I recently had a friend who works in the financial sector suggest and implement the voluntary corporate regulation of several products that could prove hazardous to the consumer finances. By doing that, positive buzz was generated for the company’s social responsibility to protect consumer investments. Several media stories ended up appearing in several newspapers (including the Wall Street Journal), cnbc.com, and even a mention on Mad Money with Jim Cramer. In fact, the company’s competitors are following suit and voluntarily regulating their product offerings based on the positive PR that my friend’s company received.
While the above case indicates several of the areas where the company was receiving free advertising, I can only begin to suspect what that positive PR would cost in advertising dollars. It’s got to be an enormous amount that I can’t even begin to fathom. However, what interested me was the unknown impact of word-of-mouth advertising generated from the media buzz. I was lucky enough to find an article on AdWeek.com that discussed the rise in WOM advertising spending and it isn’t cheap!
According to the study, WOM advertising has increased to $1.54 billion, and is expected to grow another 14.5% between 2008 and 2013. Advertisers are increasing spending for WOM campaigns because of the campaigns’ ability to effectively capture the attention of target audiences. Especially with popularity and use of social networking sites, especially YouTube and Twitter, WOM is an integral part of the overall marketing mix and indicates its importance in the future.
References:
http://www.adweek.com/aw/content_display/news/client/e3i98008be32bed3d6c6eca0b3667515188
Wednesday, July 29, 2009
Tuesday, July 21, 2009
The Mobile Universe
Mediaweek.com recently reported on a study on mobile media. Conducted by Universal McCann, the study found “that one out of every seven minutes of media consumption today takes place via mobile devices.” Currently, there are an estimated 19 million mobile web users and that number is expected to grow 60% in the next two years.
According to the study, respondents used their mobile devices to fill downtime (95%), at work (82%), while shopping (81%), at home (80%), and commuting to work (65%). Mobile users are currently searching for maps/directions (73%), social networking sites (55%), and news/information (44%). In addition, users are following brands across advertising media (55%), and been driven mobile to and from other media (56% and 42% respectively). Mobile users are particularly aware of mobile advertising with users taking action on mobile ads (38%), sharing information (30%), and influencing a purchase decision (22%).
So, those response statistics are great, but what does all of this mean?
It means that the mobile channel is definitely one that advertisers should be aware of a concept it as a new and separate medium that is able to reach consumers on the go, wherever they go. One really interesting mobile application is from a Layar, Dutch company that layering database information onto a live video feed.
Just imagine the opportunities—consumers can actually visualize on their mobile device what’s around them and take action based on their location.
As consumers want to their mobile devices to do more, companies must adapt their advertising strategies to include mobile media. I think that the real challenge for advertisers is the integration of marketing efforts across mediums, and consumers' responses to such efforts.
References:
http://www.mediaweek.com/mw/content_display/news/media-agencies-research/e3i0c7b757cfdc666c21cec6dbce37d5151
http://greenmonk.net/i-wish-i-were-a-software-developer/
According to the study, respondents used their mobile devices to fill downtime (95%), at work (82%), while shopping (81%), at home (80%), and commuting to work (65%). Mobile users are currently searching for maps/directions (73%), social networking sites (55%), and news/information (44%). In addition, users are following brands across advertising media (55%), and been driven mobile to and from other media (56% and 42% respectively). Mobile users are particularly aware of mobile advertising with users taking action on mobile ads (38%), sharing information (30%), and influencing a purchase decision (22%).
So, those response statistics are great, but what does all of this mean?
It means that the mobile channel is definitely one that advertisers should be aware of a concept it as a new and separate medium that is able to reach consumers on the go, wherever they go. One really interesting mobile application is from a Layar, Dutch company that layering database information onto a live video feed.
Just imagine the opportunities—consumers can actually visualize on their mobile device what’s around them and take action based on their location.
As consumers want to their mobile devices to do more, companies must adapt their advertising strategies to include mobile media. I think that the real challenge for advertisers is the integration of marketing efforts across mediums, and consumers' responses to such efforts.
References:
http://www.mediaweek.com/mw/content_display/news/media-agencies-research/e3i0c7b757cfdc666c21cec6dbce37d5151
http://greenmonk.net/i-wish-i-were-a-software-developer/
Tuesday, July 14, 2009
The Future of the Internet is Clear
Lookout internet providers…there’s a new kid on the block, and it’s sure to be the wave of the future.
Clear is a new ISP that allows consumers the portability and flexibility to access the Internet wherever they go (up to a 12 square mile radius in Atlanta, Portland, and Las Vegas—other cities are coming soon) either at home or on the go. According to several reviews, it’s speedy, affordable, and an excellent alternative to traditional ISPs.
Clear operates on Wi-Max powered by Motorola, and I’m actually really surprised that this technology isn’t being exploited. Seriously—the thought of ALWAYS being able to get online is a tech/web junkie’s fantasy. To me, the thought of accessing Twitter, Facebook, email, news, my blog, and more anywhere in the city, is simply mouth watering.
