Babelfish Articles Jan-Apr 2012
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Babelfish Articles Jan-Apr 2012



Articles that caught my attention recently. Stay tuned for summary commentary / reports on key topics.

Articles that caught my attention recently. Stay tuned for summary commentary / reports on key topics.



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Babelfish Articles Jan-Apr 2012 Babelfish Articles Jan-Apr 2012 Document Transcript

  • Articles January-April 2012 Brian Crotty Babelfish.Brazil@gmail.comArticles that I found important over the past months
  • Contents Ad Tech Ad Networks Arent Dead Yet 57 Ad Tech The Futures Of Ad Exchanges? 69 Ad Tech The 5 Things to Expect in a DMP (demand-side platforms) 70 Ad Tech Online Campaign Optimization: Five Essential Solution Features 80 Ad Tech The Evolving World Of Ad Verification 92 Ad Tech Canoe ITV is Dead. Long Live Interactive Television! - Mark Risis-TiVo 95 Ad Tech Set-Top-Box Lexicon: Commercial Indices 95 Ad Tech WPP Launches GroupM Next, Copeland Heads Innovation Unit 101 Ad Tech The ABCs Of DSPs 104 Ad Tech How Not to Get Scammed By Agency Trading Desks 126 Ad Tech BlueKai Report Explains DMPs To Publishers 138 Ad Tech The Evolution of Online-User Data 138 Ad Tech How to Select a Bulletproof Data Management Platform 188 Ad Tech Mapping the Future of Media Buying 239 Ad Tech Clearing Up Lingering Questions About The Ad Exchanges 248 Ad Tech Reach and Persistence: Why Exchanges Work 249 Ad Tech Driving Brand Lift Via The Exchanges 249 Ad Tech A Quality-Based Approach For Higher Performance On The Exchanges 249 Ad Tech Brands Leave Millions On Table Without ROI Crystal Ball 269 Ad Tech Analyst: TV Everywhere Could Rain Ad Dollars 270 Ad Tech Set-Top-Box Lexicon: Commercial Retention Metrics 270 Ad Tech Hold On To Customers Through Retargeting 272 Ad Tech comScore Introduces Validated Campaign Essentials™ (vCE), 277 Ad Tech YouTube: Influence TV Everywhere Will Have On Search 281 Ad Tech MediaBank Launches Trading Desk Platform 299 Ad Tech CPMs Dont Reflect Whether Ads Are Viewable, Targeted 310 Ad Tech What Lasagna Al Forno Taught Me About Behavioral Targeting 315 Ad Tech The Trouble with Targeting on Connected TV 316 Ad Tech The Real Hero in the Fight for CPMs - Can Publishers Sell Quality In Real Time? 324 Ad Tech Online Video RTB: What To Know Before You Bid 347 Attribution A Scientific Model For Multi-Touch Attribution And Ad Optimization 60 Attribution Attributions Recommendation Engine: Windshield Vs. Rear-View Mirror 149 Attribution Attribution Online: Introducers And Influencers And Closers… Oh My! 154 Attribution Marketing From The Other End Of The Funnel 11 Attribution Distracting Users From Buying 194 Attribution Optimization Vs. Attribution: How Theyre Different, And Why This Matters 233 Attribution Attribution Management: A Direct Response & Brand Marketing Tool 240 Big Data Adobes Project Midas Expands Predictive Marketing Tools 16 Big Data Fine-Tuning Your Segmentation Strategy: 5 Keys to Success 16 Big Data What Is Big Data? 17 Big Data Why Agencies Are Better Off Staying Out of the Tech Business 18 Big Data Marketing is the next big money sector in technology 19 Big Data Marketers Struggle to Link Digital Data to ‘Big Data’ Picture 20 Big Data 3 Ways To Get Your Head Around Big Data 23 Big Data What To Do With All That Data? 37 Big Data Data Today, Data Tomorrow 50 Big Data EU Regulators To IAB: Users Must Explicitly Consent To Tracking 51 Big Data Ad Tech Startups, Your World Has Changed 55Babelfish Articles Jan-Apr 2012 Page 2
  • Big Data Boomers, Whats Your Data Worth? 85 Big Data Debate About Meaning Of Tracking Continues 105 Big Data Help! Im Drowning (In Data)! 106 Big Data Model Citizens 106 Big Data Joel Rubinson Is Riffing On The River Of Digital Information 108 Big Data Predictive Modelling Or Bust 109 Big Data Independent Data Analysis Aids Credibility 114 Big Data Big Data? Big Magic? Or Both? - Tom Cunniff 117 Big Data When CMOs Learn to Love Data, Theyll Be VIPs in the C-Suite 119 Big Data Targeting Latinos: The Right Segmentation Approach 125 Big Data Marketers Struggle to Marry Social Media and CRM 142 Big Data The Domino Effect of Bad Data: 5 Reasons Why Your Data Is Wrong 185 Big Data 3 Steps for Converting Data to Action 185 Big Data 5 Essential Practices of the Data-Driven Organization 190 Big Data Managing Your Privacy In A Public Digital World 191 Big Data Disruptor of the Day: 33Across - Leading Brands In The Next Phase of Social Marketing 200 Big Data This Is How Ad Technology Needs To Tackle The Industrys Data Explosion 202 Big Data Survey: Younger People Arent So Worried About Data Access 205 Big Data In 2012, Data Integration Makes Marketing More Personal, Targeted, and Relevant 211 Big Data Google To Create Detailed User Profiles 235 Big Data Data-Driven Creative 238 Big Data Data Judging Data 252 Big Data Data Reveals Social Graph Impacting Brand Lift, As Well As Direct Response 256 Big Data Taming Big 268 Big Data Thank You So Much For Tracking Me Relentlessly 275 Big Data Site Extension: Big Data in Practice 276 Big Data Big Data -- Big Money Says It Is A Paradigm Buster 283 Big Data Big Data is also going to change science 284 Big Data The Data-Driven Digital Revolution 300 Big Data Shopping Behavior Data: E-Commerce Gold 301 Big Data Is Behavioral Targeting the Best for Customers? 313 Big Data Terrified of Big Data? Think of It as Growing Pains 323 Big Data What Is Big Data? 351 Bus. Intel The Impact Of Cookie Deletion On Marketing 303 Bus. Intel Group M, Nielsen Partner For TV, Internet Metrics 18 Bus. Intel Globo tem pior audiência dos últimos 40 anos 57 Bus. Intel First Look: Survey Warns Of Consumers Turning Off From Digital Ads 81 Bus. Intel Talk to the Hand: The Tablet Is Changing TV Viewing 102 Bus. Intel Youths Are Watching, but Less Often on TV 157 Bus. Intel The Future Of Media Metrics Is Interoperability 188 Bus. Intel Engaging CPG Site Visitors Increases Buys In Retail Stores 199 Bus. Intel Leadership for the Marketing Optimization Team 215 Bus. Intel Blowing It Big Time in Web Analytics 266 Bus. Intel Time for Television Ratings to Get Social 325 Bus. Intel Kids TV Networks Face the Mystery of Missing Children 334 Bus. Intel TV News in a Postmodern World - TVs Measurement Conundrum 338 Bus. Intel Why Nielsen Should Be Making New Friends Or Shaking In Its Boots 339 Bus. Intel Survey Shows 85% of Tablet Owners Use Them While Watching TV 342 Bus. Intel Online Ad Effectiveness Research: Crisis Of Control 352 Bus. Intel The Metrics Arms Race 107Babelfish Articles Jan-Apr 2012 Page 3
  • Content How to Make Branded Entertainment Succeed 38 Content The Year Of Episodic Web Content? 39 Content More Branded Web Video Projects Coming Down the Pike 40 Content Content: Marketings Best Hope or More Hype? 79 Content Study Links TV Content To Ad Value 98 Content How To Drive Earned Media -- Even When Your Content Is Less Than Stellar 103 Content Multi-Screen Storytelling: Latinos on Steroids 111 Content Customization Is The Wave Of The Future For Rich Media 114 Content Start Thinking Strategically For Content Curation 122 Content 4 Soft Skills For Content Curation 123 Content CTRL C + CTRL V or Curator News 147 Content Posting Peer Reviews On Your Website: A New Debate 178 Content Why Context Is King in the Future of Digital Marketing 183 Content Why ESPN is all about mobile 196 Content The Future of Digital Messaging 219 Content Tablet advertising: Are ads run on iPad and other tablets more effective? 265 Content Brand Storytelling At Its Finest 271 Content 4 Pillars of Content Marketing 273 Content Coca-Cola Bets the Farm on Content Marketing: Content 2020 297 Content 9 Steps to Building a Content Marketing Strategy 345 Content Expandable Rich Media Ads Outperform non-Expandable Flash Ads 350 General The New Globalist Is Homesick 10 General 5 Trends That Will Change CRM 13 General Looking Beyond 2012: Trends for Leading Transformation 13 General Digital Changing The Intersection Of Message, Branding 16 General Guy Kawasaki On The Wonders Of Google+ 20 General Personal Branding and Marketing Yourself 22 General MTV Starts MySpace-Like Web Business That Gives Artists a Cut of Ads 27 General Google To Buy Mobile App Milk 27 General Why Are Marketers Hating on Traditional Marketing? 31 General P&G To Cut TV Budgets? Hard To Believe 36 General Cognition & The Intrinsic User Experience 40 General The 5 Most Powerful Words in Sales 45 General The Me-tail revolution 47 General Too Much Advertising Is Digital Suicide 50 General 5 Huge Digital Marketing Trends You Can’t Afford to Ignore 51 General I+ Cable Satellite Telco - Connected 52 General Newspapers Struggling to Find Digital Revenue Executives say industry is resistant to change 53 General Why the Web Hasn’t Hurt TV 54 General The Credit Card Is The New App Platform 58 General 5 Reasons You Need to Meet in Person 61 General Accenture The Point Of View: Talent & Organisations 62 General The Digital Future 64 General Digital Strategy and How to Tell if Your Agency Has Any 66 General Build Engaging Dynamic Ads Using Available Customer Data 68 General Top 5 Trends Emerging For Todays Digital Families 70 General Where Did They Hear That? 71 General Marketers: Digital Offers Us More for Less 82 General Sorry, Were Closed: The Rise of Digital Darwinism 88 General The 8 Principles Of Product Naming 91Babelfish Articles Jan-Apr 2012 Page 4
  • General Watch Out! Ten Interview Questions Designed To Trick You 96 General 11 SMS Best Practices Tips 98 General The Number One Mistake People I Interview Are Making These Days 99 General Yahoo, YouTube Gear Up To Battle Cable TV 103 General Wall Streets Wieser: Content Passes Crown, Picks 3 Platform Players - Google, Facebook, Yahoo 105 General If A Tree Falls Online And Theres No One Around To Measure It... 106 General Did Visual Revenue Predict This Headline? 107 General OMMA Metrics & Ana-Lin!-ics 107 General Judah Phillips Car Wreck (Literally And Figuratively) 108 General Id Give Seraj Bharwani A C+ For Analogies 109 General The Evolution Of Marketing Evolutions Hype (Surf Here) 109 General Learning To Love 3MS 109 General Leading the Agency Evolution 112 General Will Digital Advertising Wait for Your Brand? 113 General 5 Ways to Reinvent the AOR for the Digital Age 115 General Marketings Red Sock Problem - Tom Cunniff 117 General How Google+ Is Encircling Your Brand 120 General Brands Pinning It On Pinterest 121 General Crowdsourced Advertising: Its Not Just Cheap Labor 128 General Canadian network WSI - We Simplify the Internet has about one thousand offices in 80 countries 129 General GEs Whats in the Fridge? Contest Woos Appliance Fiends 131 General Best Time to Start a Company 132 General War! The Fight For The Future Of Advertising 133 General 3 Reasons to Integrate Your Digital Marketing Tactics 134 General Database Marketing, Social Media Converge for Retail Brands 135 General Become More Optimistic: 6 Smart Tricks 137 General Are You Sabotaging Your Own Career? 147 General Innovative trends to watch in 2012 147 General There Are Only Three True Job Interview Questions 150 General The new leaders handbook 151 General A.G. Lafley vs. Steve Jobs 156 General Marketing Physics 101 158 General Dont Confuse Passion with Competence 158 General How Pinterest Is Changing Website Design Forever 159 General Do sponsored messages ever work online? 164 General The Past & Future Of Sports In Video 166 General DM9 launches study on digital behavior 167 General The Three Donts of Persuasion 168 General The Wide World of Conversions: Exploring Cultural Differences 168 General Brand Experience, Values Increasingly Drive Loyalty 168 General The 6 Habits of True Strategic Thinkers 173 General Natural Born Clickers 175 General 3 Numbers All Entrepreneurs Should Know 180 General Personalized eCommerce Is Already Here, You Just Don’t Recognize It 181 General Pay-for-Performance Starts to Gain Steam 186 General The New Discipline of Engagement Planning 189 General Non-Food Marketers Grab Greater Share of Digital Coupon Space 192 General 8 Ways to Build Customer Loyalty 194 General 14 Easy Ways to Get Insanely Motivated 195 General eXelate, Nielsen Catalina Bring In-Store To Online 195Babelfish Articles Jan-Apr 2012 Page 5
  • General The Gray Areas Of Digital Brand Measurement 196 General Enter The Digital Media Performance Score 197 General 7 Top Online Marketing Trends for 2012 [Data Included] 206 General Trends and Benchmarks in Click-Through Rate by Message Type 208 General 4 Ways to Leverage Major 2012 Trends for Higher Integrated Marketing Success 210 General Geo-Personalization: Your Opportunity 219 General The Future Of Web TV: Strength In Numbers 220 General Can Self-Checkout Be Retailers Secret Weapon? 220 General Buzz Goes Au Naturel: Nielsen Strips Out Jargon, Adds Hyper-Local Metrics 222 General Tuning In To Media-savvy Girls: 10 Things To Know 223 General What Is An Agencys Role? 224 General In China, Human Costs Are Built Into an iPad 226 General How Curiosity Works and Why You Should Care 234 General CES Tech Report: Really Useful or Merely Interesting? 241 General Teaching The Next Generation Of Digital Natives 245 General Top 5 Digital Measurement Predictions for 2012 252 General Beyond The Ordinary (A.K.A. Facebook And Twitter) 254 General Why Appreciation Matters So Much 257 General Test Before You Launch, Virgin! 258 General A Decade in Review: Trends and Insights 259 General Engagement of Your Most Valuable Customers 260 General Where to Begin With Integrated Marketing for Small Business Owners 263 General 48 Items That Technology Will Replace This Decade 267 General The Future Of The Performance Channel 271 General 4 Digital Marketing Strategy Tips for 2012 274 General Report Proves Media Buyers Are Lazy 277 General Ideas on Integrated Marketing in a Connected TV World 279 General YouTube May Face Challenge With Single Revenue Stream 279 General 7 Things Your Employees Will Never Tell You 283 General How to Find the Right Digital Training Tool for Your Company 284 General The 27 Rules of Conquering the Gym 285 General Digital Marketing In 2012: Predictions From 32 Industry Luminaries 286 General Unruly Media Scores $25 Million in Funding, Ices Google Chrome Black Eye 291 General The Key to Yahoos Long-Term Health? Data, Says New CEO 292 General 2012: Another Year Of Digital Breakthroughs? 293 General The 9 Oddest Job Interview Questions Asked at Tech Companies in 2011 294 General 10 Commandments of Modern Marketing 295 General A fathers rules for finding fulfilment 297 General Business tips: 21 ways to break the ice 298 General The Best Approach to Training 302 General The Google +1 Is More Popular For Retailers Than The Facebook Like Button 303 General Why Best Buy is Going out of Business...Gradually 305 General 9 Steps To Quitting Your “Have To Have" Job And Pursuing Your Dream 307 General The Five Keys To Marketing in 2012. 309 General What is Strategy ? 309 General 5 Great Ways to Use Pinterest 310 General Free Wireless Broadband for the Masses 314 General Digital Strategy and How to Tell if Your Agency Has Any 318 General Woe The Digital Sale: Translating From The Digital-ease 319 General Experience Is The Next Frontier In Marketing 321Babelfish Articles Jan-Apr 2012 Page 6
  • General Forget "Mad Men"--Now Is The Golden Era For Advertising 322 General Digital Marketing Tools Not Yet Providing Key Strategic Insights 335 General What Recruiters Look At During The 6 Seconds They Spend On Your Resume 344 General Retail TouchPoints Spotlights Gamification In Retail: 347 General Learnings From Monday Blues and Customer Satisfaction 353 General People, Not Pages Is Still Publishings Elephant In The Room 353 Media How social media users multitask while watching TV 11 Media PC Morning tablet at night 15 Media Internet, Mobile Challenge Trad TV Ad Supremacy 52 Media TV Used to Put the Mass In Mass Media. Not Anymore. 78 Media Australias First-Ever National Multi-Screen Report Reveals Evolution in TV Viewing 96 Media TV Viewer Erosion: When And Where It Matters 100 Media Nielsen: Second Screening Is A Worldwide TV Habit 101 Media The Promise and Peril of Social TV 116 Media Converged TV: 8 Predictions 212 Media Trends you cant ignore: Social TV and word-of-mouth 255 Media At an Industry Media Lab, Close Views of Multitasking 327 Media Media Multitasking Behavior: Concurrent Television and Computer Usage 328 Media Media multitasking doubles the prime time potential 333 Media Multitasking Media Users Merge Internet with TV, Other Media 336 Media TV ad break data shows 25% audience drop off 337 Media Are Surveys Sufficient? 106 Media Heres A Scoop For You, Literally: GRPs Are The Universal Scoop Of Media 108 Mobile Behavior Modification: The Mobile Edition 28 Mobile Overwhelmed By Mobile Video Advertising? Keep it Simple! 44 Mobile 1 in 5 Smartphone Users Who Search Locally Make Online Purchase 60 Mobile Device Influences Purchase Decisions 61 Mobile Advertisers Should Monetize Mobile Search Before Content 67 Mobile Major Mobile, Online Video Users 104 Mobile Using QR To Create In-Store Mobile Moments 109 Mobile Smartphones and Tablets Influence Consumer Purchasing Decisions on Mobile, Online and in Store 126 Mobile The Mystery Of Mobile Targeting 128 Mobile Twelvefold Extends Spectrum Ads To Mobile 131 Mobile IP Geolocation Explained: How It Works For Advertisers 137 Mobile Mobile Video Ads Growing Fast; Will Mobile Video Trump Online Pre-Rolls? 171 Mobile The Water’s Fine: Why Agencies Should Jump Right Into Mobile Ads 177 Mobile Tablet Owners: More e-Commerce In Digital Magazines 182 Mobile VivaKis Hecht Excited About Mobiles Dimensions 182 Mobile Going Mobile and 5 Reasons Why You Shouldnt Use Transcoders 192 Mobile Is Uncontrolled UI Proliferation Hurting Ads on Android? 193 Mobile SapientNitro, AKQA, Ogilvy Lead Agencies In Mobile Expertise 198 Mobile The Mobile Male 223 Mobile QR Codes: The Active Link Between Direct Mail, Web and Mobile 238 Mobile Mobile is a must-have for agencies in 2012 247 Mobile Using QR Codes At The Last Three Feet Of Sale 301 Mobile Mobile Privacy 2012: Where In The World Is Your Data? 312 Social Meet The Super Consumers And Influencers 21 Social 7 Lessons Social Marketers Need to Learn Right Now 24 Social Why Relationships Matter and ROI Doesnt 24 Social Without The Right Message, Twitter Is No Better For Your Brand Than A Fax Machine 32Babelfish Articles Jan-Apr 2012 Page 7
  • Social Social-Game Market Also Poised for Latin American Boom as Smartphones Become Affordable 34 Social Relevance + Recency + Frequency = Resonance 37 Social The challenges of social media and Big Data Marketing and IT must unite 44 Social Understanding Social Media Personas Is Key 45 Social Rebooting Media: What a Think Tank on the Social Web Discovered 59 Social UK Pub Chain Barracuda Ditches Website for Facebook: Business Traffic Up 2000% 86 Social Habits Are The New Viral: Why Startups Must Be Behavior Experts 89 Social 6 Steps to a More Marketable LinkedIn Profile 90 Social Your Attention, Please! (Social Viodeo) 106 Social LinkedIn Cofounder Says Startups Should Look to Harness Data 121 Social Five Types of Social Media Influencers 122 Social The Five Types of Social Media Influencers 123 Social Rules For the Social Era 129 Social Social Business In Action: Field Notes 135 Social Redes sociais para investidores lutam para ganhar espaço 136 Social Six ways social media technologies can accelerate large-scale change 143 Social 5 Steps To Connect With People Outside Your Network On LinkedIn 145 Social Security is Key to Social Commerce Growth; 55% of Social Media Users Not "Comfortable" Giving Credit 146 Social Why Movements Are Like Marriage 153 Social Case Study: Social Ad Effectiveness 155 Social Will Social Discovery Apps Lead to Meaningful Relationships? 174 Social Fuel Social Conversation With Web Content 175 Social Study: 99% of Facebook Fans are Useless 184 Social Definition 6 Makes Facebook Users The Stars Of Their Own Movies, Turns Timeline Into Screenplays 198 Social Ride word-of-mouth movement 201 Social 4 reasons why 2012 will be the year of "Social Enlightenment" 202 Social Social Ad Guys 33Across Buy Copy/Paste Guys Tynt 203 Social How to Measure Social Media - and Show Results to the C-Suite 216 Social Understanding the Importance of Social Media ROI 218 Social The FBI Wants In On Social Media Monitoring 222 Social Recommendation Calculation 231 Social Social Media Learnings From the Front Lines 236 Social Want To Be Liked In A Conversation? 237 Social Study: Consumers View Social Marketing As Invasive 255 Social Facebook Social Commerce Gets Game With Points, Loyalty, and Rewards 260 Social Talking About This and Facebook Viral Reach 262 Social Followers! Likes! Retweets! Value? 266 Social McDonalds Twitter Campaign Gets Burned 282 Social How to Turn Tweets Into Ratings Points 299 Social One Thing Youre Probably Not Using LinkedIn For 300 Social When Brands Become Friends: The 4th Evolution Of The Online Friendship Concept 317 Social Is Your Brand A Hyper-Connector Or Truly Sociable? 320 Social Social Shares Drive 1 in 4 Online Shoppers to Purchase 321 Social How Many People Use the Top Social Media? 346 Social Social Media ROI Arrives 348 Social Infographic: “”How Do Social Login And Sharing Affect Ecommerce?” 354 Video Kill Your Television: A Video Advertising White Paper From Specific Media 29 Video Firefly Video™ Launches: 32 Video If Online Video Were A Baseball Game: Inning-by-Inning Summary 55 Video Cinema Ads: Brain Research Shows Theyre More Emotionally Engaging Than TV Spots 73Babelfish Articles Jan-Apr 2012 Page 8
  • Video Innerscope Research: Media Effectiveness Study 74 Video Adobe Goes Prime Time With Video Ad-Serving Suite 77 Video TV Is Dead! Long Live TV! 84 Video TV is dead! Long live TV! 2 84 Video Infographic: "Requiem For The Video Advertising RFP" 92 Video Canoe Should Have Bought Inventory To Prove Itself Or Get Rich While Trying 99 Video 18-34 Demo How to Make Your Videos Popular - Building an Audience 100 Video With Streaming Video, Ad Strategies Come Streaming In 131 Video Rentrak Signs Interpublic To Milestone Deal, Will Use Ratings As Trading Currency 167 Video Redbox To Launch Streaming Video 172 Video Time Warner Invests In Conviva, Ups TV Everywhere Growth 173 Video CPG, Health Top Video Advertisers, Digital VIdeo To HIt $5.4B 180 Video 2012: The Year Of The (Video) Dragon 184 Video VideoHub-Nielsen Alliance Integrates Nielsen Online Campaign Ratings Into Video Ad. Platform 203 Video Online Video Advertising Amplifies TVs Reach, Performance 204 Video Video Metrics: A Closer Look At The Latest Data 213 Video Online Video Producers Are Wasting Time Trying to Convince TV Companies to Take Them Seriously 214 Video All Grown Up, Video Explodes In 2012 233 Video Anthem Blue Cross Uses Consumers In Live Streaming Video Ads 251 Video Tremor Acquires Video Analytics Platform InPlay For Publishers, TubeMogul Focused On Marketers 280 Video Video Vendors Test, Roll Out New Online Video Ad Formats 281 Video Video: The Future Of Social Media Marketing 292 Video Online Video Business to Marketers: Skip All Our Ads! 304 Video Video Trends to Watch: Video in eCommerce, Social Discovery, and Live News Recommendations 311 Video Why Every Brand Needs A Million-View Video 317 Video New Video Ad Metric Doesnt Have You At Hello, Suggests You Complete Me 340 Video Anytime Is Prime Time: Digital Video Dayparting Comes Of Age 343 Video Online Viewers Watching Video Ads To Completion More Than 70% of the Time 343 Video Specific Media Sees Major Jump in Online Video Effectiveness 349 Video MediaMind Issues Report On The State Of In-Stream Video Ads 353Babelfish Articles Jan-Apr 2012 Page 9
  • The New Globalist Is HomesickBy SUSAN J. MATT Published: March 21, 2012 NYTACCORDING to a recent Gallup World Poll, 1.1 billion people, or one-quarter of the earth’s adults, want to move temporarily toanother country in the hope of finding more profitable work. An additional 630 million people would like to move abroadpermanently.The global desire to leave home arises from poverty and necessity, but it also grows out of a conviction that such mobility ispossible. People who embrace this cosmopolitan outlook assume that individuals can and should be at home anywhere in theworld, that they need not be tied to any particular place. This outlook was once a strange and threatening product of theEnlightenment but is now accepted as central to a globalized economy.It leads to opportunity and profits, but it also has high psychological costs. In nearly a decade’s research into the emotionsand experiences of immigrants and migrants, I’ve discovered that many people who leave home in search of better prospectsend up feeling displaced and depressed. Few speak openly of the substantial pain of leaving home.This emotional style became common among mobile Americans in the 20th century, but represented a departure from thepast. In the 19th century, Americans of all stripes — pioneers, prospectors, soldiers and the millions of immigrants whostreamed into the nation — admitted that mobility was emotionally taxing. Medical journals explored the condition, oftenreferring to it by its clinical name: nostalgia.Stories of the devastating effects of homesickness were common. In 1887, an article in the Evening Bulletin of San Franciscohad the headline, “Victim of Nostalgia: A Priest Dies Craving for a Sight of his Motherland” and reported that the Rev. J. M.McHale, a native of Ireland, had fallen ill with nostalgia after arriving in Brooklyn. Shortly before he died, he declared: “I amhomesick. My dear country, I will never set a foot on your green shores again. Oh, my mother, how I long to see you.”Today, explicit discussions of homesickness are rare, for the emotion is typically regarded as an embarrassing impediment toindividual progress and prosperity. This silence makes mobility appear deceptively easy.Technology also seduces us into thinking that migration is painless. Ads from Skype suggest that “free video calling makes iteasy to be together, even when you’re not.” The comforting illusion of connection offered by technology makes moving seemless consequential, since one is always just a mouse click or a phone call away.If they could truly vanquish homesickness and make us citizens of the world, Skype, Facebook, cellphones and e-mail wouldhave cured a pain that has been around since “The Odyssey.”More than a century ago, the technology of the day was seen as the solution to the problem. In 1898, American commentatorsclaimed that serious cases of homesickness had “grown less common in these days of quick communication, of rapidtransmission of news and of a widespread knowledge of geography.”But such pronouncements were overly optimistic, for homesickness continued to plague many who migrated.Today’s technologies have also failed to defeat homesickness even though studies by the Carnegie Corporation of New Yorkshow that immigrants are in closer touch with their families than before. In 2002, only 28 percent of immigrants called homeat least once a week; in 2009, 66 percent did. Yet this level of contact is not enough to conquer the melancholy thatfrequently accompanies migration. A 2011 study published in the Archives of General Psychiatry found that Mexicanimmigrants in the United States had rates of depression and anxiety 40 percent higher than nonmigrant relatives remaining inMexico. A wealth of studies have documented that other newcomers to America also suffer from high rates of depression and“acculturative stress.”Ricardo Valencia, an immigrant from Guadalajara, puts a face to such statistics. In 2005, he traveled to Nevada to work so hecould pay off a mortgage on his house. The day after he arrived in Nevada, he thought, I want to leave! As he explained to me:“I’ve always been really close with my family. ... I had to stand it, we had to stand it ... but returning was always in mind.” Heused e-mail and phone cards to keep in touch with his wife, calling her several times a week. But even this regularcommunication could not assuage his tremendous homesickness. He finally returned to his family in 2009.Like Mr. Valencia, 20 to 40 percent of all immigrants to the United States ultimately return to their native lands. They knowthat Skype is no substitute for actually being there.It is possible that these new technologies actually heighten feelings of displacement. María Elena Rivera, a psychologist inTepic, Mexico, believes technology may magnify homesickness. Her sister, Carmen, had been living in San Diego for 25 years.With the rise of inexpensive long-distance calling, Carmen was able to phone home with greater frequency. Every Sunday sheBabelfish Articles Jan-Apr 2012 Page 10
  • called Mexico and talked with her family, who routinely gathered for a large meal. Carmen always asked what the family waseating, who was there. Technology increased her contact with her family but also brought a regular reminder that she wasnot there with them.The immediacy that phone calls and the Internet provide means that those away from home can know exactly what they aremissing and when it is happening. They give the illusion that one can be in two places at once but also highlight theimpossibility of that proposition.The persistence of homesickness points to the limitations of the cosmopolitan philosophy that undergirds so much of ourmarket and society. The idea that we can and should feel at home anyplace on the globe is based on a worldview thatcelebrates the solitary, mobile individual and envisions men and women as easily separated from family, from home and fromthe past. But this vision doesn’t square with our emotions, for our ties to home, although often underestimated, are strong andenduring.Susan J. Matt is a professor of history at Weber State University and the author of “Homesickness: An American History.”How social media users multitask while watching TVPosted by CORY BERGMAN on March 22, 2012A new survey by the Hollywood Reporter — which talked to social network users between the ages of 13-49 — reveals someinteresting data about how social media impacts the TV and film industries. More than half of the respondents said socialnetworks are important tastemakers in determining what to watch and buy. The most interesting part of the study, as itrelates to TV, is boiled down to this slide:That Facebook number is a bit surprising — 79% say they always or sometimes visit Facebook while watching TV — althoughit’s unclear how much of that activity relates to the TV they’re watching at that given moment. For Twitter, the study asked ifthey’re tweeting about the show they’re watching, and 41% said yes. And three-quarters of respondents say they’re postingabout TV while watching a live show, which shouldn’t be that big of a shock — a study by TVGuide found that 27% say theywatch more live TV to avoid spoilers via social media.The study asked which types of shows people like to post about while watching TV, and comedy (56%) and reality TV (46%)came out on top, followed by sports (38%) and cable news (26%).Here’s my favorite stat of the study: 8.5 percent of respondents have decided not to watch Jersey Shore because ofsomething they saw on social networking. Which goes to show, not all social promotion is good promotion. Meanwhile, 3 outof 10 people decided to watch a TV show because of something they read or saw on a social networking site. (TVGuide’s study,which didn’t limit respondents to social media users, found that 17% said they started watching a TV show because of a socialimpression.)Marketing From The Other End Of The FunnelBY EXPERT BLOGGER JOEL RUBINSON | 03-21-2012 | 7:25 AM blog is written by a member of our expert blogging community and expresses that experts views alone.Babelfish Articles Jan-Apr 2012 Page 11
  • Traditionally, new product marketing assumes first-time purchases arise from an orderly chain of events. The effectivecommercial starts the engine turning by generating brand awareness, which begets interest, desire, and finally consumeraction, with planned purchases popping out the other end.But often, consumers actually start at the other end of the funnel. They bring their needs and impulses to a retail settinglooking for an immediate solution. In ways that behavioral economists talk about, shoppers spontaneously make sense oftheir choices, frequently buying something they never knew existed before but that they assess will best meet their needs inthe moment. How often does this happen? More than half of first-time supermarket purchases are unplanned events,according to shopper insights R&D research I conducted, and the largest source of awareness for new products is not TV orsocial media, but in-store exposure.So how do brands start marketing from the other end of the funnel? First, realize that the shoppers mind is a predictionsystem, constantly operating, sensing hints or semi-conscious triggers called “cues” to anticipate how well a product willmatch desired outcomes in the ABSENCE of prior knowledge about that alternative. Shopper cues come from packaging, price,ingredients, the parent brand name, what something is next to on the shelf (e.g. gourmet coffees are easy to understand ifthey are near Starbucks on the shelf), signage, and the retailer (e.g. being sold at Whole Foods immediately cues producthealthfulness). Not all cues are equal, so marketers need to learn which cues are the most important in the shoppers mind forthe benefits they want to signal.Consider Chobani, one of the leading new products last year, according to the IRI Pacesetters report. With no TV advertising,you see it on the shelf and still immediately get what it is about. Product thickness graphics, arresting package design, andprotein ingredient cues tell us it is not the familiar Dannon or Yoplait. Seeing other yogurt packages that look similar to eachother but different from mainstream yogurts grouped together on the shelf, work to create a pattern, “Hmmm, this is a newtype of yogurt…a Greek yogurt…I need to try it and learn more about it.”Next, the marketer must realize that their job is not done by being disruptive on the shelf. Shoppers buy PRODUCTSspontaneously, not brands; so it becomes the marketer’s job to turn that bundle of features into a brand in the consumer’smind. As people hopefully love this product they just bought for the first time, they become curious and want to learn more.Point users to your website, a branded community, your Facebook page, and Twitter profile, where people learn about thebrand and share experiences socially. This is how Chobani does it. No TV advertising, but as many fans and followers and moreconversations in social media than a brand ten times its size, Folgers.The venerable linear purchase funnel won’t be making a comeback anytime soon, and smartphones and tablets brought intothe store will only reinforce this new type of shopper behavior.When you market from the other end of the funnel, everything is flipped in what Procter and Gamble calls “store back”marketing. The brand narrative, brand values, social media engagement, even TV commercial impact come AFTER the purchase,Babelfish Articles Jan-Apr 2012 Page 12
  • so they solidify rather than precondition the brand-customer relationship. In this model, shopper marketing cues must bemastered as the main trial generator.5 Trends That Will Change CRMJanuary 30, 2012I was recently asked to join a group of experts to contribute thoughts on trends driving the evolution of CRM over the nextfive years. I must say, that it’s a group of individuals whom I not only respect, but also am lucky enough to know in the realworld.- Ray Wang, Principal Analyst & CEO at Constellation Research- Brent Leary, Owner at CRM Essentials- Esteban Kolsky, Principal & Founder at ThinkJar LLC- Denis Pombriant, CEO at Beagle Research Group, LLC- Paul Greenberg, Owner at The 56 Group, LLCSoftwareAdvice‘s Lauren Carlson led the discussion under the banner of CRM’s Next 5 in 5. I’ve included some of the highlightshere to give you a glimpse of what each expert is tracking. Of course, take a moment to read the full post for a deeperperspective…Ray Wang: In the next five years, we will see tremendous growth in context services and the data they provide. A key sourceof this context data will be from mobile devices. Context services are subscription services that help add context duringengagement. For example location, relationship, roles, business process, and other sensing technologies.Esteban Kolsky: We still don’t have the analytical tools to make sure we can deliver value in the instances described. Weneed to build the infrastructure to make sure there is value in the technology. Analytics and Cloud are leading the chargethere.Paul Greenberg: We’ll see more technologies like SAP HANA, Hadoop and other in-memory and distributed technologies deliverradically faster information processing capabilities. Real-time customer intelligence will become a reality. Technologiesaround unified communications will be not only hot, but game changers.Denis Pombriant: Virtual interaction increases the need for enhanced content management systems, as well as spur demandfor video production tools that lightly-trained people can use to create animations and conventional “talking head”broadcasts. We will also probably see CRM systems evolve to track these virtual interactions.Brent Leary: Near Field Communication and the impact it will have on person-to-person and machine-to-machine informationexchange will have a big impact on CRM in the not too distant future. I’d also throw in connecting the TV to the mix of screenscompanies will use to create better customer experiences When people are at home with access to a big screen, they willwant to leverage that for their interactions and rich content experiences. Companies that begin developing engagementstrategies with this in mind should be in line to see some competitive advantage in terms of customer engagement.While only some of thoughts made the cut, I didn’t want to lose the other ideas that were swirling in my mind as a result ofthis exercise. I needed a place where I could park the other important trends I’m following…1. In 2012 and continuing into 2013, I believe businesses will start to explore new dynamics of CRM beginning with theCustomer Influence Factor (I.F.). Services such as Klout, PeerIndex, and Kred are by default creating a social customer hierarchythat introduces influence beyond marketing, to now include service and sales professionals.2. The second trend is the development of CRM systems that integrate I.F. data into the mix. This will help the front lineprioritize engagement, personalize engagement, while providing a more comprehensive view of the social customer and theirneeds and expectations.3. Naturally this introduces complications and new parameters in how businesses engage and develop relationships withcustomers. This will by default necessitate the development of new rules of engagement and supporting metrics to convertleads, solve customer issues, and improve experiences.4. Next, we will see gamification extend beyond marketing to improve loyalty through integrated social rewards programs,social graph data, and a more community-focused effort on expanding the company’s reach through influence and advocacyprograms.5. Finally, the convergence of marketing, service, sales, and business intelligence will set the stage for businesses to build amore holistic front and experience through traditional web, social and mobile networks. Integration signals not onlytechnology frameworks and connected systems and processes for collaboration, but more importantly, a mission, purpose,and charter to meet and exceed customer needs and expectations.Where do you see CRM headed?Looking Beyond 2012: Trends for Leading TransformationJanuary 23, 2012 Brian Solis Part 16 in an ongoing series that serves as the prequel to my book, The End of Business as Usual…It’s a new year and a new set of predictions to set goals and expectations for 2012. I won’t bother you with the top 10emerging social networks or apps to focus time and resources. Nor will I gaze in the crystal ball to reveal the five secrets toviral marketing and user/customer acquisition. Instead of adding my forecasts to the endless sea of debatable prophesies, Ichose a more aspirational path.2012 is the year of transformation as digital Darwinism threatens rigid and traditional practices everywhere. Regardless ofindustry, digital Darwinism is a phenomenon when technology and society evolve faster than the ability to adapt.Indeed, this is a time when organizations will invest in change to better adapt to emerging market opportunities, to moresuccessfully engage with customers, employees and stakeholders, rethink systems and processes, and ultimately, revive theBabelfish Articles Jan-Apr 2012 Page 13
  • company’s vision, mission and purpose. The result is an adaptive culture that signals an end to business as usual. Withoutdoing so only expedites the inevitable journey towards irrelevance. For 2012 and beyond, the following trends serve asbeacons for not only survival, but leadership.Trends for TransformationLeadership: As technology continues to evolve & permeate work and life, behavior, expectations and communication evolve.Someone must look ahead, see where we need to go and lead the way to relevance. Leadership is something that must beearned. Without a top-down charter toward a direction everyone can march behind, leadership is relegated to operationalmanagement. In the age of empowerment, those who march blindly will follow a path not unlike what Steve Jobs envisionedin the infamous Apple Lemmings commercial.Vision: The stated outlook of organizational direction needs review. When’s the last time you read your company’s vision ormission statement? If you did read it recently, would you Tweet it proudly? In a time when brands are not created, butinstead co-created, if vision is unclear or underwhelming, alignment, community and camaraderie will prove elusive.Strategy: With new media and emerging technology creating a groundswell of customer empowerment, new strategies mustfocus on the alignment of objectives with meaningful experiences and outcomes. All too often, emerging technology isconfused with either disruptive technology, where is impacts how companies work or how customers behave, or that of yetanother channel or platform for traditional marketing or selling. Far too much emphasis, budget, and time is placed in newmedia channels without an understanding of why or what it is that customers expect or appreciate.Culture: This is a time of change, which requires coalescence and solidarity. We can’t change if the culture is rigid or riskaverse. We can’t innovate if those who experiment are not supported. Organizations need to focus on cultivating a culture ofadaptation rooted in customer- and employee-centricity and more importantly, empowerment. Culture is everything. It is andshould be intentional. It should be designed. Those companies that invest in the development of an adaptive culture willrealize improved relationships that contribute to competitive advantages.People: The 5th P of the marketing mix, “People,” will take center stage. Organizations that embrace the spirit ofintrepreneurialism will empower employees to experiment through failure and success to improve engagement and morale.And, by embracing customers, insights will inspire relevant products, services and processes.Innovation: The ability to recognize new opportunities is perhaps the greatest challenge rivaled only by the ability toexecute. Emerging and disruptive technology is now part of the business landscape and customer lifestyle. Innovation, trends,and hype is not going to stop. In fact, it will only amplify. The capacity to identify and consider new solutions and responsesis critical. It must be supported by innovative collaboration and decision-making processes and systems to assess and react.Innovation must be perpetual.Influence: Digital influence is becoming prominent in social networks, turning everyday consumers into new influentials. As aresult, a new customer hierarchy is developing forcing businesses to identify and engage to those who rank higher thanBabelfish Articles Jan-Apr 2012 Page 14
  • others. There is no future in any business model that is cemented in reactive engagement. Organizations should identify andengage all connected customers to extend reach outside of problems. Businesses must engage when touchpoints emerge,during decision-making cycles, when positive experiences are shared, or to proactively feed the results who search forinsight and direction. Contributing value to people and investing time and energy into networks of relevance will also earnany organization a position of equal or greater influence.Localization: For global organizations hoping to connect with customers around the world, localization & contextualizationare king in any engagement strategy. This is also true for any engagement strategy regardless of local. Many companies arejumping on every bandwagon imaginable, syndicating content, thinning resources, and investing no more in each network thanwhat’s necessary to maintain a pulse. Facebook, Twitter, Google+, Youtube, Foursquare, Instagram, Pinterest, Quora becomebroadcast channels for one-to-many strategies and programs that do very little for cultivating dedicated and engagedcommunities.Intelligence: One of the biggest trends in 2011 was the development of social media command centers. At the heart of thesesophisticated data gathering silos were conversations and tools that allowed community managers to listen, respond, andpromote engagement within the company. While social media is introducing the art & science of monitoring to marketing andservice teams it is the organizations that invest in technology, teams and processes that will translate activity intoactionable insights.Philanthropic Capitalism: Customers expect values to match their own core values. What used to be a necessary checklist ofcommunity focus, such as corporate social responsibility or CSR is now rebooted. Philanthropic capitalism is a business modelwhere companies contribute to worthwhile causes on behalf of customers as part of the transaction. Additionally, customersare expressing that they will also invest in companies where employees are “treated well,” pledging trust and loyalty as aresult. The empathetic business model on the horizon requires charitable and sustainable decisions as part of everydaybusiness where customers naturally become stakeholders.These pillars will serve as the foundation for an adaptable business model where opportunities are readily assessed andinnovation is regularly practiced. The reward is relevance, affinity and advocacy. As Leon C. Megginson once said inparaphrasing Charles Darwin’s Origin of the Species, “It is not the strongest of the species that survives, nor the mostintelligent that survives. It is the one that is most adaptable to change.”PC morning tablet at nightDuring the presentation to Brazil, comScore released a slide that has to do with a subject frequently talked about this weekin major media sites - the publication of State of the News Media 2012 on the use of various devices to consume news.With data collected in the American market (USA), the slide shows how people use various devices during the day. Morningand afternoon there is a trend towards the use of PCs, and in the evening - sitting on the couch, watching TV (the secondscreen?) - Increases the use of tablets.ComScore data confirm a Google search indicated that the same habit - tablets dominate the night.See also: No technology is useless until proven otherwiseBabelfish Articles Jan-Apr 2012 Page 15
  • Adobes Project Midas Expands Predictive Marketing Toolsby Laurie Sullivan, Wednesday, March 21, 2012 1:22 AMAdobe Systems will push deeper into online marketing, adding features in the Adobe Digital Marketing Suite that can predictconsumer behavioral patterns. Some of the capabilities come from its acquisition in January of Efficient Frontier, previouscode name Project Midas.Adobe, which captures more than 6 trillion transactions yearly for more than 5,000 digital customers, collectively representsmore than 27 petabytes of data. The company runs software-as-a-service (SaaS) offerings through 23,500 servers andnetworked devices in 19 data center co-location sites.Aseem Chandra, vice president of marketing for Adobes Digital Marketing Business, calls the new feature "predictivemarketing" to analyze events throughout the entire funnel to help marketers analyze the data to determine any concerns.Marketers can look at patterns -- with about 100,000 variables -- and estimate probability to address issues before theyarise. The feature goes into beta during the second half of 2012, and into production later this year.The statistical model analyzes past performance and forecasts probability. A predictive marketing dashboard allowsmarketers to change key metrics in various what-if scenarios to see how those changes will potentially impact businessoutcomes, such as orders and revenue.Testing the tool with one unnamed electronics manufacturer and retailer, Adobe gathered historical data from its Web siteand ecommerce store and built a model around that testing, claiming 98% or 99% accuracy. "We then used models to predictwhat the next few weeks would look like."Around Black Friday, when revenue should peak, it showed a shortfall against the electronics companys plan. That led thecompany to shift their ad spend, based on the anomaly, and come in at about 1% difference from their original revenue plan."If they hadnt made the shift immediately, they would have missed the opportunities during the biggest shopping day of theyear," Chandra said.Adobe will also release several other marketing tools, such as Adobe Social, for ad buying that combines social publishingwith monitoring and analytics. The tool builds on the social media management technology acquired earlier this year as partof Context Optional and Efficient Frontier.Read more: Changing The Intersection Of Message, Brandingby Laurie Sullivan, Monday, March 19, 2012 3:50 PMSearch contributes 18% across all brand categories, and a brands Web site adds 16%. Companies want to get cozy withconsumers, but marketers need to pay closer attention to where they should have that conversation, according to a studyreleased Monday at OMMA Global in San Francisco.The Digital Platform Engagement Index looks at how digital changes branding for companies. It becomes less important toanalyze the audience demographics and learn more about how the 14 digital platforms intersect in their product and servicecategories.Findings suggest age is less important than knowing where consumers engage with the brand for specific information. Brandsneed to look at how consumers view the brand, according to Robert Passikoff, Brand Keys president.Some platforms attract a specific type of demographic or audience segment. Marketers that want to talk about family-friendly topics with consumers who spend a lot of time online might want to do it on social networks, he said.Brands can accomplish that, Brand Keys suggests, by overlaying information about digital platforms like blogs, social, searchand mobile marketing with four key drivers and their specific values, Passikoff said. "Its more important to find where specificmessages resonate across digital platforms," he said. "By knowing this you can use the category drivers and determine themessage."Its no longer a question of whether a brand should be on Facebook, but what message resonates best there.Social networks and blogs seem to have the greatest overall influence on consumers. Consumers who spend a lot of timeonline and want information on product safety, for example, will typically find and read it on a blog, rather than a messageabout product safety, strong relief, or whether the product is family-friendly. The general population might see it differently.Brands might find that the "doctor recommended" message makes a much smaller impact when disseminated on blogs,compared with talking about safety in another way.When it comes to search engine marketing, of the 83 categories included in the 2012 Brand Keys Customer LoyaltyEngagement Index, the categories exhibiting the greatest levels of brand engagement for the digital search include upscalehotels, office supply stores, flat screen TVs, discount retail stores, and athletic footwear.Read more: Your Segmentation Strategy: 5 Keys to SuccessAndrea Fishman | March 21, 2012Have you been noticing that no matter what you do, your conversion rates are starting to plateau? If you have already doneall the onsite fundamentals - testing creative, copy, and calls to action - maybe its time to shift your focus away from simplyincreasing site traffic and reconsider your segmentation strategy.Babelfish Articles Jan-Apr 2012 Page 16
  • For many marketers, setting a segmentation strategy becomes a one-time tactic, often done in line with a site redesign,technology change, or annual marketing campaign. This can be a big miss - especially as marketing tactics, targeting partners,and segment behavior can often change over time.If your traffic volumes are satisfactory relative to historic norms, consider that you may be getting the wrong type of traffic -or improperly classifying them. A few factors may be working against your targeting strategy: Disconnect between behavior and reality. Could it be that your own judgment or view of your organization is impactingthe construct of your segment? If you are in the mid-market, is your plan of converting luxury shoppers a brilliant idea toincrease marketshare, or is it time for a reality check? You may be spending high dollars driving volume of this premiumaudience, with little chance of recouping your media spend. Growth in bounce rates is often a leading indicator of this. Take amoment to ensure that your tactics are not all based on "reach goals" - but on demonstrated user trends. Are the calls to action too aggressive? Could you be forcing your visitors hand too early? While promotions, timesensitivity, and limited volumes may help convert a visitor nearing the end of the buying cycle (especially in the B2C space),strong-arming visitors may backfire. Consider testing offers with multiple tones and levels of urgency - you may find that thelighter touch may actually perform better. Getting too personal. Are you asking for too much upfront? Its possible that you may be overvaluing the demand foryour premium asset (i.e., white paper, video, webinar). If your form completion rate is low relative to other conversion points,consider asking for less data upfront. Many organizations are finding that for items with a longer sales cycle or multipletouchpoints, a "less is more" approach to form data is more successful. Prove the value of your content - and consider arepeat visit a better option to ask for that next set of data points. Partner problems. Are you relying too much on external data to identify and segment users? Are you over-reliant onyour partners to funnel visitors into the appropriate segment - without onsite validation? Consider that for many adnetworks, its takes ongoing updating of the profile to reach the right segment. Revisit your current segment definitions withyour media partners (both search and display) to ensure you are both in sync with not only the customer segments you aretargeting, but the behaviors you expect these visitors to exhibit. Compare onsite behavior across segments and you may findthat certain media providers or vendors are not as diligent in delivering high-quality traffic. It may take fine-tuning of siteexclusions, saturation points, and changes to your recency policy to ensure the right set of rules for each unique segment. Keep it simple. Are you overcomplicating the user experience - making it too difficult for users to complete their desiredtask? If youre seeing an increase in page views but decrease in conversion, you may not be having segmentation issues, butneed a rework of your user interface (UI). Alternatively, you may be misclassifying these users and creating additional workfor them to find the right product within your solution set. Whether its too hard to find the information, or you are drivingusers to the wrong solution, you have a problem. Consider simplifying the UI to make it easier to navigate - and considerdriving users to pages higher up in the site hierarchy.What Is Big Data?John DArcy | March 21,2012 will be the year of the election you couldnt win without "Big Data." It will be the year when big data could help youincrease your margin by 60 percent. Big data also means I could track everything my customers do and store it forever. Bigdata sounds brilliant doesnt it? But admit it; we still dont really know what it practically means for most of us.When I first heard the phrase "Big Data" a year ago I didnt think, "Hey, that sounds cool." I actually cynically thought, "Here wego again. The big technology companies have thought up a new tag line that will hook us all into thinking we need to replaceall our old systems with new, faster, expensive servers." I worried that the analytics industry was about to go down anothercycle of technology-led implementations rather than thinking about how to use data we already have in an imaginative,insightful way. But theres still time for us to grab the phrase and define what it should mean. Here are some thoughts:Is big data about getting a huge new server to process billions of records and petabytes of data?No. A great thing about the discussion about the phrase "Big Data" is that it gets people talking about the huge increases incomputer processing power. But how about that focus being on the laptop on which you are reading this column rather than afocus on some server sitting in the basement and only the grumpy IT team knows how to use? Most laptops are powerfulenough to process millions of records of data, thereby freeing analysts from the constraints of needing major databasesystems to analyze customer behaviors. This democratization of data should mean more individuals in your company can minethe data you already own. Invest in an analytical tool like SAS or SPSS or even good old Excel, get a data extract on yourlaptop, and start mining.Does big data mean I can collect every bit of information about my customers? Storage isnt expensive and I can use the cloudto keep all my data.No. The problem with this laissez-faire attitude about your data is you can fall down the trap of having the analytics teamdriven by long-term development projects rather than focusing on the here and now. If you are storing everything, you arenot placing value on key customer data that can give you the edge over your competitor. It stops you thinking. It moves theweight of your job to data collection and technology rather than asking questions about data that already exists. Whats thekiller stat you need to put in front of your CEO so he remembers your name? Take a step back and think about what you needto calculate that. Thats the data you should be collecting and more of it - not everything else.Is big data about investment in infrastructure?Well if it is, let that investment be in people and process, not technology. Let it be about an analyst investing thinking timeand the development of their data mining skills to find value in data already available to them. Web analytics is stilldominated by technology people who can write brilliant tagging code but think division is the summit of all mathematicalBabelfish Articles Jan-Apr 2012 Page 17
  • achievement. If we are going to make use of data, there must be an investment in more data scientists and statisticians tolead the web analytics industry.Within two years, well look back and be able to say what big data came to mean. Lets hope that most of us are thinking thatthis was the year we were released from the constraints of not being able to access and analyze our data rather thanthinking big data was the latest in a series of technology fads that we blew our operations budget on.Group M, Nielsen Partner For TV, Internet Metricsby Wayne Friedman, Monday, March 19, 2012 10:37 AMGroupM and Nielsen say they will develop the long-sought-after holy grail of combining traditional TV and online metrics forindividual media campaigns.The new service, called Nielsen Cross-Platform Campaign Ratings, builds on leverage for Nielsens existing Online CampaignRatings. It will provide reach and frequency of marketing campaigns that run on both TV and online -- as well as showingoverlapping reach and frequency of their marketing campaigns.GroupM, the WPP media management arm and Nielsen will each contribute resources and expertise to create Cross-PlatformCampaign Ratings and make it available to GroupM clients.Nielsen Online Campaign Ratings also offers reach, frequency and GRP measures for Internet advertising.All this comes as TV programmers have been working on TV Everywhere efforts, which make programming available tosubscribers both on TV and online.“Our advertiser clients increasingly recognize that traditional television advertising and online video advertising must worktogether,” stated Rino Scanzoni, GroupM’s chief investment officer. “It’s vital that we have consistent measurement, and that’sour goal in working with Nielsen.”Cross-platform metrics are essential to both buyers and sellers of advertising,” added Steve Hasker, president of MediaProducts and Advertiser Solutions for Nielsen. "Through working closely with GroupM and others in the industry we believe wecan help create best practices that will benefit the entire ecosystem.”Read more: Agencies Are Better Off Staying Out of the Tech BusinessChoosing Winners, Not Owning the Players, Is How Agencies Should Work With TechBy: Scott Ferber Published: March 20, 2012Its no secret that media agencies have come under increasing financial pressure over the past decade. Agency margins seemto be ever-shrinking, while clients simultaneously demand more in terms of technological solutions and service in thisincreasingly digital marketplace. Meanwhile, agencies were annoyed to see their digital ad network counterparts generatedouble-digit commissions while aggregating media, traditionally the turf of media agencies.Many of them were even inspired to grab some of what the networks had—technology. And for a time, certain agencies triedto take the digital display technology in-house, building proprietary platforms. In most cases, this effort has not met withgreat success. Despite that, the same drumbeat is being sounded by some shops to replicate the effort in digital video, aneven steeper mountain to climb, considering video is faster-moving and more technologically complex than display. Astempting as it might be, agencies should pause and reflect for several reasons before becoming tech vendors:Agencies are in the unique position of being charged with scouring the market for the latest and greatest among all techproviders. They can work with as many different kinds of tech companies possible to find the best solutions for their clients.By investing in and developing in-house technology, agencies lose the ability to work with the best-in-breed in the multipledisciplines required to service a brand marketer in the digital age.The tech industry is moving too fast to try to predict the next best thing and agencies shouldnt try. One only need to see themeteoric rise of the iPhone and the Android and how they usurped the smart-phone marketplace from the Blackberry. Thissame dynamic exists in ad tech. Proprietary technology requires a large upfront investment, and as an agency, the quicksilverpace of technological innovation presents too great a risk.Proprietary technology takes many years to develop, and offers no clear return date—a scenario that most agencies are notset up to support financially. While major holding companies certainly have access to funding, the individual media agenciesoperate under a client-driven business model that would not accommodate the onerous overhead that goes hand-in-handwith technology investment and development.Developing technology is not inherent to an agencys DNA. It requires different staffing and different in-house skills thatcould instead be devoted to what an agency does so well—developing insightful media strategies to fulfill brand objectivesthat utilize technology, rather than build it.This is not to say that agencies shouldnt become tech experts. Absolutely, they should.But rather than disrupting the agency model, 3rd-party ad tech leveraged properly gives agencies the power to go farbeyond media aggregation. Merging the combined power of client information, goals and data, agencies become mediaallocators. In other words, technology allows them to pull together the disparate sources of intelligence and function acrosstheir entire agency to make the smartest, most efficient media allocation decisions for their clients. This approach rewardsthe agency for its expertise and investments in service, secures its importance within the value chain, and most importantly,allows them to provide greater results for their clients.ABOUT THE AUTHOR Scott Ferber is chairman and CEO, Videology.Babelfish Articles Jan-Apr 2012 Page 18
