Digital Marketing

    How Stuff Works Online.

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    Here’s how retail works.  You build, lease or buy a store, fill it with stuff, promote it and people come and buy its wares.  Or they don’t.

    Here’s how TV works.  You build, lease or buy a program, fill it with entertaining or informational stuff, promote it and people come. Or they don’t.

    Here’s how the web works. You build, lease or buy a site, fill it with stuff, promote it and people come and buy its wares…if you happen to be selling anything.  Sometimes the web is used to help people decide if they want to buy your stuff, because it’s sold elsewhere.  And other times the web is about entertaining visitors encouraging them to come back so ad revenue allows the site owner to buy stuff.  And sometimes still, a website is created to just simply to impart knowledge, altruism and community. 

    That’s the thing about the web — visitors don’t always know if they are on a site to be sold, entertained or informed. Sometimes the builders of websites don’t seem to know either.  And when that happens the sites tend to provide a little bit of each.  And a little bit of each often leads to a lot of none. Fruit cocktail. Tricky stuff.  Focus is your friend.

    Worldwide Inventory

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    barcode

    Google built a business, quite well I might add, on perfecting search and search usability. They funded the business with advertising.  The brand play was not to be the world’s greatest advertising platform (something Yahoo and AOL didn’t understand), it was all about search. 

    Back in the day (last week, hee hee) Google search was all about the Web.  Finding things digital.  This week, it’s about seeing and searching for digital things in the physical world.  So mobile apps and navigation are the rage. Google hasn’t led the way here, Apple has, but Google wasn’t first in search either.

    What’s next?

    What’s next is search for physical things in the physical world. Call it worldwide inventory. What is worldwide inventory and how will it work?  Not sure, but this cantaloupe sized brain of mine says it may have to do with barcodes.  Now you can’t put a bar code on an $11,000 hip replacement in Mexico (You can’t?) but you can put one on a $12.00 case of Honest Tea with torn labels. The ability for mankind to find real things, in proximity, with their smart phones is what Google will be doing over the next decade. And that hip replacement or $6,000 valve bypass in China will be something worth searching  for. Stay with search Google — it will soon be atop Maslow’s Hierarchy of needs.

    Worldwide Inventory may sound like a Pearl Jam song but it’s an Eric Schmidt song.  Peace!

    Where you at Rock, where you at?

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    RFID stands for radio frequency identification.  It is a really haps technology with great marketing upside. If you have a phone that is RFID enabled and walk by a pastry shop with tarts fresh out of the oven, you might get a special alert. “Hot apple tarts.”  If you don’t pay attention and continue walking the shop may ping you with a coupon to slow you down. (Nuisance? Perhaps. Smart? Very.)

    Checkin

    Checkin (a term that foursquare would like to own) is a manual geolocation application that allows your followers on foursquare to know where you are. If you checkin to Mary Carrol’s Irish pub on St. Paddy’s Day, your friends can find you. If Mary’s Carrol’s knows you have lots of friends, they’ll be smart to encourage you to checkin.  Should you decide upon stealth mode, don’t do it.    

    These services subscribe to the marketing view that where you are is more important than what websites you visit.  Don’t get me wrong, visiting websites is a directional indicator of interest, but feet on premise or near prem is a big driver of da monies. And thanks to social media apps like foursquare, gowalla, loopt, etc. we marketers have new exciting mobile toys to play with.  Peace!

    Accelerator Pedals and Online Ads

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    There was an article today in the New York Times by Stephanie Clifford about new ad serving technology supported by real-time bidding, allowing ads to be served based on keywords and cookied behavior.  Supposedly everything takes place in milliseconds — before the page even load. (Is it me or are page loads getting slower and slower?  Thanks ads. Thanks beefy Web 2.0 apps.)

    It stands to reason that as this technology matures a good deal of these immediate, personalized ads will be price-based. And how do marketers lower prices?  By cutting margins elsewhere, meaning brand advertising budgets, etc.  Fast forward a year or two and think about all the low-cost, challenger brand/no brand, tailored ads filling up your screens. Likely, you will have bitten on a price ad or two and had a poor experience and now avoid these ads altogether. Your avoidance behavior may be similar to that toward telemarketers.  And it’s too bad because as the behavioral modeling grows it has an opportunity to be an important selling mechanism.

    But initially it will be price, price, price!  A word of caution marketers: Don’t fall into the price war — web ad bidding war.  It will be hard to get out of. And some of your accelerator pedals might stick. Peace!

    JWT. Digital as R&D.

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    In a Forbes interview with David Eastman, CEO, JWT North America, he speaks of his shop’s unique place in history. Of course, some of it was the same old/same old, which made sense for the audience, but what really stuck out was JWT’s commitment to integrating digital into its offering.  Mr. Eastman may be the first digital officer to CEO a major holding company ad shop.

    For a big global shop like JWT, digital is really the R&D department. R&D never really existed at agencies before.  Sure, there were innovations think tanks and media kitchens but those were mostly window dressing.  Eastman believes R&D is an investment not an expense and because JWT hangs with major consumer brands and has a strong brand planning culture, everyone gets the value of a powerful brand idea and everyone gets a seat at the table. This R&D department isn’t off campus in a lab somewhere. Even creatives are open to the manifest destiny love (ish).

    So what does this mean?  The outputs are better.  The ads are informed by digital insights, the didge is coddled by emotional consumer brand ideas, and the media intersects at just the right moment. The work doesn’t feel like work to many consumers, it feels welcome and softly influential. “Soft influence.” Hmm, I like that.

