BRANDING AND

CONTENT:
FINDING THE RIGHT BALANCE
>
PROPERTY OF STUDIO ONE METHODOLOGIES ARE PROPRIETRY AND CONFIDENTIAL TO STUDIO ONE
A CONTENT MARKETING WHITE PAPER
WRITTEN BY TIM DUNCAN, COMMISSIONED BY STUDIO ONE
Content Marketing is a powerful tool for marketers to engage
consumers who are increasingly overwhelmed by, and cynical about,
straightforward advertising.
EXECUTIVE SUMMARY:
Content Marketing is a powerful tool for marketers to engage consumers who are increasingly over-
whelmed by, and cynical about, straightforward advertising. It is a broad term which encompasses a
wide range of online and ofine strategies from social media to annual reports - and smart market-
ers are utilizing many of them simultaneously.
Branded Content is one such strategy. While this term also covers a very wide range of specifc strat-
egies, it always involves giving consumers compelling information/entertainment which is tied in
some way back to the brand.
Vital to Branded Content is the balance between its two fundamental elements: branding, the iden-
tifcation of my brand, up to and including a call to action - and content - the presentation of infor-
mation and entertainment that provides the consumer with a positive experience. Marketers must
determine this balance to efectively implement the strategy.
There is no single answer to this question, as it depends on many factors specifc to the brands situa-
tion. However, it is a decision which is made, explicitly or implicitly, every time a marketer chooses to
employ some form of Branded Content.
The purpose of this White Paper is to provide a brief overview of Content Marketing, with a specifc
focus on Branded Content. It looks at some of the considerations which should go into this decision,
in order to help marketers make the best use of this important tool in order to achieve their objectives.
I. WHAT IS CONTENT MARKETING?
Content Marketing is a new term for a long-established technique for infuencing a target market.
While there are a number of defnitons, the basic premise involves providing some valuable informa-
tion or entertainment content that stops short of a direct sales pitch or call to action, but which
seeks to positively infuence a customer in some way.
A venerable example is The Merck Index, Chemistrys Constant Companion, an authoritative, multi-
disciplinary reference handbook published by The Merck Corporation for over a century. Now in its
fourteenth edition, and published online as well as in print, it provides quick and reliable answers to
questions arising in the course of the scientists work2.
There are many Content Marketing techniques. It can be employed in a wide range of ofine and
online media including Facebook pages, in-person events such as conferences, newsletters even a
companys annual report, depending on how broadly the term is defned [See Appendix I for one list
of B2C techniques].
Its use is also widespread: by one estimate, over 90% of Business-to-Business (B2B) and 86% of Busi-
ness-to-Consumer (B2C) marketers use one or more of them.
Why has Content Marketing become so popular among marketers? Its because they are fnding it a
very efective way to engage and infuence consumers at a time when their traditional paid-media
techniques are losing efectiveness:
Among ofine media, print media (magazines and newspapers) are losing audiences to the
superior efciency and timeliness of online typifed by the morphing of Newsweek into an online
magazine alongside its sister publication, The Daily Beast.
Television, many marketers primary reach instrument, is sufering from increased audience
fragmentation caused by an explosion of available channels, the increasing penetration of DVRs,
and of course the nearly-universal use of the remote to mute or avoid commercials.
As for online, users are much less passive than TV viewers (who still sit through commercials), and
impatient with anything that interferes with their restless surfng for engaging content. That is why
Display advertising (e.g., banners) , though still a leading marketing tool, has such a low efective-
ness, as measured by click-through rates (CTR). According to one source a CTR of 0.03% - 0.05% is
considered typical for display.
In brief, consumers are being overwhelmed by exposure to marketing messages. Empowered by
access to a wide variety of media, and culturally conditioned from a young age to be cynical about
commercial messages, they have become increasingly resistant to standard forms of marketing such
as traditional, sell-oriented advertising.
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Content Marketing is one way to overcome this resistance, and enhance consumers perception of a
brand. By providing them something of value whether entertainment or information marketers
can engage and persuade them to invest their time and attention in relevant content. And by tying
the content to their brand in some way (see further discussion below), they create a positive associa-
tion for it in consumers minds.