  • Marketing is the next big money sector in technologyBy Ajay Agarwal, Bain Capital Ventures Mar. 17, 2012, 9:00am PTBy 2017, a CMO will spend more on IT than the CIO.” —Gartner GroupFor the first time in history, businesses can leverage big data for the benefit of driving marketing insights. We are at the verybeginning of this wave, but this fundamental shift will create several multi-billion dollar winners. And a set of technologycompanies will emerge as the marketing equivalents of Salesforce and SAP.Based on this thesis, my partner Scott Friend (founder of Profitlogic) and I have been actively investing in this arena on behalfof our firm, Bain Capital Ventures. BloomReach, CQuotient, HookLogic and TellApart are among our recent early-stageinvestments in this new category of marketing innovation.At the heart of each of these companies are CTOs and engineers who have experience with big data and modern techniquesfor data mining, analytics and machine learning. These companies typically charge on a performance basis as opposed tocharging traditional enterprise software license fees. And they are having a significant impact on their customer’s revenuesand profitability.Why has it taken so long to get here? Enterprise software began in the back officeThe world of enterprise application technology has gone through a number of iterations and evolutions over the past 30years. In the late ’70s and ’80s, enterprise software consisted of mainframe and minicomputer solutions designed to handlevarious back-office functions: finance, HR and manufacturing. Over time, the winners in each of these functional applicationsareas — SAP (manufacturing), Oracle (financials), PeopleSoft (HR) — began expanding into the adjacent categories, spawningthe ERP wave (enterprise resource planning). In the ’90s, these companies became behemoths, thanks to a concurrence offactors — the movement to client server infrastructure, the trendiness of corporate “reengineering,” the urgency around Y2Kand the growth of the large system integrators.The focus on the front officeAs of 1995, the majority of enterprise software dollars were focused on back-office functions while the sales and marketingfunctions were largely ignored or served by smaller point-solution vendors. This opportunity led to the creation of severalcompanies, including Siebeland Trilogy (the company I was with for eight years). Siebel became a very large and successfulorganization and was ultimately purchased by Oracle for $5 billion (its market cap at one point was over $60 billion). Morerecently, Salesforce has leapfrogged Siebel with its SaaS approach. With a market capitalization of $17 billion, it has becomethe new industry heavyweight.Despite the last 15 years of automation of sales functions, marketing functions have been underserved and underpenetratedin terms of enterprise software. While the other corporate functions have all created multibillion-dollar software companies,the marketing function has only had one exit north of one billion (Omniture). (See exhibit below.)[Note: Oracle value represents an estimate of only the value of their financial software application business. SAP representsan estimate of the value of only their manufacturing suite. Siebel, Peoplesoft and Taleo values are based on the prices atwhich those businesses were sold to Oracle. SuccessFactors value is based on its sale price to SAP. Baan’s value is their peakmarket cap. Omniture’s value is based on its sale price to Adobe. Intuit, Netsuite and values are based on itpublic market values as of 2/27/12. Disclosure: Bain Capital Ventures was an early investor in Taleo.]Data versus processBabelfish Articles Jan-Apr 2012 Page 19
  • Historically, the challenge with marketing automation is that it has always been about “process,” not about “data.” Back in the’90s, marketing apps were tools used to manage campaigns. More recent categories, such as email marketing or marketingautomation, are focused on process automation — how to take a set of manual tasks and streamline them, track them orautomate them.However, marketing-focused software solutions have never been about strategic data. Unlike financial software, whichserves as the system of record for the general ledger; or manufacturing resource planning software, which “owns” the bill ofmaterials; or sales-force automation, which is the system of record for the pipeline and the funnel, there is no equivalent formarketing. Until recently, it has been difficult or impossible to collect structured data on marketing prospects who were notcustomers — that is, folks who had not yet decided to buy and were still somewhere upstream in the purchase funnel. Absentthis data, the best marketing technology could do was improve the process of decision making as opposed to delivering realinsights.The web changes everythingAs more and more businesses across all sectors of the economy move to the web, this kind of data — and a massive amountof it — is finally available. A web business can mine thousands of signals from its prospects based on the hundreds of actions a consumer mightmake on a website (checking a price, looking at an image, reading a review, typing in a detailed search query, etc.). The holy grail of closed loop marketing is finally here. With sophisticated technology and analytics, marketers can linkspending on customer acquisition directly to a set of downstream customer actions — whether those actions take place onthe web, on a mobile device or in a physical location. Consumers with smartphones are conveying their intent while scanning QR codes, downloading mobile coupons or simplywalking into a store with their location-aware device. Social networks are providing a new source of demographic data that, combined with Facebook’s Open Graph, offermarketers a new treasure trove of information.I am excited about this next wave in enterprise technology. Marketing will finally emerge from the backwater and will giverise to several multi-billion dollar companies.Ajay Agarwal is a managing director at Bain Capital Ventures’ Palo Alto office, where he focuses on early-stage technologyinvesting. Prior to joining Bain, Agarwal ran sales and marketing at Trilogy.Marketers Struggle to Link Digital Data to ‘Big Data’ PictureMARCH 19, 2012Lack of digital insight and internal data-sharing challenge companiesMarketers are abuzz over “Big Data” for its promise to deliver a more complete understanding of each customer, who can thenbe targeted with advertising tailored exactly to the individual.But according to February 2012 research from Columbia Business School’s Center on Global Brand Leadership and the New YorkAmerican Marketing Association (NYAMA), organizational hurdles and barriers to data implementation were some of thebiggest challenges to Big Data integration.More than half (51%) of US marketers said their biggest “Big Data” challenge was the lack of sharing of data among companydepartments. In addition, despite the large quantity of data that marketers may acquire, 42% of respondents said it was stilltoo difficult to tie that data back to individual customers, and 45% said personalizing marketing communications—closelyrelated to linking data to customers—was a major challenge.A good portion (39%) of marketers also reported difficulty collecting customer data fast enough—a mandatory requirementfor brands hoping to achieve immediate message personalization. Similarly, September 2011 findings from web datamonitoring firm Connotate stressed the importance of real-time data collection: 83% of US data-aggregation managers saidtimeliness and freshness of the marketing message were important web data characteristics.Connotate found about a third (31%) of companies aimed to be able to collect customer data on a daily basis, and 12%expected to do so on an hourly basis. About a quarter (24%) said they would be satisfied with weekly data collection.Columbia Business School and NYAMA also found the most popular data types collected by US marketers were demographicinfo (74%), customer transaction data (64%) and customer usage data (60%). Though digital channels are typically more robustsources of data, just 35% of marketers monitored social media content, 33% social network influencers and 19% customermobile data. Difficulties implementing digital tracking or challenges tying digital data back to traditional ad channels couldbe causes of lower data collection activity.Without the ability to integrate Big Data collection and usage processes, companies are certain to fall short in delivering atruly personalized customer experience integrated across ad formats and channels. Such a mandate is of significantimportance as consumers increasingly interact with brands across multiple channels and screens. Those who succeed first inusing Big Data will have an edge over brands and marketers who are unable to tie information to action.Guy Kawasaki On The Wonders Of Google+by Derek Gordon, Monday, March 19, 2012When I was at SXSWi, I got to see Guy Kawasaki interview Google’s Vic Gundotra, who’s responsible for Google+ -- Google’scomprehensive new social layer that integrates all of Google’s disparate services. Kawasaki, who helped bring the Macintoshcomputer to market when he worked at (as it was called then) Apple Computer, said Google+ is as much of a game change asthe first Mac was back in the day.Babelfish Articles Jan-Apr 2012 Page 20
  • Kawasaki has channeled his enthusiasm for the service into his first new book since 1987: "What the Plus! Google+ for the Restof Us." In it, he seeks to convey his enthusiasm for Google+ -- but also all the ways in which both individuals andorganizations can use it to make good things happen.Before I get too far into my review, however, let me give you a little context, which comes straight from the horse’s (that is,Gundotra’s) mouth. I described Google+ as a social layer that is an overlay to all Google’s services, such as Gmail, YouTube andSearch. Google has “some objectives for that layer,” according to Gundotra. “We want to become an engine not just forinformation, but for individuals. Before Google+, our notion of who you are was muddy. We want to remedy that. We want tobuild a common notion of who you are.”The “big brother” aspect of this ambition has been troubling for many people and government regulators. Gundotra believesthe issue folks are having is that their context for “social” is within a traditional “walled garden.”“Google can be much better for you if we know even one bit of information about you -- for instance, if we know you are avegetarian, when you search for a restaurant you’ll get vegetarian options in your neighborhood.”He says 100 million people have come back to Google+ in the last month. And the chances are that these and tens of millionmore of the uninitiated won’t use the social layer to its fullest potential.That‘s where Kawasaki’s new how-to book comes in. It serves as a primer, so if you’re already an advanced user, it may notoffer too much in the way of fresh insight. For my part, I would say the book is a must-read, and delivers valuableinformation.The chapter on optimizing for social search is one example. It’s information every search marketer should know. As Kawasakiwrites: “Social search should bring a smile to the face of every marketer because this is one of the few comprehensible waysto influence search results: post stuff about a topic, and you’ll probably be included when your friends search for a topic.Social search means goodness for all: searchers get more relevant and valuable search results and ‘searchees’ know how toappear in those results.”Another area where Kawasaki provides great illumination is about Hangouts, which is Google’s (free) answer to WebEx andGoToMeeting. Anyone can organize a Hangout for any reason for a little one-on-one face time, or to coordinate a group videoconference.At SXSWi, Kawasaki expressed wonder at why Google would provide what must be a hugely expensive service completelyfree of charge. Gundotra said: “Hangouts are expensive, but are free because we feel we can change the world through face-to-face interaction.” That’s a big deal. And that sort of thinking gets to the heart, I think, of why Kawasaki believes Google+ issuch a transformational service.Kawasaki always asserted that the Macintosh is the better computer, but wondered at its small market share. Hisconclusion? People just didn’t get it. My sense is that he believes Google+ is the superior social network, and the fact thatpeople aren’t flocking to it the way they have to Facebook, Twitter or LinkedIn is because they similarly don’t get it. His bookseeks to remedy that problem.At 100 million returning visitors, Google probably isn’t too worried about irrelevance. The fate of the Mac certainly hasn’tharmed Apple over the long run. Google’s got the time and resources to keep investing in Google+ and win converts. After all,when you look at the billions of ways people interact with a Google-owned service each day, it’s only a matter of time beforeeveryone on the planet touches and is touched in some way by Google+.Meet The Super Consumers And InfluencersBy Nancy Shonka Padberg Monday, March 19, 2012Have you noticed that women are multi-taskers, run the family social calendars, are the majority of caregivers, do thehousehold purchasing, gift buying and most all family communications? Now, women can get information online to streamlinetheir busy lives but also to do research and shopping for autos, travel, clothes, shoes, caregiver solutions, gardening, finance,hobbies and more. Women are super consumers. The brands that engage, connect and provide them with solutions will earntheir business.Brands that provide helpful tips and advice on how to improve their busy lives will be embraced with a loyal consumer. Howwell do you know your super consumer? Here are three quiz questions to get to know her better:1. Women Ages 45 + Make or Influence 80% of all Household Decisions affecting trillions of dollars annually.A. TrueB. FalseTrue. Women ages 45 + make or influence most of the household decisions. Think about your life and the women around you;they influence products for the home, auto selection, education, pharmaceutical, health care, cell phones, technology, caregiving options.2. Women 45 + who are Empty Nesters leave the extra bedroom empty when their children move out.A. TrueB. FalseFalse. The extra bedroom now becomes a home theater, game room, yoga room, reading or mediation room. This meansopportunity for those manufacturers and retailers that can help women transform their rooms and enhance their busy lives.3. Women 35 + Socialize Online Once per Day to Relieve Stress.A. TrueB. FalseTrue. According to Harris Interactive Poll Fall 2011 Women ages 35 + are driving the growth of social media to relieve stressand connect with friends and family.We know that Baby Boomers are buying three out of five new cars; here are additional auto facts for consideration:• Women buy over 50% of the new cars in the U.S.Babelfish Articles Jan-Apr 2012 Page 21
  • • 45% of all light trucks and SUVs are purchased by women• Women request 65% of the service work done at auto dealerships• Women spend over $200 billion on new cars and mechanical services annually We have been working with marketers and ad agencies for several years on new ways to reach Boomers and women online –beyond the banners. Some of the unique online advertising programs we utilize include integrating brands into games, pages,video and content on our 143 site partners.The questions marketers should ask: Is my brand reaching and engaging women online where they spend their time on atrusted site with relevant content? Is this custom program scalable? Will my brand be in a premium position?Whether its gaming, gardening, grand-parenting, socializing, quilting, chatting on auto sites, learning about finance and wealthstrategies, reading about health issues or planning the next big trip – the fact is women are online, spending 15 hours perweek vs. teens’ 13 hours per week and hold 70% of the U.S. wealth. Indeed, women are super consumers influencing not onlythe majority of household purchases but their friends and family, too.Sources:, 2010, PEW Research, Harris Interactive, Census Bureau.Personal Branding and Marketing YourselfPosted by Devin Cole Rita B. Allen Associates February 16, 2012 05:22 PMIdentifying and marketing your personal brand is an essential core competency for managing and sustaining a successfulcareer. Empower yourself by knowing what you have to offer, what you want and how to ask for it.Your ability to market your talents, accomplishments and value inside your organization and within your profession, industryand community are a key part of enhancing your brand. The demands we face today include an unpredictable economy, verycompetitive and specialized marketplace, globalization, changing demographics, and strong leadership skills by all levels.In order to be successful, it is critical to set yourself apart.Think about the following questions:• Do you know your value adds – your unique differentiators?• Can you define your personal brand?• How easily can you articulate that brand?• Do you actively work on enhancing your brand?Are you comfortable talking about yourself in this way? More importantly, are you prepared to talk about yourself in thisway – packaging your talents and accomplishments – showcasing them and presenting your value internally within yourorganization and externally within your chosen field and community?How can you develop this ease, confidence and comfort that is considered very difficult by many people?Many people view it as a task, so it can come across as insincere and ineffective. The first step is to change your mindset andembrace personal branding as a required competency in taking charge of your career and executing a successful careermanagement strategy. A core competency that can become so effortless and second nature that you do not even realize youare doing so.Easier said than done! Let’s walk through some techniques for developing this core competency.The 3 P’s Marketing Technique to create your personal brand and effectively market yourself:1. Preparation – conduct your due diligence; define and identify your brand2. Packaging – create your portfolio; create and build your brand3. Presentation – deliver your message; articulate and enhance your brandPreparation• Know your value/Self assessment – skills, competencies, accomplishments, strengths, limitations, interests, values andaspirations, input from others• Differentiating factors - unique characteristics, traits and/or experiences you have to offer that set you apart• Network – build, maintain and nurture long lasting relationships• Content expertise – establish specific niches, functional and/or technical expertise• Goals – create mission for career, set goals (short and long term), have a plan• Craft and articulate a clear and concise message• Positive attitude - positivity and sense of humor are most important in setting a strong foundationPackaging• Maintain resume, bio, CV and/or portfolio regularly• Keep copies of performance reviews, awards, articles, presentations• Create history of track record - “scrapbook” of talents & accomplishments• Obtain references, quotes, testimonials and other relevant credentials• Serve on committees and boards – professionally and personally• Expand your network and enhance your visibility• Be well read and stay current in your field, continued learning• Create key alliances and partnerships – align with people you admire/respectPresentation• Strong communication, active listening and interpersonal skills• Be concise and assertive - clearly articulate your desires, value add, “brand”• Practice your delivery again and again and again……..and again• Maintain give and take approach – practice professional etiquette• Be pro-active and strategic with your efforts to be visible - think big pictureBabelfish Articles Jan-Apr 2012 Page 22
  • • Be your own advocate & know when to reach out to key contacts for support• Never burn any bridges – always leave positive impressions!• Deliver it with the UTMOST CONFIDENCE -.CONFIDENCE is how it all comes together – your preparation, your packaging andpresentation!!Practicing these “3 P’s” are effective techniques for establishing your personal brand and marketing yourself resulting in amore fulfilling and focused career. Remember, the best person to manage your career is you, and the best person to marketyour talents, accomplishments and value is you!Last, but not least, when practicing the “3 P’s”, do not limit your efforts internally within your organization. Be sure toincorporate external initiatives – reach your efforts outside of your organization with equal importance. The venues youshould take into account include your team, function, organization, business, industry, profession, media, community,academics, professional associations, family, friends, and other social groups.Once you create an effective branding and marketing outlook, you will find it to be a natural process that you do not evenrealize you have engaged. Once you change your mindset and embrace this concept as a powerful way of achieving self-actualization – knowing your value, setting goals that allow you to do what brings you the most passion and achieving ahigher sense of accomplishment, then you have mastered the art of personal branding and marketing yourself!Rita Allen is the President of Rita B. Allen Associates, a provider of career management/talent management consulting andexecutive coaching services located in Waltham, and the President of ACPI – NE (Association of Career ProfessionalsInternational – New England).3 Ways To Get Your Head Around Big DataHaydn ShaughnessyContributorIn future all company leaders will have to be proficient in big data. In fact leaders at every level need to be deeply andcontinuously informed about turbulent markets, the performance of their products (and competitors) and new opportunitiesso that they can build strong, diverse strategic options for their companies.Examples abound of successes from real-time awareness – even in the case of killer products like the iPad, the art ofleadership lies in knowing how to do great product upgrades, annually or even more often, on the back of data about new usecases and user needs. Big data, then, is not only a big computing challenge. It is a personal development requirement. Howready are we?You might argue that sorting data is a functional responsibility. That’s true in one sense. Data is for data experts. But on theother hand hand, only good leaders are going to ask the right questions of data. Data needs leadership insights.To date, I sense, the big data movement has not yet created adequate awareness of this. Data, right now, is one of those all-things-are-possible memes, even though the skills to use big data are in extremely short supply (and it is not even close tomanagement facility). Unless the big data vendors can make big data usable by leaders, who have dozens of othersimultaneous learning requirements, then it will wither as one more fad. In fact big data has to be usable by people like me,people who don’t actually want to create long search queries, don’t want to know Hadoop and couldn’t care less about NoSQL.Data systems like P&Gs, and no doubt at Apple, that allow senior leaders to plot the company’s product refresh, marketingpositioning and critical supply choices from the real time dashboard, I would wager are very usable.I spent an afternoon earlier this week at the offices of Rosslyn Analytics a small London-based supplier of big data analytics,trying to get my head around what big data actually means and how people like me can master it. I’m not a big data writerbut it’s obvious when you read what companies like P&G are doing, that you cannot be interested in the future of theenterprise without also being fascinated by the role of data-driven decision making. When Nick Vitalari and I wrote aboutApple recently in The Elastic Enterprise we were also equally struck by the way that the business ecosystem becomes a vastfunnel of data for Apple. The social business, in fact, is a data funnel.Rosslyn Analytics are one of several companies hoping to provide a platform that integrates all of a company’s datarequirements in one dashboard. In their case the data sources are internal and external, and the holy grail is successfullycombining those. So the data elements are: the corporate ERP systems, with the silos broken down, proprietary external datawarehouses, like those from Experian, and the World Wide Web.Rosslyn’s platform combines these but they also have an apps marketplace for third party providers to build new dataapplications, or use-cases, that customers can then pick and choose from.So that is Rosslyn. What did I learn?Tip #1. The big future for big data, of you listen to the hype, appears to be in behavioural data. But I’m not massively sold onthis idea. Where Rosslyn are making waves is in the re-use (or socialising) of ERP data, along with mashing up ERP andproprietary data from big data vendors (with a dash of the web thrown into the mix).The big data story we hear about most often goes like this: having almost infinite data about customers’ online habits andpractices opens up the possibility of much more accurate inferences about their actual desires.But in an interactive world, the real way to find out about customers’ needs or wishes is to ask them. Build collaborativerelationships with customers that involve sharing data to create shared value. Don’t bother with inference. Get real.In the current big data world most organizations quickly hit the “what now” wall. So I have all this data, what does it actuallytell me? What are the relevant questions…. and most struggle with that because there are just too many possibilities.I guess I’m saying that the behavioural data benefit is oversold, if you believe actually talking with customers is a better bet.The most productive place to start with big data might be the place you start whenever you begin any journey. Where you areright now. And most global companies are at home with their ERP and related data, seeking ways to manage vast operationsacross the globe, as close to real time as they can.Tip #2. An early win for big data lies in the area of supply chain risk. For example a Greek default at any time over the pastfew months could have exacerbated the credit risk of any number of Greek suppliers. Big data allows a well organisedBabelfish Articles Jan-Apr 2012 Page 23
  • company to identify immediate alternatives, coupled to good geolocational data that helps build a picture of how the supplychain can be patched in the short term and adapted in the medium term. That’s just one example and what it illustrates is theemerging real-time nature of management.In a global economy where there are fewer and fewer ways to absorb systemic shocks, companies have to find their ownmechanisms of adaptation. For example in the past trade barriers inherently slowed down the pace of trade. A naturaldisaster or an economic pile up like Greece, had limited impact on protected markets. That form of protection no longer holds.Big data offers companies an important element of preparedness. Not a way round a less protected global market but a wayto respond to a world without buffers.Tip #3. Finally the future here is also about apps. Company’s information needs won’t be well covered by single integrateddata platforms. The catering will be done by smaller companies that build apps for specific requirements. The platforms thatbuild rich app developer ecosystems are going to be the iPhones of data, or the Androids, rather than the Nokias.Will small players like Rosslyn successfully challenge SAP and Oracle? I suspect that will depend on how astute they are atdeveloping the social elements of their business.7 Lessons Social Marketers Need to Learn Right Now3/16/2012 @ 8:50AM |772 viewsGood online marketing practitioners are updating their digital knowledge and training twice a year. That means they areformally updating all of the company’s digital marketing team on how digital marketing is changing, at least once every sixmonths, according to Michael Scissons, CEO of Syncapse, a digital marketing service provider to Fortune 2000 companies. Andif necessary they are restructuring their marketing departments in response to change.Syncapse clients include Coca Cola, Diageo, and Sony (Europe). I grabbed a half hour yesterday to talk with Michael aboutwhat lessons his work holds for digital marketers everywhere. We boiled his observations down to a list of seven.1. Stop staff commenting and tweeting outside of workflowThis one is bound to be controversial but Michael sees it becoming a trend already in 2012 and thinks it will become animperative in 2013. Employee or agency tweeting and online comments are beginning t0 have a tangibly negative impact.2. Privacy and data storage are local issues and need local knowledge and advisoryCompanies like to think there is one privacy and one data storage culture but the reality is, especially in Europe, regulationsand expectations differ across countries. American companies in particular are hitting that challenge now in Germany, wherethere was talk of forcing Google to seek permission from every householder in the country before they included theirproperties in Street View (see a TIME update here).3. Companies need to retrain or even restructure twice a year to keep on topThe pace of change means companies are having to restructure their marketing efforts twice a year in order to remainresponsive. That’s partly because of the external pressures of change but also because companies find they can achieve moreonce they have grown an online audience (for example better customer care alongside online marketing).4. Good practitioners are looking to use their online communities in a variety of waysYes, marketing to them but also using the online channels as a means to do better customer care and also to develop insightsthat can feed into product development. The Facebook community or the Twitter followers, and nowPinterest fans, are astrategic asset and the ways to use that asset will grow over time.5. Social search will soon become the main mechanism for finding productsMichael is bullish about Facebook social search and believes it has much more potential than Google to ally information aboutproducts and places (and hence where to shop). Google’s announcement of improvements to Google’s semantic capabilities,notwithstanding, Facebook will become the main ecommerce search engine.6. Build a social social data strategy, long termBuilding out campaigns from behavioral data is currently in its infancy but undoubtedly the combination of onlineconversations, friends, groups and interests is going to yield more and more data for marketers. Marketers have to have oneeye on building out a social data infrastructure – not just subscribing to a listening platform but having a strategy for howthe social data infrastructure will evolve.7. Once you have the audience building done, social fits neatly into an overall campaign strategyWhy Relationships Matter and ROI Doesn’tPosted March 14, 2012Babelfish Articles Jan-Apr 2012 Page 24
  • We live in a society that puts the dollar above the customer. That is, corners are cut and customer service is subservient togetting “paid.” Don’t get me wrong, I like getting paid as much as the next person but too many times we question the returnbefore we implement any kind of customer service process that influences both repeat business and word-of-mouth.Albert Einstein said it best when he said, “Everything that can be counted doesn’t necessarily count; everything that countscannot necessarily be counted.”I recently wrote a post called, Forget About ROI, Start Think About ROE. In that post I put forth the idea of thinking in terms ofReturn On Experience, in other words, the return you receive on the experience you give your customers. I had somebodytweet me saying that I was naive and misguided if I thought ROI wasn’t important. He missed the point. I’m not saying that ROIisn’t important, because it is. What I am saying is that being able to track an ROI isn’t important on some of the things that weknow we should be doing. That takes me back to what Einstien said, “…everything that counts cannot necessarily be counted.”While there are ways to track a repeat customer and word-of-mouth, it’s not always straight forward. I don’t think anybodywould argue that customer service goes a long way to determining if a particular customer is going to become a loyalcustomer or not. We’ve all been subject to poor customer service and thought to ourselves, “I’m never coming back hereagain!” The opposite is also true.Again, you may not be able to figure out what the cost to income ratio is of good customer service, we know it’s there. So,when it comes to relationships, they matter and ROI doesn’t.Building A Positive Relationship With Your CustomersDepending on what type of business you’re in, the depth of your customer relationships will vary. I’m not putting forth theidea that you should become buddy-buddy with all of your customers to the point that you’re hanging out with them on theweekends. What I’m saying is that you should build the type of professional relationship that showcases you as the authority,the go to restaurant, or the honest mechanic. What does that mean? It means that you should give great customer service,that you should enchant your customers to the point that, at least in their minds, that you are the best thing since theInternet.From there, once they are enchanted, follow-up to cement yourself as the business of choice. Let me give you a hypotheticalscenario using a barber shop.I go in to get my hair cut, walk up to the counter and am told there will be a 45 or so minute wait. The gentleman behind thecounter offers me a coupon saying, “If you’d like to, the coffee shop next door has some of the best coffee in town, here is acoupon for a free cup. I can give you a buzz on your cell when your barber is ready.”I take the coupon, and in 30 minutes I get a call from my barber letting me know that I’m up next. Once I get back to thebarber shop my barber welcomes me by name, and asks me if I want the same “regular” haircut, tapered in the back, as I gotlast time. I mention that I would and then he asks me if the shampoo he recommended had cleared up my dry scalp.I tell him that it had and then he strikes up a pleasant conversation about me. He shows a genuine interest in what I do, evenmentions that he knows somebody that might be in the market for my services and asks for a business card. I give it to him,but instead of sticking it in his pocket he picks up the phone and two minutes later tells me that his friend will be expectingmy call.After he ensures that everything is just how I like it he tells me how much he appreciates my business and how much heenjoys it when I come in. 20 minutes after leaving I get an email from him, with the phone number of his friend along with afew tips on how to combat dry scalp.How would that make you feel? He didn’t spend any money, but he did go above what I’d expect from the person cutting myhair. Even the conversation was about me (everybody’s favorite conversation is about themselves), and not about theweather (what most barbers talks about).What is the ROI on that? Can it even be tracked? Do you even need to track it? I don’t think so, because once again,relationships matter and ROI doesn’t.So, don’t let the fact that it can’t be counted stop you from implementing a customer enchantment methodology into youreveryday business practice. Just know that the return will be huge, even if you can’t prove it. Remember, people talk. Givethem something positive to talk about and they will talk about you, influencing others to become your customer. That’s howyou create a lifelong customer that creates other lifelong customers.How are you enchanting yours?Babelfish Articles Jan-Apr 2012 Page 25
  • Babelfish Articles Jan-Apr 2012 Page 26
  • MTV Starts MySpace-Like Web Business That Gives Artists a Cut of AdsArtists Also Get Majority of Revenue From Sales of Music, Tickets and Goods Published: March 16, 2012Viacomss MTV is creating artist-focused websites where musicians can sell songs, concert tickets and merchandise, as thecable network seeks closer business ties with performers.Starting in May, MTV will allow musicians to claim their sites to upload music, videos and photos, and to sync pages withsocial-media accounts, MTV said yesterday. The pages will go public around the MTVs Video Music Awards in September.The MySpace-like effort, Artists.MTV, is meant to consolidate the disparate online outlets artists use to share music, videosand messages with fans, while also creating a new sales platform.Piracy and declining CD revenue tied to a shift to online retailers have decreased the money artists make from traditionalrecording, while lower concert-ticket sales have reduced revenue from touring."We felt like the world needed a place thats comprehensive and thorough, and that allows artists to connect with fans atscale," Shannon Connolly, VP of digital-music strategy at MTV Music Group, said in an interview. "The goal is to help artists getpaid."The Artists.MTV initiative, which also includes MTV siblings VH1 and CMT, will share with the artists any ad revenue generatedon the pages.Through an agreement with Topspin Media, an online-music merchant, the artists will receive most of the revenue from salesof music, tickets and goods. Artists signed to record companies can direct traffic to other stores. All the money from a tip jaron the pages will go to the musicians.Googles YouTube and share ad revenue from music videos, while Spotify Ltd. and other streaming services arestarting to pay royalties.MTV averages about 60 million monthly visitors, Ms. Connolly said. The new pages will contain videos from MTV, including liveperformances and other appearances by the artists, as well as clips aggregated from sources the network licenses.Unsigned acts and the biggest stars can create pages, Ms. Connolly said. The network, which hosts about 10,000 artist-specificsites, expects to have more than 1 million pages when the service becomes available."Music fans should be able to search for any artist and never strike out," Ms. Connolly said. The pages will also allow artists topost once and publish everywhere, she said, adding that the product is designed to centralize posts, whether on Facebook,Twitter or other online sharing services. MTV wont force artists to use its chosen retailers, Ms. Connolly said. Artists can usetheir MTV pages to direct visitors to tracks for sale at Apples iTunes, to tour promotions from Live Nation Entertainment or toad-supported music videos at"The goal here is to give artists the opportunity to monetize what they do," Ms. Connolly said. "Artists can get heard, getpromoted and get paid."After May, judging on the basis of audience and industry recommendations, MTV, VH1 and CMT will select an artist each monthto feature on-air in videos, music for TV shows and promos, Van Toffler, president of Viacomss Music Group, said yesterday atthe South by Southwest festival in Austin, Texas.MTV has signed up high-profile artists to launch the service, said Ms. Connolly, adding that MTV would provide specifics whenthe service goes online.Google To Buy Mobile App Milkby Gavin OMalley, Friday, March 16, 2012 12:10 PMWord is that Google is buying up most of mobile app incubator Milk, including its young founder Kevin Rose -- a curious deal,according to Web watchers, considering that Milk has yet to produce anything of substance.One possibility is that Google is betting on Rose, best know for founding Digg, to add a little luster to its products. “Rose hasan avid online following, stemming from his days as a host on TechTV and the long-running podcast‘Diggnation,’ AllThingsD writes. “That kind of ongoing fan engagement could be a boon to Google+, which has been criticized forlow engagement and tricky user accounting.”Seconds The Register: “We at Vulture Central think its a desperate effort from Google to appear down-wid-the-kids bycoming up, er, roses. To push that metaphor a little further [cough] – the ex-Digg man could even end up being a thorn inGoogles side.”“Roses pedigree and brand name apparently made him an attractive target for Google, which had already invested money inMilk through its Google Ventures investment arm,” writes the price of the deal at around $15 million, TechCrunch passes along the believable rumor that Rose and the Milk crewwill be heavily involved in Google’s social efforts. But can Rose really fix Google’s social strategy? “Since Digg, critics say,[Rose] hasnt accomplished anything of note and has thrived solely by leveraging his personal brand and connections,”eConsultancy writes.Calling the move “strange and depressing,” suggests that the “return for such a short-term investment in acompany and team that accomplished pretty close to zero seems disproportionate.”Milk’s debut app, Oink -- a hyper-local recommendations app -- achieved about 150,000 downloads in its first month, but wasjust unceremoniously shut down. Considering Milk’s lack of successes, SiliconBeat adds: “What is Google actually getting forits money that it couldn’t get from a stack of applications flooding its databases?”Read more: Articles Jan-Apr 2012 Page 27
  • Behavior Modification: The Mobile Editionby Steve Smith, Friday, March 16, 2012I don’t know who exactly came up with the term “behavioral targeting,” but if we ever do identify the scoundrel, Irecommend at least public vilification. Better still, at the next OMMA Data event let’s pull the wag out behind the hotel andadminister a wedgie.No one in the media industries asks recovering academics like myself for advice on these things. But even I could have toldall of you a decade ago that in American culture attaching the term “behavioral” to anything (ANYTHING, I say) is not going toturn out well.I know whereof I speak. The “father of behaviorism,” John B. Watson, was one of the subjects of my own doctoral dissertation.Watson famously denied the existence of consciousness altogether and insisted humanity was the sum total of their habits.In an infamous “Little Albert experiment,” Watson conditioned an 11-month-old boy to fear a white rat that he intuitivelyconsidered fun and fuzzy. American were horrified. Because he was the original idiot science nerd, Watson followed up with achild rearing book that advised Draconian toilet training and insane rigor. An extramarital affair led to his dismissal fromJohns Hopkins in 1920, which in turn led to his move into (wait for it) the advertising industry. I can’t make this stuff up.B.F. Skinner met with similar controversy when his theories of human action seemed to many wholly dismissive of thinking,emotion or perception as elements in our behavior.Rightly or wrongly, Americans have a reflex reaction to behavioral theory because it always seems to start by diminishingone of the hallmarks of our cultural identity: free will. You just aren’t going to get very far here tossing that term around. Foronline advertising, that realization came a bit late in the game, after the Federal Trade Commission pretty much stampedmuch of the field "OBA" (for online behavioral advertising). Now all the industry can do is peddle back with euphemisms like“Interest-based advertising.” Yeah, like thats going to work.This is all preamble to my noting the return of the term “behavior” to marketing discussions of mobile media. As anysmartphone or tablet user knows, the introduction of these gadgets into our lives in recent years has introduced new mediaconsumption patterns. Many of us (myself included) now spend much of the TV prime-time hours with one eye on the iPadand the other on the TV. Arguments over sports trivia or who starred in which film during lunches and coffee breaks havebeen forever transformed by the ubiquitous accessibility of mobile search. Waiting -- on lines, in offices, for meals, just aboutanywhere -- is an opportunity to consult messages and news on a cell phone.New behaviors and rituals are emerging, and so marketers are trying to capture and insert themselves into these newattention paths -- and shape them as well. The check-in was among the first attempts to modify our behaviors in the mobilerealm, to get us into a new mobilized habit of signaling to our social network where we were and what we were doing. I haveto admit I always found this check-in trope annoying precisely because it felt like a false behavior being foisted upon us,more for the interests of startups than for us. Goby CEO Mark Watkins wrote a widely shared piece in ReadWriteWeb thisweek called, ominously, “2011: the Year The Check-In Died.” Basically he argues that most check-in schemes are waningbecause the activity did not render much value for the user.The counterargument from check-in diehards is that eventually we will see value attached to checking in at places. Well,maybe. I would argue that the core problem here is that checking in feels like a “behavior,” not an “activity.” There is a worldof difference between handing a cashier a loyalty or rewards card at checkout (essentially a check-in), and having to jumpthrough a hoop of pulling a phone out, launching an app and actively broadcasting where I am. In the first case, I already havemy wallet out to make a payment, and the benefit of using the card is immediate and demonstrable. In the latter case, I amhaving to activate a new action for an amorphous benefit.Obviously the answer to all of this is passive checking in, where the technology via RFID or other geolocation maneuversdetect presence and checks in for you. But that scenario at best requires proactive management of where and why you doand don’t want to be checked in. And the model gets creepy awfully fast.My point is that we are embarking on a new stage of digital evolution, where behavior is of tantamount concern to allmembers of the mobile marketing value chain. I am already seeing startups insist that their apps are sparking “newbehaviors” among user. Second-screen tablet and smartphone apps are early culprits in this. Apps that are designed to run intandem with TV programs are claiming they are “driving new behaviors” that will benefit brands.I reported earlier this week on new research claiming that location-based mobile promotions can modify shopping activityaccording to how much of a discount is offered how close to the point of sale. The shopkick app, which offers rewards pointsfor engaging with brand content, scanning items and checking in at stores, claimed it had helped cause a second Black Fridayof store traffic recently by pushing extra rewards opportunities to people.An early location-based marketer told me a story years ago about how a simple text message sent to just a fraction ofmallgoers during one experiment influenced user behaviors in ways you could see. He was standing in the mall and signaledto his home office to drop the planned text message, which offered opted-in users a free Apple Store gift card to the first 10customers who came to a specific store in the mall. He told me he literally saw waves of people look at their phones as theyall got the message at the same time and race through the mall to nab this flash sale. “The security staff at the mall insistedthat we never do that again,” he told me. It risked real mayhem.All promotions are in some measure about incentivizing desired behaviors, to be sure. But mobile media personalizeseverything and so raises the stakes and the sensitivities around everything we do. Take care what you do here -- and theterminology you use to describe it.Steve Smith is the editor of Mobile Marketing Daily at Mediapost where he covers all aspects of the mobile landscape andwrites the daily MoBlog and regular Mobile Insider columns. He also programs the OMMA Mobile/Display/Data and Behavioralseries of shows and the Mobile Insider Summits. A recovering academic who taught media studies at Brown and University ofVirginia, he spent the last decade as a digital media critic for numerous publications and as consultant. He also writes forMedia Industry Newsletter and eContent magazine.Babelfish Articles Jan-Apr 2012 Page 28
  • “Kill Your Television:” A Video Advertising White Paper From Specific MediaBrian LaRue Mar 14, 2012ADOTAS – With online video viewing exploding internationally and across multiple demographics, advertisers and brands arelooking for ways to reach this growing, eager audience. But the lingering question is: What actually works? How do you speakto the user experience — and how is the online user experience different from or similar to watching TV? How will peoplerespond to ads in this format, where they’re often looking for a specific video that they want to watch immediately — willthey respond favorably? What about whether they’re watching what could be considered “branded content?”Actually, those are a whole bunch of lingering questions. Hoping to answer them and more, Specific Media recently launchedthe metric VITAMIN (Video Testing and Measurement Insights), which aimed to look at the way viewers responded, in anemotional or psychological sense, to being shown video ads. After testing the insights in the U.K. during the fall of 2011, thecompany assembled a white paper called Kill Your Television. Specific Media has shared the paper with ADOTAS — you canread the text below.Introduction – A snapshot of video advertising in the UKWithout doubt video has been the growth story within digital over the past 18 months, and it shows no sign of slowing down.Cisco forecast that inside two years video traffic will account for 90% of all internet traffic in the UK and in the US, Netflix²alone accounts for some 33% of peak downstream traffic. Across the EU-7 some 226 million people watch an average of 20hours of online video each.The explosion of high speed broadband, affordability and evolution of devices and increasingly fragmented media landscape,allied with an increasingly time poor consumer, are among the factors that have colluded to generate such growth in videoand alter the way the public consume content.More anecdotal evidence of this shift in consumer consumption can be seen in retailers such as John Lewis, where headphonesales are up 80% versus last year, with a pair sold every 82 seconds as media consumption (audio and visual) becomes morepersonal. On tablets, people who watch video on these devices do so for 28% longer than those who view on a desktop.Also the small, but significant, fall for the first time in 20 years in the number of US households that own a TV set, down from98.9% to 96.7%.Importantly, the video market is not the preserve of early adopters or young men – maturity can be seen in the fact that menunder 35 make up some 19.6% of video viewers in Britain vs 44.9%⁷ in a less mature market such as Turkey.Not surprisingly, given the increase in viewing amongst a broad spread of consumer segments, advertisers are not missing outeither – video advertising spend in the UK is up 91% in the past 12 months and is forecasted to continue growing.The viewer experienceThe proliferation in high quality audio visual content online has transformed the media landscape, with newcomers such asHulu, Vevo and Daily Motion sitting happily alongside established media names like the BBC, Daily Telegraph and Sky.It has also transformed the viewer experience – just as TV is not radio with pictures, online video is not TV on a smallerscreen. Research conducted by Toluna on behalf of Specific Media amongst a group of over 2,000 consumers across the UK,Germany and France highlights the differences between online video and its older, more established sibling.Online video is a‘lean forward’ medium, and consumers are far more likely to consume it actively compared to the more passive consumptionof television, which is habitual and ‘lean back’. Over two thirds of respondents in the study said that they consume onlinevideo actively compared to two thirds who view television passively. This is largely driven by the more active triggersfor online video – consumers choose content that they want to watch at a time and place convenient to them, on a screen ordevice that suits them. Consumers are embracing the array of utilities unique to digital versions of content – one in fourresearch respondents has commented on content, shared content via social media and forwarded content to others.Video worksAs online video heads towards (if indeed it hasn’t already) becoming a mainstream communication channel for marketers,there is an increasing need to answer the many questions that exist about what works and how, its position in the digital ecosystem and how marketers can best maximise their investment in the channel.• Will new creative or repurposed TV content generate the best impact?• How do people respond to original branded content?• Does the length of content have any bearing on advertising effectiveness?• What is the perception of advertising formats – how well do they fit with the content?Introducing VITAMINTo help marketers and the industry at large answer some of these questions, we have built a new insight engine, calledSpecific Media VITAMIN – Video Testing and Measurement Insights. VITAMIN is a bespoke tool that allows us to measure anynumber of content and creative combinations amongst key consumer segments in a range of simulated online environments,measuring both advertising effectiveness metrics and format evaluation metrics.The VITAMIN approachFirst use of VITAMIN took place in November 2011, measuring 12 different content/advertising cells amongst over 2,400respondents. Principally, it tested advertising effectiveness for 30 second advertising spots served within short formenvironments (professional quality content, c3 minutes long), long form environments (c10+ minutes long), user-generatedcontent and original brand programming.Consumers were profiled, with demographic information collected, on and offline viewing habits measured and theirownership and propensity to purchase different products and services collected. They were also asked to select theirfavourite content genres, e.g. entertainment, sport, news etc. and to select a clip they would like to watch.Prior to the clip being shown their anticipation is measured using an Anticipation Index scale, and post-viewing theirenjoyment level measured using an Enjoyment Index scale. Respondents then view the clip within a pre-determinedenvironment and predetermined sequence of advertisement(s). Finally, they are asked a series of questions relating to theBabelfish Articles Jan-Apr 2012 Page 29
  • brands advertised and the advertising formats used. A follow up set of questions are asked two weeks later to measurelatent advertising effect. An unexposed control group is also measured.What has VITAMIN taught us?Video length has no bearing on advertising effectivenessThis example shows the percentage of people who have a favourable opinion of a brand they have seen advertised inVITAMIN, compared to a control group. Advertising prior to both short and long form increased brand favourability (videoworks) but long form content is not more effective than short form (in fact short form performs marginally better in thisinstance). (57% of short-form viewers, 55% of long-form viewers and 48% of the control group said they had a positiveopinion.)Original brand content was the most effective advertising format measuredThis illustration shows the percentage of people recalling, unaided, a brand they have been exposed to advertising from, splitout by the content format the advertising was served around. Again, there is little difference between short and long formcontent, but the benefits of using original brand programming can clearly be seen – with unaided brand recall twice that ofall other formats tested. (25% recalled the brand through original branded content, 14% through short form, 13% through longform, 11% through user generated content.)Enjoyment and Anticipation have a direct impact on advertising effectivenessUsing the VITAMIN tool we can also examine advertising effectiveness data within the context of format evaluation data. Forexample, respondents are asked whether they enjoyed the content they had just watched. When they do, this has a directimpact on brand metrics, in this instance brand favourability. When they haven’t enjoyed the content there is a negativehalo on advertising effectiveness.VITAMIN vs. the clickMore and more advertisers and brands are embracing the opportunity that online video presents; namely to connect andengage with consumers in a one to one environment, combining the data led targeting of online with the audio visual powerof television. So should we measure the success of this exciting new medium in the same way we do with digital display –namely the click?Whilst this is the default option – it is not a particularly insightful one. A highly engaged consumer is hardly likely to clickaway from content they have chosen to watch, just as they are unlikely to change direction if walking past a relevant poster.The click through rate for display has been in steady decline for some time, a reflection not only of the novelty factorwearing off, but that the internet has evolved from a task orientated medium to an entertainment destination where theconsumer is empowered.The early digital philosophy was that the internet allows consumer to act instantly, therefore we should measure that instantaction through clicks. Unfortunately this has become the key measure of success or failure, despite a vast body of evidenceexisting that illustrates the click’s flaws.Only 16% of the population account for all clicks. Further heavy clickers are even more prominent – some 8% of clickersaccount for 85% of all clicks, according to comScore.CTR also runs the risk of damaging value for brands if they optimise their campaigns to perform on CTR. The vast majority ofpeople do not click on ads.Furthermore, users who have clicked in the past are twice as likely to click again in the future and nearly 20% of clicks comefrom ad impressions that were clicked on more than once, suggesting that many of these clicks were not intended.When looking at who actually clicks a picture of an audience is painted that is unlikely to be attractive to most advertisers.Clickers tend to be lower income, older and late adopters of new technology.For example, users with incomes under £25K click 30% more often than users with incomes over £130k, and those with only‘fair’ credit scores click 20% more often than users with ‘excellent’ credit scores. And users who are late adopters of newtechnologies click 50% more often than early adopters¹.Many clicked ads don’t materialise in terms of action or brand lift – there is no discernable correlation between CTR and post-impression action. Furthermore, the highest performing CTR campaigns examined (top 20%) have a 150% higher CTR but an 8%lower postimpression action rate².Similarly, a preliminary study of 100 campaigns shows no correlation between CTR and brand lift and purchase intent asmeasured by post-impression surveys. Therefore, optimisation of campaigns to achieve higher CTR may in fact be reducingbrand ROI.Measuring CTRs against Experian MOSAIC profiles sees a very similar pattern, with those in less desirableMOSAIC categories generating the highest CTR³.Finally, to compound this, brand marketers are not entirely interested in theclick as a measure of success.A Bain survey of brand marketers highlights the measures they want, compared to the measures they get. In summary, theclick is lazy and irrelevant as a measure.Rather than focus on CTR, advertisers should instead concentrate on targeting a relevant audience and communicating withthem in a premium advertising environment. In terms of measuring and evaluating success of advertising, the full suite ofavailable tools should be utilised – for example VITAMIN, brand studies and incremental reach.The measurement ecosystemIn addition to using VITAMIN a range of measurement tools and techniques exist to understand the effect of the medium.Bespoke brand studies examine in detail the effects of a live campaign in real time. We measured a recent campaign forBarclays to assess the impact display, video and TV pre-roll advertising had on advertising awareness amongst the coretarget audience, and compared this to an unexposed control. In this instance, video nearly doubled advertising awareness.Incremental reach studies measure, analyse and model the additional reach (and efficiency of) video running with a TVcampaign. The below example from Nielsen highlights the role video can play. Combining an original TV campaign (c£600,000spend) with an online campaign (£60,000 spend) results in the overall campaign reaching 60.31% of the UK 15+ population orBabelfish Articles Jan-Apr 2012 Page 30
