. mortar retail, where you plan something for months and and months for something plan you where retail, mortar then once you launch it, that’s it. You’ve got to dive back in, in, back dive to got You’ve it. that’s it, launch you once then look at the data, see if what you have is working, and be be and working, is have you what if see data, the at look willing to quickly make changes. make quickly to willing You have to to have You move at the pace Amazon moves Amazon pace the at move Head of Amazon, Sony Mobile Sony of Head Amazon, Jon ” Regala . Don’t Don’t . and - -

www.podean.com The The Hierarchy of Brands Needs 5. International Expansion 3. Operational Excellence 2. Customer Experience 4. Market Penetration 1. (For Amazon) Brand Protection

www.podean.com The The Amazon Flywheel

www.podean.com The The Strategy Continuum

www.podean.com The The Amazon Iceberg

www.podean.com Results RunningOf InventoryOf Out

www.podean.com The The Amazon Algorithm

www.podean.com Accelerated Sales Uplift Podean Sales Accelerator Sales Podean

www.podean.com “ relationship, or just a sales relationship, they’re not capturing capturing not they’re relationship, sales a just or relationship, the value and they’re not maximizing the opportunity. Whoever Whoever opportunity. the maximizing not they’re and value the owns the relationship with Amazon, the key thing is the ability ability the is thing key the Amazon, with relationship the owns to move with speed, make decisions and influence every part part every influence and decisions make speed, with move to of the system. the of When brands try to manage Amazon as simply a media media a simply as Amazon manage to try brands When Vice President ofVice MondelezGlobalatData & Media,Digital Halverson John ”

www.podean.com Digital Media CMO Organizational Challenges Marketing Brand Ecomm Sales Retail

www.podean.com Digital Media Walled Gardens Walled CMO Organizational Challenges Marketing Brand Ecomm Sales Retail

www.podean.com “ responsibility across marketing, sales, and digital. and sales, marketing, across responsibility with a a with If I were designing an organization, I would put Amazon Amazon put would I organization, an designing were I If Chief Growth Officer Growth Chief Vice President ofVice MondelezGlobalatData & Media,Digital Halverson John , because the CGO has has CGO the because , ”

www.podean.com Marketing Cloud Cloud Marketing (Closed Loop AlexaMyAs Own Virtual OwnVirtual Marketing) Assistant Amazon What else could Amazon do? could Whatelse Home RoboticsHome GenericSearch AI GoogleIn - Take On On Take FutureGazing Powered Powered Disruption of Disruption Redesign The The Redesign B2B, Health, Internet? Finance

www.podean.com 3. 4. 2. 1. omni holistically acrossPlan Amazon integrate and into broader a likeThinking Amazon accelerate will your success ecosystembuilding of AmazonThink beyond store, online the brand a as but onlyThe failing strategy to is NOT have strategy a channel marketing-channel strategy 4 Key Takeaways For Strategists

www.podean.com Commit and Dive Deep

www.podean.com “ whether or not you’re really going to go for it. If you’re not not you’re If it. for go to going really you’re not or whether going to go all in, you’re really not taking advantage of all all of advantage taking not really you’re in, all go to going the great things Amazon has to offer. offer. to has Amazon things great the If you’re going to play on Amazon, you have to decide decide to have you Amazon, on play to going you’re If Vice President ofVice E Sarah LaVallee , - Commerce - Wandering Bear Coffee Bear Wandering ”

www.podean.com amazonforcmos.com paperback on AVAILABLE in in AVAILABLE kindle and kindle Amazon (where else?)

www.podean.com [email protected] THANK YOU Mark Power Podean CEO

www.podean.com