Furthermore, Content Marketing has another advantage over other forms of online marketing in that
it is a form of Contextual Targeting -- branding messages are targeted only in the sense that they are
embedded in content that is relevant to a specifc type of consumer e.g., pet lovers. Thus, it is far
more acceptable to consumers than ads which are Behaviorally Targeted - that is, delivered to con-
sumers whose behavior has been tracked, identifying them has high-value targets. Many consumers
fnd these ads creepy, since they seem to be following them as they surf, which is why there are a
number of Do-Not-Track legislative initiatives currently pending.
II. BRANDED CONTENT
A. Defnition and Purpose
As noted, the term Content Marketing is an extremely broad one since it can be used to encom-
pass so many types of communications (online/ofine, in-person events, etc.) pretty much anything
short of a traditional advertisement. Branded Content is another broad term. According to some
defnitions, it can be used as one of many synonyms for Content Marketing. On the other hand, ac-
cording to the Content Marketing Institute, Branded Content Tools are currently used by about 40%
of B2C marketers.
For purposes of this discussion, the term Branded Content will be defned as a subset of Content
Marketing, specifcally referring to:
Informational/entertainment content that has intrinsic value
Digitally delivered
Associated in some way with a brand, but
Without a specifc call to action/sales pitch
A reasonable question: if there is no direct selling message, what is the point of investing resources
in this form of marketing?
The purpose of Branded Content (as with Content Marketing generally) is to provide a specifc tar-
get audience with some useful or entertaining content that will attract and engage their attention,
thereby evading their resistance to commercial messages. The belief is that a positive experience with
the content will engender positive feelings toward the brand which provided it. This can range from
simply increasing awareness/familiarity to, in the ideal case, a feeling that the brand gets me i.e.,
the brand understands the consumers needs and can satisfy them.
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Thus Branded Content can be used to enhance the brands persona as a trusted authority in the
consumer s need-space. This will ideally make the consumer more receptive to further communica-
tions from the brand, including more direct sales pitches leading ultimately to a sale. In fact, if the
consumers experience with the content is sufciently positive, there is some evidence that he or she
may be motivated to reciprocate with increased purchase intent a gratitude efect.
B. KEY ISSUE: Balancing Branding and Content
To use Branded Content efectively, a marketer needs make a key decision for each communication:

What is the right balance between branding the identifcation of my brand, up to and even includ-
ing a call to action and content the presentation of information and entertainment that provides
the consumer with a positive experience?
Inherent in this decision is an assumption that these two elements are to some extent in confict.
Since consumers are resistant to outright commercial messages, a high degree of branding may
cause them to reject or avoid the content e.g., assuming that it is in some way biased or skewed, or
perhaps (in the case of entertainment) merely uncool. This may not be true in all situations; to some
extent it may depend on the type of product and the kind of content being ofered. However, since
consumer resistance to commercial messages is well documented, the degree to which a branded-
content message approaches a hard-selling advertisement is likely to turn of many consumers.
Conversely, if the branding is overly subtle, and/or bears very little relationship to the content itself
(e.g., if the content is pure entertainment), then the desired association of the brand with a positive
experience in the consumers mind may be only weakly established, if at all.
Establishing the appropriate balance between branding and content depends frst on the marketers
objective. For example, if it is to provide product information to consumers who are already familiar
with the brand current customers -- then a high degree of branding is essential. One example
would be a product catalog with individual brand specifcations, such as Ikeas. Its highly informative
but is likely to appeal to those who already know and like the brand.
If, on the other hand, a marketer is trying to attract entirely new customers, then he will seek to reach
a broad audience who may be unfamiliar with the brand (or even the product category). In that case
it may be appropriate to reduce the level of branding while creating content that is broadly appealing
to a wide audience. An example of this is Campbells Soup, which is publishing amusing pictures (e.g.,
17 Animals who were totally prepared for Halloween ) on social websites with minimal branding.
This dynamic is summarized in the following diagram:
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In practice, most marketers will probably want to have a level of branding somewhere between these
two extremes. An example of high branding with moderate content would be a typical advertorial,
which is defned as an advertisement in the form of an editorial the online equivalent of a TV
infomercial. An example would be Hydroxytone.coms Erase Wrinkles. It is meant to appeal to con-
sumers who are clearly interested in the product category, and are willing to receive an in-depth
brand pitch.