  • 30.01 million people. Therefore, the online campaign results in an incremental reach of 1.95 million UK people (a 6.95% increasein reach) on the original TV campaign.The TV+Online campaign increases the average number of exposures from 2.41 “TV-only” to 2.49. As this is lower than the“TV+TV” campaign average (2.60) but also achieves 150 GRPs, it suggests new people being exposed to the combined campaignat lower, arguably more efficient, frequencies.Analysis of network data also sheds light on the performance of video, and how it combines with display advertising. In arecent campaign for a major clothing retailer running a display campaign, video advertising was used for a two week period.During this period the CPA for digital activity fell 46% – video advertising had a direct impact on digital performance,irrespective of user interaction with the video advertising itself.Concluding thoughts on video1. Consumption of video is growing at a phenomenal rate and changing viewing habits amongst consumers2. Video is its own unique medium, not television on a smaller screen3. It represents a ‘silver bullet’ opportunity for advertisers – the emotional engagement of audio visual, combined with the data-led targeting of online4. Measuring the right thing is critical to understanding and evaluating success, the click is a misleading tool5. Video advertising works, regardless of content length – Short Form is as effective as TV Catch Up6. Original branded content is incredibly effective as an advertising tool7. Thirty seconds is just a random number online – testing and experimenting are key to successWhy Are Marketers Hating on Traditional Marketing?A guest post by Margie Clayman of Clayman Advertising.I had an interesting conversation the other day about branding. During the course of the talk, one participant said somethingalong the lines of: “Well, I think we are pretty much done with traditional marketing concepts. Times are changing.”I fear that this kind of sentiment is pervading the world of social media—and not too slowly. Look at all the new definitions ofa simple marketing concept like ROI (return on investment). Look at how the word “branding” has been so twisted that manypeople now think a brand and a logo are the same thing.We are in some serious trouble here.Marketing Facts You Can Count OnLet’s talk about the argument that “social media has changed everything” in marketing. Now, you’d be silly to say thatmarketing is exactly the same as it was 1,000 years ago, right? You can trace how just print advertising has changed over thelast 150 years. But even though the world has changed in a lot of ways, some things remain stubbornly the same. Trees grow.The Earth revolves around the sun. You can rely on those facts. They don’t get ditched as soon as “the times change.” Theymay get updated a bit. They may have addendums. But they don’t get burnt up in the latest garbage heap.Thus, it is with tried and true marketing and business concepts. Yes, the marketing world and the business world continue tochange.Rapidly, in fact. But there are a few facts upon which we can rely.1. You still need to make sure you are making more money than you are doling out.2. Branding encompasses your reputation, how you relate to your customers, what customers expect of you, and your message across any and all platforms.3. If you do not understand basic business or marketing principles, you run the risk of trampling your business (or your clients’ businesses) into the ground.Those are just a few of the “traditional” concepts that people seem so willing to disregard.Why the Hate?The real question I have been pondering is: Why is there so great a desire to dispense with these foundational aspects ofmarketing and business?The only thing I can come up with is that—maybe—if you did not work in marketing before social media exploded or if you didnot study marketing, traditional concepts may seem intimidating. Folks who seem to be “gurus” on social media may notreally feel that they can come out and say, “Gosh, I don’t really understand this.” And so, alternative realities are created.I can’t really think of any other reason why such elemental concepts are being abandoned recklessly throughout the onlineworld.What do you think lies behind this seeming dislike of basic marketing concepts? Have you run into it in your own onlinereality? I’d love to hear your thoughts!Margie Clayman is director of Client Development at Clayman Advertising.Firefly Video™ Launches: New Video Advertising Platform Combines Impact of TV with the Precise Targeting and Scaleof Online Display AdvertisingNew York, NY – 11 May, 2010 – Firefly Video™, a new online video advertising platform designed to complement traditionaltelevision and online pre-roll advertising, officially launched today. The platform enables publishers and advertisers tocombine the emotion and impact of TV with detailed targeting, rich audience insights, interactivity, brand-safe reach and mostimportantly, the ability to massively scale and reach hundreds of millions of consumers. Initiated while the product was stillin beta, Firefly Video is currently executing on more than 25 video advertising campaigns for Hyundai, Dannon, Proctor &Gamble’s Tampax, Nissan, Asics, Guthy Renker, Häagen Dazs, and a range of additional companies.Babelfish Articles Jan-Apr 2012 Page 31
  • A wholly owned subsidiary of Exponential Interactive, Inc.®, Firefly Video is launching initially on the well-established andfully transparent collection of Tribal Fusion sites, providing video-enabled reach to 220 million web users worldwide (120million US). Firefly Video will also partner with other premium publishers wishing to serve and sell video ads.Unlike pre-roll, which requires a specially integrated video player, Firefly Video’s ad unit runs in a standard display ad unit,giving all publishers the ability to monetize video with no need for special integration or additional technology. If a consumerchooses to engage, the ad unit unfolds to cover the entire web page, ensuring the viewer’s total attention and delivering ahighly interactive experience. The Firefly Video platform also contrasts with the interruptive style of pre-roll and televisionadvertising, in which ads are presented to consumers as a prerequisite before viewing the desired content.“The highly advanced targeting technologies of display advertising have enabled advertisers to deliver their banner ads tothe right consumers, but those banners remain ineffective, as they lack robust and compelling creative content. However, withthe launch Firefly Video, advertisers can now combine the emotionally engaging power of TV with the state-of-the-arttargeting of display advertising” said Donnovan Andrews, president of Firefly Video.“Consumer engagement is all about pulling prospects into your messaging and creating rich, interactive brand experiences. It’srather opposite from traditional push advertising,” said Marc Barach, CMO of Firefly Video. "We offer a two-step method, whichensures that consumers who see the ad are self-selected and therefore of higher value than consumers who are passivelyshown ads.”Today, more than $60 billion dollars is spent annually on TV advertising, and like pre-roll, its main method of targetingconsumers is through content association. Firefly Video goes beyond content targeting, providing multi-dimensional audiencetargeting – including in-market automotive, travel, and retail, dayparting, geographic, demographic, lifestyle, content andretargeting – that provides media buyers with unmatched specificity in web video advertising. For example, with Firefly Videoadvertisers can identify consumers shopping for a particular make of car, or a New York to London flight, or couples gettingmarried or women 25-34 years old.Firefly Video also provides rich audience insights in a more timely and efficient manner than television’s traditional relianceon focus groups and post-campaign research.“Our real-time audience metrics and insights help advertisers learn which customer segments are most drawn to their ads,and even what prospects think about their product or message,” said Andrews. “Advertisers can use this information to adjustcommercial rotation, target definition and generally fine-tune their overall broadcast strategy. The more you know, the moreyou sell.”The creative community has already begun to recognize Firefly Video and its achievements during its beta stage. GuthyRenker nominated its campaign with Firefly Video for a prestigious Electronic Retailing Association award.Further, in a campaign conducted by media communications agency Starcom on behalf of a major consumer products client,Firefly Video generated more than 60,000 prospects in just a few weeks through its unique video ad platform.“The campaign’s results exceeded our expectations and with Firefly Video’s cost-per-engagement model, we were able toreach our most valuable prospects with no media waste,” said Chris Falkiner, Manager Digital Solutions at Starcom.About Firefly VideoLaunched in 2010, Firefly Video is an online video advertising platform that provides brand advertisers the ability toeffectively complement their TV and pre-roll buys, easily, efficiently and with full brand safety. Delivering the ability to reachand target within a worldwide online universe of 220 million people, Firefly Video enables brand advertisers to connect withconsumers who are most interested in their brand and engage with them by combining the impact of video with interactivity.Firefly Video combines the best of TV advertising: emotionally engaging full-motion ads, with the best of display advertising:interactive engagement, fine-grained targeting, user feedback, social sharing and intelligent insights.Without The Right Message, Twitter Is No Better For Your Brand Than A Fax MachineBY EXPERT BLOGGER DAVID BRIER | 03-14-2012 | 1:48 PMThis blog is written by a member of our expert blogging community and expresses that experts views alone.Why brands have this endless fascination with social media is one of the more fascinating phenomena in business today--especially since many are missing the one key ingredient that, if ignored, will turn their most choreographed efforts intosocial media hell.When it comes to branding and the ever-changing social media phenomenon, you’re not a mushroom. In other words, youshouldn’t be kept in the dark and fed a pile of...well, you get the idea.Every once in while, a certain business mania surfaces. As you saw in the video above, history is filled with these blips: Thetelephone. Radio. TV. The fax machine. The Internet. And now social media. Within social media, it splinters further--it seemslike there’s always a shiny new network. Before Pinterest, there was Google Plus. Before Google Plus, well, you know the drill.And on and on.Yet all of these breakthroughs have one thing in common: They’re all channels of communication. And only channels ofcommunication.Channels won’t make your message or content better. They won’t save your brand if you have nothing to honestly say. Theywon’t be the silver bullet that restores brand value. They won’t “connect you with your audience” if you’ve got nothing toconnect with. It’s like a blind date: Yes, it helps if you arrive and sit at the dinner table, but without something worthwhile tocommunicate, youll both be anxious to get the bill and exit through the nearest door at the first opportunity.You’re Only a Stepping StoneSo while all of these “shiny new toy” channels and options seem wonderful and sexy, the vital missing factor that’s vital toremember is that a true, valuable, passionate message is more important than the media channel it is transmitted across.Once you’ve got that nailed, then choose your channels to share it, as long as you focus is on who you’re helping and whatthey’re getting out of it.Babelfish Articles Jan-Apr 2012 Page 32
  • In other words, if you have nothing more than empty, stupid, self-serving drivel to share that’s transparently doing nothingmore than serving your needs, social media only opens the door to telling more of the world faster than ever before howshallow you and your brand really are. A real thrill.When comparing notes with cartoonist Tom Fishburne on this trend, Tom captured this point with great precision here:The Great DisconnectSome brands, based on their actions and deliverables, stand for certain qualities. I wouldn’t go to Ferragamo for discountshoes. That would inconsistent with their brand. I wouldn’t go to a certain chocolatier for friendly, local items if all they madewere fine European truffles served with an air of snooty servitude. Nor would I go to certain big box electronics stores insearch of the same aesthetic customer-centric service I would receive at an Apple store.Yet businesses compromise their brands with inconsistent signals and messages just to acquire the almighty “follower,”choosing shotgun approaches that try to be everything to everyone. Only to end up standing for nothing to nobody (badEnglish, but more to the point). The important factor is not the “follower” or the “fan” or the “like.” It’s having an experienceworth sharing that is consistent with your brand in the first place.Youre Not More Important Than Your AudienceYour brand is a means to an end. Otherwise, your brand is expendable. Fail to be that bridge and you fail to be relevant.What this means in social media is sharing what is valuable to your audience, not what is merely valuable to you (unless thatvalue that you champion is shared by your audience, something we see displayed very well with master chefs and their loyalBabelfish Articles Jan-Apr 2012 Page 33
  • patrons of their restaurants. In the tech side, this was one of Steve Jobs’ brilliant abilities. He never became a geek at theexpense of the customer’s views.). Adding another social media channel to your network will not make an anti-social brandmore social. It will simply increase your efficiency in alienating more people with greater speed.The Lesson Social Media Gurus Forgot to MentionYour brand is a means to an end. Your brand exists to fulfill a purpose that others value.The moment you fail to connect those points is the moment you should stop any social media correspondence until you sortout WHY you’re doing what youre doing, who it is helping, and why anyone should care.A well-rounded brand has sorted out all of that before they engaged in mass communication of any sort--and not just viasocial media channels.-------------------Thanks to Tom Fishburne, founder and CEO of Marketoonist, a content marketing agency that develops cartoon campaigns forbusinesses such as Unilever, O2, Kronos, and the Wall Street Journal. He was previously a VP at Method, the innovative homecare brand, and led brands at Nestle and General Mills. He learned how to draw cartoons at Harvard Business School. Sign upfor his weekly marketoons at is the fifth in a series of posts on HELL and escaping its grasp. Stay tuned for upcoming installments including, How toEscape Innovation Hell, How to Escape Social Media Hell, and How to Escape Logo Hell.David Brier is a brand identity specialist, package designer and branding expert. His firms workcan be regularly found in blogs,publications and award annuals. David is also the author ofDefying Gravity and Rising Above the Noise. Davids series of videosshed new light on real branding in these short TV interviews. Subscribe to his YouTube channel which routinely providesinspired and thought-provoking videos such as: What do consumers have to say about false advertising? and The Harry Pottervideo on branding. Request your own free copy of Davids eBook, "The Lucky Brand" here.Connected Brazilians, Mexicans Prefer Internet to TV; Online Penetration ClimbsSocial-Game Market Also Poised for Latin American Boom as Smartphones Become AffordableBy: Cotton Delo Published: March 14, 2012Latin American internet users are already known to be voracious consumers of social media and online video, and their ranksonline are sharply rising. A new Forrester report says that online adoption in Brazil and Mexico will reach 57% and 48%,respectively by 2016, up from 47% and 38% currently.Both governments have put their weight behind spurring internet adoption, and the projected upticks indicate that its payingoff.Mexico announced in January that it would auction licenses for use of state-owned fiber-optic lines to hasten high-speedinternet adoption, while Brazil has had a national broadband plan in effect for years, partnering with telecom companies withthe goal of bringing access to remote areas of the country.The report surveyed 4,020 online adults in 22 major Brazilian and Mexican cities last November to gain insight into theirmedia-consumption habits. It found that their self-reported time on the internet exceeded time spent watching TV by a factorof nearly four. (Brazilian respondents reported spending 23.8 hours on the web every week compared to 6.2 hours spentwatching TV offline, while Mexican respondents reported 24.7 hours online compared to seven watching TV.)Brazilians and Mexicans surveyed share an appetite for social media, with 89% of the Brazilian group reporting regular visitsto social-networking sites, compared with 88% of Mexicans. The key difference is in the dedication to a single channel: 86%of the Mexican group reported visiting Facebook at least monthly, while Brazilians loyalties are more diffuse.Babelfish Articles Jan-Apr 2012 Page 34
  • Eighty-one percent reported visiting Facebook at least monthly, but 63% still reported going to Google-owned social networkOrkut.In terms of online video consumption, Brazilians and Mexicans were also remarkably similar, with a respective 86% and 83%reporting watching online video on sites such as YouTube. Both groups also showed an inclination toward being contentcreators, too, though there was some disparity: 28% of Mexicans surveyed reported regularly uploading video they create toa public site, compared with 16% of Brazilians.The relative levels of internet and TV consumption reported by the Latin American respondents resemble whats beenmeasured more scientifically in the U.S. and Asia Pacific region, according to Roxana Strohmenger, the Forrester analyst whoauthored the report. And the fact that a growing share of the Latin American population is poised to come online in the nextfew years, presumably consuming online content at similar rates, has serious implications for marketers, particularly thoselooking to be ahead of the curve in mobile.Where Brazilian and Mexican digital consumption most markedly diverges is in mobile, since high import taxes onsmartphones and expensive data plans have historically made them cost-prohibitive in Brazil. (A 2009 report by NokiaSiemens said that the monthly total cost of ownership of a data-enabled mobile phone in Brazil was the highest in the worldat $225. However, the market does seem to be shifting, and a study released last August by Grupo.Mobi in partnership withdigital agency W/McCann said there were 19 million smartphones activated the Brazilian market, and half of those had beenpurchased in the past six months.)"Youre starting to see cloned versions of smartphones from Asia coming into the market to compensate for the exorbitantcost of a BlackBerry or an iPhone," said Ms. Strohmenger of the Brazilian market.According to Forresters research, just 40% of the online Brazilians surveyed are accessing the mobile web, compared with55% of Mexicans. A deeper view of the data reveals a bigger gap: 41% of Mexicans surveyed were accessing the mobile webdaily and spending 4.5 hours there every week, compared with 24% of the Brazilian group, which reported just 2.2 hours onthe mobile web every week.But with mobile adoption in both countries poised to rise, especially in Brazil, the report points to social gaming as a potentialbeneficiary. (The Brazilian market for social games is projected to reach $238 million in 2014, up from an estimated $136million last year.) More brands are taking notice of the potential there, and the report notes that Coca-Cola Brasil recentlypartnered with Quepasa Games to execute product placements inside its popular "Wonderful City-Rio" game.There are 19 million smartphones in Brazil, that’s almost 9% of the total mobile phone market. That statistic is just one ofmany contained in a study recently released by Grupo.Mobi in partnership with the digital agency W/McCann and IPSOS. Wetook a deeper look at the study and summarized the key points below:A fast-changing mobile marketThe study was conducted in February this year among 1000 cell phone owners. The interviews took place online, meaning thatrespondents also Internet users, a bias to keep in mind. Still, the study paints an interesting portrait of the Brazilian mobilelandscape and its evolution.One of its most telling findings is that half of the smartphone owners it surveyed have acquired their phones over the last sixmonths. This data is also confirmed by data released last week by Nielsen, showing a 165% increase in smartphone salesyear-on-year. It means that the Brazilian market is changing fast, and it’s not stopping there. Among feature phone owners,44% plan to change phones during the next semester. Overall, almost a third of respondents already own a smartphone.Have smartphones reached the Brazilian masses?This leads the study’s authors to conclude that “smartphones have reached the masses”. However, it might be overlyoptimistic. The number of 19 million smartphones is only a projection, based on the study sample. Among mobile phones soldin the first half of 2011, only 5.8% were smartphones, according to Nielsen. Still, a smartphone is becoming increasingly less ofBabelfish Articles Jan-Apr 2012 Page 35
  • a luxury item. Among the study sample, 19% of the interviewees who belong to the lower middle class own one. Even thepricey iPhone is gaining ground; 10% of the respondents have one.Outside of the well-known smartphone brands, alternatives and inexpensive imitations (such as the ‘HiPhone’) are also wellrepresented. Despite their much lower pricing, they often boast advanced options such as digital TV. A non-negligible 18.5% ofdevices included in the study have TV access. Many of the so-called feature phones are actually far from basic, with featuressuch as WiFi, GPS and touch screens.Mobile phones, a door to the Internet and social networks“Outlook of Smartphone Usage in Brazil” – as the study’s title says, its purpose isn’t only to find out what kind of phonespeople own, but also to understand how they use them. One of its main chapters is dedicated to Internet access. As anaverage, 41% of the respondents use their phones to access the Internet. The percentage rises to 83% among smartphoneowners. The most active users are iPhone owners; they go online more often, share more content and buy more products frome-commerce merchants. However, 22.5% of feature phone owners also access the Internet.For Brazilians, accessing social media is as important on the mobile phone as it is on the desktop. Of the respondents whoaccess Internet from their phones, a whopping 83% use it to browse social platforms such as Orkut, Facebook, MSN andTwitter. As the study points out, “not having a smartphone doesn’t mean the user won’t access social networks”. Interestingly,the proportion of users who often access Facebook is very close to the proportion of Orkut users, even among the lowermiddle class. This contrasts with Internet usage, where Orkut still dominates, at least for now (see our previous story).A growing need for adapted contentFacebook’s success could also have to do with its understanding of mobile users’ needs. As we reported last month, MarkZuckerberg’s company recently launched an app for Java phones. This move responds to consumer demand. The majority ofrespondents to the study “wish there were more mobile content to access from their phone”. 49% also agree with theaffirmation that “the available content format is not for [them]“.According to the study’s leaders, this means that brands and site owners should follow Facebook’s path as soon as possibleby developing their own apps and optimizing their websites for mobile access. Grupo.Mobi is promoting its own cause here: itsmotto is “Any screen, anywhere”. The group defines itself as a “mobile enabler”. With five offices across Brazil and one inLondon, its core activity is to assist clients with their mobile projects, from strategy to delivery. As for W/McCann, born from arecent merger between the agencies W/ and McCann Erickson, it describes itself as the “largest digital media buyer in Brazil”.Despite their not-so-veiled interest, it would be hard not to share their conclusions. Internet access from mobile phones inBrazil is growing, and will continue to grow as smartphones become more common. From news outlets to e-commerce sites,all content providers need to adapt to this new reality – the earlier the better.Despite the somewhat broken English, the full pre AAAesentation deck is definitely worth a read:Does it correspond to the image you had of the Brazilian mobile market?P&G To Cut TV Budgets? Hard To Believeby David Goetzl, Wednesday, March 14, 2012 5:10 PMThe bet is more than a few TV executives spent Wednesday analyzing every word of a Wall Street Journal piece with thediligence of a lawyer parsing through a court decision hoping to find grounds for appeal. This, after all, was a Q&A with thetop marketer at the company that has long controlled much of the advertising market and the subtext wasn’t exactly “tell uswhy you love TV so much.”Procter & Gamble, which fills sportscasts with all kinds of Gillette ads and might fund a reality series if a brand can be a“character,” has been making noise about cutting its massive marketing budget by perhaps $1 billion over the next five years.And, the implication has been savings aren’t coming by shifting dollars from broadcast to cable, but slicing TV budgetsaltogether -- while looking for cheaper, more accountable alternatives such as YouTube videos or Facebook stunts.“Leaning more heavily on lower-cost digital marketing and easing up somewhat on pricey broadcast ads,” the WSJ suggested.And yet, as P&G head of marketing Marc Pritchard’s quotes unspooled in the paper, there was no evidence the company haslost faith in TV. He didn’t suggest the cost-benefit of a prime-time spot has lost luster; that P&G is frustrated that every yearit pays more to reach smaller audiences; that ad-skipping is so rampant its a crisis; or the upfront market is a relic.The Q&A was edited for space, but if Pritchard had gone in any of those directions or lobbed any knock on TV, rest assuredthat would not have been on the cutting room floor. Quite the reverse, it would have been in the headline.In fact, a reference Pritchard made to TV amplified P&G’s endorsement of it. The company is preparing a huge campaign thissummer in conjunction with the London Olympics. In 2010, it made a long-term commitment to NBCUniversal, er, the Olympicswhen it signed a 10-year deal as a sponsor, where it will fill NBCU’s coffers every two years with ad bucks.Essentially, the WSJ interview was a garden variety “digital marketing is the future, so we believe we need to a leader there”rundown. There were mentions of Google and Twitter and the potential of Shazam, which incidentally has an interactive TVapplication that could bring digital-like metrics to TV.But, what the interview did make clear is that TV executives need to continue to position the medium as Sandy Koufax anddigital platforms as Johnny Bench. Initiative’s Kris Magel deserves credit for the pitcher-catcher metaphor, saying last springthat TV spreads a message and digital is “sitting there like a giant catcher’s mitt.” The “mitt” being Twitter conversation, thechance to get more product information or instantly make an e-commerce buy.Pritchard made clear the baseball analogy is where P&G is. With the Olympics, there will be all types of social and onlinevideo stuff, but its counting on help from TV to drive the interest.Babelfish Articles Jan-Apr 2012 Page 36
  • “We have more than 30 brands doing Olympics activities, 150 athletes, all those brands have Facebook pages, all thoseathletes have Facebook pages,” he told the WSJ. “Then we go out, create an event, talk about it, push it out, through broadcastand digital. Then we have community managers who are amplifying the discussion, engaging on Facebook, on YouTube, thingslike Twitter. Thats the way itll work.”As TV research departments invest in set-top-box data and “single source” products, it might make sense to find ampledollars for social media measurement services, ones allegedly able to link ad viewing to tweeting and Facebooking. Then,they could say: "Hey, Mr. CMO: we’re incredibly fired up, too, about all those new “followers” and “likes” you’re getting. Here’swhy: all those prime-time ads."Pritchard said P&G is involved in an industry initiative that will gauge how much a Twitter or Facebook impression is worth viaan EGRP (electronic gross rating point). Networks not involved might want to rethink that one.In the interview, amid his digital evangelism, Pritchard seeded other doubts that P&G may meaningfully flee TV. At one point,he seemed to note brand managers at the company will continue to make decisions about what drives their brands best. Evenif he likes the digital gambits and appreciates the innovations at Pampers, Secret and Old Spice, “it’s who’s interested, whowants to push it.”Pritchard said Old Spice’s successful “Smell Like a Man, Man” campaign didn’t thrive because of a TV campaign, but got “hugelift on YouTube, then they amplified it in PR, amplified it on Twitter.” Yet, the TV ads were pretty memorable. So, not so sureabout that claim.P&G may never buy a Super Bowl spot again, but it’s hard to believe marketing savings are going to come from major TVcutbacks. It may try, but it’s likely that tide will change quickly and the companys (P)interest in TV will be renewed with someBraun.Read more: To Do With All That Data?by Laurie Sullivan, Wednesday, March 14, 2012Marketers agree customer data drives marketing decisions. Good thing, because advertisers continue to collect mounds of itfrom mobile, search, social media and more. The problem is that marketers often fail to use this data properly.In a recent study of 253 corporate marketing decision-makers by Research Now on behalf of Columbia Business School andthe New York American Marketing Association, 36% said they have "lots of customer data," but just "don’t know what to dowith it." Thirty nine percent of marketers admit they cannot turn their data into actionable insight, which presents a majorproblem. In many companies, the effective use of data for marketing decisions lags behind the desire to do so.It turns out one of the biggest obstacles to turning data into actionable insight is that companies dont share data acrossdepartments and partners effectively, a topic we will tackle on anOMMA Global panel next week. In the past the departmentslike sales, marketing, customer service, public relations, and supply chain typically used their own datasets, keeping theinformation in silos.The promise of big data analytics is based on the ability to link together the silos to better understand interactions betweenfirm, customer, and business partners. Enterprise companies have been doing this for years. Now its time for online marketingto join in.The study also found nearly all corporate marketers participating in the survey -- 91% --believe successful brands usecustomer data to drive marketing decisions. This sentiment remains consistent, with no industry measured below 83%. Amongrespondents who are at the CMO level of their organizations, agreement rose to 100%.Some 74% of survey respondents admit their companies collect demographic data, 64% customer transaction data, 60%customer use transactional data, 35% social media content created by customers and targets digital data, and 19% collectcustomer mobile phone and device digital data. 29% said that their marketing departments have "too little or no" customerdata.Relevance + Recency + Frequency = ResonanceBy Cory Treffiletti Wednesday, March 14, 2012Marketing is all about psychology. It’s about culture. It’s about audience. These are simple facts, but the other fact is thattechnology is substantially changing the psychology and culture of the audience.The Internet has had an enormous impact on the audience we speak to as marketers, which has made them more difficult toaffect. However, when there is an impact, it’s easier to see its results. That has resulted in a culture with a higher barrier ofentry -- but once you get over the barrier, consumers more malleable than ever.My hypothesis is based on the fact that the pathways for education have changed. If you go back 20 years, when you askedsomeone a question, they either knew the answer, or they didn’t. If they knew it, it was because they’d read it or learnedabout the topic previously. If they didn’t know the answer, they make a decision to go learn about it or to have someoneteach them about it.Fast-forward to today. If you ask someone a question and they don’t already know the answer, then they whip out theirphone and Google a response in 60 seconds or less. The path to drive learning is shorter, and it requires less anticipatoryknowledge about a topic when people understand that every answer is less than three clicks, or 60 seconds, away.This immediate gratification is coupled with the fact that the average person spends approximately 12 hours per dayconsuming information, which consists of more than 100,000 words and 34 GB of data (according to Time magazine). There arearound 3,000 marketing messages thrown at a consumer every day. The level of clutter is high, and this is coupled with theself-selecting data that a consumer is searching for throughout the course of an average day. That means for a marketingBabelfish Articles Jan-Apr 2012 Page 37
  • message to resonate with consumers and for them to take action, it has to score high on the relevance and immediacyquotient. It also has to be frequent, which brings us back to the age-old model of reach and frequency. It’s simplemathematics that relevance + recency + frequency = resonance for a marketing message.We’ve created a culture of virality, in which a message that is resonant can be shared among consumer-to-consumer groups.This virality drives additional reach and resonance, because it feeds the other elements of frequency and recency. Thatcreates a circular situation, driving interest and consumer engagement. The psychology of the audience is such that if youcan get over the barrier of entry and gain access to the mind of the mob, then the mob takes over and shares the messagequickly.What this means is that marketers should be spending their time strategizing about how to achieve relevance throughcreative, and recency and frequency through media. The purpose of that forethought is to make the best use of anaudiences’s eyeballs when you have them, and increase the likelihood of consumer engagement. If you don’t think of theseelements in combination, and if you don’t enable the sharing of the message for the supposed eventual activation ofaudience, then you aren’t setting yourself up for success.Are you using this formula for success? Let us know on the Spin Board!Cory is president and managing partner for Catalyst SF. Contact him here.How to Make Branded Entertainment Succeedby Ashkan Karbasfrooshan, Monday, March 12, 2012 11:45 AMIn the past I’ve highlighted some of the challenges facing branded content. I’ve also asked if branded content is salvation forproducers, who are struggling to maintain relevance at a time when distribution companies are winning the battle for addollars.Ultimately, the challenge boils down to a) producing content that viewers care about; and b) ensuring that distributors willcare enough to feature it. Generally speaking, considering that marketers have sales or branding objectives, brandedentertainment tends to morph into a disappointment at best and a failure at worst.Ok, Enough Excuses, FolksIt’s now 2012, online video isn’t really in its infancy anymore, and we’re running out of excuses on why branded content isn’tthe next big thing. While the pre-roll remains a dominant ad format, it’s clear it remains as user-unfriendly as ever.With mobile, tablets and out-of-home increasing in importance -- and the 30-second ad not exactly dead just yet --marketers and producers are all aligned to make branded content work.I’ll skip some of the obvious (“it can’t feel like a commercial,” etc.) and offer five ways to help branded entertainment succeed:1) Stand-alone new branded entertainment is bound to fail. By now we’ve all heard how users upload 60 hours of newcontent on YouTube each minute! There’s way too much clutter. As such, creating a brand-spanking-new brandedentertainment series faces a massive uphill battle for cutting through the noise.Suggestion: Identify something that the producer is having success with, and build on that for the client.2) Big-name talent is an accelerator, not a means to an end. A very large, well-known media company admitted at aconference session that its tests showed users preferred generic voiceovers to celebrities in videos. But marketers stillprefer using celebrities for their PR value -- because those kinds of campaigns are more likely to generate press mention (orso marketers think).While that may in fact be true, the problem is that big-name Hollywood talent still views the Web as second fiddle totelevision and movies. I think celebrities should augment a program that has legs by itself and can carry on without thecelebrities.Suggestion: Adopt a “donut” approach with celebrities and essentially wrap a layer of stardom around something that isalready working and has traction. It’s much smarter to connect a celebrity who is either genuinely interested in the content orfits with the marketer’s target market than to randomly hire a celebrity for star appeal alone.3) A one-off with ZERO potential of becoming a franchise is a waste of time. My company has produced over 7,000 videosin the past six years, so trust me when I say that it’s hard to come up with a winning formula off the bat.However, once you do, success begets success. Too many branded content efforts are clearly one-time projects that eitherdon’t have the editorial chops to become a recurring theme or require too much to maintain momentum over years.Suggestion: Ask yourself if viewers would watch the content if it weren’t part of a media plan.4) If you need to spend gazillions for people to watch it, you’ve already lost. I know ad agencies like to bill clients forstrategy, creative, and media buying.I also realize that early on, clients would create a video and expect it to go “big-bang viral” without committing to anadvertising budget to support it.But today, we need to strike a balance between a) not spending anything, and b) spending way too much to promote abranded content series.I don’t work in ad an agency, so I cannot blindly throw out a ratio among total online budget, amount spent on production andhow much should be spent on promoting the branded content series -- but those three spend levels need to make sense.5) Scripted entertainment vs. Infotainment. Conventional wisdom is that you shouldn’t make branded videos look like anad. Well, I understand that this makes sense in theory, but then ad agencies interpreted this as “let’s make a scriptedentertainment piece” and either 1) go with random product placement or 2) write the product into the script.Hmm… no. Please. Stop. As for the first approach, random product plugs are tacky (GIVE ME CASH); even worse, they’reineffective -- see, you didn’t give me cash.As for the second approach, only marketing people think it’s “cool” to see a product written into a script. Very few people arein marketing compared to the population of average folks who are in your client’s target market.Babelfish Articles Jan-Apr 2012 Page 38
  • Marketing is all about being original -- but if being original means doing a disservice to your client, then maybe the obvioussolution is the smartest one. Read more: Year Of Episodic Web Content?by Jay Miletsky , Wednesday, March 14, 2012 “2012 is the year of Web-based, episodic video content.”That’s been the buzz for who knows how long now. We’ve all heard it, and for the most part, we’ve all pretty much acceptedit as true. But are we even really sure we know what that means?People love to talk in generalities, because it’s safe. But generalities don’t allow us to plan, or to analyze data in ameaningful way. So before would-be script writers start to head out to Starbucks with their laptops, and before VCs startopening up their checkbooks to the next creative genius with a great idea for a show, we should try a come to a moredetailed understanding of what the future potentially holds in terms of content.So let me set the playing field right off the bat. Personally, when I talk about Web-based, episodic video content, I’m talkingabout the Web as we watch it on a desktop or mobile device -- not online video streamed to the living room TV set. Yes,technically when Netflix or Hulu stream content onto our television sets, it’s Web-based content, in that it originates from aserver. But as far as the viewing public is concerned, it’s TV. Where the shows come from only matters as far as show andchannel availability, price and image clarity are concerned -- outside of that, when the typical American family sits on theircouch to watch their favorite shows on the large black console mounted to the living room wall, they’re watching TV. Sowhile it’s all very exciting that Netflix has gotten into original content production, and released the entire season of its newseries “Lillyhammer”all at once, I’m not including this achievement as part of my discussion of online episodic content.But to understand the root of the original prediction, and whether or not it’s viable, the definition of “Web-based episodicvideo content” needs to be broken down even further. A cooking show is episodic, in that it has individual episodes, each witha unique topic. A talk show is episodic, as is a variety show. And these work online. They take very little emotionalinvestment on the part of the viewer, who doesn’t need to get to know characters, or understand storylines. They can beconsumed in shorter segments, and don’t need to be watched in any specific order to be enjoyed.Most importantly, though, they don’t need to be discussed. Shared, maybe, but not discussed. An engaging would-be chefcreates a two-minute video showing you how to make double chocolate cookies. The cookies look good, seem easy to make,and it’s something you think others might be interested in trying, so you click the share button and post the video on yourblog or favorite social network. Easy enough. The investment on both sides is minimal -- the producer can make the videoswith relatively little time and money, and the viewer can enjoy them with relatively little time and energy. It’s a narrow gap,so it works.On the other side of the spectrum, though, is what people most likely really mean when they talk about episodic content: aseries of shows that string together to tell a complete story, the types of shows we’re used to watching in prime time on TV.This is where episodic content won’t work on the Web.The problem is that the viewing experience is so dramatically different. Our living rooms, kitchens and bedrooms act likesmall theaters, with the TV being the screen or stage. There’s room for more than one person to watch without anyone feelingtoo crowded, and the distance between our faces and the screen allow us to relax more, with the intention to sit still forawhile and free our minds. And because TV gives us a schedule of when new episodes will air, we arrange our lives aroundour favorite shows, and look forward to discussing them with friends afterward. That conversation, after the first airing of anew episode, is part of the viewing experience. few people, after all, discuss the cliff hanger between episode 6 and 7 of a TVdrama when the show is in reruns -- what would be the point?Online viewing of episodic content that follows a storyline lacks the ingredients necessary to maintain an audience. Theexperience is uncomfortable -– there are so many people that can comfortably squeeze together around a monitor beforeyou need some breathing room –- so viewing is a more solitary experience. And what the Web gives us in terms ofconvenience -- we can watch anything we want, whenever we want -- it takes away in terms of urgency and the ability totalk with others about what you watched at a certain time.Of course, much of this is conjecture and opinion. So let’s look at some hard numbers taken from the analytics of my networkfrom Jan. 1 through Feb. 29. Looking at the most popular pages among viewers who started on our Home page, the mostpopular category was Food and Drink, followed by Health & Fitness and Women’s Interests. Rounding out the back, behindeven the About Us page and recent new updates, was Web Episodes -- episodic video content. Even worse, the time spent onthat page was among the lowest.Content providers can find a home on the Web, and ongoing series are certainly primed to take center stage versus single,one-off videos. But for Web-based episodic content to really take off, producers need to consider the differences inenvironment, and steer their efforts toward what really works.More Branded Web Video Projects Coming Down the Pikeby Daisy Whitney, Wednesday, March 14, 2012 9:18 AMOnline video advertising company Outrigger Media’s latest project “Bourdain’s Travel Crew ” is generating a lot of buzz as asmart and well-done vehicle for branded video content with sponsor Tumi, but it also may be the start of many such dealsthat Outrigger engineers in the coming months.Babelfish Articles Jan-Apr 2012 Page 39
  • The show has already amassed nearly 60,000 views on YouTube for the first three episodes since its launch last week, andnext month Outrigger plans to roll out a platform to connect brands and producers, as it did with Tumi and the productioncompany Zero Point Zero for “Bourdain’s Travel Crew.”The so-called OpenSlate online video analysis platform will include qualitative data on the audience makeup, consumer habitsand social sharing of thousands of online video producers, said Outrigger’s CEO Mike Henry. He expects to have 8,000 to 10,000video producers included in the platform at launch. OpenSlate is not so much a matchmaking service as it is a media buyingand planning tool that agencies can use when looking for new sponsorship opportunities for their clients.“We are quantifying the quality of a given producer at a high level and then a more granular level like engagement, influence,reach and also consistency,” Henry said. “It’s not so much a measure of the audience, but a measure of the content and how aproducer’s audience responds to it. For example, if the audience of Producer X is three times more likely to share Producer Xsvideo, or like it, or tweet it, or if they do so only when the video is about a certain subject, a brand should be able to knowand value that.”There have been other efforts to create online video buying marketplaces such as HitViews and PlaceVine, which was boughtlast year by video syndication service AlphaBird. Neither one achieved much traction, but Henry contends this sort ofmarketplace insight is what’s needed in online video to lure new marketers. “One of the reasons I was excited about the Tumideal is there are hundreds of things like this,” he said. “If you can get a brand like Tumi to step up with a decent budget, thatcan make a big difference.”He hopes to have agencies on board in the coming months.Outrigger has handled video sales for programmers such as Warner Music, EMI, Next New Networks, MGM and Associated Press.Read more: & The Intrinsic User Experienceby Jordan JulienOver the past few years theres been a lot of discussion around whether an experience can be designed. But it seems likeeveryones just getting hung up on semantics; an experience can be designed, but the user will always have the opportunityto experience it in a unique way. The reason every experience has the potential to be unique to the user is, in part, becausecognition is unique to each user.Cognition is about knowledge and understanding, so theres a ton of psychological principles that fall under the umbrella ofcognition. Ill focus on two principles that, once understood, will elevate a UX practitioner’s designs to a whole new level.Even when experiencing the same stimulus at the same time, many users will have completely unique experiences. Thatdoesn’t mean an experience can’t be architected that utilizes knowledge about cognition to increase goal conversion. Wecreate experiences to elicit a response from users; those users’ responses are either extrinsic (e.g., subscribing to anewsletter) or intrinsic (e.g., developing brand loyalty).Some of the most important decisions UX designers make are those they don’t even think about. It’s generally understoodthat creating an intuitive interface is important, but few people are really good at articulating what makes an interfaceintuitive. This is where the concepts cognitive load and cognitive barriersplay a huge role.When dealing with web and software development, principles associated with cognition can be distilled into six distinctcategories: three related to cognitive barriers, and three related to cognitive load.Cognitive BarriersA cognitive barrier is something that prevents a user from performing the action required to complete his goal. Most cognitivebarriers are temporary in the sense that they can be overcome just through information processing. For example: John beginsto fill out a credit card application online and is met with a series of open form fields asking for his name, address, phonenumber, etc. He’s able to quickly move from field to field using the Tab key on his keyboard. The last question on the formasks him to select his interests and provides him with an array of checkboxes. The momentary pause required to process thathe needs to shift from keyboard input to mouse input is a cognitive barrier, but only requires that he understand what to doBabelfish Articles Jan-Apr 2012 Page 40
  • in order to resolve the barrier. That said, this still represents a potential abandonment point if John isn’t able to figure outwhat to do.Barrier #1: Number of stepsEveryone has known about this barrier since the beginning of the Internet, and long before then. Why take three clicks whenwe can get it done in two?Despite being the most well known barrier, it’s probably also the most misinterpreted because many people don’t understandthat all three major cognitive barriers to have to be balanced. User testing and ongoing multivariate testing are two verygood options for striking the right balance between number, length, and difficulty of steps in a user journey.The takeaway: Understand that it’s equally important to know when to add steps as it is when to remove them. Five easy,short steps often impose a lower cognitive barrier than one long, difficult step.Barrier #2: Length of stepsJust like barrier #1, the length of each step needs to be appropriate for a given experience. We can’t adopt a blanket rule thatshorter steps make better experiences. In some cases, a longer step upfront could provide a substantially better experienceas a whole.There are two major considerations when examining length-of-step barriers: users expectations, and cognitive load. A usermight expect to spend ten minutes applying for a credit card online, but might only expect to spend one minute finding showtimes for a movie. Additionally, users will only interact with systems they understand. Understanding the principles ofdecision-making, cognitive recognition, and cognitive recall will ensure users are not overwhelmed, while providingaffordances for a complete experience.The takeaway: Design pragmatic step lengths based on how motivated the user is to achieve his goal. Users will spend longerwith sites, tools, apps, and products they enjoy than they will with ones they’re simply required to interact with. Users tendto prefer short steps that only ask them to resolve the immediate issue they’re faced with. For example, when a user lands onthe Wikipedia page for the first time, he’s faced with the issue of selecting a language. It’s better to get him to select hislanguage as one step and then get him to enter his search term as a second step rather than requiring him to fill out a seriesof questions that could be used to personalize his experience.Barrier #3: Difficulty of stepsThe difficulty of a given step is subjective, and is a main concern of UX professionals. Generally, it’s better to have easy steps;however, there are a couple of downsides to making things easy. Users tend to develop a greater sense of loyalty towardexperiences that they’ve invested time in. Conversely, users tend to be fickle about experiences they’ve not invested muchtime in.It’s important to understand that users tend to make quick decisions based on previously experienced conventions. Thismeans that when steps of a process are considered important (e.g., selecting a payee, making a purchase, entering a contest)they need to make use of special design patterns that cause users to slow down. This type of slowdown often involvesmaking steps more difficult to process, but result in less user error.The takeaway: Don’t create unnecessarily difficult steps, but don’t immediately discount adding difficulty to limit conversionand increase the quality of the converted. Remember, users will be more likely to complete difficult steps if they understandwhy the step needs to be so difficult.Cognitive LoadCognitive load is the amount of working memory required to achieve the user’s goal. This principle forms the basis for SteveKrug’s book Don’t Make Me Think. The less a user has to think about what he needs to do to achieve his goal, the more likelyhe’ll be to achieve it.Babelfish Articles Jan-Apr 2012 Page 41
  • Attribute #1: Number of choicesChoice/decision architecture is becoming one of the biggest and most important specialties within the UX field. Understandingnatural decision pivot points and how to manipulate the saliency of decision-making elements is key to ensuring users arequickly able to make the right choice.For example, the most effective e-commerce sites focus on getting users to the product they’re looking for as quickly aspossible before hitting them with related products/up-sells. These sites make great use of natural decision pivot points. Oncea user has found what he’s looking for, there will be a natural point at which he’ll be receptive to additional offers. If thereare related products, up-sells, or related promotions, capitalizing on these pivot points is important.The takeaway: Human working memory is limited. Users are more likely to move around a site with a simple structure thanone with a very wide or very deep structure. George A. Miller published a paper in 1956 called The Magical Number Seven, Plusor Minus Two: Some Limits on our Capacity for Processing Information is the quintessential guide to avoiding choice paralysis.It essentially stipulates that the majority of people have the capacity to remember 5–9 things. So if you’re creating ataxonomy, it would be ideal if it were somewhere in that Goldilocks zone. That said, a more recent study suggests thatworking memory limits are likely lower, possibly as low as four things.Attribute #2: Amount of thoughtThe most important part of understanding cognitive load is understanding how much a person needs to think about a decisionprior to making it. Thought processing is somewhat of an abstract concept because is varies substantially from person toperson and doesn’t directly relate to real-world time. This means that it’s possible to create a longer experience that has alower cognitive load, and conversely, to create a shorter experience that has a higher cognitive load.Each experience has to be evaluated individually to determine whether people would:1. understand that they need to take the time to make the desired decision, and2. are willing to spend the time required to make the decision.These are two distinct considerations. Many people are used to making hasty decisions online because they rely on their ownexperience to interpret design patterns. If they are asked to take the time to make the optimal decision, even if it onlyrequires one second longer than it would to make a satisfactory decision, users will need special design patterns to recognizethey’re being asked to do this.Take the current incarnation of, for example. The primary navigation has little downward-facing arrows next to eachelement. Here’s a great example of a design pattern intended to slow users down and make an optimal decision. These arrowsindicate that users should not simply select a section, but should expect to see a mega-dropdown with sub-categories.Babelfish Articles Jan-Apr 2012 Page 42
  • Although this is a valuable design pattern, Fox has failed to use the appropriate interaction design pattern. They’ve decided toexpand the mega-nav on click, which is fine, but rather than closing the mega-nav if the user clicks again (i.e., making eachnavigation element a toggle), Fox takes the user to that category landing page if the user clicks again.The takeaway: Users rely on their own experience interacting with digital, and non-digital, products. Therefore, users willmake decisions they understand first, and will only stop to consider their decision if they don’t understand what to do. If youuse standard conventions, you’ll ensure users don’t have to think too hard to use your site, app, or product.Don’t ask users to select between too many options. Again, the 7±2 rule is a great guideline to adhere to. Don’t have morethan 5–9 calls-to-action, categories, or menu items displayed at any given time. This can be achieved by hiding additionaloptions off-screen, or though a well-thought-out taxonomy. Hiding elements should be done using standard conventions, e.g.,standard vertical scrolling, “Advanced” buttons, split buttons, collapsible areas, ”Show more” buttons, etc. Avoid hiding listitems that need to be evaluated together.Attribute #3: Confusion and choiceHow would you log into an investment account with your online bank if your bank has two options: “Online Banking” and“Credit Cards”? Most people would use process of elimination to select “Online Banking,” but some users may abandon theirgoal if the don’t understand the choice. It’s kind of like asking people if they want a fork or a knife to eat their soup.Many UX professionals get caught in this pitfall by not allowing users to evaluate a complete set of options at a glance.Remember the 7±2 rule? Well, this is where it starts to get slippery. If you’re unable to reduce the breadth of a site to 5–9top-level categories, it’s better to display all of them than to display a subset of them. For example: John is looking for a setof work gloves and visits the Canadian Tire website. There are eight top-level categories that appear in the primarynavigation. John begins to look for which category he thinks might contain work gloves. He doesn’t see a category that makessense but knows that Canadian Tire sells them. The issue is that the only displays a subset of the totalnumber of departments within its primary nav. Along the left rail, there’s local navigation that includes all of thedepartments, one of which is apparel. Apparel does not appear in the primary nav. It’s okay to show a subset or summary ofoptions upfront if it’s clear that it’s only a subset, and if there’s an option to show all options.There should never, or rarely ever, be a need to hide a selection of navigational options. It’s fine to hide the navigation aslong as there’s a clear way to access it again; but it’s important to show all of the options when the navigation control isdisplayed.The takeaway: Users often mistake a selection of options for the complete set of options. It’s easier for a user to understandwhich option to select when he can see the alternatives. If only five options of a 20-option set are visible at a time, it will bemore difficult for the user to decide which option to select.ConclusionUX has a lot to do with how users find and consume content. Understanding the cognitive processes and nuances people gothrough when finding and consuming content is important to architecting an ideal experience or, at least, to architecting a setof conventions that support a user having an ideal experience.Jordan Julien is an independent consultant working in the Toronto area, specializing in experience strategy. Hes worked withbrands like Coke, Nike, BMW, Dove, Canadian Tire, Kraft, Telus, P&G and Diageo. Hes worked with agencies like Critical Mass,Razorfish, W+K, TAXI, Trapeze, Ogilvy One and Capital C. You can follow Jordan on Twitter, or though his blog.Babelfish Articles Jan-Apr 2012 Page 43
  • The challenges of social media and Big Data Marketing and IT must unite, says expertPosted on 13/03/2012 at 17:12 by Ana Lucia Moura FaithTrends such as the popularity of social computing and the explosion of digital content available in the world bring to light athorny issue even in many companies: the role of IT and Marketing strategies for the use of platforms and relationshipinformation for the benefit of business."The social tools, from networks to CRM, BI and through Big Data, are a common challenge these two departments, but they donot know how to work together," says Chief Data Officer of Boa Vista Services, Mario Faria. The executive was one of thepanelists The challenge of integrating social networks and IT "held today, 13 days, the Web Expo Forum in Sao Paulo (SP).According to Faria, marketing managers around the world, including Brazil, have chosen the data explosion (Big Data) andsocial media as the greatest challenges in the area today. "But they can not carry out projects involving Big Data or SocialCRM without the support of IT in the same way that IT needs to know the social media environment," says the CDO.Big Data incorporates multiple data sets - online, offline, customers, competition, etc. - and allows more holistic approach tobusiness intelligence. In the marketing area, allows, among other things, obtaining insights into consumer preferences andinterests.A survey conducted this year by the company collecting and monitoring data from the web, Connotate, with managers of dataaggregation in the United States, found that the concept of Big Data remains confusing for businesses. The research alsoreveals that the increased use of Big Data has been to monitor the competition and own brand (60% and 52%respectively). Many businesses have also avail themselves of the concept in marketing strategies related to pricing andproduct information (40%).For Faria, Big Data is a synonym for "human behavior" and should be analyzed in order to make business sense. To give an ideaof the size of the mess for companies, he says that the mountain of information generated worldwide in 2011, is recorded onDVD, would generate a stack equivalent to the path and back to the moon. The executive notes that the explosion of data hasmultiplied the number of global corporations whose data warehouse (DW) have reached the home of Petabytes. Topping thelist, he said, eBay is the portal, with eight petabytes, followed by Walmart (2.5 Petabytes) and Bank of America (1.5Petabytes).Overwhelmed By Mobile Video Advertising? Keep it Simple!by Matt Young , Tuesday, March 13, 2012Mobile is without a doubt the coolest kid at the party right now. Why mobile? For one, the growth of smartphones is massive.Forrester predicts that one billionpeople will own smartphones in 2016. Engagement is another huge factor. A recent study byNielsen found that 30 million Americans watched TV content via their mobile phones in 2011, and there are now billions ofmobile video ad impressions available each month.With this type of growth in mobile video usage and ad inventory availability, advertisers are understandably under pressureto reach mobile users via video. However, the sheer variety of device types, operating systems, and apps can beoverwhelming for some advertisers and scare them off before they even begin. My two cents: don’t overthink it. If you arelooking to buy mobile video, keep it simple and you will execute successful video campaigns.Here are a few basic things to consider before jumping into a mobile ad campaign: Geo targeting: Geo targeting is a way for an ad to deliver content tailored to a viewer’s location and is an important partof mobile video campaigns. Any publisher or network worth its salt should be able to geo target at least down to the Zip Codelevel. Advertisers should plan their campaigns to leverage these capabilities by taking the users to distinct, geographicallytargeted landing pages. Audience targeting: Reaching the right audience is also important, but since mobile doesn’t have cookies it can be tricky.Wondering how to fix that? Try working directly with publishers who have anonymous registration data on their users.Another more scalable solution is to work with a partner that gives you total transparency into exactly how manyimpressions you’re running on specific properties. For example, would you rather have a mid-campaign report that says youran 1 million impressions on ESPN and 1 million impressions on NBC Sports, or a report saying you ran 2 million impressions on a“sports” channel? Run across all media: With the proliferation of HTML5, mobile websites are starting to mirror application environments, soit’s not worth differentiating the two in your marketing plan. If you must choose, choose apps since they tend to provide abetter video advertising environment than the mobile Web. Unless you are a device maker or a carrier looking to target thecompetition, run your campaign across all smartphone types. This will open up more inventory and enable you to reach moreunique users. And while the tablet video ad experience is slightly different than on the smartphone, its likely too early tobudget spend between tablet and smartphones. Performance metrics: What good is a modern digital ad campaign if you can’t measure its success? Running an ad campaignwithout a clear objective and performance metrics is like driving a car without a steering wheel. Comprehensive metrics arethe foundation to any mobile ad campaign so media buyers can see what worked, what didn’t, and change their targetingaccordingly. Specific metrics such as click-through rate, view-to-complete rate and percentage of impressions run to yourtarget audience are available to make your campaign run as smoothly as anything you could do via traditional onlineadvertising. Many networks can also layer on post campaign research to measure brand lift and brick-and-mortar sales.So the next time you see 100 different steps you “have” to take for running successful mobile ads or else, forget about it. Inmost cases, further tinkering with your mobile video campaign will do more harm than good. Don’t overthink it.Start with these straightforward tips and you will be on your way to a super-targeted mobile campaign with measurableresults in no time. It’s that plain and simple.Babelfish Articles Jan-Apr 2012 Page 44