    Sometime the approach is a little sloppy, sometimes it’s quite elegant, but it’s almost always goaled (as they say) on being brand-strategic.  In this tactics-palooza marketing world, a holding company shop with a transmedia team working with the wind at its back offers a superior product.  But you knew that. Peace!

    Like, I’d like to like it, but like…

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    It may be a New York thing, but get in a car with a bunch of teens or young 20-somethings and count the likes.  It’s the new um.  Liking is a thing on Facebook and now +1 is a the new like on the Google platform.  

    Public Displays of Like (PDL)

    There is a time and place for liking.  Public displays of like, though, are becoming annoying. And with +1 they’ll get worse.  The presumption is that Likes and +1 are food for the hungry consumer, but not everyone on the web wants to transact business.  Not everyone on the web is looking to buy something.  Fotchbook (an Italian pronunciation) did not grow to the size it has by  feeding the commercial needs of the people, it created a means to connect and network new and old friends.

    Not everything on the web is a product. Just as I need to get out of the car when the teens and 20-somethings start the like talk, Ima need to jump off the web for a few hours when the Likes and +s abound. Careful Google. Careful Facebook. Peace (especially you know where) !

    To Free or Not to Free.

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    Plaxo, an online address book, started out as a free service and was pretty amazing.  As with most SaaS utilities, it had a lot of other features and functions, calling itself a social network, but what made it cool and famous was address book synching. The company recognized  many people had multiple address books on multiple devices (business and consumer) and getting those addresses from one to the other was a pain.  A cut and paste pain.  With a push of a button, Plaxo could capture and store in the cloud your email addresses and contact list just like magic, synching them with Outlook and/or Mac address books. The app hits 20 million users before being bought by Comcast for an undisclosed sum. Can you say exit strategy? It was the shizz back in 2007.

    In June 2009 the synching of address books with Outlook became a premium service. The moment of truth. Comcast said it needed the revenue to build out new features. Oy. And alas, as neat as Plaxo was, it stopped using me so I stopped using it.  If it got to the point where I couldn’t manage anymore, I’d have re-upped; but Microsoft had made importing and exporting addresses more usable and I (and the market) was on to newer things.

    The New York Times faces a similar dilemma on March 28th when its digital content moves to a subscription model.  The good news for them is they’re not a utility, though some may debate that.  A NYT reader who moves to Charlotte, NC and reads the Observer will not debate it.  The Times content is unique and worth the money.

    Plaxo, in my mind, needed to start out as a paid service. Hell, even at $3.00 a year. When you condition a market to think a product is free (Google NeXusOne are you listening) it is hard to come back.  This is the venture capital dilemma. This is the missing P in the market 4Ps. Buh-bye Plaxo. Peace.

    What to Expect From Ads on Apple iPad.

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    Where to start?

    The ads that will adorn the Apple iPad on April 3rd are going to be pretty interesting.  First, if they are good, they’ll be more like selling applications than ads.  Those who create selling apps rather than Adobe InDesign and static display ads (iPads don’t take Flash yet) will have the early wins.   

    Selling Apps

    Selling apps that come from ad shops where the creative dept. was the lead (not the media dept.) will also win. That said, brands that team up on the selling app will do even better.  Those who team the objective, strategy, measurement, idea, creative, digital production and follow-up are more likely to have an app than an ad.   But that takes time, resolve and a new process…which is expensive.  Did I mention time?  If you started this week, you’re toast.  The best iPad selling apps won’t be the result of a great piece of “creative” or creative media buy, they will result from cross-silo efforts.

    Super Pasters

    Just being there on April 3rd will be a win for advertisers. There are currently 200,000 pre-orders for iPads. How may of those people do you think have taken the day off? Exactly.  Followers of What’s the Idea? know about Posters vs. Pasters. Well, in terms of the tech target, the first people seeing iPad ads will be Super Posters. Their blog posts, vlogs, podcasts and Tweets will abound. The iPad’s first audiences will be techies and those in creative businesses – a very viral and powerful target. And the world will be watching. Interestingly, the first big brands buying ads will be: Unilever, Toyota, Chase, Fidelity, and FedEx — not what you’d expect as a high indexing techie target. Korean Air, on the other hand, that’s a good fit. Should be very interesting. Peace!

    The Digital Triangle. The Perfect Start-up Womb.

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    The digital triangle, located in NYC, bears three distinct corners.  DUMBO in Brooklyn. SOHO in Manhattan. Union Square, also in Manhattan.

    DUMBO is where the coders are.  A youthful tech workforce who live digitally-centric lives, they are smart and have engineer-friendly minds. (A lot of gamer consoles burn out in DUMBO.) It’s a little men and boy heavy.  Union Square is where the money is.  Where the incubators are.  It’s where the DUMBO denizens with entrepreneurial spirit visit with their hands out.  It’s close to NYU and also has a lovely, youthful energy. Parking is expensive in Union Square but the smart money walks the streets.  SOHO is what makes the digital triangle different.  It is where designers, the truly creative and exceptionally beautiful like to call home. They don’t live there really, just work, shop and hang. If you can’t get inspired in SOHO with all its art, nubes, soft tacos, fashion, and vibe, you can’t get inspired.  All these neighborhoods are a subway or bike ride apart and feed off of each other. It is a perfect storm for start-ups.  

    Unlike Sand Hill Road (money), its surrounding neighborhoods of Menlo Park, Palo Alto, etc. (tech engineers) and San Francisco (ad people) the Digital Triangle is close but not really connected. The west coast likes campuses. It works but not like the digital triangle. As technology’s pull increases and more and more of the economy is tied to digital commerce, NYC will grow in importance globally and will become a tech capital with no peer. Just ask Fred Wilson. Peace.