Note that a full-fedged advertorial, if it has a strong call to action goes beyond the defnition of
Branded Content. Also, with this format care must be taken to clearly identify the brand and avoid
the impression that the content is merely advertising disguised in any way.
A broader approach is to attract consumers with a specifc interest, whether or not they are product
(or even category) users, by providing content that directly speaks to their interests. As discussed,
the level of branding will need to be sensitive to their expected resistance level and this is likely to
vary depending on the product category itself. For example, The Dog Daily provides a great deal of
content for dog lovers (whether owners or not). The sponsor (P&Gs IAMs) limits branding mainly to
banners and billboards.
Receptivitiy to Communication
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DECISION FACTORS
The appropriate balance between branding and content must therefore be determined by a number
of factors, including: the brands characteristics; the nature of the chosen content; the target audi-
ence, and the planned distribution.
1. Brand Factors
1. What is the brands situation?
Is it established and well-known, or relatively new/unknown?
2. What is the marketing objective?
e.g., increase awareness, improve/change perception, or increase sales?
3. What is the communication objective?
e.g., reinforce brand image, or communicate product benefts?
For example, a familiar brand that is seeking to reinforce its brand image can get considerable beneft
from minimal brand mention, helping to maximize the consumers experience with the content. A
brand that requires more exposition may need to discuss its product benefts more fully, especially
within content that is product-relevant.
2. Content Factors
1. Is the purpose of the content to inform, or primarily to entertain?
2. What format? text, video, audio?
Branding should probably be on the low side in content that is primarily entertainment-oriented
(which is probably most appropriate for audiences that are hard to attract and retain). If the content
must be experienced in real time (i.e., audio or video), the brand may not want to take up too much
of the audiences time with extensive brand mentions. Print/text-based content allows for more ex-
pansiveness without diminishing the user experience.
3. Target Audience Factors
1. What are their characteristics i.e., younger, older?
2. How familiar are they with the brand?
3. Where will they experience it at home, business, or mobile?
Younger people may be more time-sensitive than older adults, as well as more skeptical about com-
mercial messages. If the audience is very familiar with the brand, then a brief mention may sufce to
associate it with the content. Mobile users famously anti-advertising will likely be impatient with
heavily branded content
4. Distribution Factors
1. Will the content be only on the company website?
2. Is it designed to appear on multiple destinations?
If so, will the publishers be paid, or treated as partners?
Well-crafted branded content has the ability to appear on multiple destinations with an afnity for
the brand/category or target audience. Consideration will need to be given to the degree of branding
that will make the content maximally acceptable to the targeted publishers. It may even be possible
to vary the amount of branding within the content depending on publisher preferences.
III. OTHER CONSIDERATIONS IN USING BRANDED CONTENT
1. Content: Curation or Creation?
In deciding upon a Branded Content strategy, marketers need to determine how they will source
their content curate existing content, or create original content?
Curation is the process of fnding, organizing and sharing content according to one
defnition. It means searching for existing content that would be appropriate to associate
with the marketers brand, and putting it into a format for republishing/sharing.
Original Content must be created by the marketer or a designated supplier.
Curation has the advantage of being relatively less expensive and time consuming than creation.
However, it is not easy fnding content that is brand appropriate 43% of B2B marketers who curate
content report that fnding high-quality content was one of their biggest challenges. An additional
consideration is that the curated content will not be unique, since it is taken from already-published
sources, giving users less reason to engage with it.
On the other hand, the same report says that creating original content is an even bigger challenge
(69% of respondents). The advantage in overcoming this challenge lies both in the freshness of origi-
nal content, and the ability to custom-tailor it to the brands needs.
2. Content Creation: In-house vs. Outsourced
Once a marketer decides to add Branded Content to the marketing mix, he needs to decide whether
to produce the content in-house, or outsource it. This is only partly a resource allocation decision.