  • The 5 Most Powerful Words in SalesYour words help you build relationships with customers--so choose them are helpful, but the most important thing where sales are concerned are the words you use.Why? Words build relationships. People buy from people.Words can also guide your approach to sales, because attitudes are often based on words.Change just one word and you can sometimes change your entire approach for the better.Focus on benefits, not specifications. I wanted to cut up some fallen trees. I’m not a lumberjack and knew nothing about chainsaws. At the first store the salesman went straight to one saw and told me all about the 50cc engine, the 9000 RPMs, and the18” bar. While I understood the specs I couldnt place them in context. I had no idea whether 9000 revolutions per minute wasgood or bad.I went to another store. First the salesman asked me a few simple questions. Then he said, “This chain saw is probably yourbest bet. It’s easy to start, has great safety features, and the chain is easy to remove when you want to replace it. You couldbuy a more expensive saw but based on the size of the trees you’ll be cutting, you really don’t need one."One salesman tried to impress me with specifications and features and in the process just made me feel stupid. The otherworked to understood my needs and solve my problem.Customers only care about specifications and features in relation to how those qualities meet their needs. Start with benefits,help the customer feel their needs will be met... and then dip into specs if they seem interested.Focus on value, not price. Cutting prices can result in higher sales, but if you dont provide a context for a price reductioncustomers immediately adapt to lower prices and resist a return to pre-sale price levels.The key is to focus on value and not just on price. Remove or replace items from a suite of services. Create volume discountsbased on economies of scale. Bundle related products or services or offer faster delivery schedules.Unless haggling is expected (like if you sell cars or furniture) try not to discount a price just because the customer asks. If itsthat easy to get a discount your price was too high to begin with.Shift your focus onto how the customer can get more, not how they can pay less.Focus on show, not learn. My wife wanted to buy bicycle, but she was worried about getting stranded if she had a flat tire.At one store the salesman said, “Thats not a big deal. Changing a flat is easy once you learn how to do it.”Another said, “Im with you. I felt the same way. Come on over to the workbench. First Ill show you how, and then well do ittogether so you can get the hang of it."Learn implies the customer has to do some homework. Who likes homework? Showmeans youll help. Customers buy frompeople who help them.Focus on emotions, not reasons. We like to think were rational and logical when it comes to making purchase decisions, but ifthat were the case Gucci, Coach, and Porsche would be out of business.It’s impossible to rationally justify the purchase of a luxury item: We may want it, but we dont need it. In fact every purchase,no matter how mundane, satisfies an emotional need—if nothing else we want to feel good about the decision we made.Emotions play a major role in most purchase decisions. Never lose sight of how potential customers want to feel: Safer,healthier, smarter, more attractive….In some cases your customers may just want to feel good about doing business with you.Focus on you, not I. You need revenue. You need to make a sale. Maybe you desperately need to make a sale.The customer doesnt care; nor should she. Declining revenues, high targets, or increasing internal demands are not thecustomers problem, but its easy for those factors to creep into how you approach a sale.Desperation is the mother of pushiness, and the average customer hates a pushy salesperson. Channel that energy and makethe sales process a conversation focused on the customers needs, motivations, problems, and emotions.While you may desperately need to make a sale, only the customer can choose to buy—so always make the process all aboutthe customer.Jeff Haden learned much of what he knows about business and technology as he worked his way up in the manufacturingindustry. Everything else he picks up from ghostwriting books for some of the smartest leaders he knows inbusiness. @jeff_hadenUnderstanding Social Media Personas Is Keyby Karlene Lukovitz, Thursday, March 8, 2012 4:45 PMBabelfish Articles Jan-Apr 2012 Page 45
  • A new study from Coca-Cola Retailing Research Council of North America and The Integer Group defines four types of socialmedia “personas” and key insights about how they engage with brands and shop.This is the third installment of a five-part study called “Untangling the Social Web: Insights for Users, Brands and Retailers,”based on a new quantitative survey of 308 frequent social network users and one-on-one live interviews with 40respondents conducted by Integer in conjunction with iModerate research technologies, qualitative shopper researchconducted by Integer in conjunction with Qualvu, interviews with experts, and data from other leading researchers.A summary of the types and some key insights:1. Bonders: This type loves to create and cultivate relationships with family, friends and work colleagues. They viewthemselves as fun, sociable and connected, and often host or plan events. Their main motivations for using social media arekeeping up with what’s happening in others’ lives, sharing their thoughts and ideas, and initiating introductions among thosethey know. Bonders are more likely to be female and under 40 than the other persona groups, and 63% are employed full- orpart-time.They use Facebook most often, and have been doing so for the longest among the four segments (44% have been onFacebook for three years or more). They place great stress on staying connected, and check in frequently with family andfriends on a typical day. Two-thirds use mobile phones to stay connected from anywhere, and this is the segment most likelyto use mobile phones to connect to social sites to “pass the time.”Nearly half (47%) spend one to two hours per day on social sites, while 25% spend three to four hours and 28% spend lessthan an hour per day. None reported using such sites just every other day, as opposed to daily.2. Sharers: Sharers like to spread the word on what’s going on in their lives and circulate information that they hope willbenefit people they care about. They are kind, sincere people who put primary importance on building strong relationships.They skew older and female, and about half are employed full- or part-time.They spend most of their social time on Facebook viewing others’ status updates and posting comments, but also like toexplore blogs, discussion boards and other sites. They tend to log in to social media sites for one to two hours, and preferdoing so on computers rather than mobile phones (only a third use mobile phones for this purpose).Forty percent spend one to two hours per day, 23% spend three to four hours and 31% spend less than an hour per day onsocial networking. In addition, 7% said they use social sites every other day or so.3. Professionals: While career-focused, professionals want work/life balance. They use social media for professionalnetworking/knowledge but also for sharing opinions and relevant information. They want to be perceived as intelligent,efficient and organized. They are more likely to be college-educated, and tend to be more introverted than other segments.Three-quarters (75%) are employed full- or part-time.Professionals leverage all social media to connect and particularly to get immediate access to information. During a givenweek, most browse LinkedIn or Facebook, watch videos and read blogs to stay up to date on current events, news and work-related issues. Two-thirds use mobile phones to access the sites some of the time.However, their busy schedules limit social media time: 18% log in every other day, and 35% spend less than an hour per day onsocial sites, while 28% spend one to two hours per day and 20% spend three to four hours per day on these sites.4. Creators: Outgoing, creative, bold individuals who use social media to express themselves by originating and sharingcontent and to learn new things. They are more likely than other segments to be male, younger and culturally diverse.They post content, watch videos, read blogs and browse for updates from friends and family, and most of their activity is onFacebook and Twitter. Nearly half (46%) access social sites first thing in the morning and continue social activities throughoutthe day. Two-thirds (65%) access social sites through mobile phones, which they view as a flexible way to create, share andlearn in the moment.One-third of creators spend three or more hours networking daily, 43% spend one to two hours, and 16% spend less than anhour. Eight percent log in every other day.*Engaging with brands: The primary reason that all types engage with retailers and brands on social networks is to get“perks” and deals, although sharing information is also important.In terms of engaging by categories:-Food/grocery brands: Fully 64% of sharers and 41% of bonders engage with these brands, while 29% and 28% of creators andprofessionals do so.-Restaurants/service providers: Professionals are the biggest engagers (23%) with these categories, compared to just 9% to10% of the other three personas.-Electronics/tech brands: Creators and professionals engage most with these brands (36% of each of those groups), although31% of bonders and 21% of sharers also do so.-Fashion/apparel brands: Engaged with by 28% of creators, 18% of bonders, 10% of sharers and 7% of professionals.*Shopping insights: The quantitative survey found that 53% of medium to heavy social media users had made an onlinepurchase within the past week, and 58% had researched a product online that they planned to buy.In the qualitative research, social networkers were asked about their shopping behaviors in the context of Integer’s ShopperContinuum, which describes three distinct phases of shopping behavior: Pre-Tail, Retail and Post-Tail.The report details how each of these phases interact and feed back into one another, and the roles played by discovery,research, deals, in-store social networking and after-purchase networking.While most social networking activity occurs during the Pre-Tail stage (options/pricing research, information gathering,decision-making), “one person’s Post-Tail activity becomes another’s Pre-Tail influence, creating a continuous and self-propagating feedback loop,” note the researchers.Key TakeawaysThe research points to several best practices for brands and retailers for maximizing social engagement and leveraging theshopping continuum or cycle:Babelfish Articles Jan-Apr 2012 Page 46
  • *Give users a reason to ‘like’ you – a coupon, code for free shipping or discount or other perk that shows appreciation andreciprocation for their ‘like.’*Be subtle and personal with messaging. Users understand that they will receive marketing messages when they ‘like’ abrand, but messaging should be personal and avoid coming off as a hard-sell.*Allow easy deal-sharing on Facebook and Twitter, and consider offering incentives for sharing deals.*Engage with coupon sites. Offering brand coupons directly to the coupon sites and coupon-related blogs followed by manysocial users increases exposure. This is particularly true for CPGs and grocery retailers. Daily deals on Groupon and LivingSocialare also shared frequently.*Stick with it. Once a brand begins to engage with social network users, it’s critical to continue that engagement consistently.Sporadic efforts can make engagement fall off and hurt brand image.The first three parts of the report and an introduction to the study are available for free downloading on the Coca-ColaRetailing Research Council North America site.Readmore: Me-tail revolutionFebruary 2010In the words of one veteran shopper, “It’s all about me.”Retailing, the direct sale of goods and services to consumers, is evolving into “me-tailing”—the quest for swift and seamlessshopping on demand, coupled with virtually endless new experiences and enabled by technology that gives shoppers anunprecedented choice of products and services that meet a multitude of demands.But the same technology also keeps those demands in constant flux. The implications for the retail industry of this shift inpower from the seller to the buyer are enormous. The mantras of today’s traditional retailers—customer-centricity andoptimized supply chains—will not be enough to keep them relevant to increasingly fickle and footloose shoppers in search ofinstant gratification.Indeed, retailers need to radically reinvent themselves.Some are beginning to do so. They are engaging with their customers in increasingly imaginative ways by leveraging thesame telecommunications and digital media that have so altered consumers’ lives. Within the next few years, as thistransformation accelerates, Accenture envisions much more dramatic changes.For example, “fast fashion,” already the hallmark of apparel retailers that can cater to demand just as need arises, willbecome the de facto industry standard—a development with dramatic consequences for store inventory levels. In fact, storesas we know them—physical spaces—will become merely extensions of other, newer channels that allow consumers toconfigure and control their shopping experiences from a variety of locations, effectively editing their product choices.Already, for example, allows its customers to send a photo of a product they want and then helps them find it.Sustainability, we believe, will loom much larger as a contribution that customers will value when making those choices.Meanwhile, consumers themselves will form so-called communities of talent that will help service new, extraordinarilydiverse demands.Hardwired for shoppingThe Millennial generation—loosely defined as those between their mid-teens and late twenties—is the driving force behindthis retail revolution. Hardwired for shopping, Millennials have grown up in a digital world; they want mobile, multi-channel,real-time shopping. In effect, they want to serve themselves. And the effort to satisfy them is leading to the convergence ofretail with telecommunications and new media.Domino’s Pizza, for example, enables orders via cell phone app, Facebook or TV. The print shops in Staples’ Canadian stores usevirtual experts channeled in, on-demand, to help customers define the print job, mock up samples and place orders. Best BuyBabelfish Articles Jan-Apr 2012 Page 47
  • is leveraging the power of crowd sourcing to answer customers’ questions and resolve service issues via Twitter, the micro-blogging site (see Sidebar below).The Millennials’ preferences, moreover, are shaping those of other customer segments. Consider, for example, that almostthree-quarters of Europeans responding to a recent Accenture survey said they would use mobile phones for productinformation scanning, and more than half agreed that being able to interact with an online product expert would save themtime.It won’t be long before Internet penetration turns the Millennials’ always-connected, always-on existence into a nearlyglobal way of life. Consumers almost everywhere will become retail grazers. And that spells huge opportunities for startups,which will proliferate as technologies provide the means to penetrate markets globally.Some of these new entrants, which we call wildfire niches because of the speed with which they can spread to servedifferent consumer segments, may even grow into dominant brands. Consumer fickleness suggests that much of thatdominance may be short-lived. But agile players will survive. And we expect some of those that fall off the radar screen tospeedily reemerge as The Next Big Thing.All this has huge consequences for brick-and-mortar stores, of course. Why, after all, should shoppers seeking items closer tothe point of need bother to go into a store at all if they can satisfy their demands more swiftly and conveniently online andon the move? The current vogue for smaller, more focused store formats like Walmart Neighborhood Markets and Tesco’sFresh & Easy will likely intensify. But the sheer diversity of both shoppers and shopping trips will actually require multipleformats.In the future, the name of the store game will be precision retailing, with each store format tailored to a specific local market.What’s more, people who actually visit a physical retail space will be in search of an experience—something that adds valuebeyond just being a distribution point.They may favor bookstores that host stimulating book clubs and guest authors, or toy stores that let kids indulge themselveswhile in-store experts, both real and virtual, answer parents’ questions. The Walt Disney Co., for example, is considering re-branding its 340 stores in the United States and Europe as Imagination Parks, where kids will be able to watch clips from theirfavorite film, participate in karaoke contests or chat live, via satellite, with stars from the Disney Channel.In the future, some retail stores will simply be showrooms, allowing visitors to try on items from the clothing on display,perhaps, or sample products from the perfume bar or makeup station. The store space may not actually hold inventory to sell,but the information that attentive store staff can gather about customers’ preferences could prove invaluable to future salesprospects. And if a customer were interested in a product, he or she could place the order and either pick it up that day froma local logistics center or have it delivered.A new business modelDeep consumer insight—from websites and social networks, as well as from points of sale (either salespeople or even a kioskgathering information)—will be essential when fast-fashion retailing moves beyond the apparel sector to become the retailindustry’s dominant business. The Spanish apparel retailer Zara, for example, watches shoppers like a hawk, carefully notingwhich items of clothing they consider really hot. Store managers report directly to Zara’s designers, which helps ensure thatthe right inventory arrives at the store shelf exactly when it’s wanted—the essence of the fast-fashion concept.A successful fast-fashion business model necessitates an exceptionally flexible supply chain, of course, which will be achallenge for many. According to Miami-based Retail Systems Research, the biggest challenge that retailers face in supplychain execution is that forecast does not match demand. The current proliferation of stock-keeping units (SKUs) means thatretailers are trying to manage a constantly increasing number of choices to stay relevant to their customers.Accenture estimates that many retailers are making more than 80 percent of their inventory investments in-store—anuntenable situation with steadily rising real estate costs. With the explosion of SKUs, retailers simply cannot afford to stockevery product. In addition, their customers don’t want to have to search through aisles of products to find the one that fitstheir particular needs. Retailers will need to figure out what their customers want in each particular location and then focuson getting the hot items in fast while stocking just the basics.When customers trust a store to have the latest items in stock, they will make more visits and thus help boost revenues.Witness the move by Target, the US general merchandise retailer, to expand its fast-fashion concept, the “Limited-Time-OnlyDesigner Products” line, from apparel to gardening, home decor and kitchenware. Meanwhile, retailers including StarbucksCorp. are inviting customers to tell them how to improve both products and store formats in order to better meet their needs.Soon most retailers will be able to combine consumer involvement with deep analytical capabilities and actually personalizetheir offerings. By identifying the specific attributes of each product, they will be able to determine its value to individualconsumers and target available assortments accordingly. Fewer items will also mean that fast-moving products can bestocked in smaller formats—vending machines or kiosks, for example—that are both more convenient for consumers and morecost-effective for retailers.Meanwhile, a faster response to sales data will help boost production efficiency, fueling sales and reducing markdowns. Itwill separate and streamline the design function as well, encouraging timely and accurate handoffs between design andproduction—all along the supply chain. For fast fashion to be effective, design and production will need to be tightly coupled.Replenishment orders will be placed and released on regular cycles—typically weekly or more frequently. Lead times fordomestic suppliers will be measured in hours or days. And forecasting, planning and replenishment systems will support real-time allocations and inventory management techniques based on store need—innovations that Accenture estimates willreduce in-store inventory by a third or more.New meaningsSupply chain optimization, in fact, will take on a whole new meaning. It will encompass the entire product lifecycle, fromproduction right through to disposal. And that’s because although shoppers’ concerns about sustainability will motivate themto assume more responsibility for reducing packaging and identifying irresponsible production, they will not be prepared toBabelfish Articles Jan-Apr 2012 Page 48
  • bear the full costs. Retailers, in short, will need to develop coherent and cost-effective sustainability strategies of their ownthat include packaging, shipping and disposal.Tightening resource constraints will encourage them. In Brazil, for example, the Pão de Açúcar Group, one of the country’sbiggest food retailers, has opened “green” stores that use 10 percent less water and 14 percent less energy. Accenture alsobelieves that the reusable and recyclable “bags for life” now offered by most big retail grocers for customers to carry theirgroceries home will be used to carry refillable containers—bottles for liquids such as detergents, for example, or boxes forloose cereals. And we envision a time in the near future when consumers will be able to take their containers to “refresh andrefill” window chutes, top up on basics and pay for them with mobile devices. These developments point toward a distributionmodel optimized for a two-way flow of goods—from supplier to retailer to consumer, as well as vice versa, and on to the nextconsumer. In this scenario, individual retailers will need to function more like agents—much as online social networks alreadydo. We are already witnessing the spread of rent and return—consider Bag Borrow or Steal in the United States, a site thatlets shoppers rent high-end purses and other luxury items, keep them as long as they want and then drop them off at theirnearest UPS store.Soon, indeed, consumers will look to retailers to “broker” products and channels—and this will lead to a much morecollaborative industry. Individual retailers will need to identify their core strengths, recognize the value of greaterspecialization, and partner with others for complementary skills and services.A proliferation of distribution points will necessitate shared logistics, for example. Case in point: Meadowhall, a large UK mall,has teamed with the Clipper Logistics Group to manage a distribution center offsite that consolidates and holds inventory fornumerous stores in the mall. The upshot: less inventory held in stores, a 10 percent sales boost for at least one retailer—and asmaller carbon footprint for Meadowhall, thanks to shared use.Some leading retailers are already forging networks with competitors. And others are reaching outside their industry topartner with companies that also want to own the consumer. The UK retailer Tesco, for example, has become an aggregator ofincremental products and services ranging from Tesco Bank to Tesco Mobile (with O2) to Tesco Travel & Leisure, which ispowered by the future, the shift of spending from stores to other channels, along with faster cycle times, price and margin pressures,and increasingly scarce talent, will mean that these collaborative networks will have to be exceptionally dynamic.Communities of talent will be created in which employees will work for multiple companies—sometimes, thanks to opensourcing, simultaneously.The Japanese mobile service Otetsudai Networks, for instance, allows anyone to register for employment opportunities byfilling in their core skills. Employers with short-term labor needs enter a task description and registrants who match thedescription and live near the location receive an alert to respond.Talent, moreover, will come from some unlikely sources—consumers among them. This revolution, after all, is consumer-led.And as retail morphs into me-tail, the diversity and complexity of consumer demands will be so overwhelming that no singleorganization will be able to cater to all of them. The key requirement will be for specialized knowledge that can serveshoppers’ needs and create value beyond distribution.Smart retailers recognize that shoppers know themselves better than anyone else does. The most farsighted will harnessthat knowledge, and work collaboratively with consumers to stay ahead of the game.SidebarBest Buy: The Twelpforce advantageKeeping constantly connected with consumers will be key to success as retail morphs into “me-tail”. And Best Buy, the world’slargest consumer electronics retailer, aims to be in the vanguard.This past summer, the Minnesota-based company launched a new service, Twelpforce, which puts its 155,000-strong globalworkforce in direct contact with customers via Twitter, the popular microblogging site.Customers who have questions about products or need help with technical problems, or who want service issues resolved, can“Tweet the Twelpforce,” which is a single Twitter account for all Best Buy employees across all operations, including thecompany’s famous Geek Squad. Twelpforce replies to each specific user’s query. But other Twitter users—both employees andcustomers—can also listen in and contribute, so the new service provides a diversity of opinions and experiences from whichanyone can benefit.Best Buy is no stranger to the potential of crowd sourcing. For example, the company aggregated feedback from a widevariety of sources to develop a new line of super-thin and lightweight laptops with superior warranty support. And aFebruary 2009 rollout that empowers all of its US stores to accept most consumer electronics for recycling provides furtherevidence that Best Buy is acutely attuned to its customers’ evolving needs.As those needs escalate, Best Buy is well positioned to respond with a customer-facing supply chain that leverages advancedanalysis of individual sales transactions to enhance product assortment and in-store placement, and helps better manageboth replenishment and in-stock levels.Meanwhile, the retailer is expanding a collaborative planning, forecasting and replenishment agreement with a South Koreanhigh-tech company that has enhanced supply chain efficiencies by cutting merchandising, inventory, logistics andtransportation costs in North America. The two firms are now sharing key customer insights about the Chinese retail market,where Best Buy plans to open several hundred new outlets over the next decade.For further reading“How to energize your digital revenues,” Outlook, February 2010”It’s only a matter of time,” Outlook, October 2009“Target practice,” Outlook, January 2009About the authorsJanet L. Hoffman is the global managing director for Accenture’s Retail group. Her experience in large-scale transformationalwork has helped clients in the areas of replenishment optimization, advertising effectiveness, pricing strategy, storesBabelfish Articles Jan-Apr 2012 Page 49
  • operational effectiveness and customer centricity through strategic and technology interventions. Ms. Hoffman, who is basedin San Francisco, is a board member of both the Accenture Foundation and the Retail Industry Leaders Association.Renee V. Sang is the global director of Accenture’s Customer Innovation Network as well as a senior executive in Accenture’sRetail and Consumer Goods groups. With 20 years of consulting, innovation and performance management experience, Ms.Sang’s work has focused on the design and implementation of strategies and systems to support more effective marketingand merchandising practices. Ms. Sang is based in Chicago.Data Today, Data Tomorrowby David Baker, Monday, March 12, 2012As Colin Powell suggests, “Experts often possess more data than judgment.” I could spend all of this column listing simpleforms of data that could in some way be used to target, segment or prescribe an experience. Yet I believe we’ve grown pastsimple recognition of data, and data management doesn’t adequately describe the problems we face in this industry. We areat a point of intermediation where decisioning meets judgment. I foresee some events in our space over the next few yearsthat we’ll have to shape to our advantage to survive.The Big Four may own ALL the data. Yes, Google, Facebook, Apple, Amazon! Google’s virtual, complete horizontal integrationof the consumer experiences, the sheer breadth, engagement and depth of Apple, the community within Facebook, and thescale of intent and purchase information Amazon is compiling – all this is dizzying. Is there going to be a co-opetition/sortium? Will we all share and buy data from each other -- and how will marketers make the most of their owndata assets in this virtual triage of the customer experience? The cost of data will not get cheaper, some will be moretransient, but these companies are really close to putting it together. These trends are inspiring in many ways and I believewill be valuable to marketers, yet brands will cede control over time without major investment.Privacy is going to drive a shift in the targeting/advertising industry. Yes, lots of talk about where this is going, but you can’thelp but think that something has to give. Ad exchanges, ad networks and the publishers will be fighting a virtuous battlethat I think will benefit the publisher over time -- but not before we have a crackdown on privacy. This is important, as it canpotentially make it far more difficult to bring the online/offline insights together. There will be a heightened scrutiny of howwe connect anonymous experiences with known, with targeting and segmentation.Analytics will become as transient at the data we are tracking and storing. Transient data is valuable, yet it has a shelf life,as does analytical insight. The pace of the device-dependent, connected consumer experience will far outpace our ability totrack, manage and make decisions. We have become much better at storing data for analytics, processing analytics and evenbuilding decisioning capabilities. Connecting those to channel and linear experiences will be the key. Analysts will have toaccelerate and simplify insight so the channel and brand marketers can make in-market decisions faster.I used to believe Jason Jennings’ book personified “it”: “It’s not the big that eat the small, it’s the fast the eat the slow.” I’dactually shift this a bit and say there is a class of big and fast that will shape the industry, and brands and intermediaries willneed to rely on these companies to complete their evolutions (we do in so many ways already).Should be inspiring to see how we build a self-actualized brand experience that can be replicated in scale. As providers tothis space, the channels (like email , mobile and social) will only evolve as fast as our ability to shape the Big Four, handleprivacy and shape a new pace of analytics and business intelligence.David Baker is the global vice president of product/solutions for Acxiom . Visit his blog and contacthim here.Too Much Advertising Is Digital SuicideWednesday, March 7, 2012The findings on a range of digital advertising issues in the 2012 Digital Advertising Attitudes Report from Upstream andYouGov, polling UK adults and U.S. adults aged 18+, show that 27% of British, and 20% of American consumers online would stopusing a product or service, such as the social networking site, if they were subjected to too much advertising. This, as 66%each of British and American online consumers already claim they feel subjected to excessive digital advertising andpromotions.The 2012 Digital Advertising Attitudes Report reveals that while 20% of US consumers would stop using a company’s productsor services entirely as a result of receiving too many advertising messages, 28% would be less likely to respond positively tothat company in the future. Furthermore 14% of US 18-24 year olds would publicly complain about that company to theirfriends on Twitter or Facebook.Responses to Digital Advertising Overload (% of Respondents; February 2012 % of RespondentsResponse US UKWould unsubscribe from a brand’s promotions if they were too frequent 66% 66%Would respond negatively to future messages from that brand 28 37Would stop using the brand’s product or service 20 27Would protest on social media sites 11 10Source: Upstream/YouGov, February 2012However, says the report, consumers are not generally dismissive of digital marketing and advertising but understand that itcan be useful. 69% of US adults are happy in principle, to receive marketing and advertising on their PC, mobile, tablet or MP3player.Babelfish Articles Jan-Apr 2012 Page 50
  • However, to make the US user more likely to respond positively to the marketing, the advertising must be: Tailored to the consumer’s personal interests (26%) Contextually relevant to what they are doing (21%) Specific to their location (19%)As a general rule: 55% of US consumers do not wish to be targeted more than once a month 33% of 18-24 year olds are most amenable to being targeted as frequently as once a week or moreMarco Veremis, President of Upstream “... companies need to put effectiveness first, reducing the frequency with which theyspeak to consumers, delivering only high quality, relevant and timely messages... not heeding this stark consumer warning islikely to have the opposite effect intended... “As speculation mounts, says the report, over Facebook’s imminent first steps into the world of mobile marketing such asinserting “featured stories” into people’s mobile feeds, the 2012 Digital Advertising Attitudes Report warns that consumeropenness to advertising is lowest on mobile phones versus any other device such as PC, laptop or tablet.64% of Brits and 67% of Americans would find it most unacceptable to receive unwanted advertising on their mobilephone/smartphone over other electronic devices. There is a further warning that mobile display advertising is not the way togo. 11% of Brits and 15% of Americans who have surfed the internet on their mobile phone have ever clicked on a mobilebanner ad, and only one in every 100 Brits who surf on their mobiles and 1 in 50 Americans click on banner ads frequently. Thevast majority of those who surf the internet on their mobiles (79% in the UK and 72% in the US) find banner advertisements ontheir mobiles or smartphones irritating.Veremis concludes that “ will always be a deeply personal medium and to avoid a backlash... advertising must bepersonal, intimate and targeted... focus(ing) on using short, text-based ad formats instead of intrusive graphical banners...”For additional information from the Upstream report, please visit here.EU Regulators To IAB: Users Must Explicitly Consent To TrackingBy Wendy Davis,Tuesday, March 6, 2012In late 2010, the Federal Trade Commission called on the ad industry to develop a universal and simple tool that would enableconsumers to opt out of all online behavioral advertising.Mozilla quickly rolled out a do-not-track header for consumers to activate. Turning on the header signals that users dontwish to be tracked, but ad networks can choose to honor it or not. Until recently, only a small number of ad networks saidthey wouldnt track people who activated the header.Two weeks ago, the concept of browser-based headers got a big boost when the self-regulatory group Digital AdvertisingAlliance promised to require members to honor such signals.Now regulators in Europe -- which has far broader privacy laws than the U.S. -- are weighing in on do-not-track. JacobKohnstamm, chair of the Article 29 Working Party, said in a letter to the Interactive Advertising Bureau Europe and theEuropean Advertising Standards Alliance that a global do-not-track tool could satisfy the privacy law, but only "if users of allbrowsers have made an active and informed choice to allow or disallow the tracking."EU regulators also say that honoring a do-not-track header requires companies to stop collecting data about users, includingdata thats only used for market research. The one exception is for "information strictly necessary to provide the serviceexplicitly requested."Kohnstamm also said that the IAB Europes current self-regulatory plans -- which involving using icons to notify people aboutonline tracking, and allowing users to opt out of online behavioral advertising -- dont satisfy an EU requirement thatcompanies obtain users explicit consent to tracking.The Interactive Advertising Bureaus UK division said in a statement that it intends to continue working with regulators inEurope and the UK.5 Huge Digital Marketing Trends You Can’t Afford to Ignoreby Jonathan GardnerJonathan Gardner is director of communications at ad company Vibrant Media. He has spent his career as an innovator at thenexus of media and technology, having worked in communications leadership roles and as a journalist around the world.Digital marketing is a discipline in flux. We face an onslaught of shiny new technologies and platforms that promise to“change everything.” Marketers are creating similarly breathless headlines, proclaiming the next revolutionarydevices/apps/social networks.Yet, even smart marketers don’t know what changes the future will bring; but they do need to be aware that their industry ischanging every day. For instance, to reach consumers marketers need to be increasingly mobile, engaging, relevant and awareof the contexts in which we currently operate.I don’t pretend to know the future. But the decisions and products of Apple, Amazon and other innovators will affect how welive in the years to come. As we anticipate our connected, Minority Report-style future, here are five big marketing ideas toembrace now to get ahead of the curve.1. Location ServicesConsumers are out there and many want you to find them. Location features of social apps such as Foursquare, Ban.joand Path are potential goldmines of important consumer data. The near field communication (NFC) technology in productslike Google Wallet is just starting to show its potential. And while privacy issues surrounding location services will need to beresolved, consumers are still demanding that marketers understand all of their daily contexts and find ways to make theirBabelfish Articles Jan-Apr 2012 Page 51
  • lives easier. If the rumors are true and the iPhone 5 has NFC embedded, expect these features to go from leading edge tomainstream.2. New Ad FormatsWhile new online video and mobile platforms are — unsurprisingly — attracting a lot of heat, their marketing spend is stillway out of whack, compared to the amount of time consumers spend there.Don’t just throw money at these new channels. Instead of pre-roll video ads and other “forced view” options, look to user-initiated solutions that respect the user’s time and interests. Research new ad formats that help brands look beyond clutterand “banner blindness,” such as in-image ads, which integrate brand messages elegantly within relevant content.3. User-Generated CurationUser-generated curation (UGC) is powered by content discovery apps such as Pulse, Flipboard, Fancy and Foodspotting. Contentproducers and merchants provide the feeds, and consumers tweak them to suit their interests and contexts, filtering data andcurating personalized information platforms.These models can help brands become relevant to consumers and provide the next great opportunities for marketers. Forinstance, Pinterest has received applause from consumers and marketers alike, and has demonstrated the power thatpersonal curation and relevance can have for engagement.4. Advertise by FormatEveryone is excited about mobile’s potential, and tablets present appealing platforms or consumer engagement. If you’vedecided to advertise on mobile apps, what are you going to do with the user after you get him or her to tap? Will you use theplatform to its full potential? Or will you roll out the same old display strategy you’ve been using online, praying that userswill choose to interact with your ad?It’s time to get creative and imagine the new possibilities. Media industry guru Ken Doctor points to innovative advertiserswho take advantage of the iPad’s unique format. “What’s better for an insurance company like Liberty Mutual thanthreatening you with disaster (tornado, earthquake, flood) and then, by simply tilting your iPad see the damage magicallydisappear,” he poses.5. Integrated MarketingBeing relevant to your customer in every context improves brand recall and enhances engagement. Ditch the silos in youradvertising strategy (e.g. this is what consumers watch on TV vs. on their phones) and focus on the most important thing —your customer.In this increasingly interconnected world, consumers are not necessarily thinking in terms of silos. Research shows that 72%of consumers want to be engaged with an integrated marketing approach, but only 39% are receiving that. Google found thatconsumers had 74% brand recall when the advertiser’s integrated strategy carried across mobile, TV and online.While the world is not yet seamless, QR codes and “bridging” apps like Viggle deliver second screen relevance, and can helpmarketers unleash multiplatform, integrated relevance.Today’s profound advancement in tech and media is changing how we interact with and filter our world. Smart marketers cansucceed by engaging with the trends that are resonating most with the emerging consumer of today.I+ Cable Satellite Telco - ConnectedThe breakthrough capabilities of I+ now lets advertisers reach more consumers watching cable programming in major TVmarkets across cable, satellite and telco homes. And while we are expanding local market reach, we continue to offer themost advanced tools to help you assemble fragmented audiences within your markets. So, whether you are looking to reachmore eyeballs or just the right set of eyeballs, local market advertising will never be the same. I+ enables advertisers toplace their TV commercials on leading ad-supported television networks available to customers of Comcast’s XFINITY, Verizon’sFiOS, AT&T U-verse® TV and DIRECTV’s television services.Cable programming now accounts for more than 70%* of all add-supported television viewing, making the added reach of I+more important than ever for businesses that need to connect with consumers, regardless of the company they select fortheir television service.By putting our infrastructure to work through agreements with all of the major television service providers in more than 30markets, we’re able to deliver more impressions for our local clients than ever before.*-Source: Nielsen N PowerInternet, Mobile Challenge Trad TV Ad SupremacyBy Diane Mermigas Tuesday, March 6, 2012This spring’s upfront advertising market signals a long anticipated reallocation of spending that will accelerate throughoutthis decade.As cable edges past broadcast network advertising spend and the Internet intensifies its assault on upfront ad dollars,broadcasters are taking refuge in another 8% CPM increase this election and Olympics year (just shy of last year’s 9%),according to Pivotal Research Group.But sales volume--a more accurate indicator of the health of the broadcast ad market--is less certain.While it took cable three decades to dominate upfront advertising with more than $22 billion in commitments anticipated thisspring, it is as vulnerable as the broadcast networks to inroads from ad-supported Internet players Google, YouTube, YahooHulu, Facebook and others.The lure of smart Android and Apple TVs, as well as the next generation of connected mobile devices will increasingly supporttheir efforts.Babelfish Articles Jan-Apr 2012 Page 52
  • Any doubt about the potency of these players? Consider that Apple’s rare $500 billion market cap, driven by its mobileconnected ecosystem and walled content garden, far exceeds the combined market cap of the top 12 TV-related mediacompany-owners of leading broadcast and cable networks, such as Walt Disney, Comcast NBC Universal, Time Warner andCablevision.Former MTV CEO Tom Freston says he considers YouTube’s $100 million development of 100 specialized video channels and itsrole as Google’s premiere video search engine “a tipping point for the Web that will spur “significant migration of viewers andad dollar from traditional video channels. Google and its YouTube subsidiary, Yahoo, Microsoft and Hulu are among theInternet players planning major upfront pitches to Madison Avenue in April ahead of the broadcast and cable networks’traditional upfront presentations.Some experts believe the Internet and mobile connectivity will at least match broadcast spending before decade’s end. Onlinevideo ad spending will morph to $7 billion by 2015 from $2.16 billion last year, up 52% according to eMarketer.And its not just broadcast television that is vulnerable.Cable’s gatekeeper stranglehold is under siege by over-the-top video streaming, while cable operators’ bottom lines arebeing strained by rising subscription distribution renewal fees paid to cable and broadcast TV networks. Since 2012, 2.3 millionformer cable subscribers have cut the cord leaving about 41.4 million domestic video cable customers, according to ISI Group.In the long-run, social media may pose the biggest threat -- and opportunity -- for conventional television. Facebook’saggressive advertising and video strategies leveraging user’s Timelines, shared “likes” and friend preferences are as focusedon siphoning TV advertising dollars and viewers as Google’s YouTube, Hulu or Yahoo. Facebook hosted a New York marketingconference Feb. 29 aimed squarely at getting Madison Avenue agencies and advertisers to partner with the social networkand shift spending from conventional TV. Twitter’s new self-serve advertising platform is playing to the same crowd asit morphs into a full-fledged media player.“The Internet isn’t going to kill TV -- $60 billion in TV advertising will continue to grow at about a 3% average annual rate,”Bernstein analyst Todd Juenger says in a new report. Accelerated cord-cutting could stem affiliate fees and declining TVaudiences could drive down advertising revenues, only the television universe isn’t defined by its digital extensions.Incremental digital monetization will benefit a select number of content owners -- such as Disney, News Corp., Discovery, TimeWarner, Viacom and CBS -- whose revenues will rely equally on fees and advertising.Subscription video on demand will be a $6 billion global business by 2015, $2 billion of which is incremental today, Juengersaid.In that context, Morgan Stanley analyst Benjamin Swinburne insists 3% growth in U.S. advertising overall this year be “goodenough.” But that doesnt take into account some changing marketplace dynamics:*An 8% increase in pricing for the broadcast TV networks would not have as great an impact on overall advertising revenuesas volume, and the amount of ad time sold is expected to decline. Overall, there are no guarantees the broadcast networkswill sell enough TV ad time to match last year’s $9.1 billion commitments, according to Pivotal analyst Brian Wieser.*Although most marketers with national budgets continue to prefer network TV advertising as a starting point for their mediaplans, many are increasingly shifting dollars to online and mobile which are affordable, low-risk and more strategicallymeasurable.*Major marketers’ circumstances are radically changing, forcing them to consider new ways to reach target consumers. Searsis selling off stores; Wal-Mart is struggling to revitalize its low-price image. The marketing strategies and ad spending ofeven the biggest retailers will become less predictable and reliable.*In addition to upfront volume spending being more influx, advertisers could defer scatter market commitments closer to airtime, while TV network could hold back upfront inventory. Marketers could exercise options to buy back 25% to 50% of theiroriginal upfront commitments.*The adverse impact eventually will be more extreme for a pure-broadcaster, such as CBS, even in this election-Olympicsyear. Ad revenues declines of 1% to 2% (or as much as 4% without political ads) could cost CBS $2.00 of earnings per share,Swinburne estimates. “Weaker-that-expected ad growth would cause negative operating leverage across CBS’ radio, outdoorand broadcast operations,”Study Finds Newspapers Struggling to Find Digital Revenue Executives say industry is resistant to changeBy Emma Bazilian March 05 2012According to a new study set for release today by Pew Research Center’s Project for Excellence in Journalism, newspapersaren’t having much luck in finding a new revenue model for the digital age. The study’s findings, based on data from 38anonymous newspapers and interviews with multiple top executives, were fairly bleak. The newspapers were losing sevendollars in print advertising for every one gained in digital revenue. And digital ad revenue is still just a fraction of print adrevenue—on average, print advertising accounted for 92 percent of revenues at the papers surveyednewspaper, digital revenue fell by 37percent in the last year of full data. On the other end of thespectrum, another papergrew digital ad revenue 63 percent whileits print revenue grew 8 percent. The future of each newspaper canbe “significantly affected by company culture and management,”regardless of its size, said PEJ.The newspapers’ success also varied based on how they spent their digital ad dollars. According to the study, advertisingbased on online consumer behavior is the category thats likely to dominate local advertising and has proved very successfulfor several papers. Only 40 percent of newspapers said that targeted ads were a “major” part of their sales efforts, though.Instead, most ad dollars are going toward established platforms like conventional display ads and online classified ads. Manyexecutives were also “enthusiastic” about the prospect of mobile advertising, but at the papers that shared private data withPEJ, mobile advertising accounted for only 1 percent of digital revenue in 2011.With the clear difficulties on the ad front, about half of the newspapers surveyed said that they were looking into“nontraditional revenue,” like consulting or events.Babelfish Articles Jan-Apr 2012 Page 53
  • Despite the potential for innovation, most executives painted a picture of a newspaper culture resistant to change and stillunable to successfully navigate the digital age. As one exec not-so-optimistically put it, “There’s no doubt we’re going out ofbusiness right now.”Why the Web Hasn’t Hurt TVMARCH 3, 2012 AT 7:28 AM PTEvery ambitious Internet company wants some of the billions consumers and advertisers spend on TV. It’s an article of faithamong the digerati that dollars will follow eyeballs, which means big money for everyone from Facebook to Google to Apple.But that hasn’t happened yet. And it’s possible that even as Web video grows, TV will continue to do just fine.That’s the thesis of Bernstein analyst Todd Juenger, who made his case to investors earlier this week. Two slides from hispresentation sum it up well.First, he notes that even though eyeballs have moved away from broadcast TV, ad dollars have not (click to enlarge):Even more important: Though the Web ad business is growing, TV continues to grow, too. And while other old media industrieshave shrunk, their losses haven’t turned into equivalent gains for the Web (click to enlarge).But what about consumer spending? After all, Netflix is streaming more than 2 billion of hours of video every three months.That has to cut into TV, right?Not really, says Juenger, noting that overall TV viewing is still up. Instead, he says, Netflix, iTunes, Amazon et al areeviscerating the DVD business. Important distinction.And yes, all of this could eventually change, particularly if the digital guys figure out how to break up big cable’s lock onprogramming. But as we keep pointing out, that’s a very strong lock. It’s not going away anytime soon.As long as the newspaper was a bundle, no one ever had to care that people were buying it for radically different reasons.But once you go online, and people can unbundle things, where you can traffic directly to a story without going through thehome page or any of the rest of it, suddenly what it — the individual choices made by individual readers come to matter a lot.Babelfish Articles Jan-Apr 2012 Page 54
  • — Clay Shirky, on NPR’s Talk of the Nation with Neal ConanAd Tech Startups, Your World Has ChangedMonday, March 5, 2012 By Matt StrazLast week at the IAB Annual Meeting in Miami there was a fascinating presentation by Rob Norman, CEO of GroupM NorthAmerica, who responded to questions about the future viability of the media agency model in the face of competition posedby ad tech startups. Norman made the case that agencies have recently made their own investments in advertisingtechnology and would continue to prosper. Indeed, most of the major media agency holding companies now operate tradingdesks, and some agencies are now active acquirers of ad tech companies.Agencies are also upgrading their talent to look more like ad tech firms. The media agency workforce has been reconstitutedin recent years with more people who have backgrounds in applied mathematics and technology. In some cases, the agencieshave successfully recruited people from ad tech companies and publishers.Clearly, media agencies have finally realized that integrating and managing ad tech is no longer someone else’s job. With theagencies once again enjoying healthy growth and profits, perhaps the more relevant question now is: What does the futurehold for ad tech startups?One signal came last week, when the Department of Justice approved the merger between Donovan Data Systems andMediaBank to form MediaOcean. This combined $1.5 billion company will now have access to the resources to make good onits dream of building the operating system for advertising. If this dream is fulfilled, then many ad tech companies will need toeventually plug into MediaOcean.Another important bit of news for ad tech startups is the sheer amount of waste in online advertising. At the IAB meeting,comScore presented data that showed that 31% of all ad “impressions” are nothing of the sort. In fact, three out of 10 onlineads go unviewed by the user because they are hidden lower down on the page. There will now be a push to eliminate theseunviewed impressions from media buys, affecting the collection of data and the cost of media.So what does this news mean to ad tech startups? Here’s what I think:Agencies are back. There was a time when ad tech companies had little choice but to go around agencies, which just didn’t getit. This drove many ad tech companies to go directly to marketers, get some traction and then basically force agencies to usetheir technology.But now that agencies are up to speed and building their own platforms, that’s not going to work as well anymore. There is somuch complexity in a digital ad buy that agencies are loath to add anything that adds another layer. Agencies also want tomake some money on each transaction, if they can.If I were starting an ad tech company today, I would spend a lot of time talking to agencies, finding out where the gaps werein their systems and figuring out a way that I could help. I would recruit senior agency executives to be on my advisory boardand basically do whatever it took to get them on my side. Getting agency buy-in at the early stages is going to make life alot easier for the next generation of ad tech startups.Integration is essential. Unless you’re a next-generation media company like Facebook or Twitter and have the scale to go italone, you will need to eventually latch your technology to some larger platform. Buddy Media has done a brilliant job of thisby working closely with Facebook. Similarly, with its forthcoming APIs, MediaOcean should open up opportunities for other adtech companies.If I were starting a new ad tech business, I would be connecting my technology to as many important systems as possible.Partnerships and connectivity will be key to surviving in this new landscape.Actual impressions matter. The fact that 31% of all served impressions are still non-viewable is a real problem for theindustry. If you are an ad tech company that relies in some way on these bogus impressions, then you should get them out ofyour system as soon as possible. And if your technology can help the industry reduce their dependence on these inflatedimpression numbers, you may have a new revenue source.If I had an ad tech business today, I would be focused on transparency and openness. Vanity numbers are much less importantin this new environment.The future of ad tech is very bright, but the industry is changing very fast. The companies that adapt the fastest will beamong the winners.If Online Video Were A Baseball Game: Inning-by-Inning Summaryby Ashkan Karbasfrooshan , Monday, March 5, 2012You always hear how online video is in the “early innings.”Perhaps, but tell that to anyone who’s worked in online video for years, and they’ll roll their eyes, saying the industry’s beenaround forever, and sometimes it feels like we’re in the dog days of August.Incidentally in both 2008 and 2010 I said that “video is where search was in 2002.” The past two years have brought change,and in an article down the road, we’ll ask “where’s video in 2012 relative to search?”But today, we’ll look at the history of online video as if it were a baseball game (please forgive the mid-season and off-season analogies, though).It’s a Long Season, But This Game is in the Late InningsThe more appropriate analogy is that it’s early in the season, with a number of games already played.We’re actually in the late innings of this match pitting the Distribution Disruptors vs. the Content Monarchs, with theDisruptors representing the NY Yankees, armed to the teeth with nearly $1 billion in financing. The Monarchs, meanwhile, wereone of the original franchises that have struggled of late. st1 Inning (2004-05)Babelfish Articles Jan-Apr 2012 Page 55
  • On October 15, 2004, Jon Stewart goes on CNN “Crossfire” and criticizes journalists.’s error of not making the videoavailable gives aggregator iFilm its breakthrough, as the clip goes viral (with viral videos being as common as hitting for thecycle). In 2005m iFilm is acquired by Viacom for $49 million but is then sent down to the minors, never to be heard of again.Meanwhile, Stewart galvanizes his role as the rotation’s ace.Score after 1: Content 2, Distribution 1.2nd Inning (2005)Former 1990s era superstar and 1994 rookie-of-year AOL makes a comeback on July 2, 2005 by live streaming Live 8, afundraiser to end poverty, featuring over 1,000 musicians in 10 concerts. Marking the end of AOL’s walled garden era, it was aperfect harmony between content and distribution.Score after two: Content 3, Distribution 2.3rd inning (2006)Three former Paypal employees register the URL in May 2005. Depending on whom you ask, they eithera) exploit the DMCA; or b) leverage the explosion of UGC on their way to a $1.65 billion sale. A “grand slam” for Distribution.Content adds two points nonetheless, thanks to “Lazy Sunday” and all of those music videos.Meanwhile, with YouTube coming out of nowhere and becoming Distribution’s franchise player, many highly touted prospects(Revver, Guba, GoFish, etc.) are released, put on waivers or sent down to the minors.Score after three: Distribution 6, Content 4.4th inning (2007-08)MySpace sets its sights on video, licenses premium content and orders scripted entertainment series, including “Quarterlife.”The odd walk and single (NBC acquires for local content, while Adconion acquires Kush TV for push into brandedentertainment) narrow the lead.As YouTube establishes itself as Distribution’s marquee star, distributors DailyMotion and Metacafe raise $34 million and $30million respectively in August 2007, raising expectations.Content’s Hulu launches in late 2007, silencing the critics in the cleanup batting order and becoming the first bonafide challenge to UGC domination and YouTube supremacy.Score after four: Distribution 7, Content 5.5th inning (2008-09)The 2008-09 recession is a mid-game funk that cuts back everyone’s appetite for heavily funded, long-term bets. A barrageof Content and Distribution players are cut from the roster. Content cuts Ripe despite a $45 million investment.Comcast and Time Warner announce TV Everywhere; Content stands a chance.Score: Distribution 7, Content 6.6th inning (2010)AOL’s Tim Armstrong signs a barrage of free agents, buying custom content maker StudioNow for $36.5 million and syndicationaggregator 5Min for $65 million.Meanwhile, Viacom’s lawsuit against Google/YouTube is dismissed.Score after 6: Distribution 10, Content 7.7th inning (2011)Content publishers repeat mistakes of previous seasons and games, letting video ad networks steal bases and scalerevenues. Despite the intermediation businesses’ lack of differentiation or defensibility, ad networks drive home multipleruns and add to Distribution’s lead.But, as they come up to bat for a second time in the inning, things end abruptly with the bases loaded as would-be acquirersoffer lower price-to-revenue multiples than expected.Score after seven: Distribution 13, Content 8. th8 inning (2011-12)Distribution loses more momentum as perennial Gold-glover Netflix ends error-free game streak with series of bizarremissteps in 2011: reluctance (or inability) to retain key content deal with Starz, a rebranding snafu, and a share price hangover,which lead to the decision to move into content. The wild pitches lead to points for Content.In a sign of the times and the closest thing resembling a trade, Google’s YouTube also signals a shift in strategy, realizing thatno amount of lipstick (algorithms and targeting) will make a pig (dog on a skateboard) look attractive. The company decidesto underwrite $200 million worth of content.Not to be outdone, Hulu surprises some by announcing that it will be spending $500 million in content in 2012 – despiterevenues of “only” $420 million in 2011. It, too, ventures into content.While Content cuts the lead, Distribution’s checkbook reminds all who’s in the lead.Score after eight: Distribution 13, Content 11.And now we find ourselves in the Top of the 9th inning. How do YOU think this game will end?Ad Networks Aren’t Dead YetPosted by joeln @ Critical Mass / February 28, 2012 12:14 pmAn early scene in “Men In Black II” has Will Smith telling Tommy Lee Jones that he [Smith] is “the new hotness” and Jones is“old and busted.” Except that during the rest of the thrill-ride Jones proves to The Fresh Prince and all of America that he maybe old but he certainly isn’t busted. When it comes to online advertising, specifically what I call the “distributed inventorymodel” of ad networks, exchanges, DSPs, trading desks and related tools and platforms, DSPs* and Trading Desks are the newhotness, while ad networks are old and busted.As Jones proves in MiB, the things he knows/does, only he can do–and ultimately hold the key to winning the fight againstgalactic crime-lords. The same essentially holds true in digital marketing. My POV on MiB exhausted, let’s talk more aboutBabelfish Articles Jan-Apr 2012 Page 56