Even more appetizing is the opportunity for advertisers—the more consumers that use Clear, the more ads that can be served to mobile devices, computers, PDAs, etc. Now, the challenge is to get this group of consumers to see, interact, and take the next steps with relevant advertisements based on their wireless Internet status.
Clear is definitely the way of the future and be available to consumers on a micro level at first (i.e. citywide or statewide) and will progress eventually to a macro level (i.e. national or worldwide) with internet access being at little or no cost to the ultimate consumer. With this macro-Internet, I think that online sessions should be sponsored by products—similar to the way online videos are today (for example, before logging onto the Internet, a consumer would see a 15-20 second pre-roll advertisement before continuing onto his/her desired homepage).
Whatever the future holds, I think that the future is Clear—wireless is the way of the future. Consumers are demanding that technology and information travel with them wherever they go, and Clear is the first real product that allows them to do that.
I look forward to trying Clear myself!
References:
http://www.youtube.com/watch?v=3NsLAQPplOU
http://www.wwpi.com/networking/networking/7233-clearwire-introduces-clear-4g-mobile-internet-service-in-atlanta
Clear is a new ISP that allows consumers the portability and flexibility to access the Internet wherever they go (up to a 12 square mile radius in Atlanta, Portland, and Las Vegas—other cities are coming soon) either at home or on the go. According to several reviews, it’s speedy, affordable, and an excellent alternative to traditional ISPs.
Clear operates on Wi-Max powered by Motorola, and I’m actually really surprised that this technology isn’t being exploited. Seriously—the thought of ALWAYS being able to get online is a tech/web junkie’s fantasy. To me, the thought of accessing Twitter, Facebook, email, news, my blog, and more anywhere in the city, is simply mouth watering.
Even more appetizing is the opportunity for advertisers—the more consumers that use Clear, the more ads that can be served to mobile devices, computers, PDAs, etc. Now, the challenge is to get this group of consumers to see, interact, and take the next steps with relevant advertisements based on their wireless Internet status.
Clear is definitely the way of the future and be available to consumers on a micro level at first (i.e. citywide or statewide) and will progress eventually to a macro level (i.e. national or worldwide) with internet access being at little or no cost to the ultimate consumer. With this macro-Internet, I think that online sessions should be sponsored by products—similar to the way online videos are today (for example, before logging onto the Internet, a consumer would see a 15-20 second pre-roll advertisement before continuing onto his/her desired homepage).
Whatever the future holds, I think that the future is Clear—wireless is the way of the future. Consumers are demanding that technology and information travel with them wherever they go, and Clear is the first real product that allows them to do that.
I look forward to trying Clear myself!
References:
http://www.youtube.com/watch?v=3NsLAQPplOU
http://www.wwpi.com/networking/networking/7233-clearwire-introduces-clear-4g-mobile-internet-service-in-atlanta
Saturday, July 11, 2009
Death of the Newspaper
It’s a big deal for advertisers—print is a disappearing medium, and literally in the case of newspapers a shrinking one. I was ready the newspaper at home the other day—and I noticed (1) how few pages were in the actual paper, and also how the actual page size has decreased in width. The width of the Atlanta Journal Constitution must be fifteen inches wide, when it probably was closer to twenty several years ago.
It’s been coming for a while—the death of the newspaper. While this traditional form of media still provides valid journalism, the Internet has revolutionized the industry. By the time newspapers are printed, the information is old—at minimum a full day! With the Internet—information is fresh. Blog articles can be written and published in a matter of minutes; with Twitter, information is virtually streaming live.
So what are advertisers to do with a budget set aside for print? I think it’s wise to invest in online advertising. Blogs, Twitter, Social Networking Sites (Facebook, MySpace, etc.) are the wave of the future and are sure to replace print in the near future for consumers to gain information (and for many consumers online media already does). In addition to the consumer shift to online, online advertising can prove ROI with tracking programs from EyeBlaster, DoubleClick, Google, etc.
References:
http://adage.com/mediaworks/article?article_id=136512
http://www.informationweek.com/blog/main/archives/2009/02/death_of_local.html;jsessionid=SD3TBG0MHNDOWQSNDLRSKHSCJUNN2JVN
It’s been coming for a while—the death of the newspaper. While this traditional form of media still provides valid journalism, the Internet has revolutionized the industry. By the time newspapers are printed, the information is old—at minimum a full day! With the Internet—information is fresh. Blog articles can be written and published in a matter of minutes; with Twitter, information is virtually streaming live.
So what are advertisers to do with a budget set aside for print? I think it’s wise to invest in online advertising. Blogs, Twitter, Social Networking Sites (Facebook, MySpace, etc.) are the wave of the future and are sure to replace print in the near future for consumers to gain information (and for many consumers online media already does). In addition to the consumer shift to online, online advertising can prove ROI with tracking programs from EyeBlaster, DoubleClick, Google, etc.
References:
http://adage.com/mediaworks/article?article_id=136512
http://www.informationweek.com/blog/main/archives/2009/02/death_of_local.html;jsessionid=SD3TBG0MHNDOWQSNDLRSKHSCJUNN2JVN
Subscribe to:
Posts (Atom)
