"What I saw was that we had hundreds of different websites and digital platforms that we were operating upon globally. If you want to get a message across globally on your owned assets, you need to do that in the same way across the world.".
by
Gail
Horwood*
I joined
J&J Consumer Companies about four years ago to start its Digital Center of
Excellence. Our role initially was to build capabilities and develop strategy
that served multiple brands in multiple regions, so I did a landscape overview
to help develop the approach.
What I saw was that we had hundreds of different
websites and digital platforms that we were operating upon globally. If you
want to get a message across globally on your owned assets, you need to do that
in the same way across the world.
So we made
a strategic decision to agree to build certain types of things, with a website
on a shared platform at the center. We work both internally and with external
vendors globally to build that and we love the open-source model.
As we develop
modules that suit our businesses, they can be shared, and it’s very exciting
for our internal developers because it’s a new way of working. In the
past, the model might have been that our biggest brands had the most budget and
developed the most robust platforms.
And smaller brands had less robust digital
footprints because they had to build that on their own power. Yet when you
share a platform, any brand small or large can benefit from improvements.
What
this has enabled us to do is to bring the same power that one of our biggest,
most iconic brands has, to one small brand in a very particular region or
market. And that, of course, enables us to innovate very quickly and iterate. J&J has
historically been very decentralized. One of the things I was able to do in the
consumer sector was bring all that work together.
The more we bring our
cross-functional partners and projects together, the more we’ll make true
impact for the business. It’s great to execute on a regional and local
basis—and it’s really at the heart of our business strategy—but I believe
digital brings opportunities to streamline and leverage certain capabilities
that are really common across the businesses.
Real-time marketing
Social
media is an example of something that truly requires a global and local
strategy, because social makes any communication global. Setting a global
communication strategy requires some pretty foundational things: content
management, digital asset management, new production models that help us create
and then leverage and syndicate content globally.
For
example, we recently participated in a real-time social-media campaign for the
2014 FIFA World Cup for our Listerine consumer brand. For the first time ever,
J&J built two newsrooms, and we responded to action in the matches in
real-time with brand messaging.
We had to set up the appropriate processes,
governance, a risk matrix, channels, and work very closely with our
cross-functional team, as well as with regulatory compliance, legal, and
marketing.
And you see
the results of your work immediately and how consumers respond to it. We’ve had
some great success with that. But the real lesson is that real-time marketing
is as much about the preplanning and the preparation as it is about enabling
people to act in real time.In big
companies like ours, creating a TV spot or a few pieces of copy a year would be
quite typical.
When you’re developing real-time social-media campaigns, you
might have 200 pieces of copy in a month. Taking advantage of that required a
new business model, a new way of thinking about it.
It also required thinking
about tolerance and risk. Tolerance is about asking, “What is a reasonable
threshold for when we need to take action?” when something unexpected happens.
It gave us the confidence to say, “You know what? We knew something like that
could happen. It did, and we’ve already decided how we’re going to manage
against that.”I think
it’s very important that social media be managed, at least in part, internally
in an organization.
As strong as our agency partners are, and they’ve been
terrific creative partners, nobody knows our business and our business
requirements as well as we do.Serving consumers betterEvolving
our model has been a learning journey.
The challenge for us is not that the
model is wrong; it’s that the landscape has changed. The model doesn’t fit the
new landscape, so we’ve had a lot of success through these active learning
projects.
Understanding
the consumer journey and what we’re building for whom and when is very
important. So I’ve set up a group that has product-development expertise. They
translate business requirements into technical specifications.
They maintain
the responsibility for not just building and overseeing the build of digital
products, but also ensuring that they’re measured and optimized. We treat them
as platforms rather than projects.
A big shift
in our organization has been to manage those over time and to iterate and build
upon them as opposed to consider them a discrete project that had a beginning,
a middle, and an end.
When you put an app into the app store, you’re
potentially finished with it, but the consumer is expecting updates,
improvements, messaging. And that’s something that we’ve built into our
organization that didn’t necessarily exist in our former model.
The other
thing we’ve done is develop benchmarks. The number one question I’m asked by
our business leaders is, “What is the ROI of digital?” If you’re developing
across multiple platforms and multiple regions, the way you’re looking at the
world and consumer behavior is very different.
So what digital analytics and a
standardized approach—rather than a custom and bespoke approach market by
market—has brought us is true consumer insights. And we’re able to watch trends
develop in consumer behaviors, see them change and develop.We started
very much as a strategy organization and we built common platforms that serve
multiple brands in multiple regions.
That didn’t mean anyone used them. So a
lot of what we’ve been doing is around training, talent development,
identifying talent that can staff these organizations, so we can really take
what we’ve built and truly embed it in the business and in business practice.
We’re trying to teach our businesses to leverage these new insights in ways
that they hadn’t thought of.
*Gail
Horwood has been the vice president of worldwide digital strategy at Johnson
& Johnson since September 2010. This essay is an edited transcript of an
interview conducted by McKinsey Publishing’s Simon London.