  • that side of this discussion. Ad networks are lambasted nowadays by agencies, sales people, conference moderators and“Sh*t Digital Marketers Say” videos for being old, stuck in their data/targeting/optimization ways, taking too much margin forwhat they deliver, among other transgressions. In contrast, exchanges, DSPs, and trading desks are considered innovative,data-driven, and efficient.That is all true–to a degree.Ad networks certainly have faded to the background, mainly because universalaccess to exchange inventory allowedcompanies to focus on data, targeting and technology instead of inventory acquisition and management. This has been themain driver of digital display innovation for the last 18-24 months and there have certainly been some innovative, clever andvery effective things to come out of this trend.But here’s where my opinion diverges. Ad Networks have one main advantage over the new hotness–inventory relationships.While DSPs and trading desks passively acquire inventory from exchanges, matching advertisers to cookies without regard tosite placement, Ad Networks still proactively forge and maintain relationships with their inventory sources. This means thatAd Networks can contractually negotiate for specific advantages, like first right of refusal on specific content, cookies orplacements, and a guaranteed yield for their publishers. Exchanges cannot offer these benefits. By incentivizing inventorysuppliers the Ad Networks get the things that drive success before competitors. Not to mention these things can be done (andhave been done for years) on a real-time, not pre-bought, basis.Combining these benefits is powerful, as they bring stability that can offer advertisers direct primary access to users onspecific content and placements–not available from exchanges. Ad networks are then able to optimize to cookies and contentwhile exchanges and DSPs (mostly) cannot. Often DSPs have to overbid for lower-value cookies just to deliver campaigns, asmany high-value cookies are already scooped up by the Ad Networks by the time the exchanges get to them. Ad Networksalso avoid the bidding environments and inventory competitions due to their contractual agreements with the publishers,keeping their prices lower.It is important to note, however, that as the climax of “Men In Black II” comes and goes, teamwork is the most important thingto finding success, as it took the unique skills of both Mr. Smith and Mr. Jones together to be successful, and it is the same inthe distributed inventory market. Using the new hotness is fine and encouraged–DSPs can sometimes be very successfuldespite my points above–but I guarantee that forgetting about the old and (not) busted is a mistake. Unless you want yourdigital display campaigns to be obliterated by Vogons. (But that’s a topic for another post.)What do you think? Am I the only one who still sees the value of networks?*While the actual term DSP (demand side platform) has a narrow technical definition, is has come to colloquially encompassany company that accesses display inventory from exchanges and applies rigorous data and targeting to that inventory.Globo tem pior audiência dos últimos 40 anos02 de marco de 2012 · 09h35Desde que passou a liderar na audiência brasileira, há mais de 40 anos, a Globo nunca fechou um mês com números tão baixosquanto os apresentados em fevereiro deste ano. De acordo com dados divulgados pelo colunista da Veja Lauro Jardim, aemissora registrou média de 14,4 pontos no mês.Há um ano, diz Jardim, o canal carioca fechou fevereiro com média de 15,9 pontos no Ibope da Grande São Paulo - maior praçado país, onde cada ponto equivale a 58 mil domicílios."A notícia só não é tão ruim para a Globo por que nenhuma das concorrentes ganhou público no mês passado – tanto emrelação a fevereiro de 2011 quanto em comparação a janeiro deste ano", afirma o colunista.Os dados mostram que a Record se mantém na vice-liderança, com média de 6,8 pontos, sendo que em 2011 eram 7,2. Todascaíram: SBT foi de 5,6 para 5; Band, de 2,5 para 2; e RedeTV!, de 1,4 para 1,1.A redução se deu por conta da diminuição na quantidade de televisores ligados, no mesmo período: de 41,9 para 39, em média.Since it went on to lead the Brazilian audience, more than 40 years, Globo has never closed a month with numbers as low asthose presented in February this year. According to data released by the columnist See Lauro Jardim, the station registered anaverage of 14.4 points in the month.A year ago, says Garden, Rio closed the canal in February with an average of 15.9 pointsIbope in the Greater Sao Paulo - the countrys largest square, where each point equals 58,000 households."The news just is notso bad for the Globe that none of the competitors won the public last month - both in relation to February 2011 as comparedto January of this year," says the columnist.The data show that the Record remains in second position, averaging 6.8 points,and in 2011 was 7.2. All fell: SBT was from 5.6 to 5; band of 2.5 to 2, and RedeTV! Of 1.4 to 1.1.The reduction was due to thedecrease in the amount of televisions on the same time: 41.9 to 39 on average.Babelfish Articles Jan-Apr 2012 Page 57
  • The Credit Card Is The New App PlatformThis is a guest post written by Reid Hoffman, Ali Rosenthal and James Slavet from Greylock Partners.Credit and debit cards are ubiquitous, but they’re mostly pretty dumb. That’s about to change. Over 170 million people in theU.S. have credit cards, and the average card holder has 3.5 of them. And those totals are not even counting debit cards, whichare roughly 40% of the total market and growing. That’s a crap load of plastic! In spite of the promise of mobile payments,plastic cards are not going away any time soon.We’re at the early stages of a massive wave of innovation in the payment industry. It’s like when Apple launched the iOSplatform for mobile developers. The platform in this case is the payment network. Software developers will add newcapabilities to cards by programming the payment network to link online applications to specific payment events. Consumerswill be able to effectively “drag and drop” apps to their smart cards in the same way that they add apps to their smartphones today.We’re big believers at Greylock in the future of “online to offline” commerce, and we’re seeing a ton of innovation in thisspace. One of our portfolio companies, CardSpring, announced a major partnership with First Data earlier this week. We’veinvested in several other “online to offline” commerce companiesincluding,Groupon, Shopkick, Swipely, TrialPay and Wrapp. And there are many other companies innovating in thespace, including startups like Square, and established companies like Google, American Express and Visa.For all of the attention focused on online commerce, the market opportunity for “online to offline” commerce is way bigger.Online commerce is now a $200 billion industry, but it’s still small compared to offline transactions. Up to 70% of consumerspending is influenced by Web and mobile research, but over 90% of actual transactions are still conducted in the physicalworld. Several major industries are motivated to see this new app developer ecosystem take flight. Retail marketers knowthey can advertise more efficiently if they can actually track and close the redemption loop from online browsing to offlinebuying. Major consumer internet and financial services companies are also highly motivated, as they see a path to greateradvertising and promotion-based revenue if they can demonstrate more marketing value through closing the loop. Onlinebudgets that are directed at social ad campaigns will further expand as consumers share experiences connected to theiroffline card transactions, including reviews and gifting. So what will be the impact of this emerging app platform on the cardcarrying public?Expanded memory: If you’re like most people, it’s hard to keep track of all of your paper and plastic. With cloud-connectedcards, you can clear out your desk drawer or wallet. Instead of holding on to that Red Lobster gift card, REI loyalty card andprinted Groupon deal, you can add these to your card, and receive benefits automatically when you make a purchase. You canalso store a digital receipt or warranty on your card rather than keeping these in a filing cabinet in the basement. You’ll bekind of like Bradley Cooper in “Limitless”, without the creepy smile or the terrible side effects.New spending habits: The ads and offers that you receive today via the Web and mobile are mostly blind to how you’reactually spending your money in the physical world. As these databases are more intelligently connected, the offers youreceive will become significantly more relevant and compelling, based on where you spend your actual time and money. Noteto payment network innovators: it’s critical that these programs are introduced in a way that protects consumer privacy andretains consumer trust.Our spending habits tend to be just that, habits. So if you drink coffee at Starbucks three times a week but never try any oftheir food, you’ll receive an offer to try one of their fruit plates. Or if you buy gas at a Shell Station on your way to work oncea week, you’ll be offered a better deal at the Texaco that is right across the street. The discount you receive from a merchantmay also vary based on how hard they think your existing habits are to break. Merchants will be able to dynamically managesupply and demand in their local market by testing real-time what types of discounts and offers they need to offer so as toacquire foot traffic. So Supercuts might offer “40% off” if your historical buying patterns are concentrated 5 miles away, and“10% off” if your transactions are centered 5 blocks away.Validated check-ins and reviews: One potential downside of most consumer review sites is that published opinions aredominated by a small, vocal minority. There’s value in getting a broader sampling of people to share their views. A growingpercentage of reviews on sites like Yelp and check-ins on sites like Foursquare will over time be tied to actual transactionactivity. When you and your friends buy, you’ll be asked via email or text message if you’d like to check-in or provide areview. As a result, more customers will provide feedback and recommendations, and the information they provide will bebetter validated, in connection with actual transaction activity. A review or check-in will carry additional weight when it’sbeen validated.Quantified self: The “quantified self” is an emerging trend in the digital health space. Early adopters and fitness buffs arewearing devices like Fitbits and Nike FuelBands to track their heart rates, calories burned, quality of sleep and more, so thatBabelfish Articles Jan-Apr 2012 Page 58
  • they can measure and improve their health and performance. The cloud-connected credit card will also deliver a stream ofvaluable intelligence based on your transaction behavior. Your health data stream alone could include how much of your dietis fast food, how often you actually visited your health club, and how many times you stopped for coffee (aka “yourcaffeinated self”). Your appified card can also deliver you informed insights on your spending activities across other lifecategories so that you can optimize decisions and be your best self.Status Redefined: Today you receive mostly siloed benefits, based on your transaction history with a single company. So forexample, you may get upgraded to first class on United Airlines or you may get access to the Red Carpet Club if you’veamassed status through flying a hundred thousand miles with United. But in the evolving world of rewards, United might tryto win you over with compelling offers if you are a high value traveler who currently travels mostly with other airlines, orthey might offer you rewards if you’re someone who has especially high influence through your online social activity. You’llearn points on your appified card based upon your reviewing, liking, pinning and sharing, and you’ll gain status with retailersand brands for reviewing and promoting what you believe in.It’s an exciting time in the payments industry. There are several hundred million people in the U.S. walking around with plasticin their wallets. Developers are now poised to build and launch a wide range of promising new applications to super-chargethese cards. Game on!Rebooting Media: What a Think Tank on the Social Web DiscoveredThis is a guest post by Ben Elowitz, co-founder and chief executive of Wetpaint, a Web publisher, and author of the DigitalQuarters blog.In the last several years, social media has gone from a college fad to the fabric that connects the internet. Yet even as ithas taken over the wiring of the web, there is no established blueprint for what media companies should do with it. When mycompany, Wetpaint, began trying to reinvent media for the social web last year, I went looking for the person who has all theanswers. And I found out there isn’t one. But there are a lot of bright, inquisitive people who have been running their ownexperiments and trying to find a way forward. Wouldn’t it be great to get some of them together to make a new think tankfor the social web?In conjunction with the release of our new series Rebooting Media: The Digital Publishing Revolution for a Fully SocialWeb,Wetpaint and Digitas convened a group of leaders and journalists with a live audience to attack the question “How doyou reinvent media for a social world?”The conversation featured five leading executives: Jeff Berman, general manager of NFL Digital; Greg Clayman, publisher of TheDaily; Lewis D’Vorkin, chief product officer at Forbes Media;Wenda Harris Millard, president and chief operating officer ofMedia Link; and Jason Hirschorn, curator of Media ReDEFined. And who better to prompt the tough questions than threeleading digital media journalists? Our conversation included Jeff Bercovici, Mixed Media writer for Forbes; Jessi Hempel,senior writer at Fortune; and Erick Schonfeld, editor of TechCrunch.The lively 90-minute conversation, hosted by Digitas senior vice president John McCarus and me, covered three importantthemes for the future of media: search vs. social discovery; content creation vs. curation; and paid vs. earned media. I’vesynthesized and highlighted the contributions below.Theme 1: Search vs. Social DiscoverySearch is utility, social is discovery. Jason Hirschhorn opened the session stating, “Pure discovery is in what you weren’tlooking for. In search, I’m determined, I have a path. The only real discovery in search is ‘I’m Feeling Lucky.’” And he’s right.Search has never been about discovering something new but rather finding what you want once you know what you want.Social, on the other hand, is all about serendipity. “With search I think of words like utility and efficiency; it’s purposeful,”added Wenda Harris Millard. “With social discovery, there’s an element of surprise and then, hopefully, delight.”Are social users more valuable? This was surprisingly debated in the conversation, reflecting different experiences fromdifferent publishers and reflecting the difference in methods used to draw social traffic. For example, Forbes seesdisproportionate traffic from LinkedIn to reach its largely male and older-skewing audience. Lewis D’Vorkin shared, “Whenyou talk about running a business, the person who comes in through search is a very valuable person—more than the personwho’s coming in through social. Social users are fleeting users, not necessarily loyal to the site.” But at Wetpaint, it couldn’t bemore different. As I shared with the audience, we see two to three times the value with social visitors—50% more frequency,25% higher duration, and a virality lift on top of that.Ultimately, social and search will converge. As Google works on deciphering the social code and Facebook moves closer totaking over the entire digital world, we are headed toward a merger of search and social. Jeff Berman illustrated this point:“The intersection between social and search is growing. I go to Google and search “bunk beds” and I get a set of uselessresults. I go to Pinterest and you wouldn’t believe what I find. That really is the intersection of social and search: It’s utility-driven, it’s purpose-driven, and yet the discovery is that much richer, that much more useful.”If you look a few years out and you say where’s social and where’s search, they’re in the same place. There’s a mergerbetween the two. These two spaces are on a collision course, and it’s clear that the future will interweave them in ways wehaven’t yet imagined.Theme 2: Content Creation vs. CurationCurators are the new editors. As we’re overwhelmed by an increasing number of voices and information channels, we look tocurators to sort through the clutter and tell us what’s important. “A curator is an editor, essentially. You become a trustedsource by doing the hard work for your audience and telling them what’s important, whether you’ve written it or not,”inserted Schonfeld. “Traditionally that’s been the role of great newspapers; now that function is being spread across theweb.” How Social Login Is Changing Business--and Your Privacy. Curators help to expand a publisher’s reach, but the publisherrisks losing credit (and traffic) when setting its content free. Ultimately, curators who link back and republish only enough topique interest will keep publishers happy. Berman, who runs digital for the NFL, had strong views on this subject: “A lot ofBabelfish Articles Jan-Apr 2012 Page 59
  • money goes into making a piece of content, and then it shows up on somebody else’s website where they are ‘curating.’That’s one word for it, and ‘stealing’ would be another. That’s a difficult balance. We want them to put our content out there,but ultimately if you don’t come back to us, then we’re not capturing the full value.”Theme 3: Paid vs. Earned MediaYou pay for earned media, too. There is no earned media without paid media. Social network distribution hinges on qualitycontent at the outset, which means that investing in your content before you publish it in the social feed is crucial.“People loved the Old Spice ads.” Greg Clayman observed. “They were great and funny, and they blew up on YouTube, andthere was a lot of earned media behind that. And none of it would have existed if there weren’t a TV spot that was made andbought and placed and that was very, very good.”Hirschhorn added, “A lot of the ‘earned’ arguments came from viral sensations wearing it as a badge of honor: ‘We spent nomoney on traditional marketing.’ People forget the impact that print, radio, and television have on online traffic. When I wasat MTV Networks, I used to joke that the channels were only there to promote the websites.”What’s next?What does the next decade look like? One thing is for sure: it will look nothing like the last one. Search vs. social, curated vs.created, owned vs. earned—these are not binary outcomes. How do we combine them in a way that meets the needs of theaudience? In answering that question lies the path to the re-establishment of our industry’s success.To download the complete report that inspired this conversation, please click here: Rebooting Media: The Digital PublishingRevolution for a Fully Social Web1 in 5 Smartphone Users Who Search Locally Make Online PurchaseFebruary 29, 201221% of US smartphone internet users who have looked for information about local businesses or services on their device haveacted on that information by making a purchase from the business online, while one-quarter have made a purchase in-store, according to [pdf] a Google survey released in February 2012. A significant proportion have also called the business orservice (51%), looked up the business or service on a map (49%), visited the business (48%), and visited the website of thebusiness or service (47%).Overall, 92% of US smartphone users seek local information, with 89% of those having taken action after looking up localcontent.According to a February report [pdf] from DudaMobile, consumers are likely to take immediate action on mobile-friendly sites:for mobile-friendly websites powered by DudaMobile, nearly 1 in 5 visits to a small business website leads to an immediatecall to the business, with that rate significantly higher for transportation (44%), pizzerias (32%), and car service (28%)companies.Smartphone Users Purchase FrequentlyData from Google’s “Our Mobile Planet: Global Smartphone Users” indicates that roughly one-third of US smartphone internetusers (smartphone users who use the internet in general) have made a purchase on their device. Of those, 20% purchase on adaily basis, while 14% do so a weekly basis. In all, more than 3 in 5 US smartphone shoppers purchase products or services ontheir device at least monthly. In fact, a majority of smartphone shoppers across the 6 countries studied (US, UK, France,Germany, Spain, and Japan) purchase on their device at least monthly, led by those in Spain (64%).Device Influences Purchase Decisions35% of US smartphone users say they intentionally have their device with them to compare prices and inform themselvesabout products, while roughly one-third have changed their mind about purchasing a product in-store as a result ofinformation they gathered using their smartphone. About 3 in 10 report having changed their mind about purchasing a productonline as a result of the information they gathered.Smartphone Research Fuels Offline PurchasesSmartphone users researching products and services on their device end up purchasing from a variety of channels. In fact,they are 14% more likely to purchase offline than via their device (32% vs. 28%), although they report most often buying via acomputer after using their device for research (36%). The tendency for smartphone researchers to favor stores over theirdevices for purchases was also found when Google surveyed 2011 holiday shoppers: according to results from that survey,also released in February, 46% of holiday smartphone shoppers researched on their device and then went to the store tomake their purchase, compared to 41% who researched on their device and then purchased on their smartphone.About the Data: The Google survey results are based on online interviews with private smartphone users who use the interneton their smartphone. The sample size was 1,000 each in the US, UK, France, Germany, Spain, and Japan. Interviews wereconducted by Ipsos in Q1 2012 (fieldwork in January/February).A Scientific Model For Multi-Touch Attribution And Ad Optimizationby Robert L. Marsa, Thursday, March 1, 2012It’s becoming widely known that attribution and optimization both play important roles in helping online advertisers improvethe performance of their cross-channel digital campaigns. But today, many attribution and optimization methods still rely onsimple models and human intervention, which are fraught with errors and pitfalls when it comes to accurately and effectivelyimproving ad campaign performance over time.To start, let’s talk about attribution. The two most common attribution models are “last event” and “ad hoc weighting.” As thename implies, last event assigns 100% of the credit for a conversion to the last event (such as a click), even if that click wasBabelfish Articles Jan-Apr 2012 Page 60
  • influenced by a whole series of other display or search advertisements over time. Ad hoc weighting assigns decaying weightsto events that are further in the past, but may add a bonus for the first ad seen.The problem with both models is they’re based on subjective assumptions, not on scientific analysis. Instead of relying onguesses, why not let the data itself demonstrate the effectiveness? If a particular ad is effective, shouldn’t users who sawthat ad be more likely to convert than users who didn’t? Shouldn’t we be able to measure this lift from the data?The answer is a qualified yes. As long as you have access to all of the data -- including converting and non-converting users-- you can accurately and objectively assign the proper credit for conversions using algorithmic attribution analysis. Only thisapproach to attribution will give you the effective recommendations you need to improve your cross-channel campaigns overtime.Now, let’s discuss advertisers looking to improve the performance of their ad campaigns using optimization.A common approach to optimization is to conduct a series of A/B tests comparing different sites, creatives, ad positions, each other and then keep the best at each step. The problem with this approach is that it can’t properly handle thecomplex non-linear interactions of the real world, and therefore will never result in a completely optimal set ofrecommendations. Let’s examine why.Say an advertiser conducts an A/B test to compare creative 1 with creative 2 to determine which provides better performance.In this case, let’s assume the results show that creative 2 is better. The advertiser is then going to evaluate if creative 2works better on site B or on site A. If this test shows that site B performs better than site A, the advertiser will move forwardby advertising using creative 2 on site B.The problem with this method is clear. The advertiser has never tested creative 1 with site B since creative 2 performedbetter in the first test. It may be the case that creative 1 gives the best performance when used in combination with site B. Aseries of linear A/B tests like these, while commonly done, will never produce the accurate results advertisers need.The best solution is to use an algorithmic approach to optimization that simultaneously analyzes all possible scenarios to seewhich combinations produce the best incremental results. This creates an accurate predictive model that takes into accountall of the non-linearities and interactions. Once this model is in hand, we can find the optimal point subject to budget, volume,and bidding constraints.When leveraging attribution and optimization in campaigns, one thing is clear: only an objective scientific model canaccurately predict how advertisers should adjust campaigns to improve results. In this increasingly complex cross-channel adworld, it is becoming even more important for brands to make sure they are applying such principles in their campaignmeasurement initiatives.Robert L. Marsa, Ph.D., is VP of Technology at Adometry, Inc., where he oversees the companys development process, productarchitecture, research directions, and technology platform.5 Reasons You Need to Meet in PersonMy clients are just like yours: They want to Skype, email and text. But heres why you still need face time.When the daily avalanche of emails and voice messages gets overwhelming, it’s so tempting to retreat to my office and starttyping replies and returning phone calls. That’s one of the biggest mistakes I can make.No matter what industry we’re in, we’re all in the people business. We’ll only be successful if we really get to know ourcustomers and colleagues. Many of my tech marketing clients are so busy that they now prefer texting to even emails orcalls. Skype, WebEx and audio calls are convenient and create the illusion we’re actually having a meeting -- but nothingbeats the power of a truly personal, face-to-face connection.What can you learn from an in-person meeting that you can’t from a virtual one?1. Youre off the record. In Silicon Valley and many other places, there are few private offices. Many of my clients work incubes and can’t have private telephone conversations with me or anyone else. This means that when I talk to them on thephone, I might not get to hear the most important information they can share: the unique team dynamics or executive’spersonality quirks that would make or break our ability to match an expert consultant. Over sushi or a latte or a walk aroundthe block, my clients can let me know more -- with more color -- than they can over the telephone or in an email.2. Make use of not-so-small talk. Most business conversations are focused on solving a problem quickly and efficiently,while business relationships are built when people take the time to share and learn more about each other. That happensmore naturally in person than over the phone or in an email. What cements a bond between people? Small talk about afavorite team, passion for pecan pie, parenting challenges, and the other bits and pieces that make us unique and interesting.3. Make an impression. I bought a new handbag. It’s faux ostrich and it’s pink. Really pink. I’ve received compliments on itfrom every woman (and one man) I’ve met with in the past two weeks. I had worried it was perhaps not professional enoughfor business. But the style and color were bold, “spring-y” and made me smile. Who knew my $60 knock-off handbag would beBabelfish Articles Jan-Apr 2012 Page 61
  • such a great conversation starter and deliver such a strong personal statement? How do you do that over Skype?4. Read the body language. Facial expressions often communicate so much more than words. We host consultant coffeesand invite a handful of independent consultants to our office in order to better understand the nuances of each professionalin a relaxed setting. We need to know what isn’t on the resume that makes each person unique. In their eyes and in their bodylanguage, we can see confidence, empathy, fear, friendliness or sincerity. That ability to “read” a candidate beyond theirkeywords is a huge competitive advantage for us.5. Learn where the action is. I find out so much when I visit one of my clients in their office. Is the lobby bright and invitingwith recent accolades proudly displayed? Do employees seem happy? Is there free juice and healthy snacks in the cafeteria?Brand new Herman Miller chairs in the conference room? Is everyone moving in slow motion or is there a palpable buzz? Theenvironment speaks volumes and may factor into your business proposal or plan. By understanding company dynamics, wecan communicate more effectively to meet their needs.I love new technologies that allow me communicate with others more freely and quickly. But as a business owner, I try toremember customers want to work with someone they can relate to, not just buy from.And I believe in walking the walk. Want to meet me in person? Ill be at the Faz Restaurant lounge in Pleasanton, California onWednesday, March 7 between five and seven. Meet my team and join us for a drink. RSVP to @renesiegel.I’ll be the one with the really pink purse.René Shimada Siegel is Founder and President of High Tech Connect, a specialized consultant placement firm for marketingand communications experts. You can follow her on twitter at @renesiegel.Accenture The Point Of View: Talent & OrganisationsFebruary 2012Are you focusing so much on the technical side of your enterprise systems implementation that you’re neglecting to helpyour organization cope with the changes that the system makes to the way people work?Corporate IT is undergoing rapid and dramatic change today, driven in part by the rise of cloud-based platforms andsoftware-as-a-service offerings. Despite these developments, large enterprise resource planning (ERP) systems will continueto be vital enablers of much of the world’s commerce and public-sector work. Maximizing the ROI of these systemimplementations and upgrades is critical to success in any industry. One of the sticking points: dealing with the human andorganizational implications of technology and process change.An ERP implementation almost always entails sweeping changes to how work is done across an organization. Such a systemalters business processes, roles, reporting relationships, how customers are served, how data is gathered and maintained, andmuch more. A typical organization will devote some number of resources to employee training as part of the implementation,but such programs are often insufficient for a number of reasons. Analyses of training needs are sometimes superficial.Employees without skill sets in learning development may be tapped to create the training. Training may be offered too lateto make a real difference in workforce performance and is not sufficiently refreshed over time. And so on.However, if successfully planned and implemented, an enterprise learning and organizational change program can have amajor effect on the success of the overall ERP implementation. Based on extensive experience with thousands of enterprisesystems implementations worldwide, the following are nine important insights into how organizations can deliver a moresuccessful ERP implementation with a learning and change management program.1. Assign a healthy mix of skills to the training team. Developing enterprise learning requires a highly specialized skillset; it’s not something that just anyone can do. Make sure you have experienced learning professionals on the team. At thesame time, include a mix of technology and business function perspectives. If you assign all your most qualified andknowledgeable colleagues to the design, build and test teams—while assigning less experienced technical people totraining—you will rarely produce a satisfactory result. Consider rotating systems and business function personnel in and outof the training and change initiative for periods of time, while maintaining a core set of skilled instructional designers.Babelfish Articles Jan-Apr 2012 Page 62
  • 2. Involve the training team early and integrate them with the larger project. Systems training is not simply a generic,off-the-shelf program. Every implementation is different because every organization’s needs are different. Include thetraining function as an integral part of the development team from the beginning. You can start with a small group whosemembers will later become the experts for each functional area and remain on the project for the whole duration. Alsoinclude a broad mix of roles, integrated across functional business areas: subject matter experts, system developers andtesters should all be actively involved. Consider nominating an “integration champion” who is responsible for looking acrossall the areas and making sure they are represented in the training solution.3. Coordinate training within a broader change management initiative. The impact of a new or updated system goeswell beyond the new knowledge and skills that will be required. In addition to developing specific classroom or web-basedlearning opportunities, enterprises should think in terms of enabling new behaviors, working relationships and organizationalstructures. A threefold approach is involved, one that includes training, change management and organizational alignment.Such an approach can make sure that specific learning programs are in sync with the broader organizational change initiativeand that everyone receives consistent information and support.4. Use an iterative approach to training-needs analysis. Getting the training-needs analysis right is critically importantto the success of the entire project. Especially vital is thinking in terms of the end-user’s performance needs rather than justabout the technical details of the system. A training-needs analysis is often created during workshops with the design-and-build teams; their important insights into technical details must be balanced with the insights of others who understand thebroader impacts on the behaviors of users. Training is not just about how to use a system; it is more about learning the newprocesses that are supported by that system. Take an iterative approach rather than attempt to define training needs all atonce, too early in the initiative. Also be sure to refresh the needs analysis with every release update of the system so thatthe training offerings are continuously aligned with the system and business processes.5. Employ innovative and engaging learning approaches and collaboration technologies.Instead of over-relying onpassive classroom training, offer more innovative approaches—web-based learning, simulations, collaboration tools andsocial media platforms. Intranet sites can be established to post news and support materials, share information and to getfeedback from users. Social media platforms can provide the means for everyone to contribute timely information as well asuser-generated content in text, audio or video form. Knowledge databases in wiki formats can formalize ways to collect verycurrent perspectives from across the organization. Podcasts or videocasts can engage employees and let them hear a rangeof leadership perspectives. Simulations can help them better understand the new ways processes need to be performed.6. Create strong executive sponsorship. According to Accenture research and experience, training programs and changemanagement initiatives may account for anywhere from 15 percent to 25 percent of the overall budget of an ERPimplementation project. That can be a significant number, and as money becomes tight, it might be tempting to make cuts inworkforce enablement programs. Strong executive-level advocates are needed to keep those programs funded and on track.Without that advocacy, a multimillion-dollar ERP investment may fail to produce its intended benefits as users struggle toperform, resulting in delays, quality issues and substandard customer service.7. Assess progress and results in a rigorous manner. Too many training evaluation programs are little more than point-in-time temperature checks of whether a few employees are satisfied with a particular class. Whether the training actuallyhas an impact on the business is rarely evaluated. Aim to produce a more robust and comprehensive training scorecard thatassesses user evaluations of relevance and impact on individual performance, but is also augmented by more objectiveassessments of user adoption, process performance and the effectiveness of the change journey.8. Balance cost-saving standardization with value-adding localization. Standardized training experiences are more costeffective, but tailored offerings can increase the positive impact on users within particular units or local geographies. Findingthe right balance is important. Begin by developing the major portion of the training (often as much as 80 percent will becommon across target groups) that can be reused. Then add only the local specifics required for business-criticalsubprocesses and specialties. Having training available in local languages is also important, but costs (for both creation andmaintenance) need to be considered. Sometimes it is sufficient to have a trainer who speaks the local language translateinstruction from the master materials, instead of a costly complete translation.9. Focus on sustaining the training investment. One of the significant reasons for underperformance on an ERPinvestment from a workforce performance perspective is that organizational changes and new ways of working are notsustained beyond the initial training period. Materials are not updated, accountability becomes muddled and budgets dry up.Often, it is not clear whether the IT department or the HR function should bear responsibility for workforce enablement andsupport as time goes on. To address this problem, an entity should be identified (or created) that has the incentive andallocated budget to maintain the training solution and change initiative over time.Getting more from your ERP investmentERP implementations are a big investment, with sweeping implications for the performance of people and the organization asa whole. How users perform and function based on the new system is a critical question to be addressed. Sustained by theright training and change programs, people can perform new processes effectively and efficiently. Organizations shouldexperience less of a dip in productivity when the system is turned on, and they can be more nimble in seizing marketplaceopportunities.About the authorsRoman Schachtsiek is a senior manager specializing in learning and collaboration solutions with the Accenture Talent &Organization group.Johannes Cruyff is a senior director specializing in learning and collaboration solutions with the Accenture Talent &Organization group.Also contributing to this article were Christopher Kläsener, consultant, and Angelina Vilouta, senior manager, with theAccenture Talent & Organization group.Babelfish Articles Jan-Apr 2012 Page 63
  • The Digital FutureThursday, March 1, 2012Sparked by a wave of innovation in digital device hardware and technology software platforms, accompanied by consumers’rapidly increasing digital consumption habits, 2011 signaled a momentous year ahead, says the comScore 2012 U.S. DigitalFuture in Focus report.The report examines how the prevailing trends in social media, search, online video, digital advertising, mobile and e-commerce define the current United States marketplace and what these trends mean for the year ahead.Linda Abraham, comScore CMO and EVP of Global Product Development, says “... 2012 promises to be an exciting year for thedigital media industry... the explosion of available content and proliferation of web-enabled devices drives the evolution ofthe digital consumer... “Key insights from the 2012 U.S. Digital Future in Focus include:I. Facebook-Led Social Media Market is Redefining Communication in the Digital and Physical WorldsSocial Networking accounted for 16.6% of all online minutes at the end of 2011 and is on track to surpass Portals as the mostengaging online activity in 2012. Facebook continues to lead as the driving force behind this shift in consumer behavior,accounting for the largest share of online minutes across the entire web in 2011.Among the many beneficiaries of the growth and innovation in display advertising are web publishers. The leading U.S.publisher of display ads in 2011 was Facebook with more than 1.3 trillion impressions (27.9% market share), more than doublethat of #2 publisher Yahoo! Sites at 529 billion impressions.Advertising on Facebook, which combines many of the attributes of search such as granular targeting, small ad formats andself-purchased ad buys, presents a unique offering for many marketers looking to bridge their search and display advertising.Top Ten U.S. Online Display Ad Publishers (Jan-2011 to Dec-2011, U.S.; Number of Impressions in Millions)Publisher Impressions (MM)Facebook.Com 1,343,170Yahoo! Sites 528,993Microsoft Sites 215,650Google Sites 173,929Aol, Inc. 131,373Turner Digital 73,588Glam Media 54,810ESPN 47,096Viacom Digital 38,532Ebay 34,464Source: comScore Ad Metrix, February 2012II. Bing Gains Ground in SearchAlthough Google maintains a strong lead in the U.S. search market, one of the most notable stories in search in 2011 was Bing’spositive growth trajectory. Bing closed out the year by surpassing Yahoo! for the #2 position among core search engines forthe first time in its history, bolstered in part by its social search partnership with Facebook implemented in early 2011.As the web continues to grow in size and complexity, the role of search has become critical to its practicality and value.Despite the U.S. search market’s overall maturity, it continued to grow at double-digit rates, posting an 11% increase in 2011.This growth was driven by a 3% gain in unique searchers and a 7% gain in the number of searches per searcher, highlightingthat increasing search intensity per searcher explains the majority of the double-digit gain in the past year. With the U.S.being a very mature market for search, continued volume increases will rely on driving a greater number of searches persearcher, which ultimately depends on delivering more value to the end user with high quality search results.U.S. Explicit Core Search (% Change; Dec-2011 vs. Dec-2010, U.S.) Searches Unique Searchers Searches per SearcherTotal Internet 11% 3% 7%Google Sites 10% 2% 7%Microsoft Sites 40% 6% 31%Yahoo! Sites 1% -2% 3%Ask Network -8% 0% -7%AOL Inc. -8% -19% 14%Source: comScore Search, February 2012III, Online Video Boom Signals Sea Change in Video EcosystemOnline video viewing witnessed impressive gains across a variety of measures in 2011, signaling a behavioral shift in howAmericans are consuming video content. More than 100 million Americans watched online video content on an average day toclose out 2011, representing a 43% increase versus year ago.In 2011, Americans viewed more online video content than ever before, as evidenced by strong increases across several keyviewing metrics. In addition to more daily viewers, the number of video streams jumped 44% to 43.5 billion in December 2011.One of the key behavioral shifts in online video continues to be the increasing adoption of long-form video content viewing,Babelfish Articles Jan-Apr 2012 Page 64
  • as Americans watch shows and movies on-demand over the Internet. The average number of minutes per video view rosefrom 5.0 minutes to 5.8 minutes by the end of 2011 with the average viewer watching 239 videos (up 37%).Growth in Total Online Video Content Market (Dec-2011 vs. Dec-2010, U.S.) Dec-2010 Dec-2011Average daily unique viewers (millions) 73.7 105.1Videos viewed (billions) 30.1 43.5Videos per viewer 175.0 239.0Source: comScore Video Metrix, February 2012IV. Digital Advertising Enters Era of Increased Accountability as Brand Dollars Continue to Shift Online4.8 trillion display ad impressions were delivered across the U.S. web in 2011 as brand advertisers continued to shift dollars tothe digital medium. This shift in ad dollars has magnified the need for greater transparency and accountability in ad deliveryacross the digital advertising ecosystem.V. Smartphone and Tablets Fuel the Rise of the Digital OmnivoreThe rise of smartphones and tablets has drastically altered consumers’ digital media consumption. In 2011, the majority of allmobile phone owners consumed digital media on their device, marking an important milestone in the evolution of mobile fromprimarily a communication device to also a content consumption tool.In December 2011, 8.2% of all digital traffic (page views) occurred outside of the classic web, with mobile accounting for 5.2%of traffic, tablets driving 2.5% and other connected devices accounting for less than 1%. In many cases smartphones andtablets have provided incremental reach and engagement to classic web activities, while for others, such as map content andemail, these devices have started to cannibalize this behavior on the classic web.Share of Connected Device Traffic in the U.S. (Dec-2011, U.S.)Connected Device Share of TrafficClassic web 91.8%Outside classic web 8.2% Mobile .2% Tablet 2.5% Other 0.5%Source: comScore Device Essentials, February 2012VI. E-Commerce is Back and Better Than EverDespite the backdrop of continued economic uncertainty, 2011 was a strong year for retail e-commerce. Throughout the year,growth rates versus the prior year remained in double-digits to significantly outpace growth at brick-and-mortar retail.Total U.S. e-commerce spending reached $256 billion in 2011, up 12% from 2010. Travel e-commerce spending grew 11% to $94.5billion, while retail (non-travel) e-commerce spending jumped 13% to $161.5 billion for the year.VII. One of the more significant trends in online communications is usage attrition in web-based email services asconsumers shift to social media and alternate communication channels. The most notable declines in webmailengagement have been occurring among teens age 12-17 (down 31%) and 18-24 year olds (down 34%.). That 18-24 year olds arenow moving away from webmail suggests a larger and more permanent shift in email usage may be occurring. Part of thisshift is attributable to the rising role of mobile devices in consumers’ digital lives, which is directly impacting how peopleengage with the classic web. The mobile email audience for both age segments saw double-digit growth in the past year,with mobile email users age 18-24 climbing 32%Percent Change in Time Spent Using Web-Based Email (Dec-2011 vs. Dec-2010, U.S). Change in Use vs. 2010Age 12-17 18-24 25-34 35-44 45-54 55-64 65+Change -31% -34% 0% -1% 15% -7% 4%Source: comScore Media Metrix, February, 2012For additional information, please visit comScore here, or to view the webinar or access the PDF file of the complete report, gohere.Tips for Marketers Selecting a Digital AgencyAugustine Fou | March 1, 2012Over the last 12 months, I have seen a dramatic increase in the number of clients looking for new agencies or new digitalagencies. And I have seen a huge increase in the number of jobs listed on LinkedIn that have to do with digital marketing,social media marketing, or mobile, both on the brand or client side as well as the agency side. This makes sense since mostbrands have done a variety of tactics in digital and social media in recent years. Now they are looking to take it to the nextlevel by identifying best practices, new ways to better integrate the tactics, and also the right metrics to use to measureeffectiveness and business impact or ROI.How to Tell if Your Agency Sucks at Digital - 5 Red FlagsUnfortunately, most traditional agencies are not well-equipped to do digital, even though all of them now "hang a shingle"and tell their clients they also do "digital." Clients know better and can usually see right through that. Thats why they arelooking elsewhere for real expertise. Even some of the traditional web development agencies dont know or do digital well atBabelfish Articles Jan-Apr 2012 Page 65
  • all. They sure know how to make websites, but they are novices when it comes to digital strategy and marketing across all ofthe new disciplines such as search, social, and mobile.But how can you tell if your agency really knows digital, or not? Here are five red flags to look out for:1. They pitch you a Chinese menu of tactics along with pricing for each before they ask you what your business objectivesand marketing challenges are.2. There is no explicit correlation between the proposed tactics and the business priorities or objectives of the marketingcampaign.3. They fail to specify what metrics to use to measure the campaign effectiveness or business impact or fail to define whatsuccess means, in terms of the metrics that need to be achieved.4. They keep talking about branding and "storytelling" and refer to "reach and frequency" and getting your message out totargeted audiences. In digital, it matters less the number of people you "shout" your ad at; it is more important the rightpeople find your information and use it or pass it along.5. There is an inherent conflict of interest - for example, the tactics they recommend are the things they make money on,like the making of web pages or Facebook pages, the placing of media on social networks, etc., and they are the onesreporting analytics back to you to tell you if the campaign was successful or not - how could it not be successful?Hard Questions to Ask and Terms to Insist OnAs a corollary to the above, here are hard questions to ask of the agencies you are considering for deploying your digitaltactics:1. If they claim to be social media experts, ask them to show you proof. If they show you their Facebook or Twitter pageand then cite the number of followers, dont hire them. They will do the same for you - i.e., count followers (which isthe wrong metric to use to gauge business impact).2. If they claim to be search experts, ask them to show you proof - which search terms do they actually rank for; can youfind any of the articles (if any) they published via search? If they cant show you this kind of evidence, dont hire them. Theywill be learning to do this stuff on your dime and on your time.3. If they cite focus groups and surveys (subjective and unreliable method to support subjective and unreliable creative) toback up their claims that the creative "resonates," fire them before you hire them; they are clearly not in tune with digital -the speed of the "read and react" that is necessary and the opportunity to listen in real time via search and social media.4. If they claim to be knowledgeable about digital or claim a specific view point, ask them to show you proof - in the formof published articles, transcripts of tweets, quotes, citations, etc., and the dates of these references. If their experience,knowledge, and viewpoints cannot be backed up by a publicly published track record, dont hire them.5. If during the pitch they bring a hodgepodge of people from "partner" agencies, ask who has actually done work with themon past projects and ask explicitly who will be working on your projects if they win. Most of these so-called partners havenever worked together before and you will get subpar service and subpar knowledge as they figure out how to collaborateon your dime.6. Insist on project-based scopes of work, with a clear beginning and clear endpoints, timeline, and deliverables. Based onexactly such a scope, ask for project-based pricing too - and always triple-bid every project. This way, you know if thepricing is right and you will learn further nuances and details you may not have even thought to ask for, based on theresponses of the various vendors bidding on the project.ConclusionArmed with these "watch-outs" and hard questions to ask, any brand can cut through the clutter, jargon, and poseurs andidentify the agencies that are truly knowledgeable about digital marketing and truly well-equipped with experiencedpersonnel who will actually work on your projects.In Part 2 of this column (coming next month), I will talk about "What is Digital Strategy Anyway?" and the process ofcollaborative innovation, which is essential to creating the right digital strategy and mapping the right digital tactics andmetrics to it to drive the greatest business impact.Digital Strategy and How to Tell if Your Agency Has AnyAugustine Fou | March 29, 2012Last month, I wrote about "How to Tell if Your Agency Sucks at Digital" and tips for selecting an agency that actually knowsdigital and can demonstrate their knowledge about it. Here I will focus on digital strategy and ensuring that the marketingtactics to be deployed are the right ones and will work in a unified manner to drive optimal impact on business objectives.So What Is Digital Strategy Anyway?Lets start with a quote from Tery Spataro, New York digerati and chief digital strategist: "Digital strategy defines a brandscompetitive positioning and customer needs to achieve a marketing direction for innovation, communication, and marketing"(see: Terys SlideShare on Digital Strategy). The operative words are "customer needs." By focusing on what the modern, savvyuser needs - i.e., information to inform her own purchase decisions - we can more efficiently tailor our content and ensure itis findable. Notice, I didnt say target our message out at customers. This ties back to the concept of "digital is a philosophy"where our focus on users habits and expectations allows us to put them in the middle and figure out how we can best servethem; instead of putting our own product in the middle and figuring out how to market it.If "digital is a philosophy," then digital strategy is the mapping of appropriate marketing tactics to the informational needs ofconsumers in order to drive business objectives in a measurable way.This definition is based on several assumptions:1. It assumes business objectives are set in the first place. And that the marketing team knows them and understandsthem. Youd be surprised how many brand managers dont know the corporate business goals - and just have their own set ofbrand metrics and objectives that dont lather up. Youd probably not be surprised to learn that even fewer agencies knowBabelfish Articles Jan-Apr 2012 Page 66
  • what their clients business objectives are - this fact is perfectly illustrated by the dozens of cases where huge clients haveawarded a business to an agency only to have said agency go into a mad scramble to hire staff to work on the project. Itwould be safe to say that none of the new folks have any idea about what was pitched, sold, and agreed to with the clientduring the pitch. So if they dont know what was pitched or the clients business objectives, how could they possibly beworking efficiently to help the client achieve the desired business impact? They cant. So they resort to pitching a Chinesemenu of tactics or coming up with some clever-cool creative ideas, to hide the fact that they have no clue how to drivebusiness impact for the client.2. It assumes the "missing links" of consumers are known. In most companies, marketing folks are given a product orservice created by the product development department to go market. Their task is to figure out whom to target, whatmessage to target them with, and where to push that message out. In the new digital world, where modern users are savvyand also very good at ignoring "interruption media," the role of marketers and their tasks must change. Marketers must nowfigure out what information consumers need, where they go look for it (online) and how (search), and even what keywordsand phrases they use to find this information (search as research). And the task is to make sure they can most quickly findthis information and then most efficiently get to the commerce.3. It assumes there are optimal tactics to use for each marketing problem and that the tactics can be unified toreinforce each other and make all marketing more efficient. Once marketers understand the information needs ofcustomers and where and how they look for this information, then the most appropriate tactics can be chosen to impactthese needs. For example, before buying the new Fiat 500, customers may want to know if its safe, what gas mileage it has,whether they need to go to special facilities for repairs, or how much luggage room the tiny car could possibly have. None ofthese can be addressed in TV ads or print ads meant for mass consumption. But these are the questions that modern usersneed answers to before they can proceed down the purchase funnel to make the purchase. Once these missing links areidentified, then marketers can choose the appropriate marketing tools, both traditional/offline ones and digital/online ones,to address them and allocate marketing spending rationally. Most agencies cannot look holistically across all channels andtactics because they only sell certain tactics; and their 22-year-old account managers straight out of college have nomarketing experience, no business experience, and no experience whatsoever. They can only take orders for the things theagency sells. Nor can management consulting firms help clients in this way because their strategies are entirely theoretical;they have never done any deployment of marketing programs, and they have no idea about feasibility or the time it takes.Deploying Digital Strategy Through Collaborative InnovationSo how can you tell if your agency, digital or otherwise, has any "digital strategy" or can deliver it to you? Like I said in Part 1of this two-part column, you can easily tell if they dont have it. They will just pitch you a Chinese menu of tactics withouteven asking you about your business objectives. The better agencies may do a "discovery" meeting (which is good); but mostof these are centered around the creative idea and what message you want to push out to customers.The way we deliver digital strategy is through a well-practiced process that I call collaborative innovation, delivered througha series of hands-on workshops with client team members from the different departments that need to be involved in thedeployment - e.g., marketing, IT, sales, finance, product development, etc. The reason it has to be collaborative is that theclient will have in-depth knowledge of their industry, their customers, and the tactics they have tried in the past (whatsworked and what has not). These first-hand insights can be combined with our expertise in digital tactics and best practicesin order to come up with a "digital strategy" that is informed and practical. Furthermore, the collaboration ensures that theclients business objectives are taken into account and that all tactics map directly back to it and their relative impact ismeasurable.So if your agency talks tactics before they have had in-depth meetings to understand your business objectives and thelevers that most impact it, if they talk about the creative message and what you want to shout at your customers, or if their"digital strategists" are young account managers straight out of college, you know what youre getting is neither digital norstrategy.Run, dont walk, away.Advertisers Should Monetize Mobile Search Before Contentby Ben Russo, Wednesday, Feb. 29, 2012eMarketer recently released a ra-ra forecast for the advertising technology industry: the company predicts ad revenue fromad-supported mobile content will grow roughly 10 TIMES, from $156 millon to $1.07 billion between 2010 and 2015. Cuethe Queen soundtrack and high-fives all around, right?Now think about all the ads we play whack-a-mole to avoid on mobile games like Words with Friends.While the advent of ad-supported content will not (and should not) stop, advertisers should really maximize spend on mobilesearch and local search before making significant investments in sponsoring/advertising on mobile content. I hope this is ano-brainer, but eMarketer’s predictions could throw marketers off the trail of truly valuable interactions: those that are richin expressions of what consumers are interested in at any given moment.Whack-a-Mole, ElaboratedWhen I’m playing Words with Friends (which is more often than I’d like to admit), I don’t care to learn about healthcare, thelatest Charlize Theron indie flick, or even Zynga’s other games. What I want to do is play a game. The ads and sponsoredcontent on these ad-supported games are not offering me anything of value and are not relevant (with one exception that Iwill reveal in a moment). If I’m like other consumers, these ad dollars are largely wasted. If marketers want to chalk up theseads to building brand and awareness, I guess that’s their prerogative, but there are far more effective channels.For example, I conduct a lot of mobile searches: using Bing mobile (I like the pretty pictures) or other apps, I’m always lookingfor something to read, some new music to listen to, or the best deal on a Le Creuset Dutch oven. The advertisers (Le CreusetBabelfish Articles Jan-Apr 2012 Page 67