In-house content creation has the advantage of fexibility, since at the most minimal level
existing staf can be delegated to create it. They will presumably have a high degree of
familiarity with the brand and its needs.
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However, there is probably a strong correlation between resources allocated and the quality of the
output. For example, it may be desired to refresh the content frequently (one source cites an 18%
higher click-through rate in content refreshed daily vs. weekly). If the Branded Content strategy is to
be a signifcant part of the brands marketing efort, the marketer may need to create a department
specifcally devoted to updating the content regularly - or consider using an outside source.
Outsourcing content to a content creator and distributor puts the content creation task in the
hands of individuals who are entirely dedicated to the process, and who are experts in crafting
indirect branding messages a skill that takes time to master... Among other time consuming
tasks, they can vet the credentials of experts who can add 3rd-party credibility to the content.
The outside source may also have expertise in multiplatform distribution which can
increase the potential reach of the content.
Content creation and distribution expertise can be readily obtained on either basis. It is up to the
marketer to determine the level of efort to give to the program, and then decide whether he wants
the control of in-house creation, or prefers to seek the needed expertise elsewhere.
3. Distribution: Identifying Afnity Partners
As noted above, one aspect of Branded Content is its ability to fnd placement on numerous plat-
forms and Internet destinations. The marketer can choose to pay for placement, or ofer it for free to
other publishers. Paid distribution is not only more costly, but may result in undesirable page place-
ment. On the other hand, if the content is sufciently compelling in and of itself, it will have value to
publishers beyond the companys own website.
In ofering content to other publishers, a marketer will want to ensure that they are desirable desti-
nations. Rather than ofering it to all comers, it is important to have quality-control flters in place
to ensure that the content is in a high-quality environment which has the ability to attract potential
customers.
4. Measurement
Branded Content, like other digital marketing, lends itself to some easily quantifable measures, in-
cluding audience (views), engagement (duration) sharing and clicking. Careful attention to these
measures allows the content to be optimized by reinforcing those elements that seem to be most
attractive to customers.
SUMMARY
Content Marketing is growing in importance because it provides marketers with a way to overcome
the increasing resistance to commercial messages of overwhelmed consumers. Branded Content is
an important Content Marketing tool which can enhance a brands image by associating it with at-
tractive and engaging content. To use it most efectively, a marketer needs to pay careful attention
to the best balance between getting his message (branding) delivered, and providing the consumer
with attractive, engaging and relevant content.
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SOURCES
1. See, for example, Six Useful Content Marketing Defnitions
http://contentmarketinginstitute.com/2012/06/content-marketing-defnition/
2. Themerckindex.com
http://themerckindex.chemfnder.com/TheMerckIndex/Forms/Public/ContentArea/About.aspx
3. Content Marketing Institute: 2013 B2C Content Marketing Research: Benchmarks, Budgets, and
Trends
http://contentmarketinginstitute.com/2012/11/2013-b2c-consumer-content-marketing/
4. ClickZ.com: What Is a Good Click-Through Rate for PPC?
http://www.clickz.com/clickz/column/2186867/click-rate-ppc
5.For example, from What is Content Marketing? http://contentmarketinginstitute.com/what-is-
content-marketing/
It goes by many nameslets try to name them all. Custom publishing, custom media, customer
media, customer publishing, member media, private media, branded content, corporate media, cor-
porate publishing, corporate journalism and branded media.
6. Harvey, Gray and Despain, Journal of Advertising Research, 2006
7. Buzzfeed.com; 17 Animals who were totally prepared for Haloween
http://www.buzzfeed.com/campbellsgo/17-animals-who-are-already-prepared-for-halloween?b=1
8. Wikipedia:
http://en.wikipedia.org/wiki/Advertorial
9. Emarketer.com, Originality is Marketers Biggest Challenge, Nov. 20, 2012
http://www.emarketer.com/Article.aspx?R=1009495
10. Emarketer, Ibid
http://www.emarketer.com/Article.aspx?R=1009495
11. Curata.com: Content Curation Continues to Gain Momentum Amongst Marketers, May 5,2012
http://www.curata.com/press/press-release/?article=101