  • now on sale at Bloomingdale’s!) that can serve me ads during these searches are MUCH more likely to see my business, eitheronline or in-store.Why? Because ads served at the time of query are more relevant and valuable to me (and consumers in general), which makesthem more valuable for the advertiser. These ads are not interruptions in my experience, but a valuable provider ofinformation. These ads help me achieve my objective because they are aligned with my intent.Get ‘em While They’re HotThe early adopters in advertising technology usually enjoy a lengthy amount of time where there isn’t much competition, somarket share and revenue generated by new channels can be high. With the big search publishers releasing new tools formobile and local search advertising, NOW is the time to be investing in mobile search advertising to take advantage of lightercompetition.The only exception to my suggestion depends on the answer to this question marketers should ask themselves: “Is thissponsorship or ad placement relevant to the consumer’s expressed intent?” If the answer is yes, buy away. The best adplacement I’ve seen on my iPhone was a Bing search app ad while playing Words with Friends. The ad was an interactivememory game, which fit my mood and intent to be playing games at the time. The result? I downloaded the Bing app and useit regularly.Ben Russo is senior marketing manager at Adchemy, a leading provider of advertising technology for large brands andretailers.Build Engaging Dynamic Ads Using Available Customer DataTim NicholsOnline advertising could use some simplification. Anybody that has spent more than two months working in the onlineadvertising space will tell you that it is a fast-paced, complex, confusing, always changing, and exhausting industry that hasfew, if any, dedicated rules, set procedures, or processes that everybody agrees with and follows. Even companies offeringthe same services use different names to refer to the same thing: online advertising, Internet marketing, display advertising,and so on. Luckily, some companies are dedicating themselves to making certain tasks a little simpler. San Francisco-basedstartup Canned Banners is an example of such a company.Simpler Tools for Easier AdvertisingSince 2009, Canned Banners has been automating display ad design. Its self-serve tools help you build professional qualitydisplay ads quickly and cheaply, without requiring design or development knowledge. Its service makes display advertisingcheaper and easier for everyone from local businesses to Fortune 500 companies. While this sounds potentially useful, whatCanned Banners is planning to roll out next might strike a chord among a larger audience within the online advertisingindustry.During Q1 2012, Canned Banners will be releasing its API (which has been in private beta since mid-2011) that provides adnetworks, agencies, and corporate advertisers with flexible development tools that transform display ad design from a costlybottleneck to a scalable, streamlined service. With its API, organizations will be able to develop white-labeled ad design toolsand power dynamic display ad creative.Building a Dynamic Display Ad CampaignOK, great - lots of fancy sounding words, but what does it actually mean? It means that with the help of Canned Banners API,you can easily and quickly build engaging dynamic ads that are actually relevant to the end user. You dont have to bedependent on in-house designers trying to build 50 new creative sets a week or outsourcing to some expensive third-partycreative house. You can be in control of utilizing available customer data in a fast and accurate way that produces highquality and engaging dynamic ads.Displaying the right offers for the right customers at the right time is easier said than done. To do the job right, advertisersneed the ability to take the different data points (e.g., gender, income, geo-location, etc.) of what makes up their idealcustomer and combine them with the types of potential websites their customers are visiting (e.g., travel sites, blogs, user-generated content, forums, etc.) and utilize all of this data in real time to create dynamic ad creatives that are engaging tothe customer and motivate them to look, click, and ultimately buy.To have any hope of doing this successfully, youre going to have to examine and combine several different customer datapoints at the same time. This is where Canned Banners API comes into play and makes your life easier and your campaignsmore successful.A few things to keep in mind:Be careful of data overload. Theres a ton of data to deal with here, so realize it might take a little bit of patience and testingto get your creatives and campaign dialed in and optimized. In addition to all of the actual customer data to manage (e.g., age,income, gender, geo-location, etc.), you have creative data (e.g., size, layout, look, feel, color, animation, etc.) and media buyingdata (e.g., which websites to target, banner location, media costs, time of day performance, etc.).With so many data points in the mix, its going to take some time to get it right. That said, dont underestimate the importanceof setting proper expectations with the client ahead of time. The end result will most likely be very positive; just dont pullyour hair out during the process because your client is expecting magic results within the first 24 hours of the campaignslaunch. Lots of flexibility and data can be exciting, useful, and rewarding, but at the same time it can be overwhelming,stressful, and cumbersome. Make a strategic plan ahead of time and set proper expectations and timelines for the client.Make every impression count; tailor every ad to the customer. Every customer is unique, so why show everyone the same ad?Your display advertising should work to match your customers interests and needs with your products and services. Real-time display advertising targets each customer with individually-tailored offers. This results in being able to display adcreatives that are relevant and effective. By properly combining customer data points with a dynamic ad creation solution,you should be able to bring your display campaigns to life with offers, messages, and products that are always fresh andBabelfish Articles Jan-Apr 2012 Page 68
  • relevant. At the end of the day, dont limit your campaign with "one-size-fits-all" ads, because you arent trying to sellsweatpants at a mall. Well, maybe you are selling sweatpants, in which case, a dynamic creative solution will still potentiallyhelp you sell more.Sample Use CasesTravel and leisure. Automatically promote the latest offers, pricing, and availability without having to manually design, create,and upload new sets of ads. This helps you avoid displaying an ad for a sold-out trip, which can be frustrating for thecustomer and decrease their confidence in your service.Real estate. Automatically show potential home buyers nearby listings, descriptions, and photos. You will avoid showing ageneric creative of a house for rent outside the customers location, which is less enticing and relevant to the customer.Daily deals. Channel the right deals to the right customers with geographic and demographic targeting. Theres no reason towaste budget on displaying ads to customers outside your companys geographic reach.E-commerce. Retarget lost site visitors with the precise products and categories they previously browsed, showing currentpricing and availability. This is much more engaging than showing a customer a generic ad for your e-commerce websiteversus a creative displaying the last four products the customer browsed.The Futures Of Ad Exchanges?By Cory Treffiletti Wednesday, Feb. 29, 2012What’s the future of the ad exchange model? It’s clear that ad exchanges and DMPs are the future of the media business, asmedia has become more and more of a commodity and data has become a requirement to add value -- but where are thingsheaded?Many people refer to the commodities exchanges as the future of the ad exchange model, but first there must be amarketplace for buying and holding media assets. I was initially skeptical of this version of the future, because there aren’ttoo many media buying shops willing to take the liability of those media assets on their books. But then I realized that thismarket already exists and thrives -- and is called the upfront. In the television upfronts, marketers and agencies buy andhold media assets until later in the year. In some cases they put all of these assets to use, while other times they put themback into the market as scatter, taking the financial hit in the form of a cancellation clause. If marketers had the chance tobuy, hold and resell that media at either a profit or at least a break-even, wouldn’t they consider that?The “futures” market is a tenuous one, especially in a volatile stock market, and one where economic indicators are across-the-board chaotic -- but the advertising marketplace continues to grow. More money is flowing into TV advertising everyyear, and the Internet continues to expand regardless of the almost infinite supply of impressions. OOH and print may not begrowing, but they are still finite assets that retain value, and marketers still want to take advantage of them. A futuresmarketplace could indeed be valuable if marketers and agencies were set up to take advantage of it.The agency category is the one I find the most interesting here, because it’s the model that has been most in flux over thelast 10 years. The Internet and digital, more than anything, pushed margins down on agency commissions, so agencies havebeen innovating to find new revenue streams. Creative continues to be uncommoditizable, and strategy continues to be onlysemi-monetizable, so agencies have focused on media buying -- specifically by creating trading desks and analytics groups.Agencies are focusing on the data and they are driving the media landscape into a commodities market. If you agree this isthe case, then it makes sense that the agency category may shift to a buy-and-hold strategy for media. Some agencies havedone it for years by entering into upfront agreements with portals and larger publishers. If you have money in the bank, andyou know you’re going to be buying media for your clients, why not try to buy it at the low end and sell it at a profit, which isprobably still a discount for your clients?Of course there’s the argument that large marketers and public companies might be the ones to take advantage of this modelbecause they are the ones who ultimately buy the media and are responsible for its use. I can foresee a model wheremarketers buy the media on the market, hold it, and pay their agencies to put it to good use, rather than paying them acommission for it. There could even become a secondary market for marketers who want to trade and barter media for theirbenefit. The opportunity is endless if you commit to the idea that media can be bought, held and sold on a futures platformrather than the way most agencies buy now, which is last-minute and through manual insertion orders.For this model to truly succeed, media buying agencies need to mature. Currently they are full of young, undeveloped -- and,in too many cases poorly trained -- buyers. The new buyers would be analysts and traders. They would be evaluating trendsand matching those market trends against the needs of the clients. I don’t see these buyers being compensated at the samescale as Wall Street bankers, but I see them commanding stronger salaries than the current media buyers. It’s a skill, one thatcould not be easily replaced by some smart person off the street.What do you think? Can a futures model succeed in this business? Would it have to be cross-platform, encompassing onlineand offline, or could a stand-alone online marketplace exist and survive? Let me know what you think by posting a commenton the Spin Board!Top 5 Trends Emerging For Todays Digital FamiliesBy Stacy DeBroff Wednesday, Feb. 29, 2012From ever-present smartphones to increasingly sophisticated gaming consoles to on-the-go electronic devices, today’sfamilies rely more heavily on technology than ever before. Where families once functioned with essentially a desktopcomputer and a gaming console, they now view technology as integral to their daily lives and have incorporated a successionof computers, tablets, mobile devices, apps, games, and social media platforms that allow them to work and play in waysnever imagined.Babelfish Articles Jan-Apr 2012 Page 69
  • On the heels of the 2012 Consumer Electronics Show and through trendspotting in the Mom space, here’s our list of the Top 5Trends for Today’s Digital Families, along with some examples of hot new products:Power Up!As families become fully immersed in today’s digital times, they’ve realized they can’t afford to let their ever-present devices– phones, laptops, tablets, GPS, digital cameras, and more – run out of power, either at home or on the go. From creatingbatteries and power packs as slim as possible to getting more efficient power at home to charging multiple devices while onthe road, maintaining “Power-on-the-Run” emerged as a key focus for innovators and consumers alike. Highway Pro: Provides two USB ports for in-car charging Powerbag: A backpack that includes charging capabilities ZAGG Sparq 2.0: Offers on-the-go battery powerBreak-Through Product ProtectionWith families investing financial resources in buying, maintaining, and updating electronic devices, significant interestsurrounds making sure these innovations stay protected – whether from the elements, overall use, or worse. This year’s CESfeatured a whole host of products that protect our digital tools from the inside to the outside. HzO: Protects electronic devices internally from water damage 3M Privacy Screen Protector: Provides privacy and protection for iPhones LoJack for Laptops: Offers various levels of laptop security and protectionAmplify with AccessoriesAs much as families enjoy their electronic gadgets, they can always be made better with the addition of accessories or appsthat heighten and enhance their effectiveness. From an app that turns our iPhones into a postcard delivery system to a lensthat clips onto a Smartphone, these accessories serve to make electronic devices all the more indispensible. Postcard on the Run: Transforms photos into custom postcards Ollo Clip: Extends iPhone camera capabilities with three lens options Steadicam Smoothee: Creates more precise Smartphone videos through a stabilizing deviceSmart Home EvolutionNew innovations continue to emerge that bring families one step closer to the ultimate wired smart home. From high-techlocking devices to enhanced in-home phone systems, homes continue to evolve for the better. SimpliciKey: An electronic system offering three different locking mechanisms Skype GE 31591: Brings Skype technology to existing landline phonesNext-Generation TVFor most families, the television set remains a centerpiece of relaxation and downtime, and parents and kids alike havemarveled at its evolution. Despite competition from an assortment of electronic gadgets, televisions continue to advancewith a never-ending stream of innovations, devices, and gaming options that keep viewers on the edge of their seats. Slingbox Pro-HD: Allows families to tap into their home TV via mobile devicesDisclosure: We received samples of several products included in this post, including the Skype GE 31591, Slingbox Pro-HD, OlloClip, 3M Privacy Screen Protector, Highway Pro, Powerbag, Postcard on the Run, LoJack for Laptops, and ZAGG Sparq 2.0.The 5 Things to Expect in a DMP (demand-side platforms)Chris OHara"We want to make sure that were controlling what happens with data…we want to make sure we control pricing. Controls avery important message. We dont want there to be a cottage industry built on our backs." - Nick Johnson, SVP, NBC UniversalWhat do publishers really want? Its simple: power and control. In order to survive the ad technology era, publishers need thepower to monetize their audiences without relying on third parties, and complete control over how they sell their inventory.In this era of "Big Data," there is a fire hose stream of tremendously valuable information for publishers to take advantage of,such as keyword-based search data, attitudinal survey data, customer-declared data from forms, page-level semantic data,and all the third-party audience data you can shake a stick at.All of this data (cheap to produce, and ever-cheaper to store) has given rise to companies that can help publishers bring thatdata together, make sense of it, and use it to their advantage. Currently, ad technology companies have been using the era ofdata to their advantage, utilizing it to create vertical ad networks, ad exchanges, data exchanges, demand-side platforms(DSPs), and a variety of other smart-sounding acronyms that ultimately purport to help publishers monetize their audiences,but end up monetizing themselves.Rather than power the ad tech ecosystem, what if data could actually help publishers take back their audiences? If "data isthe new gold" as the pundits are saying, then smart publishers should mine it to increase margins, and take control of theiraudiences back from networks and exchanges. Here are the five things a good data management platform should enablethem to do: Unlock the value of first-party data. Publishers collect a ton of great data, but a lot of them (and a lot of bigpublishers) dont leverage it like they should. Consider this recent stat: according to a recent MediaPost article, news sitesonly use in-site audience targeting on 47 percent of their impressions, as opposed to almost 70 percent for Yahoo News. Byleveraging site-side behavioral data, combined with CRM data and other sources, it is possible to layer targeting on almostevery impression a publisher has. Why serve a "blind" run-of-site (ROS) ad when you can charge a premium CPM for audience-targeted inventory? Decrease reliance on third parties. The real reason to leverage a data management platform (DMP) is to get yourorganization off the third-party crack pipe. Yes, the networks and supply-side platforms (SSPs) are great "plug-and-play"Babelfish Articles Jan-Apr 2012 Page 70
  • solutions (and can help monetize some "undiscoverable" impressions), but why are publishers selling raw inventory at $0.35and letting the people with the data resell those impressions for $3.50? Its time to turn away those monthly checks, andstart writing some to data management companies that can help you layer your own data on top of your impressions, andcharge (and keep) the $3.50 yourself. Todays solutions dont have to rely on pre-packaged third-party segments to work,either, meaning you can really reduce your data costs. With the right data infrastructure, and todays smart algorithm-derivedmodels, a small amount of seed data can be utilized to create discrete, marketable audience segments that publisherscanown, rather than license. Generate unique audience insights. Every publisher reports on clicks and impressions, but what advertisers are hungryfor (especially brand advertisers) are audience details. What segments are most likely to engage with certain ad content?Which segments convert after seeing the least amount of impressions? More importantly, how do people feel about an adcampaign, and who are they exactly? Data management technology is able to meld audience and campaign performance datato provide unique insights in near real time, without having to write complicated database queries and wait a long time forresults. Additionally, with the cost of storing data getting lower all the time, "lookback windows" are increasing, enablingpublishers to give credit for conversion path activity going back several months. Before publishers embraced datamanagement, all the insights were in the hands of the agency, which leveraged the data to its own advantage. Now,publishers can start to leverage truly powerful data points to create differentiated insights for clients directly, and provideconsultative services with them, or offer them as a value-added benefit. Create new sales channels. Before publisher-side data management, when a publisher ran out of the travel sectionimpressions, she had to turn away the next airline or hotel advertiser, or offer them cheap run-of-site (ROS) inventory. Now,data management technology can enable sales and ops personnel to mine their audience in real time and find "travelintenders" across their property - and extend that type of audience through lookalike modeling, ensuring additional audiencereach. By enabling publishers to build custom audience segments for marketers on the fly, a DMP solution ensures that norequest for proposal (RFP) will go unanswered, and ROS inventory gets monetized at premium prices. Create efficiency. How many account managers does it take to generate your weekly ad activity reports? How muchhighly paid account management time are publishers burning by manually putting together performance reports? Why notprovide an application that advertisers can log into, set report parameters, and export reports into a friendly format? Or,better yet, a system that pre-populates frequent reports into a user interface, and pushes them out to clients via an emaillink? You would think this technology was ubiquitous today, but you would be wrong. Ninety-nine percent of publishers stilldo this the hard (and expensive) way, and they dont have to anymore.Its time for publishers to dig into their data, and start mining it like the valuable commodity it is. Data used to be thehandcuffs that kept publishers chained to the ad technology ecosystem, where they grew and hosted a cottage industry ofad tech remoras. The future that is being written now is one of publishers leveraging ad technologies to take back control, sothey can understand and manage their own data and have the freedom to sell their inventory for what it is truly worth.Thats a future worth fighting for.Where Did They Hear That?Wednesday, Feb. 29, 2012According to the Pew Research Center for the People & the Press’ 2012 campaign news survey, fewer Americans are closelyfollowing news about the presidential campaign than four years ago. As a consequence, long-term declines in the number ofpeople getting campaign news from such sources as local TV and network news have steepened, and even the numbergathering campaign news online, which had nearly tripled between 2000 and 2008, has leveled off in 2012.The one constant over the course of the past four elections, says the report, is the reach of cable news. Currently, 36% ofAmericans say they are regularly learning about the candidates or campaign on cable news networks. That is virtuallyunchanged from previous campaigns, yet cable news is now the top regular source for campaign news.Campaign News Sources % of Consumers Who Regularly Get Campaign News From:Source 2000 2004 2008 2012Cable news 34% 38% 38% 36%Local TV news 48 43 40 32Network news 45 35 32 26Internet 9 13 24 25Local paper 49 31 31 20Source: Pew Research Center, January 4-8, 2012The cable networks also hosted most of the candidate debates, which stand out as a particularly interesting aspect of thecampaign. 47% of Republicans have watched a GOP debate during this campaign, up from 32% at a comparable point four yearsago. In contrast to cable, broad declines in the numbers getting campaign news from newspapers, and local and network TVnews.Just 20% say they regularly learn something about the presidential campaign or candidates from their local dailynewspapers. In 2008, 31% said they got campaign news from their daily newspaper and 40% did so in the 2000 election cycle.There are comparable declines in the share regularly getting campaign information from network evening news programs andlocal TV news. For all three of these sources, the rate of decline slowed during the dramatic 2008 election cycle, but has againcontinued on a downward track.Babelfish Articles Jan-Apr 2012 Page 71
  • In previous campaigns, declining figures for traditional sources were at least partly offset by increasing numbers turning tothe internet. But in 2012, the number regularly getting campaign news online has leveled off. This is largely due to a lack ofinterest in the early 2012 campaign among younger Americans, who have traditionally been the broadest internet newsconsumers, and who also are less apt to be Republicans, says the report.Campaign News Online (By Age Group; January 2012) % Learning about candidates and campaign onlineAge Group 2000 2004 2008 201218-29 13% 20% 42% 29%30-49 10 16 26 3350-64 7 11 20 2165+ 5 3 5 11Source: Pew Research Center, January 4-8, 2012As campaign interest among young people has declined, fewer say they are going online for campaign news. Just 29% ofthose younger than 30 regularly learn something about the campaign online, down from 42% four years ago. Early in the 2008campaign, people under age 30 were twice as likely as people 30 and older to get campaign information online. There is farless of an age gap today.Many of the newest Internet tools for getting campaign information, including social networking, are being used by arelatively limited audience. 20% of Americans say they regularly or sometimes get campaign information from Facebook andjust 5% say the same about Twitter. Even among Facebook and Twitter users, most say they hardly ever or never learn aboutthe campaign or candidates through those sources.52% of Americans say they at least sometimes learn about the campaign from websites or apps of TV, newspaper, magazineor radio news organizations. 36% regularly or sometimes learn from websites or apps of news sources that are only availableonline.When asked to name the specific internet sources respondents turn to for campaign news and information, the mostfrequently cited of those who get campaign news online are: CNN (24%) Yahoo (22%) Google (13%) Fox News (10%) MSN (9%) MSNBC (8%)The survey finds that the number saying there is a great deal of political bias in the news has risen to a new high, with themost intense criticism coming from Tea Party Republicans. Currently, 37% of Americans say there is a great deal of bias innews coverage and 30% say there is a fair amount of bias. Far fewer see not too much bias (21%) or none at all (10%). Thepercentage saying there is a great deal of bias has increased six points, from 31% to 37%, since 2008.Consumers See Bias in The News Percent Perceiving News BiasedAffiliation 1989 2000 2004 2008 2012Republicans 25% 40% 37% 43% 49%Total public 25 32 30 31 37Democrats 24 27 24 25 32Source: Pew Research Center, January 4-8, 2012About three-quarters (74%) of Republicans who agree with the Tea Party movement say there is a great deal of bias – atleast twice the percentage as in any other political group, including non-Tea Party Republicans (33%) and liberal Democrats(36%).Among news audiences, those who cite the Fox News Channel or the radio as their main source of campaign news are the mostlikely to say there is a great deal of bias in news coverage.While new technology allows campaigns and groups multiple ways to reach out to voters, campaign commercials have by farthe widest reach. Fully 72% of registered voters nationwide report having seen or heard campaign commercials related to the2012 presidential campaign.How Campaigns and Candidates Are Reaching Voters (Registered voters)Medium % of RespondentsSeen or heard commercials 72%Robocalls 25Printed mail 21Email 16Candidate website 15Live phone call 8Contributed money to candidate 7Followed candidate on Twitter/Facebook 6Source: Pew Research Center, January 4-8, 2012Babelfish Articles Jan-Apr 2012 Page 72
  • While small, the number of people who track candidates on social networking has grown. At this point in the 2008 campaign,just 3% said they had signed up as a “friend” of a candidate on a social networking site.For the complete report and additional information from PEW, please visit here.And The Winner Is.. Cinema Ads: Brain Research Shows Theyre More Emotionally Engaging Than TV Spotsby Joe Mandese, Monday, February 27, 2012 9:43 AMIf you’re one of the billion-plus people who watched the Oscars last night, you probably already know how emotionallyengaging cinema is. Now there’s some scientific proof. In the first research of its kind, cinema advertising network NCM utilizedsome state-of-the-art technology that measured the unconscious responses of moviegoers to ads shown to them in movietheaters -- and not surprisingly, they were considerably more engaged than the same type of ads shown on other media suchas TV or the Internet.The findings could be a boon for NCM as it heads into an especially cluttered, pre-upfront advertising marketplace, wherehundreds of TV, online video and even place-based video networks are all vying for an emotional connection with theirintended audiences: advertisers and agencies.It’s also the latest in a wave of research from the burgeoning field of neuromarketing research, which many believe couldgrow to rival -- and maybe even supplant -- conventional forms of media and marketing research. Instead of simply askingpeople, or measuring their behavior, neuromarketing researchers utilize various biometric methods that tap unconsciousphysiological responses of people and correlate them with science about the brain to reveal not simply what people arethinking about advertising and media content, but what they are feeling.“The brand engagement was off the scale,” boasts Doug Pulick, senior vice president of strategic insight and analytics at NCMMedia Networks, who has been conducting a series of “dog and pony” shows presenting the findings to some big advertisersand agencies prior to this morning’s release of the findings.Pulick, a long-time TV researcher before joining NCM, said he has presented more than a dozen of the briefings -- and that inmost cases the ad execs were in fact emotionally engaged, and even asked to watch and replay videos of the consumersbeing measured to better understand their responses, which generated disproportionately higher levels of emotionalengagement than equivalent TV ads.Following exposure in cinema, the “lift in brand resonance” -- the unconscious emotional connection to a brand -- was 75%higher on average than the norms generated by an ad watched on television.Noting that the content of the ads themselves is a factor in making those emotional connections, Pulick said some of thecinema spots generated levels that were 194% higher than television’s.Pulick acknowledged that there are other important differences in environment between cinema and TV ads that likelyinfluence their impact on consumers, including the fact that even when they were the same ads, the moviegoers were“captive” viewers, who didn’t have the kinds of distractions and other competing content that viewers watching spots athome on their TV sets might have. But he says that is one of the points of NCM’s pitch: That for whatever reasons --environmental or otherwise -- cinema advertising has more of an emotional effect than TV ads do.“My answer to that is, that’s exactly the point. There is a difference between seeing an ad on a 40-foot screen vs. a 42-inchscreen,” he said.The research was conducted by Boston-based Innerscope Research, one of the leaders in the field of neuromarketingresearch, which has even come up with sophisticated models to explain the correlation between content and theenvironmental factors influencing how people experience them on different platforms. The research, known as the BrandImmersion model, shows that all things being equal, an immersive environment like someone watching a movie -- or even adsin the pre-show reel preceding one -- are more likely to immerse a consumer in the experience than ads shown in a more“flexible” media environment where they can be more easily distracted.The fact that cinema performs so well vis a vis TV is significant, because TV, by and large, is also deemed a highly immersiveenvironment -- a fact that has been borne out by the so-called “TV In Context” research that Innerscope conducted for TurnerBroadcasting.Pulick acknowledged that the research is new, and more needs to be done to understand the full effects and differencesbetween advertising in theaters vs. other media. He also acknowledges that consumer behavior is evolving along withconsumer media technologies, especially the increasing availability of a “second screen” -- their handheld smartphone orother device -- while they are sitting in what previously would have been a one-screen environment.Pulick said NCM is already thinking about some research to measure that new behavior, but also doesn’t necessarily believe itwill be a net negative for movie advertising. In fact, he said NCM is exploring new mobile apps that would enable consumersto interact with ads, and presumably other content, on their handheld screens while they are watching it on the big screen.“We’ve had this discussion,” Pulick said, adding: “You can either get on this bus or get out of the way, but you can’t stop it.”Pulick said it’s unlikely that theaters will be able to stop consumers from using their handheld devices while in the theater, soit might be better to utilize them than to ignore or try and fight them.Read more: Did They Hear That? Posted on: 05-13-2011The results of a new US research project into the ability of television and online media to create brand equity re-confirm theunrivaled power of television advertising.Babelfish Articles Jan-Apr 2012 Page 73
  • Conducted by Innerscope Research on behalf of Fox Broadcasting Company, the study concludes that TV’s heightened abilityto engage and sustain an unconscious emotional response in consumers confirmed it as the medium best able to createpersonal relevance and, therefore, brand equity.While “naturally” watching TV, surfing the web, or pursuing one activity after the other, 270 panelists were exposed to adssupporting 18 “relatively unfamiliar” US brands and six overseas offerings.Using Innerscope’s Brand Immersion Model the researcher then quantified ”the impact of advertising on an unconscious levelwhen brands are experienced on different platforms,” said Dr Carl Marci, chief executive of Innerscope.The results show that the ”immersive” nature of TV helped spots deliver 38 times the level of emotional engagement than richmedia ads.Products carrying a longer purchase cycle were reported to be particularly well-served by television, with automotiveadvertising out-performing the digital equivalent 42 times over.Online media’s relatively poor performance is partially explained by the fact that the internet constitutes “a flexibleenvironment that requires consumers to actively direct their own experience”, and thus functions in a unique way.Consequently, online advertising evokes lower levels of emotional engagement.The data showed that even if ads are placed in a relevant context on the web, such as promoting a car using an automotivesite, TV’s score was still 30 times higher. Similarly, movie teasers watched through TV lodged ratings 24 times greater thanwhen consumed online.Television-only campaigns had nearly triple the brand resonance scores of internet-only campaign, the research said, butusing both mediums together delivered the strongest results.Television combined with online maximises effectivenessIf ads for familiar products were viewed on a Fox programme website following on-air exposure, metrics on this measurequadrupled and emotional engagement jumped 48 times over.“A core component of brand equity is the strength of unconscious associations, which we saw significantly increase whenadvertisements on television and online were combined”, said Dr Carl Marci.Indeed, the study suggested effectiveness reached a peak where these two mediums are utilised together.“This study gives real evidence that the best way to build brands is to be in both places with similar content, capitalising onthe already high-impact nature of television advertising.”Data sourced from Innerscope Research; additional content by Warc and ThinkTVInnerscope Research: Media Effectiveness StudyDr. Carl Marcis presentation at TV Day revealed the results of a comprehensive biometric and eye tracking study byInnerscope Research. The study found that television was the most effective medium at delivering high emotional andcognitive responses to advertising.Innerscope observed 100 male and female participants aged 18-49 as they experienced the advertising of 24 national brandswithin the following media environments:TV ads were viewed within a 30-minute episode of Two and a Half Men radio ads were heard while listening to 15 minutes ofTorontos CHUM FM during a virtual drive online ads were viewed while surfing for 15 minutes and newspaper ads wereviewed while reading the Vancouver Suns Life section for 30 minutes.The study biometrically measured consumers unconscious emotional responses. These measures were captured with alightweight wireless vest that monitors skin sweat, heart rate, respiration and movement. Eye tracking and measures ofintensity and synchrony were condensed and analyzed to determine moment-by-moment, as well as overall, emotionalengagement.The study found that television spots were more effective at generating high emotional engagement and aided next-dayrecall than online video, online display, radio and newspaper.Results showed that television ads delivered:Three times higher emotional engagement and three times higher aided next-day recall than radio ads.1.8 times higher emotional engagement and 1.4 times higher aided next-day recall than online video ads.Five times higher aided next-day recall than online display ads.5.5 times more total emotional engagement and comparable aided next-day recall than newspaper ads.Innerscopes comprehensive biometric and eye tracking study found that television was the most effective medium atdelivering high emotional and cognitive responses to advertising.Babelfish Articles Jan-Apr 2012 Page 74
  • Why Did Television Outperform Other Media?On a frontier that compares levels of cognitive and emotional response by platform - such as the one illustrated below -television outperformed the other platforms on both axes, effectively pushing the frontier to new levels.Babelfish Articles Jan-Apr 2012 Page 75
  • The reason for the success of television in generating engagement has to do with another efficient frontier, as demonstratedby what Innerscope calls a brand immersion model (see diagram below).This diagram places television back on the frontier arc. By contrast, however, the graphic shows a comparison of the methodsof information processing, not their value. The y-axis tracks the level of immersion that a platform generates - how it drawsthe consumer into the world it presents. The x-axis tracks the flexibility of the platform - the range of experience that theplatform enables the consumer to have.From a neuroscience perspective, immersive platforms primarily utilize a "bottom-up" process that primarily uses the emotionor limbic centers of the brain and mirror neurons to provide an emotional connection on an unconscious level. Flexibleplatforms primarily utilize a "top-down" process that relies more on rational and cognitive centers (and emotion centers)involved in decision making.On this frontier, television and online are in an equivalent (efficient) spot, but they create very different types of experiences.The brand immersion model states that there are two primary ways to engage with content: Highly immersive content triggers "bottom-up" processing and substitutes the viewers" emotional state with the emotional lives of the onscreen characters. If those characters need a product, the viewer feels that same need. Examples include television, movies, IMAX, dramas, and events such as the Olympics. Immersive content enables advertisers to create new need states. Highly flexible content triggers "topdown" processing and requires the need to already be established. The content (or advertising) then supports this need. Examples include the Internet, smart phones, headline news, and Highly flexible content allows consumers to explore the full depth of their existing needs.Television is highly effective at advertising because it is the primary medium that can use the power of emotional responseto create a need state, either through experiencing the needs of the onscreen characters unconsciously during the primarycontent (results confirmed through the research teams experience with multiple immersive content producers including NBC,Warner Bros., Fox Broadcasting, and the National Geographic Channel) or through the high emotional involvement with theseonscreen characters during the advertising itself.As a person watches television content, he or she becomes immersed in the lives of the characters onscreen, mirror neuronsfire, and he or she begins to feel what the onscreen characters feel.There are three routes this effect can take:Babelfish Articles Jan-Apr 2012 Page 76
  • 1) In the ideal advertising situation, when the characters have a product need that is natural to the story, the audience feelsthat need as well, and new brand connections are formed. For example, a recent study conducted for Warner Bros. examinedWalgreens brand integrations into both "The Bonnie Hunt Show" and "The Ellen DeGeneres Show." High levels of engagementoccurred when the content: roused curiosity; focused on customer benefits over descriptions of features or product attributes; communicated brand messages through natural sounding conversations, stories, and jokes that entertained and flowed with the program rather than disrupted; discussed positive values related to the brand.2) When celebrities and situations featured during the current program are used as spokespeople and primes for productsadvertised during that programs commercial breaks, the need state can be activated. Examples include Hayden Panettiereappearing in a Neutrogena commercial during an episode of "Heroes" and advertising a new car after the nameplate vehicleappeared in a car chase.As part of its ongoing TVinContext work, Turner Broadcasting compared engagement with advertising aired after relevantscenes versus the same ads in a less-related context. In one example, an advertisement for OnStar featuring an unknownactor in a car accident followed a car chase scene in the movie "The Bourne Supremacy" starring Matt Damon (UniversalPictures, 2002). The primed ad (plus the seven other comparably tested examples) garnered significantly more emotionalengagement than the exact same ad aired without any level of context priming.3) Finally, as people become immersed in content, there is emotional spillover into the ad pods. Although it is not as strong asnatural integrations, this emotional carry-through is real and creates stronger emotional connections than in other mediums.This essential structure of television is a pattern consistently seen in other studies of program content and ad pods.All Television All the Time?The efficient frontier of the brand immersion model means that all media-platforms along the frontier have the samecapacity to create engagement; they just have different tradeoffs.With flexible experiences, individuals may seek out experience more customized to their interests. For the most successfulexecutions, this can result in higher engagement with content than on television (i.e., Facebook has more users than thepopulations of many countries).The reason for this heightened engagement is that more and more content is user-generated. Online platforms allow peopleto broaden their conversations with one another instead of engaging with the stories of other people. Though this usagegenerates high engagement for the content, advertising often does not keep pace, and other platforms offer an opportunityto complement the television experience.Newspaper, radio, and online platforms can leverage the emotional connections and need states generated by "bottom-up"processing in a launch in an immersive environment such as television. By building emotional connections and relevance tothe brand in engaging television programming, elements from the campaign can be leveraged in other platforms. Once thatrelevance has been established, the advertisements on other platforms will generate more attention, memory, and emotionalappeal.The pairing of the movie "Iron Man 2" and Audi demonstrates the potential of such synergy. They appear together not only inthe movie but in television spots for the car and commercials for the movie. Each is featured on the others Web sites and inonline banners on other relevant Web sites.By building a connection to the car in an immersive environment, Audi hoped to leverage this new connection across thecontent landscape to build brand appeal. Companies that leverage both the emotion generated in immersive environmentsand the choice offered by flexible environments have the best opportunity to succeed in an evolving media landscape.ConclusionThe present study suggests that other platforms are not as effective at building engagement with the products and servicesoffered in television advertising of national brands.Why does this medium matter so much? Though other platforms may target niche audiences very well with content that isalready relevant to them, television content does not necessarily need preexisting relevance because it creates relevance.The key finding in this study showed that, for a general audience, television commercials deliver the greatest advertisingimpact as measured by unconscious attention and emotional response compared with other channels of communication.Television is an emotionally immersive platform that can create need states.Source: Journal of Advertising Research, 09/2010Adobe Goes Prime Time With Video Ad-Serving Suiteby Laurie Sullivan, Monday, February 27, 2012 12:01 AMAdobe Systems will release a suite of products Monday that claims to change the way videos and ads are delivered acrossiPads, Android tablets, Internet-connected TVs and other devices from one platform -- prime time.The move puts Adobe in the ad-serving business. The company previously provided ad publishing or streaming media, but notadvertising capabilities, explains Ashley Still, director of product management at Adobe.Initially, Adobe will introduce Primetime Highlights. The project will integrate video publishing, advertising and analytics byincorporating many of the technology acquisitions the company made in recent years. Rollout releases will occur throughoutthe year.Video advertising continues to grow more rapidly than other online ad formats; this year eMarketer estimates online videowill surpass rich media in terms of ad spending. U.S. online video ad spend will grow 52.1% to $2.16 billion -- up from $1.42billion last year. Video ad spending will reach $7.1 billion by 2015 -- up from $2.16 billion in 2011, according to eMarketer.Babelfish Articles Jan-Apr 2012 Page 77
  • Jeremy Helfand, Adobe director of monetization, and former Auditude CEO, says the new platform will provide TV-quality videoexperience on mobile and connected TVs.The platform, already used by Comcast and other broadcasters, also ties in Omniture analytics, ad revenue-based analyticsand DemDex, which Adobe acquired in January 2011. Data management platform DemDex will allow Primetime to supportaudience targeting, as well as segmentation. The technology captures behavioral data on behalf of Web sites and advertisers,storing it in a data warehouse.By integrating directly with a publishers content management system, it allows publishers to target ads based on specificperimeters, like content, genre, or any other metadata. All the data, such as segmentation and demographic, becometargetable variables through Auditude platform in Adobes Digital Marketing Suite.Adobe also will announce that Access will support iOS. It has long supported desktop in the Flash player, but it will nowsupport the technology on mobile Apple devices. In beta today, the option ships in Q2 2012.Read more: Used to Put the Mass In Mass Media. Not Anymore.By: Dave Morgan Published: February 28, 2012In 1997, noted media researcher Erwin Ephron presented a paper titled "Learning to live in Lilliput, the media land where smallis beautiful. Optimizing reach with low ratings and other thoughts on TV fragmentation." In it, Ephron wrote about the TVsgrowing audience-fragmentation problem and presciently saw what would happen if the media-buying community continuedto focus the bulk of TV budgets on a declining pool of larger-rated shows without strategically dispersing a large volume ofspots across lots of shows with small audiences.Folks didnt listen then and -- in spite of fragmentation along the lines of Ephrons forecast -- apparently wont listen now. TVad campaigns in the U.S. today deliver considerably less reach than they did in 1997, even though TV viewing is at an all-timehigh. Fifteen years ago, a heavy national schedule with average frequency would reach 80-90% of its target audience in threeweeks. Today, most heavy multiweek national ad campaigns are lucky to reach 60% of TV viewers in their target audience.The story is even worse when it comes to frequency distribution. Fifteen years ago, TV advertisers could expect 40% of theircampaigns impressions to be concentrated on the 20% of their target audience who were the heaviest TV viewers. Today, thefrequency imbalance is almost twice as bad. According to both Nielsen data as well as Simulmedias database of anonymoussecond-by-second set-top box viewing data of 30 million Americans, those 20% of target viewers who are heavy TV viewersnow receive 60 to 80% of most national TV campaign impressions. This squanders advertiser money, needlessly acceleratesthe "wear out" of creatives and alienates target customers who feel bombarded by redundant messaging.Dont believe me? Go ahead and run the data yourself with any of the national audience data systems: Nielsen AudienceWatchor Nielsen AMRLD or Kantar or TRA or Rentrak. You will see similar results.How did this happen? It happened because TV audiences have fragmented dramatically over the past 15 years and the TVmedia industry has not adjusted its planning, buying and measurement tools and strategies to keep pace.Twenty years ago, the average American household had access to 28 TV channels, and brands like Fox, Nickelodeon and TNTwere babies. Today, Americans have 165 channels and watch networks like Military Channel, Investigation Discovery and BBCAmerica. Twenty years ago, in an average week, there were hundreds of shows with a rating of 10 or better. Today, there arescarcely more than a dozen. Today, it takes four to five spots to deliver the equivalent media weight of one spot 15 or 20years ago, and eight to deliver as much reach. Thats an enormous change.As Ephrons paper noted, "Fragmentation challenges the analytical capabilities of our research systems. … Our currentapproach -- using the program and day part as ways of organizing media value -- becomes less useful as audiences getsmaller."TVs ability to reach a lot of people in a short period of time, and to do it efficiently, is what has historically set it apart fromall other advertising media. It is why national brand advertisers have to plan and buy it first and why TV has historicallyreceived the dominant share of brand expenditures. Neither radio nor print nor out-of-home -- nor even the internet -- hasthe capacity to efficiently deliver multiple effective advertising messages to tens of millions of target consumers in thespace of a few days or weeks.However, competition for media dollars is intensifying. Clients want to move more money to digital. They want to "jump into"social media. They are demanding more and better measurement and ROI. This is not a good time for folks in the TV mediaindustry to undermine their core competitive advantage and sell and buy campaigns with such bad reach and frequencybalance. And it certainly wont help the mediums ability to stave off calls to shift more money into digital channels.Unfortunately, so much of the energy in TV buying today is spent chasing those declining dozen or so top-rated shows ratherthan developing the analytical chops to efficiently accumulate target audience across the exploding landscape of smaller-rated shows that attract relevant, passionate audiences. The problem, as all media researchers know, is that heavy TVviewers tend to watch all of the highly-rated shows, so buying more of those shows doesnt get you much more reach. Not sowhen you get into lots and lots of lower-rated shows.Contrary to the opinion of many, strategically dispersing ads across many smaller audience shows is not mutually exclusivewith buying those several high-rated shows which clients seem to prefer. They complement each other, and you get muchmore reach and much better balanced frequency. As we prepare for this years upfronts, I do think it would be instructive togo back and read the concluding sentences to Ephrons paper:Buyers will have to push for change. The TV networks are trapped by their own success with day parts. In prime time, moredollars chasing less inventory has increased prices substantially each year. But there is an issue larger than pricing. Day partthinking increases costs and limits reach which, in turn limits televisions effectiveness. Smaller ratings need not cripple TV ifwe learn to use the entire medium.Babelfish Articles Jan-Apr 2012 Page 78
  • Fragmentation is not the nemesis of mass TV advertising. There is a cosmic fairness to it all. Greater choice for viewerscreates the fragmentation which in turn creates greater choice for buyers. If we are going to live in Lilliput, we should wakeup and smell the little flowers.What do you think? Is the industry ready to hear Ephrons nearly 15 year-old warning?Dave Morgan is CEO and founder of New York-based Simulmedia, a TV ad targeting company. Simulmedia uses data-driventechnology to help improve the relevance and results of TV advertising. Follow him on Twitter at Marketings Best Hope or More Hype?Done Right, It Can Work Wonders; but too Many Confuse Content Marketing With PR or AdvertisingBy: Matt Creamer Published: February 28, 2012What does it mean that Indium Corp., which makes soldering supplies, publishes 73 blogs on its website? Or that Red Bull,producer of late nights, operates a site where you can pay for the rights to its photos and videos? Or that American Express,LOréal, General Electric and other blue chips either directly or indirectly employ hundreds of journalists whose Pulitzerdreams have been transformed into groping for brand engagement and return on investment?American Express gives customers content they want, rather than self-promotional garbage.Content marketing, an idea thats been kicking around since companies started firing up Movable Type blogs, is in the fullflush of its industrial revolution.Corporations are pushing out news stories, infographics and documentary-style videos as if they were run by a Frankensteincombo of Henrys Ford and Luce. Forget press releases and ads. What matters is straightforward, practical, evennonpromotional information that plays well on social networks.Whether content marketing can emerge from the current noise as a central part of the marketing mix is a matter for debate.By all rights, this should be a breeze. Online advertising isnt exactly winning hearts and minds, even though it might show upoccasionally at the right time with the right offer.Overall, good, propaganda-free information is too easily available on the internet for controlled messages to triumph. And thetraditional informational middlemen, the news media, are hurting. Whats left is a free-for-all where the best (and best-placed) content will win.The marketing business is responding to that reality.Dedicated content roles are popping up at agencies and in marketing organizations. A startup scene is blooming. Spending hasincreased, anecdotally. Even if its hard to tell by how much, survey after survey shows marketers rising interest in contentprograms. But the era of Big Content has yielded big questions -- about effectiveness, about clutter and, perhaps mostdreaded, about bubbles."I do think were in the early stages of a "content bubble, which is being inflated by the idea that brands should bepublishers," said Kyle Monson, content-strategy director at JWT, New York. "Its a good idea, but now weve got a rush ofpeople calling themselves "content strategists, though they may not have any idea how to create compelling, strategiccontent."Mr. Monson identified two things that almost everyone agrees must be present for content marketing to gain clout: qualityand accountability."There are a few really great content campaigns out there, and loads of terrible ones," he said. "The balance is such that,eventually, CMOs might not want to hear about clever content campaigns anymore, because theyve traveled that road beforeand didnt see the ROI. Thats how bubbles pop."The other perspective is that this is just the beginning of solid investment that can drive business. As experimentation givesway to systematization, the metrics -- soft now -- will firm up.Toby Murdock, CEO of Kapost, a startup that supplies a publishing platform for brands including Nokia and VerizonCommunications, calls it the shift to "real content marketing."Babelfish Articles Jan-Apr 2012 Page 79
  • Its "a transformation in which brands truly become publishers," Mr. Murdock said. "They produce substantial volumes ofcontent -- a minimum of five pieces a week -- that are not about their own products but about the interests of theircustomers. Only such substantial operations can produce real results."The "not about their own products" part is key to content marketing success.Quality comes from understanding that creating content isnt the same as PR, and it certainly isnt advertising. Seems like anobvious point, but wade through the deepening thicket of content programs and you get mixed results. For every AmericanExpress Open Forum or Red Bull Art of Flight, there are many more crap ones, graveyards.Red Bull sets out to give customers content theyre looking for.In an-almost-too-easy example, try Citigroups blog, almost wholly self-promotional with lots of blabbing about stuff no onecares about, like its 200th anniversary. Compare it with, which has useful yet entertaining personal finance advice.Mint gets posts from Contently, a startup co-founded by Shane Snow as a network of journalists who provide articles forfledgling brands.Managing such an undertaking is a messy task that most brands dont want to add to their capacious to-do lists. Contentlydoes it for them, working with the likes of American Express, Rackspace and Vault.Explaining contents value has been reliant on "proxy ROI" -- "likes," "followers" and whatnot -- that may not correlate withconversions, Mr. Snow said. But thats changing."PR agencies are coming to us and saying that the cost per impression of creating content and having people share it is muchlower than buying StumbleUpon or clicks or ads," Mr. Snow said. "Theyre not closing the loop in terms of sales, but its betterthan what theyve seen so far."Parker Ward, digital content manager at Weber Shandwick, said that while more work is needed to draw a straight line tosales, content represents better value than ads."With an effective content engine, it costs less to bring a visitor to a platform through content than display advertising," Mr.Ward said.In addition, he said, "user behavior of opt-in referrals from "content sources -- search, return visits, social-channel promotion,syndication partners -- encourages them to stay longer and be more engaged."As this gets hashed out, content marketers for sexy brands might do well to look to the comparatively unglamorousbusiness-to-business field for guidance. A whopping 90% of B2B brands play in the content-marketing space, and devote a bitmore than a quarter of their overall budgets to it, according to the Content Marketing Institute. And many of them are gettingreal results.Eloqua, a digital-marketing automation company, publishes guides that are free but require surrendering contact informationthat has allowed Chief Content Officer Joe Chernov to link the content to income. In 2010, more than $2 million in revenuecould be connected to just four guides, according to a recent report by Altimeter.In addition, Mr. Chernov has hired a former journalist, Jesse Noyes, as corporate reporter to boost content volume.And what of Indiums 73 blogs? Though the number may sound outlandish, it came out of a search-based strategy that foundthat many keywords were driving people to the site. According to the same Altimeter study, by Rebecca Lieb, the blogs wereresponsible for a 600% lift in customer contacts in just one quarter.Not bad when your topics are tombstoning, phase-change material and pop flux.Online Campaign Optimization: Five Essential Solution FeaturesSatnam Singh GandhiFeb 27, 2012ADOTAS - Managing online campaign data used to be a much simpler task. Old-school campaigns produced less data, and theinformation they generated tended to reside in a fairly uniform format in data centers. Today, there is a profusion of datafrom a variety of sources. A typical campaign runs on several channels, generates data across multiple platforms and involvesnumerous partners — with each potentially using unique metadata definitions and storing information in a variety of web-based repositories. Adding third-party verification and cross-campaign analytics to the mix complicates the task of dataanalysis even further.However, the data today’s campaigns produce is capable of providing unparalleled consumer insights. Marketers andadvertisers rightly recognize its value, realizing that the information it contains can help them refine campaigns and developrelevant product and service offerings that generate new revenue. The challenge is to find a solution that enables marketersand advertisers to simplify complex data — to cut through the volume at scale, make sense of a variety of metadatadefinitions and process third-party information and cross-campaign analysis to gain actionable insights.Babelfish Articles Jan-Apr 2012 Page 80
  • There are a number of online campaign data management solutions available,many purporting to offer a method to simplifycomplex data and extract actionable insights. Those contemplating a data management partnership to optimize their onlinecampaigns should ensure that the solution they choose has the following features:• Integration: The solution should present integrated data via a single interface that manages all data sources and sets.Integration is key since the use of different meta-data definitions and data sets can be challenging to interpret.• Automation: An ideal solution should run automatically without requiring user intervention. An automated solution requiresfewer resources.• Autonomic/Fault-Tolerant: Because data is time-sensitive and constantly changing, the solution should be self-healingand able to manage problems with minimal disruption via auto-correct tools. The solution should automatically identify andaddress issues from a variety of sources, including hardware, software and interface disruptions, for seamless data recovery.• Adaptable: Since metadata definitions and data-set formats can change, the solution should be able to quickly adapt tonew input. This provides a broadly applicable solution that continues to deliver value.• Extensible: Campaign needs evolve, so the solution should be capable of easily extending to include new data sources anddata sets. Extensibility empowers users to adapt to changing conditions on the fly.When evaluating online campaign data management solutions, marketers and advertisers should not lose sight of the factthat their data is an extremely valuable asset. The quality of the solution they choose can make the difference between fullyutilizing the data generated and losing valuable insights due to volume overload and data complexity. Therefore, choosing theright solution is critical.In addition to the five solution features outlined above, those seeking new online campaign optimization strategies shouldconsider choosing a solution that is scalable to adapt to their digital media operation as it grows. It is also important tochoose a solution partner who is willing to work closely with the in-house team to gain a comprehensive understanding ofbusiness goals and to approach customers with the flexibility they need to respond to changing business conditions. The rightsolution — delivered by the right partner — can be a crucial factor in online campaign management success.First Look: Survey Warns Of Consumers Turning Off From Digital AdsINGRIDLUNDEN Friday, February 24th, 2012With all the developments we’ve seen in online advertising over the years, you’d have thought that someone would havefigured out how to put a halt to what must be one of the biggest issues of all: people are getting fed up with digital ads.A new report from YouGov, commissioned by mobile marketing company Upstream and provided to TechCrunch before widerrelease, indicate that people basically feel like there are too many ads, and that they are too pervasive.The situation seems to be a vicious circle. Users are engaging with ads less and less: response rates that were at an averageof 7 percent in 1997 have today plummeted down to 0.1 percent for an average online ad.The solution? Serve more ads to get the respond numbers up. The result? More annoyance with online ads, and even lessengagement: total digital ad imp. for all media in 2011 were at 5 trilliion, compared to 200 billion in 1997, - comScore.Surveys like this speak to some of the issues that the online ad industry is going to have to sort out as it keeps growing, andmeans opportunity for new players and new formats like those being developed by Facebook. But as information gatheringbecomes more sophisticated, issues around invasiveness and privacy will also grow.“How you connect with people effectively is going to be a major battleground over the next few years,” said Marco Veremis,chairman of Upstream. “We need to look at targeting in a different way than we’ve been taught as marketeers.”Surveying 4,150 consumers across the U.S. and UK, YouGov found that 66 percent said that they got bombarded with too manydigital ads — online and on their mobile devices.An equal number, 66 percent, said their perception of brands changed when felt their promotions became too invasive.But it can be more damaging than that: some 27 per cent of UK and 20 per cent of U.S. consumers said that too frequentadvertising or promotional messages would result in them not using the product from the brand in question completely, whileonly 1 per cent of UK and U.S. consumers said that excessive messages led them to use products more. And around 10 percentsaid that they would go activist as a result, taking to social media sites to complain.That has a lot of resonance when you think about some of the more prominent direct marketing campaigns of late — those ofdaily deal sites that email offers to their users — and the fatigue that has meant less engagement in those promotions.In the UK, YouGov found that some of that dislike related to economic grouping, with upper middle class users less happy withads than those with less money. (Corresponding numbers were not available for the U.S.) Young adults in both markets (18-34)were slightly more tolerant of ads than older users. Women were more tolerant than men when it came to digital ads.Devices. A clear line was drawn on platform: mobile ads are a much more personal, and potentially more invasive, than otherchannels. When it came to unwanted ads, while PCs and even tablets scored at under 10 percent for offensiveness, mobilehandsets rated at 64 percent (UK) and 67 percent (U.S.).Babelfish Articles Jan-Apr 2012 Page 81
  • That seems to indicate that although some analysts like eMarketer project that mobile ads will make $2.5 billion in revenuein the U.S. this year — their effectiveness may not match that investment.Mediums. Connected to the sensitivity around mobile, SMS and mobile apps were two of the least-liked channels for receivingads.But in what might be good news for Twitter as it rolls out its advertising services, it scored as the least-annoying channel forads compared to Facebook and Google.Where is the silver lining? There do seem to be some small shoots of hope for the digital marketing industry — if advertiserscan think of better ways of matching their brands (or their campaigns) to their target audiences.The numbers are still not brilliant, but at least 26 percent said they would be happy to get ads aimed at their personalinterests; 21 percent were interested in ads that were “contextually relevant” and between 19 and 22 percent liked the ideaof ads that were location specific.Marketers: Digital Offers Us More for LessSome Analysts Dispute Theory from P&G and Walmart; Claim it Masks Marketing CutsBy: Jack Neff Published: February 27, 2012Digital is the new black for marketers hoping to convince investors that they can stay out of the red. But investors arentalways buying the argument.In recent weeks, a growing number of advertisers have been touting digital-marketing efforts on earnings calls and atinvestor conferences--not just to impress audiences with how forward-thinking they are but to show how theyre tappingdigitals lower costs and social power to get more bang for their buck.At last weeks Consumer Analyst Group of New York conference in Boca Raton, Fla., references to digital campaigns were ascommonplace as the boilerplate TV reel was years ago.At least some of those marketers are directly or indirectly citing digital to explain why shrinking media budgets wontdamage their brands. The companies making such a case last week included the worlds biggest ad spender, Procter & GambleCo., and its biggest retailer,Walmart Stores.P&G Chairman-CEO Bob McDonald, speaking at CAGNY, contended that $1 billion in marketing-spending efficiencies tucked intoa five-year cost-cutting plan that would shave $10 billion from the budget and 5,700 jobs from the payroll wont hurt hiscompanys brands, partly because of the increased efficiency of digital and mobile advertising.Babelfish Articles Jan-Apr 2012 Page 82
  • Procter & Gamble Co. Form 10-K, presentation at Consumer Analyst Group of New YorkP&G spending for fiscal years ended June 30."Were using technology to shift our spending from more traditional advertising and television to digital and mobileadvertising," said Mr. McDonald, adding that the improvements will allow P&G to grow marketing spending more slowly thansales over the next five years. He is also banking on better consumer targeting and multibrand efforts to spread the burdenamong a wide array of brands.Investors sent P&G shares up about 3% on the news, though the focus was on the cost cuts, which were two to three times asdeep as many expected.Walmart U.S. CEO Bill Simon said on the retailers prerecorded fourth-quarter earnings call Feb. 21 that "we reached even moreconsumers through even more channels during the holidays, while lowering our overall advertising expense for the year by10%."Though Mr. Simon didnt specifically mention it, people close to Walmart say digital has played a major role in applying thecompanys "everyday low price" approach to marketing. That means taking advantage of the lower cost-per-thousand ofpaid-digital advertising, as well as increasing reliance on earned- and shared-media impressions generated by social media.Facebook, where Walmart now has 12.5 million fans, has been a big part of the giants getting loads of consumer impressionswith lower outlays. Walmart has ramped up spending on Facebook advertising in recent quarters, according to people familiarwith the matter.However effective, Facebook advertising is cheap. The social network was serving nearly a third of all digital displayimpressions as of the first quarter of 2011, according to ComScore. But Facebooks global display-ad revenue equals onlyabout a fifth of all display-ad revenue in the U.S., as tracked by the Interactive Advertising Bureau. Some interactive-mediaexecutives peg Facebooks CPM at a meager $1.But investors sent Walmart shares down 4% as growth of 1.5% in comparable store sales in the U.S. wasnt strong enough todispel concerns about a $100 million margin hit to roll back prices.And all the discussion about digital and social media sometimes confuses more than impresses investors.One investment-portfolio manager attending CAGNY, recalling the chief financial officer of a major packaged-goods advertiserstating that Facebook "shares" are worth more than "likes," wondered aloud how well a CFO understands the value of either.The portfolio manager said that, regardless of how much more efficient digital spending might be, experience shows thatwhen consumer-goods companies cut marketing spending, they usually experience share losses and slower sales. He pointedto PepsiCo, which has recently pumped up its budgets after years of restraint."Investors dont give companies credit for margin gains that come from cutting advertising," he said.Ali Dibadj, analyst at Sanford C. Bernstein, said that "investors have learned that when advertisers talk about spending beingmore efficient, its a euphemism for "cutting. " As a result, he said, "you have to take that with a big grain of salt."For all the conversation, Mr. Dibadj said, digital marketing remains a relatively small part of most marketers budgets, "sotheres skepticism about what it really means."Deutsche Bank analyst Bill Schmitz sees the the talk as a smoke screen for lackluster sales."You wouldnt be hearing all this about digital advertising if there were any volume growth at all in North America," Mr.Schmitz said.Not everything about digital is couched in discussions of slashing or restraining ad spending, however.General Mills has put a particular emphasis on digital. Its spending in the discipline has grown three times as fast as that inTV--though both are increasing--and the marketer expects digital outlays to jump by double-digits again this year, CEO KenPowell said at CAGNY.Initiatives include Pillsburys recently launched "Ideas Made Easy" online campaign, which features simple-to-prepare recipes."Millennials learn more about cooking online than they do through cookbooks or TV," Mr. Powell said. "So weve beenenhancing our websites with more recipes and how-to videos."Smuckers, whose brands include Folgers and Jif, reported that its also expanding digital and social-media efforts, whichaccount for 10% of the companys marketing spending.Babelfish Articles Jan-Apr 2012 Page 83
  • But the shift to digital, and particularly to social media, makes it harder for marketers to detail to investors how much theyrereally investing in their brands.For example, Reckitt Benckiser has for years told investors how much it spends on media. But CEO Rakesh Kapoor said thismonth that the company would, by next year, replace that number with a "Brand Equity Index" that will better reflect RBstotal spending on brands, including development of earned and owned media.In an email, RB spokeswoman Andraea Dawson-Shepherd said that because digital delivers more per dollar spent and thecontent may cost no more to create, a change to digital "can look to investors that your investment is going down, eventhough your reach is the same" or more."We are moving to a measure that enables us to have the flexibility to put our dollars where we get the best ROI of brandequity-building but that also gives investors a better and more transparent measure," Ms. Dawson-Shepherd said.TV Is Dead! Long Live TV!Sean CartonDoes the impending death of a small TV startup mark the beginning of the end for TV?Last week, four-year-old Canoe Ventures announced that it was laying off 120 employees and shifting the final 30-or-soemployees to concentrate on video on demand. The company, created by cable giants Comcast, Cox, Time Warner, CharterCommunications, Cablevision, and Bright House had promised to "reimagine" the "television experience" by allowing viewers torequest information by mail from advertisers by pushing a button on their remote controls. Theyd also hoped to allow cablenetworks to target ads down to the neighborhood level, but scrapped those plans in 2009 due to technical issues.It would seem on the surface that the shuttering of such a relatively small company wouldnt be that big of a deal to anyoneexcept the employees affected and maybe industry insiders, but Canoes capsizing may be the canary in the cable TV coalmine that augers something much bigger. Why? Because if some of the biggest TV companies in the world (most of them localmonopolies, no less) couldnt get advertisers jazzed about "the future of TV," then TV as we know it may have no future.Before you get out the butterfly net and drag me to the loony bin, note that what I said is "TV as we know it." The issue isntthat people are going to stop watching video content any time soon, but rather that how they watch it is in the midst of aradical change as big as the change faced by the music and film industries.The signs are unmistakable. According to comScores recent "2012 Digital Future in Focus" report, online video viewingincreased 43 percent in 2011. In December 2011 alone, Americans watched 43.5 billion content video streams. About half of thatwas on YouTube, followed by Vevo, Hulu, and Netflix. Thats a lot of video.At the same time, Nielsen is reporting that the number of "cord cutters" (people ditching cable to go with a combination ofover-the-air and Internet content) increased nearly 23 percent over the past year. And while this group still watches more"traditional TV than online TV," overall cord-cutters watch half as much broadcast TV and twice as much online TV as the restof the U.S. population.But it might be those whom Analyst Stefan Anninger calls "cord-nevers" who really show us where TV is going. "Cord-nevers"have grown up with the Internet and the content-is-free culture and believe that pay-TV is a "rip-off." Theyre also growing upin a down economy where the average cable bill is around $100. When faced with the choice of a $100 monthly bill for cableor around $20 a month for a couple of streaming video subscriptions (say Netflix and Hulu+), cutting (or never getting) "thecord" seems like a no-brainer. Just take a look at the Hulu and Netflix paid subscriber numbers. The trend seems to be prettyclear…even more so when you look at the demos that show that the biggest users of these services are the Millennials.Of course, the naysayers among you reading this may point to the fact that "cord cutters" only make up about 5 percent ofU.S. households today. True. But its also true that in every instance where the Internet has offered an alternative to "oldmedia," old media loses. Just take a look at newspapers, CDs, books, and magazines. If content can be gotten cheaper, faster,and easier (with more choice), it will be.But if we want to glimpse the future of TV, the music industry probably represents the best model. Even with all the hand-wringing going on by the Recording Industry Association of America (RIAA) about digital content and "piracy," music sales haveactually been going up in the U.S. as a result of the explosion in digital music sales. While CDs may have gone the way of CRTTVs, music - the content contained on CDs, the stuff we actually care about - still continues to sell at a rapid clip. Whatshappened is that the Internet has separated the content (music) from its former means of distribution (shiny plastic discs soldin quaintly-named "record stores"). Content and container have been irrevocably separated.Thats why the demise of Canoe that I mentioned at the beginning of this column is so important. Its not that people dontwant to watch and interact with video content, its just that they dont want to do it in a format that seems increasinglyinconvenient given the new choices they have. Why would a consumer want to wait for information about a product to besent to them by mail when they can just go online and find it in a manner of seconds? If the record-breaking social numbersracked up during the Grammy Awards are any indication, the "digital omnivores" of today want their interaction now.So is TV dead? If "TV" means the traditional broadcast-sit-down-and-watch-one-screen-with-the-family model, it seemspretty clear were headed that way. But if we broaden the definition of "TV" to just mean commercially-supported videocontent, then the future is pretty bright. As advertisers, we just need to get over the fact that the old model is on the wayout and start looking to a future where all "TV" will be interactive, online, and watched whenever and wherever viewers wantto watch it.TV is dead! Long live TV! 2The Insight Game and Its PerilsAndrew Edwards | February 27,Babelfish Articles Jan-Apr 2012 Page 84
  • Devout clerics used to argue how many angels could dance on the head of a pin. Some say its a certainty that one day, all theknowledge in all Creation will fit on one. The world in a grain of sand - or silicon: this awaits us. And the insights we mightgain from this concentration of knowledge could prove limitless.But we cannot divorce what is commonly thought of as knowledge - history, the arts, philosophy, and math - from new datathat will also be compiled on each new day going forward. Information about everything from the wingspan of the largestinsect to the sequence of buttons I have clicked on a website or iPad app will continue to be stacked like so many sheaves ofwheat for the thresher. Yet, it is by the behavioral information, threshed and ground and baked for consumption, that ourmarketing future shall be nourished. Behavioral data shows every sign of serving as currency in what is rapidly becoming aworld economy of information technology.The purpose of knowledge would seem to be its ability to help one navigate the unknown: giving us a map as we movethrough the territory. The more detailed the map, the less likely well get lost. For digital marketers, this map can be summedup as a single concept: insight.We may imagine our clicks and bits and bytes are ephemeral. But even as we forget the last email we sent, our online activityis recorded and, with increasingly rare exception, not merely kept, but ogled, prodded, poked, matched, calculated, combined,compared, and transmogrified into those insights.Behavioral science is old. How many loaves to bake for Saturnalia? How many nickel cigars to put by for the week beforeEaster? The provident merchant would know this and more, or else find his belongings out on the cobblestones one day.How did the merchant happen upon these insights? By looking at data. The old-fashioned way was to write consumption datadown in a ledger and in a scene reminiscent of Dickens, have a scrivener copy the data into a table so that comparisons mightbe made. Today those scriveners are ghosts in the machine, and we can make comparisons of comparisons never beforepossible.The insight game as its played today assumes valuations for certain activities that lead to the insight. The latest trope is tosay that nothing matters except insight.And that is true - much as nothing matters about a car so much as that it gets you to where you are going.But when insight is missing there is often another component broken or lagging as well. In my experience, the missingelement is good technology. One of the highest barriers to insight is poorly planned, poorly implemented, unmaintainedtechnology.Its the link that insight wants to forget.Without getting the technology right, the insights are either impossible or incorrect. Imagine a map where the cartographerhad a faulty compass. Or couldnt understand elevation statistics - causing you to run up a mountain you thought was a plain.While not universal, its more common than it should be: organizations hoping for insights and valuing those highly; whilewanting to believe the underlying technology has become somewhat the commodity.Well-planned, well-implemented technology is not only essential to the development of accurate insights - it needs to bebudgeted. How often have you seen requests for end-results (insights) without an adequate budget for implementation? Forme, the answer is "often" if not "regularly."So the insight game relies too often on pieces left off the board. Or placed in the hands of teams that have only a shallowunderstanding of the game itself. Example: does the implementation team know that a multi-market banner campaign needsto make sure its redirect page is delayed long enough for a call to be made to the analysis tool? Its little things like that -the equivalent of a tiny cog in a finely crafted watch - that can throw off all the measurement. And when the measurement isthrown, so is the insight.In the above instance, it might seem that campaign had few click-throughs. But really, it was because in many cases theredirect page didnt have enough time to load the tagging information and get itself counted. The result is faulty data which,relied upon, feeds faulty insight.Insight today is valued highly; but depends on technology often taken for granted. This is a conflict in the back room thatcould lead to conflict in the board room. Its as important today to know how to beat back this conflict as it is to know how totease out insights.The provident marketer today will know who are her go-to tech people; and the provident organization will know that theyhave to provide as much to the marketer.Dont prop your insight deck on rickety legs. The seas are rough. Lacking sound architecture, the insight deck, and everyoneplaying the game will hit the surf - and possibly be swept away in a maelstrom of inaccuracy.Insights and technology serve us equally. Think back to the clerics of old. And of angels dancing -together - on the head of apin.Boomers, Whats Your Data Worth?By Nick Lucente Monday, Feb. 27, 2012It’s apparent that Boomers represent a significant segment of Web and social media consumers. The elephant in the roomhere is data. In a world where Boomers basically feel ignored by advertisers, online behavioral data may hold the key tosuccessfully — and accurately — communicating with them.An important caveat: navigating the precarious gray area that is online privacy. Currently, our data lives on the networkswhere we create it, from emails to simple web browsing, and in categories that include basic shopping data to financial ormedical information. Our activities are tracked, and data is stored (and sold) so that marketers may better target theiradvertising and messaging.While identity theft is still the greatest threat to online privacy, concerns over behavioral data are on the rise, due in part, nodoubt, to the growth of social networks. A recent Ad Age article reveals that nearly 50% of those 55-64 years old areconcerned about the collection of their behavioral data, compared with 33% of Millennials.Babelfish Articles Jan-Apr 2012 Page 85
  • So far, the flawed approach to this growing practice is raising red flags regarding privacy, particularly for Boomers, most ofwhom look askance at online tracking. The reason? Most marketers miss some of the contextual data surrounding users’online behavior. Ever seen those Facebook ads that are either frighteningly accurate or completely off the mark? Here’s anexample: a male consumer, aged 55, is looking online to purchase a birthday present for his significant other (let’s say it’s theshoes she’s been talking about nonstop since she saw them in a magazine). Most likely, he’s considering a one-time searchwith this type of retailer. Because his data is tracked, the next time he logs on, he’s bombarded by ads for women’s shoes. Notexactly what you’d call a pleasant online experience.Research shows that most Boomers are dissatisfied with marketing messages, feeling that companies are disconnected fromtheir everyday realities. Getting everyone on the same page may be the key to successfully marketing to this demographic.So how can companies collect Boomer data and address privacy concerns?Start with trust. Companies should openly communicate the trustworthiness of their site and what they intend to do withany collected data. Let the customer know what you’re collecting, why you’re collecting it, what you’ll do with it, and thesecurity measures in place. The online financial industry enjoys the highest rates of consumers’ trust for this very reason.Allow control. Put your Boomer customers in control of their online data, both in the ability to opt out and in choosing whatto share. Today’s tracking opt-out process can be complicated and frustrating for customers, and may negatively impact yourcompany if you’re caught using personal data in a way that’s perceived unfavorably.Understand roles. Each digital platform can perform a specific role in a Boomer’s online experience. Understand the partsthey play, the data created on them, and how you can utilize it in a way that makes the experience more meaningful withoutcompromising privacy. Social networking, for example, has brought a renewed sense of connection for Boomers. Understandhow the data they create can enhance their experiences on these networks.Provide value. Create a better online experience or provide actual compensation. Amazon, for example, uses personal data toprovide shopping suggestions, and executes this function very well. As new companies begin to define the data industry, it’spossible that monetary rewards and incentives will be offered in exchange for permission to track and collect information(along with guaranteed privacy). This model will allow companies to purchase data in the segment of their choice, creatingaccountability for the collector, a much easier access process, and a secure online experience for the consumer.Both marketers and Boomers stand to gain from a mutually agreed-upon exchange of data, and some even believe that thesolution may lie within the makeup of this nascent industry. Marketers must address the privacy concerns of their Boomercustomers with clarity and consistency, while at the same time, avoid triggering more anxiety around it. Whatever thecollection method, more data on these potential customers means a higher likelihood of “getting it right” when it comes tothe message.Nicholas Lucente is Mature Marketing Consultant at Varsity, a mature marketing communications agency based in Harrisburg,Pa.UK Pub Chain Barracuda Ditches Website for Facebook: Business Traffic Up 2000%For years I have been asked whether Facebook brand pages could possibly replace traditional websites. Now, a UK-based puboperator, Barracuda Pub Group, has taken such a step with one of its popular brands, Varsity. All of its web-based content andonline activity has been migrated over to Facebook.As a brand that is designed to appeal to students, Facebook is a natural fit. Its page provides information about venues,drinks deals and events solely through the social network. More importantly, the move is an acknowledgement that Facebookis now the major communications tool for the 18-35 age group, and that effective engagement with this audience is betterachieved via social media than regular website content.“We have always advocated brands taking their message to their audience where they ‘live’ rather than expecting them tocome and visit. This is a pioneering move by Varsity, who really know their audience and are comfortable engaging with themon their own turf,” said Sarah Friswell, Group Account Director at Red Ant, the digital strategy agency responsible for creatingVarsity’s Facebook page.Simon Gaske, Sales & Digital Marketing Manager for Barracuda said that, ”By replacing the designated Varsity website andmigrating to Facebook with the Varsity hub we can interact with our customers in a way that they prefer, as well as bringingthem a more social and intuitive experience.”Results of Move to FacebookWithin a month of launch a lot of activity has been generated on the Facebook page: 17% increase in number of Facebook fans; 279% increase of average daily users on the page with the addition of the new content; 2,074% increase in traffic reaching Varsity’s sister brand Party At The Pub’s booking page from the Varsity hub versusdirect from its own website.What This Means for BrandsIn a post written five years ago, web strategist Jeremiah Owyang stated matter-of-factly that corporate websites werebecoming irrelevant. “The corporate website is an unbelievable collection of hyperbole, artificial branding, and pro-corporatecontent. As a result, trusted decisions are being made on other locations on the internet,” said Owyang.His surmise was that marketing had spread to many other areas where conversations occur, including social networks. Thatwas five years ago, long before Facebook became the force to be reckoned with that it is today, and long before the term “f-commerce” entered into the marketing lexicon.Back to the question of whether Facebook could (or should) replace traditional websites. In some cases, I think there is realvalidity, but it depends on the demographics of the market and the type of business. For bars, pubs, coffee houses andBabelfish Articles Jan-Apr 2012 Page 86
  • restaurants that seek to appeal to a younger crowd, then Facebook has great relevance and should perhaps become the locusof online activity. Still, that does not mean there is no room for a more traditional website.Are we likely to see more brands shift completely away from corporate websites to Facebook? Undoubtedly. However, I thinkthere is room for both. With a website the brand controls the design, owns the data, can provide more targeting andpersonalization options and reach the entirety of its audience. However, social networks like Facebook put brands wherepeople are gathering in an environment that is inherently interactive, social and viral.Of course, thanks to Facebook’s Open Graph the company website can take on many of the very characteristics that arecommon to social networks. In a sense, the website becomes an extension of Facebook itself. It doesn’t have to be either/or,but both/and.Babelfish Articles Jan-Apr 2012 Page 87
  • Sorry, We’re Closed: The Rise of Digital DarwinismI am not a social media expert and my new book, The End of Business as Usual, is not about Social Media. If you’re looking forthe Top 10 ways your business can succeed on Facebook or Twitter, secrets to attracting more followers or likes, creatingviral videos, or the best practices for creating infographics that over simplify the complex world of business, save yourmoney. There are no shortage useful books and resources out there.Don’t get me wrong. While important, social media only plays a part in this (r)evolution. The customer journey is evolving. Howbusinesses react and ultimately lead the enhancement of relationships is not determined by technology. To get closer tocustomers takes a culture of customer-centricity, a culture of empowerment, and a culture of innovation. But that’s hardlyenough to convince business leaders that the customer revolution they hear about is literally steps away from their frontdoor. Someone has to make the case however.The reality is that most executives don’t use social networks. And, to be honest, most don’t read their own emails. Many won’tever see this post. Trying to convince decision makers that this is a war fought on the battleground of social networks is in ofitself fighting a losing battle. That’s because the future of business isn’t tied to the permeation of Facebook, Twitter,smartphones, tablets or real-time geo-location check-ins. The future of business comes down to relevance and the ability tounderstand how technology affects decision making and behavior to the point where the recognition of new opportunitiesand the ability to strategically adapt to them becomes a competitive advantage.But make no mistake, this is as much a technology revolution as it is a series of real world revolutions that have and willcontinue to spring up in front of governments, businesses, and anywhere else it takes to be heard and bring about change. Occupy: Madrid, SpainA recent advertisement produced by Babson College cited a rather humbling statistic: “Over 40 percent of the companies thatwere at the top of the Fortune 500 in 2000 were no longer there in 2010.” As we’re often painfully reminded, history has a wayof repeating itself. Forbes published an article in early 2011 that served as a harbinger for the turbulent and transformativetimes that lie ahead. The opening line read, “The End is Near: Why 70% of the Fortune 1000 Will Be Replaced in a Few Years.”Startling and sensational yes. But far-fetched? No.The author cited a study published in the book Built to Change by Edward E. Lawler and Christopher G. Worley. The study foundthat between 1973 and 1983, 35 percent of the top companies in the Fortune 1000 companies were new to the list. Over thenext decade from 1983 to 1993, churn jumped to 45 percent, and then soared again to an astounding 60 percent between 1993and 2003. If the current trend continues, over 70 percent of Fortune 1000 companies will turnover from 2003 to 2013. As theauthor observes, “In other words, over 3/4ths of the existing captains of industry will fall from their throne.”This is about Digital Darwinism, when technology and society evolve faster than the ability to adapt.In this video alone, try to count the number of companies that you’ve supported over the years. The number of companies nolonger here or on the verge of obsolescence is unsettling. There were so many in fact, that not all could make the cut.This a about the survival of both the fittest and the fitting. And it take more than a presence in new channels to improvecustomer experiences and relationships. It takes courage. It takes persistence to break through resistance. Everything startsBabelfish Articles Jan-Apr 2012 Page 88
  • with articulating a vision for how your business will invest in customer relationships and experiences. From there, technology,processes, and systems will serve as enablers for that vision. In the end however, it is leadership and an empowered culturethat will bring about transformation.Many follow, but very few lead.Many compete to survive, but few compete for relevance.Do we listen to our customers? Do we truly understand them?Do we create experiences or do we simply react?The future of business comes down to one word…change.This is a new era that redefines everything.An era of empowered consumers and employees.Will we fall to natural selection or will we rise to lead the revolution.This is our time to make business relevant.Because people, after all, are everything.#AdaptorDieHABITS ARE THE NEW VIRAL: WHY STARTUPS MUST BE BEHAVIOR EXPERTSNIR EYAL Editor’s Note: This guest post is written by Nir Eyal, a founder of two startups and an advisor to several Bay Areaincubators. Nir blogs about technology and behavior design it; you’re hooked. It’s your uncontrollable urge to check for email notifications on your phone. It’s your compulsion to visitFacebook or Twitter for just a few minutes, but somehow find yourself still scrolling after an hour. It’s the fact that if Irecommended a book to purchase, your mind would flash “Amazon” like a gaudy neon sign. If habits are defined as repeatedand automatic behaviors, then technology has wired your brain so you behave exactly the way it wants you to.In an online world of ever-increasing distractions, habits matter. In fact, the economic value of web businesses increasinglydepends on the strength of the habitual behavior of their users. These habits ultimately will be a deciding factor in whatseparates startup winners and losers.TURNING HABITS INTO CASHEver since the creation of the first online media companies at the dawn of Web 1.0, businesses have made money from theirusers’ behaviors. Early online media enterprises like AOL and Yahoo! sold their users’ attention to advertisers in the form of adimpressions. However, Web 1.0 companies measured themselves on pages viewed and CPM rates, rather than the strength oftheir user habits. As millions of dial-up customers came online for the first time, these companies were lulled intocomplacency as their user numbers grew.Such self-assurance left them vulnerable to attack from social media companies, which plundered their user base as the webevolved. Facebook, YouTube and Twitter, armed with an arsenal of behavioral engineering weaponry including hot triggers,variable rewards, and social proof eventually dominated the Social Web. Upon reaching critical mass, these companies beganselling user behavior as well. But unlike Web 1.0 companies, social media proved so valuable and habit-forming, usersbegrudgingly allowed these businesses to layer personal and demographic information onto their ad units, resulting inincreased revenue and profitability.VIRAL IS NICE, BUT HABITS ARE REQUIREDToday, at the dawn of the Curated Web, companies must build habit creation into their products and business models. Not onlyare users inundated by distractions, but acquiring users is also harder than ever before.Finding new users through paid advertising rarely provides a positive return on investment. And while viral mechanics are stillemployed, users are becoming increasingly intolerant of applications spamming their contact lists for the purpose of invitingnew users to join a service. Viral growth is also under attack as platforms like Facebook, Apple, and Android respond tocustomer complaints and quickly shut down such tactics.Relying too heavily on viral growth is also bad for business. Silicon Valley is strewn with the stories of “leaky bucket”companies – businesses that grew quickly, annoyed lots of people, and died. While some of these companies were pure spam,others offered value to users but failed to form habits.Of course, attaching user habits to a viral growth engine is ideal, the embodiment of the rare “rocket ship” business. However,it is important to note that companies, which successfully create user habits, even without viral growth, can build hugeenterprises. I call these companies “commitment businesses” because users become increasingly tied to the service the moreBabelfish Articles Jan-Apr 2012 Page 89
  • they use it. Evernote’s famous smile graph provides the clearest visualization of how a commitment business establishes auser habit. Though originally rebuffed by investors who could not see past the company’s slow growth, Evernote succeededby betting on habit formation and patiently waited for its users to prove the company right. Other successful slow-growthcommitment businesses have similar stories, including Pandora and Amazon.THE CURATED WEB WILL RUN ON HABITSIncreasingly, companies will become experts at designing user habits. Curated Web companies already rely on these methods.This new breed of company, defined by the ability to help users find only the content they care about, includes such white-hot companies as Pinterest and Tumblr. These companies have habit formation embedded in their DNA. This is because datacollection is at the heart of any Curated Web business and to succeed, they must predict what users will think is mostpersonally relevant.Curated Web companies can only improve if users tell their systems what they want to see more of. If users use the servicesparingly, it is less valuable than if they use it habitually. The more the user engages with a Curated Web company, the moredata the company has to tailor and improve the user’s experience. This self-improving feedback loop has the potential to bemore useful – and more addictive — than anything we’ve seen before.6 Steps to a More Marketable LinkedIn ProfileSomewhere along the line you started treating it more like a resume. Its time to fix that.Overall, LinkedIn is the best social media platform for entrepreneurs, business owners, and professionals. Unfortunately, yourLinkedIn profile may not be helping you to create those connections.So let’s tune yours up with six simple steps:Step 1. Revisit your goals. At its most basic level LinkedIn is about marketing: marketing your company or marketingyourself. But that focus probably got lost as you worked through the mechanics of completing your profile, and what startedas a marketing effort turned into a resume completion task. Who you are isn’t as important as what you hope to accomplish,so think about your goals and convert your goals into keywords, because keywords are how people find you on LinkedIn.But don’t just whip out the Google AdWords Keyword Tool and identify popular keywords. It’s useful but everyone uses it—andthat means, for example, that every Web designer has shoehorned six- and seven-digit searches-per-month keywords like“build a website,” “website templates,” “designing a website,” and “webmaster” into their profile. It’s hard to stand out whenyou’re one of millions.Go a step further and think about words that have meaning in your industry. Some are process-related; others are terms onlyused in your field; others might be names of equipment, products, software, or companies.Use a keyword tool to find general terms that could attract a broader audience, and then dig deeper to target your niche byidentifying keywords industry insiders might search for.Then sense-check your keywords against your goals. If you’re a Web designer but you don’t provide training, the 7 millionmonthly Google searches for “how to Web design” dont matter.Step 2. Layer in your keywords. The headline is a key factor in search results, so pick your most important keyword andmake sure it appears in your headline. “Most important” doesn’t mean most searched, though; if you provide services to ahighly targeted market the keyword in your headline should reflect that niche. Then work through the rest of your profile andreplace some of the vague descriptions of skills, experience, and educational background with keywords. Your profile isn’t aterm paper so don’t worry about a little repetition. A LinkedIn search scans for keywords, and once on the page, so do people.Step 3. Strip out the clutter. If you’re the average person you changed jobs six or eight times before you reached age 30.That experience is only relevant when it relates to your current goals. Sift through your profile and weed out or streamlineeverything that doesn’t support your business or professional goals. If you’re currently a Web designer but were anaccountant in a previous life, a comprehensive listing of your accounting background is distracting. Keep previous jobs in yourwork history, but limit each to job title, company, and a brief description of duties.Step 4. Reintroduce your personality. Focusing on keywords and eliminating clutter is important, but in the process yourindividuality probably got lost. Now you can put it back and add a little enthusiasm and flair. Describing yourself as, “Aprocess improvement consultant with a Six Sigma black belt,” is specific and targeted but also says nothing about you as aperson—and doesn’t make me think, “Hey, she would be great to work with.”Share why you love what you do in your profile. Share what you hope to accomplish. Describe companies you worked for orprojects you completed. Share your best or worst experience. Keep your keywords in place, leave out what doesn’t supportyour goals, and then be yourself.Keywords are important but are primarily just a way to help potential clients find you. No one hires keywords; they hirepeople.Step 5. Take a hard look at your profile photo. Say someone follows you on Twitter. What’s the first thing you do? Checkout their photo.A photo is a little like a logo: On its own an awesome photo won’t win business, but a bad photo can definitely lose business.Take a look at your current photo. Does it reflect who you are as a professional or does it reflect a hobby or outside interest?Does it look like a real estate agent’s headshot? A good photo flatters but doesn’t mislead. Eventually you’ll meet some ofyour customers in person and the inevitable disconnect between Photoshop and life will be jarring.The goal is for your photo to reflect how you will look when you meet a customer, not how you looked at that killer party inKey West four years ago. The best profile photo isn’t necessarily your favorite photo. The best photo strikes a balancebetween professionalism and approachability, making you look good but also real.Step 6. Get recommendations. Most of us can’t resist reading testimonials, even when we know those testimonials wereprobably solicited. Recommendations add color and depth to a LinkedIn profile, fleshing it out while avoiding any, “Oh jeez willBabelfish Articles Jan-Apr 2012 Page 90
  • this guy ever shut up about himself?” reactions. So ask for recommendations, and offer to provide recommendations beforeyou’re asked. The best way to build great connections is to always be the one who gives first.Jeff Haden learned much of what he knows about business and technology as he worked his way up in the manufacturingindustry. Everything else he picks up fromghostwriting books for some of the smartest leaders he knows inbusiness. @jeff_hadenThe 8 Principles Of Product NamingBY FC EXPERT BLOGGER MATT GORDON AND NICK FOLEYFri Feb 24, 2012This blog is written by a member of our expert blogging community and expresses that experts views alone.Even at the best of times, naming is a contentious and emotional business. Whether youre naming your baby, your boat, oryour brand, the process can breed nearly endless deliberation. Keep these principles in mind as you scout the perfect name.MAKE IT MEMORABLEThe search engine has changed everything. Instead of worrying about your spot in the phone book, you need a name that’srelevant and truly compelling. The key to any name--simple or complex, abstract or descriptive--is grabbing attention andstaying memorable.Example: Yummy Tummy Koalas Intriguing, irreverent, distinctly Australian: Yummy Tummy Koalas instantly conveys the funfactor of this brand.FILL IT WITH MEANINGChoose a name that tells your brand’s story. Over time, you can expand the meaning of your name and add layers of depth tomake it even more powerful--a visual identity, a color, a sound. The more significance your name carries, the more work it willdo for you.Example: Visa From a word that initially meant only a stamp on a passport, Visa has surrounded its name with a host ofassociations--travel, access, opportunities, identity, official status--that allow it to tell the right story at the right time.SAY IT OUT LOUDThe best names are the ones that people can’t wait to tell their friends about. Names that roll off the tongue invite customersto become your viral marketing agency. Say, shout, and even sing names you’re considering to see which one will echo foryears to come.Example: Schweppes Happy coincidence? In 1783, Johann Jacob Schweppe opted to name his bubbly, effervescent soft drinksafter himself. More than 200 years later, consumers still love calling out his name.DON’T WAIT TO FALL IN LOVEEven the best name may not seem terrific the first time you hear it. As your name evolves into a brand, it will acquire moreand richer associations. Give the names you’re considering a chance to grow on you--and try to imagine what they mightstand for five or 10 years down the road.Example: Google Originally a variant of googol, the numeral one followed by 100 zeros, Google has come to represent aplayful and innovative culture that delivers everything from email to operating systems.LISTEN TO YOUR FEARGreat names grab your attention by breaking the rules--but a name that defies your expectations may also appear scary.Look past the fear and you’ll find energy and possibility. That buzz of surprise could be telling you that you’ve found a namethat stands out.Example: BlackBerry ProMail, an early name candidate for what we know today as the BlackBerry, probably would have beenan easier sell in RIM’s executive suite. But once users got their hands on the perfectly sized device, it became obvious whichname was the perfect fit.STAND OUT IN A CROWDIf you are different, you want to sound different. Use your name to focus on what makes your brand special. Look at yourcategory and where it’s headed. What do customers expect? How can your name signal something new?Example: W Hotels In a market dominated by the prosaic names of people and places--Hilton, Marriott, Hyatt, and Radisson--W had the nerve to sound young, energetic, and stylish. Today, it’s the premier destination for business travelers who want tobalance style with substance.TOO MUCH IS NEVER ENOUGHThe first hundred names you think of are likely to be the same ones your competitors tossed around. Use naming specialiststo develop thousands of alternatives. To arrive at a name that meets all your objectives, you need a list that’s both broad anddeep.Example: Accenture Thousands of names were created, hundreds were screened, and scores were considered. One name roseto the top, and now countless conversations center around this brand’s "Accent on the future."EXPECT ITS STORY TO EVOLVEThere are always reasons to dislike a name, but you can’t make the right decision if you never make any decision at all.Remember that names are just one part of your brand, and they’re elastic--you can stretch them to mean what you want.Example: Virgin As a word, “virgin” brings to mind anything from wool and olive oil to Mary and The Material Girl. But as abrand name, Virgin has come to stand for a provocative attitude that can sell everything from prepaid mobile phones tovacations in orbit.Babelfish Articles Jan-Apr 2012 Page 91
  • The Evolving World Of Ad VerificationJohn DietzFeb 24, 2012ADOTAS – When ad verification services popped up three years ago, they were addressing a real need for advertisers: brandsafety. With a lot of inventory running through blind ad networks and exchanges, there was a valid concern that aclient’s advertisements would appear on brand-damaging web pages (e.g. those with nudity, or hate speech). In 2009, wefound client campaigns with as high as 2 percent of impressions on questionable content, demonstrating a need for moretransparency and control in the inventory-buying process.This transparency has driven positive advancements in the industry. Ad networks and exchanges have made changes toimprove brand safety in their inventory. Additionally, the IAB has taken an active role in combating the problem on anindustry-wide level with the Networks and Exchanges Quality Assurance Guidelines, as well as the new Ad VerificationGuidelines. All of this work has paid off: In just two years, we’ve seen a huge drop in brand-damaging placements, with mostbuys showing less than a tenth of a percent that might be objectionable, and those few being easily remedied.As ad verification platforms continue to evolve, they need to look not just at the tenth of a percent of brand safety issues,but also the other 99.9 percent of impressions. So where does ad verification go now to continue providing value toadvertisers?After addressing brand safety, the better platforms have moved on to improving contract compliance (i.e. did I get what I paidfor?) and getting rid of wasted impressions (e.g. wrong audience, or never-viewed impressions). These wasted impressions canmake up as much as 60 percent of a campaign. But once wasted impressions are addressed, ad verification platforms can beused to help find the best impressions. What’s clear is ad verification is moving beyond simple brand safety to become a realpartner in building better ad campaigns. Here are some ways ad verification platforms are improving.Ad Verification – New Uses and DevelopmentsViewability: One of the more interesting aspects that has come out of ad verification is monitoring campaign viewability. Thisincludes both the page location of the ad when it first loads (e.g. below the fold, top of the page or in content) as wellas monitoring the user level visibility of the ad (i.e., did the user scroll the ad into view, and how long was the ad in view forthe user?). In ad servers, an impression counts the same whether it’s viewed for 30 seconds by the user or never seen at all.Now, with ad verification, advertisers have the ability to calculate real reach numbers based on actual viewing, to measurewhich buys are providing the most value.Audience Verification: Inventory is frequently purchased based on audience, either using site demographics services oraudience targeting services. The best verification products have the capability to show advertisers what audiences they arereaching with their campaigns across multiple networks and publishers, allowing advertisers to check not only for contractcompliance, but also to optimize their ad buys.Attribution: Ad verification platforms collect more data than existing ad server logs, such as content classification,viewability metrics and audience data. With attribution modeling tied to verification data, an advertiser can measure howthis new data impacts their campaign, how different audiences perform across different types of sites, how site levelfrequency combined with viewability can identify which sites are really performing best, and more.While brand safety is still an important aspect of ad verification systems, modern platforms are capable of much more. Theycan be used in new ways to provide more complete analytics designed to make media buyers more effective, and this isn’tthe end. There’s always room for finding new insights to make digital advertising more effective.Infographic: “Requiem For The Video Advertising RFP”Brian LaRue Feb 23, 2012ADOTAS – Today, announced the launch of its new fully-automated media buying platform for online video andtelevision, the Upfront Marketplace. By securing future ad inventory across multiple screens, the company aims tobring video ad buying and selling up to speed with other niches of the online ad industry and with the demands of thebooming video ad market. And the technology in play should save media buyers time and administrative costs, allowing themto make more deals with more sellers in less time.According to a release issued this morning, sellers who want to use the Upfront Marketplace must be pre-qualified.With that approval to participate in the marketplace, there’s no need for the old-school back-and-forth of issuing requestsBabelfish Articles Jan-Apr 2012 Page 92
  • for proposal (RFPs) and responses between sellers and buyers. The marketplace uses audience targeting to match suitableads to suitable content, and it works across a variety of viewing also issued an entertaining infographic, breaking down the amount of time and money media buyers currently spendon RFPs (38 hours for each — 66 percent of a planner’s time per week — at a cost of over $3,000 a pop) and showing how suchtime and money they can save through a fully automated system (up to a 65 percent increase in productivity). SoundsBabelfish Articles Jan-Apr 2012 Page 93
  • Canoe ITV is Dead. Long Live Interactive Television! - Mark Risis-TiVoLast Updated: February 24, 2012 at 11:40 PM GMT By Mark RisisBabelfish Articles Jan-Apr 2012 Page 94
  • As we bid adieu to Canoe, lets not declare Interactive TV dead in its wake. Interactive TV is in fact very much alive, thanks inlarge part to the efforts of Canoe ITV.One of Canoe ITVs greatest accomplishments, which we should acknowledge posthumously accordingly, was that it to put abig shiny spotlight on the notion of making interactive television a reality. Unlike the previous attempts over the lastdecade(s), which were stifled by technological limitations, Canoe ITV was choked by the sheer messiness and immovability ofit all, especially compared to lofty goals and over-hyped expectations set for it. Yet, in the process, Canoe did an invaluableservice, the benefit of which will be felt for years to come. They made everyone take notice and really pay attention tointeractive television for the first time. Agencies, advertisers, technology partners, and distributors had to dedicate mindshare to evaluating the space. Perhaps most importantly, Canoe made all stakeholders accept the realities that sparked theconversation in the first place – new consumer behaviors and expectations, born from new technologies, significantlycomplicated the process by which marketers traditionally had been able to connect with consumers. The path to influencingminds and hearts with the goal of driving sales continues to evolve and Canoe ITV was successful in making that known.As the focal point of the conversation, they benefitted from the attention, but also they took the brunt of the criticism.Anyone close to the space saw the writing on the wall two years ago – Canoes very public failure to bring addressability tolife was the first sign that it was going to be a scapegoat for the industrys inability to navigate an impossibly messyenvironment created from a complicated ownership structure.Yet there is another story here, one thats been brewing for years, very much going on right now and still unfolding. In thisstory, the goals of allowing a television viewer to interact with television are less ambitious – and at the same time muchmore successful. Here is the cast of characters and some of their more notable and admirable achievements:Dish and DirecTV showed how a comprehensive, integrated TV footprint fueled with a concentrated linear buy can translate tospot interactivity, and how a branded experience on the TV can be bold and beautiful and really fun.Cablevision demonstrated how a robust infrastructure can power tremendous engagement and bridge the link to content andcommerce seamlessly, even empowering a viewer to get a call with a click of the remote.Rovi expanded the program guide to allow for networks and advertisers to increase their time spent with elusive TV viewers,and is now spearheading the drive to bring brands to connected TVs and related devices.And us. TiVo looked soberly at the behavior it created (time-shifting), one that has fueled the businesses of all those listedhere and countless other parties, and turned it on its head by allowing for the fantastic ride of the TiVo/DVR empoweredviewers to be equipped with a seat for networks, studios, and brands.Take the pieces laid out above en sum – theres quite a bit there, and a few more players can be reasonably added to the list,making the picture even more compelling – AT&T, Verizon, Time Warner, and Comcast. It is an ecosystem thats a lot of things:comprehensive, compelling, targeted, actionable, synchronized, and efficient. Add it up, and its pretty darn close to 100millionhomes. An impressive accomplishment, and maybe the right…and proven…path for those left standing in the wake of the greatCanoe to aspire towards, together.Long live Interactive Television!Mark Risis is Director of Interactive Advertising Sales for TiVo, Inc. Mark can be reached at mrisis@tivo.comRead all Mark’s MediaBizBloggers commentaries at InteracTiVoty.Check us out on Facebook at MediaBizBloggers.comFollow our Twitter updates @MediaBizBloggerMediaBizBloggers is an open-thought leadership blog platform for media, marketing and advertising professionals, companiesand organizations. To contribute, The opinions expressed in arenot those of Media Advisory Group, its employees or other contributors. Media Advisory Group acceptsno responsibility for the views of MediaBizBloggers authors.Set-Top-Box Lexicon: Commercial Indicesby Jane Clarke, Thursday, February 23, 2012 4:37 PMCIMM is taking a pro-active role in advancing new media nomenclature and processes with both its Lexicon (terms anddefinitions associated with Set-Top-Box data measurement) and Asset Identification Primer (glossary of asset terms). Thesedocuments form the basis of this column, which offers a common language for Set-Top-Box nomenclature that can expeditethe rollout of the data for its many industry applications.Recent columns have examined commercials from several aspects: avoidance, retention, engagement and measurement.Rounding out this discussion is this week’s column on various commercial indices.In fact, the three metrics described below are from four different measurement companies and they highlight the challengewe have in standardizing terms and definitions for use in STB data measurement. Which should be the preferred metric forindustry use – the Commercial Rating Index (from TRA), the Commercial Tuning Index (from Nielsen) or the CommercialViewership index (from Kantar and TiVo)?CRI abbr Commercial Rating IndexCIMM DEFINITION : Index of the Household Average Second Rating of the Ad to the Average Second Rating of the Program.(Source: TRA)CTI abbr Commercial Tuning IndexSee also: Commercial Viewership IndexCIMM DEFINITION : Referenced by Nielsen as ratio of commercial rating to program rating available at spot level.CVI abbr Commercial Viewership IndexCIMM DEFINITION : Represents spot retention relative to underlying program. Average spot rating % divided by averageprogram rating% (including commercial seconds) expressed as an index. (Source: Kantar Media Audiences)Babelfish Articles Jan-Apr 2012 Page 95
  • 2: Ratio of commercial rating to program rating (indicating audience retention) available at spot level. Indicating how oftenthey fast forward through or tuned away from advertising. (Source: TiVo)Please refer to the CIMM Lexicon online at for additional information on these and otherterms. Read more:’s First-Ever National Multi-Screen Report Reveals Evolution in TV ViewingFebruary 20, 2012New technologies such as personal video recorders (PVRs), Internet-delivered video, tablets and smartphones, coupled withthe availability of digital terrestrial television (DTT), are increasingly impacting Australians’ television viewing habits.Australia’s first National Multi-Screen Report – compiled by Nielsen together with official Australian television audiencemeasurement providers OzTAM and Regional TAM – reveals the extent to which new technologies are stimulating andenhancing viewing of broadcast content beyond conventional television sets.Traditional viewing of broadcast content via TV remains strong and growing, up four percent (more than 4.5 hours) in Q4 2011to 113 hours and 38 minutes, compared to Q1 2011. Time shift viewing further augmented TV viewing, and Australians spent anaverage of 12 hours per month watching playback TV in Q4 2011, up 39 percent since Q1 2011.Smaller, more portable internet-enabled devices and improved internet connectivity are also creating new opportunities forAustralians to view video content. Although viewing via PC and internet-enabled mobile phones remains low in comparison toconventional TV (PC and mobile phones account for 4% of total video consumption, including non-broadcast video), stronggrowth has been observed in the past year and is expected to continue. Australians spent an average of 3 hours and 27minutes per month watching online video in Q4 2011, up from 2 hours and 7 minutes in Q1 2011. Video viewing via mobile phonesincreased from an average of 35 minutes per month in Q1 2011 to an average of 1 hour and 20 minutes per month in Q4 2011.The availability of DTT is providing Australian viewers with greater choice of content and 95 percent of homes now have atleast one DTT-enabled TV set, up from 90 percent in the first quarter of 2011. Further, 70 percent of homes now receive DTT onevery working TV, up from 55 percent in quarter one.Matt Bruce, head of Nielsen’s media industry practice group in Australia, observes that the introduction of DTT and time-shifted viewing, and the speed with which Australians are adopting new technology which delivers video content anywhere,anytime has impacted the way in which traditional television content is accessed. “For media owners, agencies andadvertisers, these findings provide valuable insights into the way media is consumed, thereby helping to understand viewinghabits and more successfully reach and engage with audiences across multiple screens.”For more insights, download the complete Australian National Multi-Screen Report.Watch Out! Ten Interview Questions Designed To Trick YouFor the long-term unemployed or those workers looking for a change, getting an interview in today’s market may feel like awin in itself. But once you’re in the door, interviewers often put you through an obstacle course of deceptive questions withdouble meanings or hidden agendas. Do you know how to read the subtext?“On the other side of the desk, hiring managers spend countless long hours interviewing candidate after candidate,” saysJoyce Lain Kennedy, a nationally syndicated careers columnist and author ofJob Interviews For Dummies. “A tricky questionmay be used as a time management tool to quickly eliminate a less qualified candidate.”Kennedy says that even if job hunters have rehearsed anticipated topics, an unexpected question may jar loose an authenticanswer that exposes hidden problems. She outlines the top 10 most common questions designed to trick you.No. 1: Why have you been out of work so long, and how many others were laid off?Babelfish Articles Jan-Apr 2012 Page 96
  • This question may also be followed by the more direct, “Why were you laid off?” Kennedy says it is an attempt to figure out ifthere’s something wrong with you that your former company or that other potential employers have already discovered. Theinterviewer may be trying to determine if themes of recession and budget cuts were used to dump second-string employees,including you. Rather than answering the question directly and chancing an emotional response or misinterpretation, Kennedyadvises punting. Respond: “I don’t know the reason. I was an excellent employee who gave more than a day’s work for a day’spay.”No. 2: If employed, how do you manage time for interviews?“The real question is whether you are lying to and short-changing your current employer while looking for other work,” saysKennedy. The interviewer may wonder: If you’re cheating on your current boss, why wouldn’t you later cheat on me? Shesuggests placing the emphasis on why you’re interested in this position by saying you’re taking personal time and that youonly interview for positions that are a terrific match. If further interviews are suggested, Kennedy advises mentioning thatthe search is confidential and asking to schedule follow-ups outside of normal working hours.No. 3: How did you prepare for this interview?The intention of this question is to decipher how much you really care about the job or if you’re simply going through themotions or winging it. Kennedy says the best way to answer is by saying, “I very much want this job, and of course researchedit starting with the company website.” Beyond explaining how you’ve done your homework, show it. Reveal your knowledge ofthe industry, company or department by asking informed questions and commenting on recent developments.No. 4: Do you know anyone who works for us?This one really is a tricky question, says Kennedy, because most interviewees expect that knowing someone on the inside isalways a good thing. “Nothing beats having a friend deliver your resume to a hiring manager, but that transaction presumesthe friend is well thought of in the company,” she says. Because the interviewer will likely associate the friend’scharacteristics and reputation with your merits, she recommends only mentioning someone by name if you’re certain of theirpositive standing in the organization.No. 5: Where would you really like to work? “The real agenda for this question is assurance that you aren’t applying to every job opening in sight,” says Kennedy. Sheadvises never mentioning another company by name or another job title because you want to highlight all the reasons you’reperfect for this job and that you’ll give it all of your attention if achieved. A good response would be: “This is where I want towork, and this job is what I want to do.”No. 6: What bugs you about coworkers or bosses?Don’t fall into this trap. Kennedy says you always want to present yourself as optimistic and action-oriented, and hiringmanagers may use this question to tease out whether you’ll have trouble working with others or could drag down workplacemorale and productivity. “Develop a poor memory for past irritations,” she advises. Reflect for a few seconds, and then sayyou can’t recall anything in particular. Go on to compliment former bosses for being knowledge and fair and commend pastcoworkers for their ability and attitude. It will reveal your positive outlook and self-control and how you’ll handle the socialdynamics in this position.No. 7: Can you describe how you solved a work or school problem?Kennedy says that, really, no one should be too taken aback by this, as it’s one of the most basic interview questions andshould always be anticipated. However, all too often interviewees either can’t come up with something on the spot or missthe opportunity to highlight their best skills and attributes. Kennedy says what the interviewer really wants is insight intohow your mind works. Have an answer ready, like how you solved time management issues in order to take on a specialassignment or complicated project, that showcases an achievement.No. 8: Can you describe a work or school instance in which you messed up?This one is a minefield. “One question within the question is whether you learn from your mistakes or keep repeating thesame errors,” says Kennedy. Similarly, the interviewer may be trying to glean whether you’re too self-important or not self-aware enough to take responsibility for your failings. Perhaps even more problematic, if you answer this question byproviding a list of all your negative traits or major misdeeds, then you’re practically spelling out your insecurities andguaranteeing you won’t get the job. So you don’t want to skirt the question or make yourself look bad. “Briefly mention asingle small, well-intentioned goof and follow up with an important lesson learned from the experience,” she advises.No. 9: How does this position compare with others you’re applying for? “The intent is to gather intel on the competitive job market or get a handle on what it will take to bring you on board,” saysKennedy. There are two directions to take: Coy or calculated. “You can choose a generic strategy and say you don’t interviewand tell, and respect the privacy of any organization where you interview,” she notes. Or you could try to make yourselfappear in demand by confirming you’ve received another competitive offer, which may up the bidding for your services.Always bring the focus back to this position, by asking: “Have I found my destination here?”No. 10: If you won the lottery, would you still work?Admittedly, this one’s a little silly. Even so, it’s another opportunity to underscore your motivation and work ethic. Kennedyadvises acknowledging that you’d be thrilled to win the lottery but would still look for meaningful work because meetingchallenges and achieving make you happy. And say it with a straight face.If at any point in an interview you’re uncertain or caught off guard, don’t panic, Kennedy warns. Deflect a question by sayingyou’d like to mull it over and come back to it, or by being honest that you don’t know the answer and, as a careful worker,would prefer not to guess. “If you’ve otherwise done a good job of answering questions and confidently explained why you’rea great match for the position,” she says, “the interviewer probably won’t consider your lack of specifics on a single topic tobe a deal breaker.”Babelfish Articles Jan-Apr 2012 Page 97
  • Study Links TV Content To Ad Valueby David Goetzl, Tuesday, February 21, 2012 6:18 PMBravo said a neuroscience study it commissioned shows advertising is much more likely to resonate when shown during aprogram with related content -- i.e., food brands during “Top Chef.”The study, conducted by Melbourne-based Neuro-Insight, gauged the live brain response of 150 people using 24 ads incategories ranging from automotive to entertainment to retail. The ads were within six series on Bravo and competitivenetworks, and compared consumers brain reaction to ads related to the content with those where there was no direct link.The research found that in the brain regions where long-term memory is stored, neuro-activity on average is 15% greaterwhen ads are contextually relevant to the content.Bravo said, however, that effectiveness is not simple -- such as a natural link between a Macy’s ad and “Fashion Hunters.”A “stronger impact” comes when the creative content has a certain appeal -- even if it is in a somewhat unrelated category -- such as when a car ad highlights the “beauty and glamour of the driving experience” airs during a fashion program.Bravo’s sales team pitches vignettes that can blend elements of a program with a brand. The network said those bring thehighest level of recall. “Hybrid” spots that use a type of branded entertainment show “long-term memory storage” that is 19%higher on average.Pranav Yadav, the CEO of Neuro-Insight, stated that the company’s technology can work to help advertisers go beyond ratingsand alter the program mix where there is a better chance of generating positive consumer response.Read more: SMS Best Practices TipsMelinda KruegerI have written about SMS best practices before, but with a little more experience, its time to issue a more comprehensiveupdate. Lets dive in.1. Provide above-and-beyond value. Dont give me offers and information I can find in your email/print/store/site. My phone is a part of me, and text messages are reserved for my inner circle. If I let you in, make it worthwhile.2. Consider the conversation. Youre very good at figuring out what you want from me. What might I want from you? What useful information can you provide to me in response to a keyword? Customer service is one of the best uses of SMS.3. Do not disturb. Im a sound sleeper, but the sound of a new text message wakes me every time. It better not be a commercial message or I will be very unhappy. Dont send after 9 p.m. or before 11 a.m. to avoid aggravating night owls and early risers. Request time zone information and send your SMS in waves.4. Timing is critical. The "when" in the mobile mantra is very important: I want what I want when I want it. Send when I am most likely to be in the mindset to buy from you, e.g., just before/during prime shopping times for retailers. Tap your mobile site/app usage times for intelligence and test.5. Provide value first, capture personally-identifiable information (PII) second. You may not know anything about me other than my phone number and desire to receive your SMS messages. You can gain data along the way (e.g., time zone), but dont make data capture your primary objective. Intersperse data capture requests with high value messages.6. Monitor opt-outs per send. To gauge content value, calculate the opt-out/delivered for each outbound campaign. Compile the percentages in a spreadsheet and learn from those with rates above and below your average.7. Have your trigger ready. Do not begin to collect SMS numbers on your website until you can send an immediate confirmation to the subscribers phone. If it follows weeks or months later, I may no longer be interested and you will lose a significant portion of your reach.8. Gather preferences at opt-in. On your full site opt-in page, request all the critical information and permissions you will need. Request time zone/Zip code (see No. 3 and No. 4 above), critical segmentation data, and specific program permissions. If you add programs down the road, you will need to get new permissions, so the more comprehensive you can be at the outset, the fewer subscribers you will lose as your program expands.9. Consider the total mobile user experience. All web interactions linked to SMS must be available on your mobile site or pages that are optimized for mobile. Dont send me something I have to print or go to email to retrieve. If I have to enter information, consider using a login with Facebook, which makes it easy for me and gives you a wealth of data. Consider all the data, but remember: if you overreach, I will drop out.10. Collaborate to get the best content. Find out what other departments are developing so you can deliver the best of the best to your customers - a great video on YouTube, a giveaway on Facebook, an event, or a VIP opportunity. Additional benefits include accolades from your colleagues, who appreciate the extra reach SMS delivers.11. Move to a numeric vanity short code. Its OK to start with a shared short code, but if you want to have a robust program, get your own. When you share a code, you share keywords, so a stop text unsubscribes an individual from all programs. Brief, logical, common keywords get used up quickly. Vanity short codes represent a commitment to a great program, and if you dont have that, you cant succeed (see No. 1). Remember that most users arent texting on a telephone keyboard, so the digits that spell out a name are far less useful than an easy-to-remember number, such as 12121 or 88888.SMS is the universal mobile app - virtually every cellphone owner can receive it. Done well, it delivers bright brand touchpoints. Done poorly, it delivers aggravation. Follow these best practices and do it well!Babelfish Articles Jan-Apr 2012 Page 98
  • Canoe Should Have Bought Inventory To Prove Itself Or Get Rich While Tryingby David Goetzl, Wednesday, February 22, 2012 5:46 PMIn the years since Canoe Ventures launched, it wasn’t hard to find a top sales executive offering severe questions about itslong-term viability. Certainly, no one in that role emerged as a visible advocate for its possibilities, showing up at industrypanels to express optimism with founding CEO David Verklin.Some networks signed up to use the platform – many tied to the cable operators that owned Canoe -- but where wereexecutives at an AMC or Bravo touting how Canoe-facilitated campaigns either were delivering higher pricing or should soon?(Perhaps they did in some press releases.)But that was telling. So was the apparent disinterest of influential Merrill Lynch analyst Jessica Reif Cohen. Early on, shewould ask executives at the Canoe owners how things were progressing and when the money would start to gush. Thatstopped a while ago.On Wednesday, Canoe all but went out of business, downsizing to shift its focus to the video-on-demand platform and awayfrom interactive (iTV) advertising.The Canoe blueprint essentially held that a network would pay to license its ad-serving platform. That would then allow it tosell the iTV ads at a much higher price. The reason? The ads, which would allow a viewer to request coupons in the mail via aremote control, would be worth it to an advertiser because there would be Internet-like metrics and a chance to establish alasting relationship with a consumer.Canoe had plenty of technological challenges with its plan to build a footprint so the iTV ads could be delivered into tens ofmillions of homes served by the six Canoe owners, which include Time Warner Cable and Cablevision. The ads needed to flowthrough set-top-boxes and getting them to work in synch appeared to be like herding cats.But even as a wide rollout moved slower than hoped for, Canoe did appear to offer networks enough to seize the opportunityand begin pitching advertisers on a would-be game changer. For example, back in December, Canoe said it could deliver iTVads into 25 million homes.So, when networks moved slowly, Canoe should have showed its faith in its core request-for-information (RFI) ad-serving byputting its money where its mouth was.Canoe executives may have all kinds of valid reasons why this suggestion would have fallen flat. (CEO Kathy Timko said twomonths ago: “I think 2012 really marks a shift from building a platform and technology to a much more go-to-marketstrategy.”)But, the company should have proved to networks what it could do beyond presentations or laboratories or even tests. Withcash.The well-funded Canoe should have invested in a sales force – hired some of the best-connected sales types on MadisonAvenue -- and bought inventory from networks itself. It should have showed up at the door of a Discovery or History channeland offered to buy space for a higher price than the network could have gotten on the open market.Then, it should have re-sold it to advertisers and agencies itself, taking the profits. Canoe then would either have impressiveresults to share with networks, hoping the proof would get them to license its technology. Or, it could have simply keptrunning the lucrative business on its own.On the agency side, at entities like VivaKi, there appeared to be executives eager to experiment with iTV advertising --rooting for Canoe -- but if networks were ho-hum about making it thrive, their options were limited.Suppose Canoe purchased ad space from Discovery and History and kept finding itself unable to re-sell it. Then, it might havehad some valuable answers about its prospects sooner – albeit maybe ones hard to stomach.Often, questions comes up at companies whether it is better to build or buy? In a different sense, Canoe should have doneboth.Who knows? It might have been able to prove its worth or gotten rich while trying.Read more: Number One Mistake People I Interview Are Making These DaysJessica LiebmanIm the Managing Editor of Business Insider, which means Im responsible for all of the editorial hiring here.So Im constantly meeting people of all different levels, from interns to senior editors.Lately, the majority of people I interview have one thing in common.Theyre all messing up on something that I think is very important when trying to get a job: the Thank You Email.Whether we spent thirty minutes meeting in the offices; we Skyped because youre abroad for your Junior spring semester; orwe did a quick first-round phone interview, too many people are forgetting to follow up later that day or the next day with aquick email.It doesnt have to be anything too involved. Truthfully, the shorter the better.The Thank You Email should say a few simple things:-Thank you for meeting (or talking) with me.-I really want this job.-Quick plug about why Im perfect for it. If I DONT get a Thank You Email, heres what happens:-I assume you dont want the job-I think youre disorganized and forgot about following upBabelfish Articles Jan-Apr 2012 Page 99
  • -There is a much higher shot Ill forget about youHeres an example of a good Thank You Email:Read more: Demo How to Make Your Videos Popular - Building an Audienceby Daisy Whitney, Friday, February 24, 2012 10:41 AMIf one out of 12 branded video campaigns passes the 1 million-mark, you might be tempted to think: “Let’s make a viral video.”But wait. That’s 11 out of 12 that don’t. But yet, there are still plenty of ways to achieve success in online video for smallbusinesses, brands and producers. That’s why I asked Jay Miletsky, CEO of online network MyPod Studios and an author ofseveral branding books, to share best practices for building a loyal audience over time.1. Keep it short and punchy.“When people watch TV, they tend to be in a fairly relaxed state of mind, and they’re conditioned to watch shows for 30 or 60minutes at a time (or longer). Watching videos online is different. It’s more active. Our faces are mere inches away from ourmonitors and tablets, and our fingers are on alert to click us someplace else at the first sign of potential boredom,” Miletskysaid. His analytics indicate that more than half of all viewers will drop off after the second minute that a video plays so keepyour videos short and punchy.2. Allow videos to exist independently.“If online viewers aren’t ready to watch videos for longer than two minutes, they’re certainly not prepared to emotionallyinvest in an ongoing storyline, new characters, plot lines, etc.,” Miletsky said. He advises brands and producers to aim forthematic content that doesn’t require viewers to have watched the other videos in a series.3. Be about something.Rather than trying to be funny or silly, make sure your videos are educational, interesting and/or informative.4. Worry less about the camera, and more about the lighting.“You can do just fine with a Flip camera,” Miletsky said. “Instead, keep your eye on the lighting of your shoot. Lighting can bethe difference between your videos looking well produced and being produced by a high school A/V squad. Keep the lightingconsistent throughout, watch your shadows, and don’t let people’s faces look too blown-out. Lighting isn’t easy, but take thetime to play around with it before hitting the record button.”5. Make it easy for networks to promote.Keep it clean, Miletseky said.MyPod Studios drew nearly 19 million unique visitors in January, according to Google analytics numbers shared by thecompany.For the video version of this post, check out my New Media Minute this week.TV Viewer Erosion: When And Where It Mattersby Wayne Friedman,Lets talk viewer erosion: not just the type we have seen on broadcast TV, but also on cable TV networks. Should this be anysort of concern?CW has made an output deal with the likes of Netflix -- and, according to its owners, has made it immediately profitable. So,who are we to say that viewer erosion is bad?Babelfish Articles Jan-Apr 2012 Page 100
  • Viewer erosion only seems to have an immediate effect on TV marketers. And if overall TV viewing is climbing, there is noneed to point the figure at say, an NBC, or the broadcast networks in general, or some established cable networks that havewitnessed lower numbers this season.Sometimes it ’s confusing where to look to answers: Take one of the better known critic-favorite shows, AMCs "The Killing." Itsnew season debut posted 1.8 million viewers, down 20% from its 2.3 million viewers debut of a year ago. Hey, even MTVs"Jersey Show" took a hit.This doesnt mean these TV assets are not worth buying. Just as with broadcast TV, a scarcity issue also pertains to thosecable shows marketers feel they cant do without.In the near term, it may all come down to shelf space.Years ago Discovery Communications thought this was the right approach -- and launched one of the many new micro-targeting digital cable networks -- from science, to health, to kids, to the military.For a long time, it took somewhat of a hit from critics, who noted that its shelf-space expansion efforts were out of hand. Butnow it seems some of those smaller networks like Science, Investigation Discovery, Velocity, Military Channel, and otherswere able to re-invent themselves after much tinkering.From the media owner ’s point of view -- what if you dont have access to a slew of traditionally delivered TV networks? Dontworry. Everyone expects another healthy upfront with strong price increases and more money for all networks, apparently.Viewer erosion is only relative. For some programmers, all it really ends up meaning is that TV marketers werent payingenough for those TV consumers. But in a world of growing options? TV marketers might tell you they have been paying toomuch.Read more: Launches GroupM Next, Copeland Heads Innovation Unitby Steve McClellan, Apr 3, 2012, 2:08 PMWPP’s GroupM has created a new innovations unit called GroupM Next that will be overseen by Chris Copeland, the CEO ofGroupM Search.The unit is designed to help clients at the company’s media shops -- Mindshare, MediaCom, MEC and Maxus -- better navigatethe evolving digital sector and keep abreast of developments in areas such as social, mobile and addressable systems.It also identifies partnership opportunities between vendors and clients within the sector.According to Copeland, GroupM Next is not a new client offering; it is an operation designed to strengthen “the value of ouragency and client relationships ... the primary focus of this unit is to amplify the efforts that are put forward by the collectiveof our GroupM agencies." “Every client wants to know how we can use the collective power of the organization to drive innovation that can benefitthem,” added Copeland. Most clients are also looking for “first look” opportunities with the Facebooks and Googles of theworld, but also with emerging players, like Spotify and Pandora.In some instances, GroupM Next will work with clients and newer platforms to create ad models that don’t yet exist. Pinterest,for example, has buzz -- but not a real ad product, he noted.The new group, which Copeland will oversee in addition to the search unit, is being folded within GroupM Next. It will alsoplace an emphasis on new research to better understand how different digital platforms and technologies are impactingoverall consumer media consumption.Separately, GroupM said it named Cary Tilds to be its Chief Innovation Officer, a new post at the media oversight arm. Mostrecently, Tilds was Mindshare’s North American digital leader. For now, she will remain based in Detroit. For GroupM Next, Tilds’focus will be on technology and how the GroupM media shops can best interface with the latest platforms, while Copelandwill oversee the research and insights efforts of the new unit.GroupM Next is based in St. Louis, where Copeland and GroupM Search are based.The unit comprises about 25 staffers spanning insights, research, technology and education, Copeland said. Most of the staffis in St. Louis and Detroit, but plans call for additional hires to be based on the East and West Coast.Part of the mission, he said, “will be to build on the thought and technology platforms” that currently exist within GroupM,such as social media specialist M80 and mobile shop Joule and research unit Kantar.The group also plans to hold a series of conferences designed to educate both clients and staff on the latest developments inthe digital space.Read more: Second Screening Is A Worldwide TV Habitby Steve Smith, 8 hours agoSmartphones and tablets have become living room companions for TV viewers to an astonishing level in the U.S. Nielsenreports that in its multinational survey of device owners, 88% of people in the U.S. with tablets say they have used theirdevice while watching TV at least once in the last month. When it comes to smartphone second screening, the level ofpenetration is just as high -- 86%.Impressive as the raw reach of tandem viewing may be, it is the frequency that is most impressive. For the U.S. audience withtablets, almost a quarter (24%) report using tablets while viewing TV several times a week, and even more (26%) say they doBabelfish Articles Jan-Apr 2012 Page 101
  • so several times a day. In fact, 69% of tablet owners in all are watching two different screens at once on a regular basis eachweek.The pattern for the even larger audience of U.S. smartphone owners is very similar. Nielsen finds that 27% are using theirhandheld device in tandem with TV watching several times a day, and another 23% are doing so on several occasions eachweek. Another 14% are second screening on the smaller device at least once a day.On an international basis, the UK bears the closest resemblance to U.S. TV audiences, with 80% of tablet owners watching twoscreens and 78% of smartphone users. Both Italy and Germany show the lowest incidence of two-screen activity, with almosta third of these device owners saying they never use them when the TV is on.According to Nielsen, the most popular activity being pursued on these second screens is the email check, which can occurduring the programming or during a commercial break.There is some indication that viewers also use their devices to check on content or products they see on the primary screen.Nevertheless, the second screen poses to TV companies and advertisers a classic “opportunity-challenge.” That parallel screencan be a considerable distraction from network programming. Preliminary research apart from this Nielsen study hassuggested different behaviors that viewers have been measured pursuing.In some cases we can see that mobile use spikes during commercial breaks, for instance. That activity might be seen as athreat to TV advertising because it may mean that users are tuning out during the all-important commercial breaks. On theother hand, anecdotal evidence suggests that advertisers can enjoy considerable mobile traffic during those breaks if theadvertiser succeeded in capturing the viewer’s attention with a real call to action.It used to be that advertisers just needed to keep the viewer from leaving the room for a snack or from clicking the remote.Now they have to figure out an ad experience that works somehow between both screens.Read more: to the Hand: The Tablet Is Changing TV Viewingby Chet Fenster, Apr 2, 2012,To some it’s considered rude--but if you’re ever around teenagers eating dinner, riding in the car, or watching TV, you’ll knowthat multi-tasking on their device is a way of life. For the rest of us, it’s indicator of what’s to come. As tablet penetrationgrows (currently 11% in the US), the ability for each of us to be in our “own little world” will not simply change how we watch,but what we watch.A recent Nielsen study (October 2011), found that 70% of tablet owners simultaneously used their device while watching TVseveral times a week. 42% of owners did it daily. Whether they’re surfing the Web, checking email, or shopping for deals, theconsumer’s attention is divided.Babelfish Articles Jan-Apr 2012 Page 102
  • Networks are in a race to bridge the experiences and re-engage the viewer through transmedia storytelling. Look for aproliferation of Dual Screen apps that will act as dashboards for enhanced viewing. They’ll aggregate ancillary content, bonusfootage, and social media feeds to offer likes, check-ins, comments, and even one touch voting (for reality competitionseries).Some will feature sound-to-sync technology, where the show’s audio “fingerprint” will trigger an experience at a precisemoment in the storyline, regardless of when/where it’s being watched. Last year, we saw the first rush to trial of theseapplications, with mixed success, but 2012 will see improved technology, providing real value to the viewer and advertiser.The new CONAN app from Turner and AT&T is a good example.The tablet will also contribute to viewers’ increasingly “shifty” behavior -- giving them the ability to time shift and place shiftlike never before. Consumers want access to the best content any time, anywhere; services like Hulu, Netflix, Amazon, HBO Goservice that need.Content owners such as Time Warner and Disney have embraced the TV Everywhere philosophy, and consumers can gain oftengain access with a simple authentication. More networks will join the revolution. Cable/Satellite/MVPD providers will alsooffer solutions, although some anchored to home Wi-Fi access only.Like the cable industry before it, the tablet will help bring new programming services to the forefront. Sitting side-by-sideestablished content providers on a user’s tablet, companies such as VEVO and Machinima will see increased traffic from newportable users. YouTube’s new original channels should benefit, too.Advertisers will have more choices, but will need help deciphering who’s watching what, where, when… and also how.Read more: To Drive Earned Media -- Even When Your Content Is Less Than Stellarby Mitchell Reichgut , Thursday, April 5, 2012There’s nothing quite like that special moment when a video goes viral. Millions see it; millions are entertained, and the medialandscape is enthralled for a while with its newest pop-culture darling. When a brand is involved in this phenomenon, it’s anunqualified, grand-slam home run -- and every marketer’s dream.The natural corollary to this line of thought is that only superb content will work in social media. Most advertisers we speakwith are under this impression. Fortunately, nothing could be further from the truth.How-to videos, repurposed TV spots, drug and medical advertisements, recipe videos, and direct response commercials allconsistently enjoy success in social media. In fact, one could argue that the performance-based, non-interruptive socialformat provides better, more tangible value than standard pre-roll.The distribution mechanism for social video is a value exchange, whereby users receive virtual goods in return for watching avideo. This format puts users in control, and it generates completion rates as high as 94% for 30-second videos. But ofparticular interest to advertisers is the channel’s ability to generate earned media -- regardless of the content.Nothing is going to make a two-minute recipe video “go viral,” nor would the producers of such content necessarily have thatexpectation. But earned media is more than just sharing and free reach. According to a study we recently conducted, nearly5% of users, on average, who watch a social video take an additional earned-media action after viewing. This means couponand recipe downloads, store locator usage, Facebook visits, participation in contests, etc. All of this happens, by the way, afterthe user receives her or his virtual reward.Thus, advertisers interested in generating earned media activity for their videos need not concern themselves with creatingthe next viral meme. They should, however, come to the table with a clear idea of the consumers they’d like to reach, and theactions they want those consumers to take. Coupon downloads, for instance are a natural next step after watching a CPGcommercial.Understanding the basic tenets of social media advertising (i.e., value exchanges, performance-based Cost-Per-Engagement(CPE) pricing, and targeting by demographic rather than by content type) can create opportunities for many brands that mightnot otherwise consider themselves good fits for the space.Earned media results are no longer limited to an elite group of viral video megahits. Advertisers of every stripe can benefitfrom social advertising; they simply have to plan for it.Yahoo, YouTube Gear Up To Battle Cable TVPaid Content, Wednesday, April 4, 2012 4:11 PMAnnouncing new and renewed female-targeted video programming, Yahoo and YouTube are going after cable TVs "goldengoose": "low-cost reality lifestyle programming aimed at female audiences – from Hoboken cake bakers to pro houseflippers," according to Daniel Frankel.New endeavors include two shows on Yahoo starring Cat Deeley from "You Think You Can Dance," and fashion designer RebeccaMinkoff; and on YouTube, Meredith Corp.s "DIGS, a home- and garden-themed lifestyle channel similar to cable’s DIY Channel,"writes Frankel. "For programmers targeting the female lifestyle segment, partnering with video portals like YouTube providesa lower cost barrier to entry than the now largely unionized world of basic cable production."Read more: ABCs Of DSPsby Jason Burke, Thursday, February 23, 2012 12:27 PMBabelfish Articles Jan-Apr 2012 Page 103
  • To the uninitiated brand marketer, the term demand-side platform, or DSP, can be very intimidating. When one ventures intothe nascent world of video DSPs, where the definition often changes from provider to provider, things get even moreconfusing.DSPs have made a nice foothold in display advertising, and while they are attempting to provide value to video marketers,the technical differences between display and video are forcing some to stretch their claims.It’s a bit like getting a massage. One service can differ greatly from the next. A Napa Valley resort might offer stress-relievinghot rock massages, or you could endure some of the torturous, yet effective, sports massages I’ve experienced in my past lifeas a runner. Of course, the massage hawked on Las Vegas Boulevard is a completely different animal (so I’ve heard).Just as the treatment (and resulting sensations) can vary, so too can the promises of each DSP.A. Brand SafetyBy their very nature, ad exchanges offer little transparency into the content or pages where their inventory resides. As aresult, DSPs are often unable to utilize brand protection in these environments.Consequently, most video DSPs that promise “superior brand protection” are really offering “implied brand protection,” aka.placing sites in predetermined buckets. This strategy works some of the time, but we all know that premium news sites, forexample, carry professionally made content about natural disasters, violent crimes, and other topics not fit for brandadjacencies.Yes, some DSPs go one level deeper to offer brand protection at the page level. Better, sure, but it’s still difficult to avoid badplacements when you don’t know the actual video content. So, when evaluating video ad partners, look forsemantic stream analysis over a standard blacklist to get the most protection possible. This is nontrivial, given the technicalchallenges of online video.B. OptimizationIt’s a lot easier to “talk” optimization than it is to “walk” it. Most DSPs do a decent job of articulating how they maximizecampaign performance (mostly using clicks as a proxy for success), but the only optimization you should care about uses allthe data available to intelligently find impressions that will help a campaign achieve its goal -- whether its direct-responsemetrics like conversions and clicks or upper funnel metrics more relevant in video, like brand lift or recall. DSPs can only claimtrue optimization if they leverage all contextual, audience, environmental and viewer behavioral data, then recognize howthose intersections impact performance before they ultimately make intelligent decisions in their ad-serving workflow.C. Effectiveness (the other “eff” word)At the end of the day, campaign effectiveness is the advertiser’s Holy Grail. DSPs are efficient ways to buy media, and that’sgreat if your success metric is cost-per-thousand or maximizing eyeballs with the least amount of effort. But that feels likean exercise in futility if you don’t know what all that efficiency is doing for the brand. To optimize for effectiveness, a DSPneeds to understand the marketing goal, and serve ads based on that goal. This requires an understanding of all the variablesthat contribute to achieving that goal and making proper media buying decisions through multivariate analysis. Yeah, thatmeans they need a really smart machine -- unless they have a lot of “quants” hanging around with nothing to do.In conclusion, accessing the mountain of efficiently priced inventory in ad exchanges does not guarantee results for anadvertiser. But given the chaotic world of media buying, using a DSP is definitely a strategy worth considering, as long asmarketers ask the right questions, get a clear definition of optimization methodology, and ensure their partner is focused onmeeting the core goals of every campaign. Read more: Mobile, Online Video Usersby Gavin OMalley, Thursday, February 23, 2012 3:38 PMIt’s no secret that 18- to-34-year-olds continue to redefine media consumption; new Nielsen research explains why. Alongwith NM Incite, Nielsen found this demo -- christened “Generation C” -- is taking their personal connections to new levels,devices, and experiences.The latest U.S. Census reports that consumers 18-34 make up 23% of the U.S. population, yet they represent a particularly largeportion of consumers watching online video -- 27% -- visiting social networking/blog sites -- 27% -- owning tablets -- 33% --and using a smartphone -- 39%.With an array of online video content to choose from, consumers increased their monthly online video time in the thirdquarter of 2011 by 7% from the same period last year.During October 2011, YouTube was the top destination for online video content, accounting for nearly half -- 45% -- ofAmericans’ total streaming time, while social networks/blogs garnered the most Internet time overall.The majority of mobile phone time was consumed by app usage, with social networking apps -- accounting for the nearly 6%of mobile time.Consumers are increasingly multitasking across various screens. Fifty-seven percent of smartphone and tablet ownerschecked email while watching a TV program -- their top activity -- while 44% visited a social networking site.Advertisers that are worried consumers might miss their message should note that 19% of smartphone and tablet ownerssearched for product information, and 16% looked up coupons or deals while the television was on.While nearly all social media users -- 97% -- access social networking sites from their computers, NM Incite, a NielsenMcKinsey company, found that females are more likely than men to read social media content from their eReaders, while menare more likely than women to access their social content from an Internet-enabled TV or gaming console.Also of note, by the end of 2011, NM Incite tracked over 181 million blogs around the world -- up from 36 million in 2006.Babelfish Articles Jan-Apr 2012 Page 104
  • Three of the top 10 social networks in the U.S. during October of 2011 were true blogs -- Blogger, and Tumblr --with a combined 80 million unique visitors. Among the top social networks, Tumblr has shown the strongest growth in visitors,more than doubling its audience from last year.Mobile, meanwhile, is transforming into a powerful commerce tool, facilitating consumer transactions and access to real-timeinformation and deals. Twenty-nine percent of smartphone owners use their phone for shopping-related activities and morethan half of mobile users are repeat visitors to daily deal sites.The Groupon app is the 10th most popular app on the iOS platform and ranks 22nd on Android devices.Finally, Nielsen warns that home entertainment landscape is becoming increasingly complex as consumers are presented witha greater variety of ways to consume content, especially with the addition of digital streaming and movie downloads via theWeb.Read more: Streets Wieser: Content Passes Crown, Picks 3 Platform Players - Google, Facebook, Yahooby Joe Mandese, Friday, February 24, 2012 8:30 AMAsserting that content has “passed the crown” from traditional media to online, Wall Street equity researcher PivotalResearch Group initiated coverage of three ad-supported jewels -- Google, Facebook and Yahoo -- with strong ratings. “Theadage ‘content is a king’ was always somewhat subjective,’” writes Pivotal’s Brian Wieser, a long-time Madison Avenueforecaster who authored the report, adding: “But on the Web, the argument content is king is difficult if not impossible tomake in the long-run, in our opinion: what is important are infrastructure, platforms and tools controlled by Google, Facebookand others.”Wieser assigned “buy” ratings to Google (his top Internet stock pick), and Yahoo, and hasn’t put an explicit rating on a still-pre-IPO Facebook yet, but estimated its “target value” as $81 billion.What those Big 3 Internet players have in common, Wieser said, is that they are not simply content–dependent, but aresuperior platforms for users to consume content, and have the best technologies for monetizing that with data about theusers.“Advertisers are increasingly indifferent to the context in which messages appear, at least when compared with other media,”he explained, adding: “Vast and growing arrays of data ensure that audiences (or at least the data-driven attributes whichimply the characteristics of any given advertising impression) become the most important basis for delivering commercialmessages in the long run. Efficient re-aggregation of fragmented audiences also becomes increasingly critical.”Wieser said Google was Pivotal’s top pick among Internet stocks, because while “paid search remains a juggernaut,” hebelieves it is actually Google’s “strategic dominance in ad-tech” that makes it most valuable to investors.“Future growth of Internet-related advertising will ride on infrastructure, and Google owns much of it,” he asserted.Read more: About Meaning Of Tracking ContinuesThis week, after years of debate, the ad industry has agreed to support a universal, easy-to-use, do-not-track tool that willenable consumers to opt out of all behavioral targeting.The do-not-track terminology dates to the fall of 2007, when a coalition of privacy advocates asked the Federal TradeCommission to endorse the idea that consumers should be able to opt out of all behavioral targeting through a singlemechanism. The FTC did so in 2010, but ad companies were slow to embrace the idea. Instead, industry groups said thatconsumers who wanted to avoid online behavioral advertising could opt out from targeting on sites run by self-regulatorygroups, or at individual companies sites.Privacy advocates responded that those cookie-based opt-outs were problematic. One issue was that cookies arent stablebecause they get deleted -- either by users or by the sites. Another is that opt-out links sometimes were broken.On Wednesday, Stu Ingis, counsel to the self-regulatory group Digital Advertising Alliance, told reporters that the organizationwill support the do-not-track header. "The DAA will immediately begin work to add browser-based header signals to the setof tools by which consumers can express their preferences," Ingis said.This statement means that Google, Yahoo, AOL and other companies that have publicly committed to follow the DAAsprinciples must honor do-not-track headers or risk FTC charges for engaging in deceptive practices.Mozilla has already developed a do-not-track header for Firefox users, but only a few ad networks had publicly agreed tohonor it until this week. Users nonetheless have been adopting the header. Seven percent of desktop users and 18% of mobileusers activate the header, Mozilla reports.Privacy advocates like the Center for Democracy & Technology cheered the news that the industry will support the do-not-track header, but also acknowledged that much is still unresolved."For five years CDT has pushed for the development of a reliable Do Not Track mechanism; todays Digital Advertising Allianceannouncement is an important step toward making Do Not Track a reality for consumers," CDTs director of consumer privacy,Justin Brookman, said in a statement. "The industry deserves credit for this commitment, though the details of exactly whatDo Not Track means still need to be worked out."One of those details centers on whether companies should be able to collect any data about consumers who have activated ado-not-track setting.Babelfish Articles Jan-Apr 2012 Page 105
  • The Digital Advertising Alliance prohibits ad networks from collecting information about users for purposes of onlinebehavioral advertising when they have opted out. The DAA also prohibits members from collecting any information about Webusers in order to determine their eligibility for employment, credit, health care or insurance.But self-regulatory principles allow companies to track consumers for purposes like analytics, frequency capping and siteoptimization, even when consumers have opted out of online behavioral targeting.The World Wide Web Consortium, which is creating standards for do-not-track, says it is still in the process of "buildingconsensus around global Web technology that will allow users to express a preference regarding being tracked online, andwhat is necessary to comply with the users preference."Your Attention, Please!by Gavin OMalleySocial video analytics firm Visible Measures knows how to hold an audience’s attention. As its research has found,entertainment value can’t be overestimated. For that reason, consumers streamed Super Bowl ads 500,000,000 times duringthe four weeks around the big game, according to Seraj Bharwani, Chief Analytics Officer at Visible Measures. (For that reason,too, Bharwani is interspersing his OMMA Metrics keynote with the greatest living attention getter for New York audiences:Jeremy Lin.)It’s a big day for Visible Measures, which just announced that its Metrics tracking system has been granted industryaccreditation for measuring the performance of online video viewed on social media. The Media Rating Council, an industrygroup that audits and accredits media measurement services, has voted to grant accreditation to a range of Visible Measures’metrics for digital video, according to Visible Measures.Bharwani says the company’s Metrics tools can provide its customers and clients with visibility into the performance of theirsocial media marketing efforts. The company’s ability to measure and amplify the performance of a video marketingcampaign on social media helps advertisers to be more effective, he said.Visible Measures just recently closed a $13 million round of financing led by DAG Ventures, along with Advance Publications,the owner of consumer magazine publisher Conde Nast.Help! Im Drowning (In Data)!by Gavin OMalleyChris Pyne, Chief Strategy Officer at MediaCom US, loves data. Like many brand marketers, however, Pyne says there’s alwaysthe risk of drowning in the stuff.The real problem is that marketers don’t know what sort of data they’re looking for, according to Andrew Edwards, CEO ofTechnology Leaders, a Web and multichannel analytics firm.The difficultly is getting customers to speak up and articulate exactly what sort of findings they’re after, said Edwards. You’llhear far too few marketers say “This is the stuff I really want to know about,” he said. Marketers “often need a lot moreguidance than you’d think.”Added Edwards: “There’s always a conversation [with clients] because they typically start off with some rather vague ideas”about what theyre trying to achieve with their measurement investment.And even if marketers (with some third-party help) can narrow down available data, that doesnt mean they know how to acton it. For that reason, Lauren Moores, SVP of Data & Research at Compete says she doesn’t like to give marketers direct datafeeds.All the same, Pyne at MediaCom says the effectiveness of measurement and analytics has improved dramatically. At one time,Pyne said he could achieve 5-10% improvements in campaign effectiveness, whereas today he can achieve around 50%improvements.Model Citizensby Joe MandeseThat’s what some of the opening commentary on the OMMA Metrics & Research conference panel on “monetizing media”suggested CMOs are, or rather, need to be.Asked by panel moderator Scott Knoll (CEO of AdSafe Media) how digital metrics relate to the bigger picture, Digitas VicePresident-Group Director of Strategy Jasme Bantens said generally it is done by hooking digital metrics to sophisticatedoffline metrics and data, especially single-source data platforms that simultaneously measure a consumer’s exposure tomedia with their product purchases, or the algorithmic equivalent of that: marketing mix modeling.Fellow panelist and comScore Chief Research Officer Josh Chasin echoed that sentiment, and added that the key focus of the“digital” industry is to ensure that it has the best inputs possible to make sure it gets a fair shake in the marketing mixmodels.Chasin said the models are currently what “justifies the wheel barrels of cash” that consumer marketers put into TV.“Get better at making sure that digital is in these marketing mix models. That’s the way you make sure it gets those wheelbarrels of cash,” Chasin said, later adding the insight that, “Shifting some of your TV money into digital, helps the plan – canadd reach and add frequency to the TV plan.”“What we’re hearing form advertisers – is that advertisers are actually trying to figure out how to put more money intodigital,” Chasin continued, noting. “All the research shows that shifting TV money to digital is good for your plan.”Babelfish Articles Jan-Apr 2012 Page 106
  • If A Tree Falls Online And Theres No One Around To Measure Joe MandeseLeave it to comScore’s Josh Chasin the proffer a Zen parable to put the whole digital measurement thing into perspective.Noting that everyone on Madison Avenue knows, “that digital is the most measurable medium,” Chasin made the observationthat the corollary is, “that sometimes digital ends up being the medium with the most measures.”And I don’t think he necessarily meant that in the good way.Are Surveys Sufficient?by Gavin OMalleyThrowing a grenade into a crowd of online researchers, Joel Rubinson -- CEO of marketing and consulting firm RubinsonPartners – says they need to completely rethink brand tracking. Yep, we “need to reinvent brand tracking,” according toRubinson. In particular, surveys are “insufficient,” he says. If marketers are tracking a brand with surveys alone, they are notpositioned to succeed in social media and, more broadly, in digital, Rubinson insists.Rubinson also believes that social media is transforming paid and owned media. Beyond direct traffic, the largest source oftraffic to client sites or Facebook fan pages is usually search, he says. (According to Google adwords, there are 4 millionmonthly US searches for Starbucks and 16 million searches for “coffee” -- driving a portion of 2 million to 3 million visits permonth to worth considering, Rubinson predicts that by 2015 -- thats less than 3 years!-- more consumers will access the Web viasmartphone (or tablet) than they will using desktop computers.Did Visual Revenue Predict This Headline?by Gavin OMalleyProbably upsetting every editor in the room, Visual Revenue CEO Dennis Mortensen is stirring up OMMA Metrics with talk ofhis headline predicting technology. The company’s“Bloomberg terminal of the newsroom,” so-called, has been gathering steamover the past year. Having recently raised $1.7 million, Visual Revenue now boasts an impressive client list, including Forbes,, NBC, CNN Money, and Cox Media.Visual Revenue offers media companies a “Front Page Decision Support System” for their online editors. The technologyattempts to predict the performance of a piece of content about 15 minutes into the future, and then provides editors withreal-time recommendations on what content to place in which position on a front page -- and for how long.The Metrics Arms Raceby Joe MandeseNoting that there now are hundreds of metrics for measuring and defining the behavior of consumers sharing brand-relatedcontent online – 90 from Facebook alone – Seraj Bharwani, Chief Analytics Officer, Visible Measures says Madison Avenue hasentered a “metrics arms race.”Bharwani, made this observation during his opening keynote at today’s OMMA Metrics & Research conference in New York,said that “at least some brands and agencies are joining the race.”By that he means they are helping to fuel the proliferation – not to mention the hyper-fragmentation that comes along withit – out of something he described as “metrics envy.”Bharwani said some brands are “blindly chasing” metrics like likes, fans and friends, just because they consider some newform of bragging rights that are essential to their brand’s dominance, but without knowing what it really means for theirbrand’s performance.“If Coke has 30 million likes, apparently Pepsi marketers want a respectable number to match the results,” he said, adding thatthe logic is being driven not necessarily by a new consumer behavior, but by a new marketing executive behavior: “notmissing out on the likes party.”OMMA Metrics & Ana-Lin!-icsby Joe MandeseI suppose it was inevitable given America’s fascination with the New York Knicks’ rookie point guard phenom that someJeremy Lin puns would emerge during OMMA Metrics & Research conference in New York, but I didn’t expect to see themhappen so early in the agenda.In fact, Visible Measures Chief Analytics Officer Seraj Bharwani ended his opening keynote by asking the OMMA attendees aquestion: “Is Jeremy Lin a flash in the pan, or a real legend.”I’m not sure how that was relevant to the OMMA conversation, but it didn’t stop others from jumping on the Lin bandwagon.“I’m saying he’s a legend already,” said MediaPost Chairman and Publisher Ken Fadner, who was filling in for OMMA Metrics &Research chair Judah Phillips who apparently got in a car accident while traveling to the OMMA event in a taxi this morning.(While he was sent to a hospital, Fadner said Philips, who is founder and creator of DAT and ARO, is okay, and would be joiningthe conference later today.)Babelfish Articles Jan-Apr 2012 Page 107
  • Back to Lin. Jeffrey Miller, executive vice president-North America at Acceleration, and moderator of OMMA Metrics &Research opening panel, suggested that the conference actually be renamed: “OMMA Metrics & Ana-Lin-itcs.”He followed that with an awkward transition, striking an analogy with the fact that Lin is actually great at “assists” andhelping other players on the Knicks team play better, somehow was a metaphor for The Analytical Enterprise, which of course,is the theme of the panel he is moderating.Heres A Scoop For You, Literally: GRPs Are The Universal Scoop Of Mediaby Joe MandeseAnd it must be true, because comScore CRO Josh Chasin just said it during this morning’s OMMA Metrics & Research conferencein New York.Chasin made the quip because it – scooping -- is, as he suggested, a good metaphor for why online should adopt TV’s GRPs.Chasin said there has been a tremendous amount of antipathy about an online GRP, because, the digital community thinks “thegross rating point is a gross and vulgar metric that can’t possibly apply to our elegant medium.”To help the digital folks understand the common denominator value of applying TV’s GRPs to online valuation, Chasindescribed the way some people buy high-end coffee beans. Describing as especially rich and presumably expensive varietyof coffee, Chasin said, “Okay, how much do you want? You have to scoop it out. GRPs are the scoop of media. They are theuniversal scoop of media.”Asked later in the panel, why TV and online haven’t been able to come to a common currency, Chasin quipped, “because TVdoesn’t have ad servers.”By that, he meant that TV doesn’t actually have all the rich data and metrics associated with online measurement.When he was asked recently how “to get digital measurement to where TV is,” Chasin said, “That’s easy to do. All we have todo is take 98% of what we have with digital and throw it away. If you want to get rid of all that stuff, we can have onecurrency, just like TV.”Joel Rubinson Is Riffing On The River Of Digital Informationby Joe MandeseI love Joel Rubinson, and it’s nice to see the former ARF Chief Research Officer on stage again, but watching him present atOMMA Metrics & Research in New York City, I’m thinking it might be better for him to pull out his harmonica and play one ofthe wicked blues riffs he’s known for when he’s not known for advertising and marketing research.I mean, the “digital river of information” think isn’t exactly stirring the OMMA crowd. Now a lively rendition of Old Man River,well, that might just get the crowd rolling on.Judah Phillips Car Wreck (Literally And Figuratively)by Joe MandeseActually, it seems like former ARF Chief Research Officer Joel Rubinson had some news to make at OMMA Metrics & Research,and guess what, it’s a new ad industry research organization: ARO. Not to be confused with the ARF, ARO stands for AnalyticsResearch Organization.Interestingly, Rubinson made no allusion to the ARF in unveiling the new organization, and flashing its new website – – which even uses the same “the” preposition before its name, just like, say,, Rubinson didn’t say it, but then in a sudden outburst of auto-accident-infused-adrenalin, his partner and OMMA Metrics& Research chair Judah Phillips, pretty much closed the deal.Phillips, acting even more animated and over-the-top than I remember him being on stage in the past, he said it was partlybecause of his near death experience this morning, when he got in a car accident on the way to the OMMA conference, butended up in the hospital instead. He didn’t explain what exactly happened in the interim, but he did imply that it gave himlicense for raving about ARO.“I was in a car accident this morning, so I’m a little big adrenalized,” he said, in between pitching the benefits of ARO to theroom.It wasn’t 100% clear what ARO is, aside from sounding like a metaphor for targeting (you know, an arrow), but Philips did say itwas a “501c3,” which I took to be some kind of business or non-profit corporation.What Phillips did say was what ARO is not. Or at least, what it’s not “meant to compete with.” He then rattled off a number oforganizations, including the IAB, but unless I misheard his ranting, I didn’t hear him say it was not meant to be like the ARF.“How about the World Wrestling Federation,” Rubinson quipped, at which point I nearly expected his ARO partner to leap onstage and pin him to the mat. As it turns out, it was more like a carefully rehearsed wrestling tag-team move, because that’swhen Philips body slammed other ad trade organizations for focusing on something as trivial as “improving tags.”“They’re all talking about nothing that I really care about, because they’re not talking about reducing costs and increasingrevenues. They’re all talking about improving tags,” he chided.How much Philips car accident played in his behavior, I’m not clear of, but clearly he is quite passionate about the prospectsfor ARO. So passionate, in fact, that he’s willing to give it all away “for free.”“I’m going to give you guys what you pay Forrester for, for free,” he said, adding, “If you guys want white papers, I’ll writethem for you – for free.” That quip made me wish that Phillips was also willing to write Raw Blog posts for free, becausesomehow, I don’t feel I’m doing his act justice by just commenting on it. I almost have to be inside Phillips head to appreciatewhat he’s doing.Babelfish Articles Jan-Apr 2012 Page 108
  • You can check out ARO’s actual mission at for yourself, but some of the other takeaways from Phillips rant,include:“It’s laser-focused on the heart of analytics. And I mean the business heart.”And…“We’re going to crowd source it and see what everybody else wants to do.”Somehow, it all relates to the subject of data science, Phillips said, surveying the room and asking how many “data scientistsare here.” (He counted about three.) But then implying that it’s not so much about the science of data, as the “art.”And somehow, the whole proposition hooks into a concept Phillips claimed to have coined: The Analytical Economy.Maybe he should hook up with Rex Briggs.Id Give Seraj Bharwani A C+ For Analogiesby Joe MandeseI’ve never actually read a Media Rating Council audit, but after listening to Visible Measures Chief Analytics Officer SerajBharwani explaining the results of it, it doesn’t sound nearly as complicated of intimidating to read.Speaking about the MRC’s audit of Visible Measures’ platform during his OMMA Metrics & Research keynote this morning,Bharwani describe the outcome in very simple terms that anyone – even a layman like me – could understand.“We get a C for collecting data. A B for reporting on relevant metrics. And an A for delivering actionable insights,” Bharwanisaid summarizing the results of the year-long audit that led to Visible Measures accreditation by the MRC, which wasannounced today.Bharwani said the reason Visible Measures undertook the audit process was that it decided to create its original businessmodel around serving the demand side (you know, advertisers and agencies) vs. the supply side (publishers), and that “trustand confidence” are paramount on Madison Avenue. More importantly, advertisers and agencies generally like to have theiraudience measurement data vetted and accredited by a trusted third-party: the MRC.“Validation still needs to be pressure tested by third party standards parties,” he said.The Evolution Of Marketing Evolutions Hype (Surf Here)by Joe MandeseIt happened this morning during OMMA Metrics & Research’s opening panel, when Marketing Evolution’s Rick Bruner pluggedthe company’s founder Rex Briggs’ new book: SIRFs-UP, which just so happens to be launching today.The book, which is the second Briggs has written (remember “What Sticks,” the one he wrote with former IAB and current MMAchief Greg Stuart?), also launched a brand-spanking new website this morning to promote and actually sell the book.SIRF, in case you were interested in the derivation of the title, is an acronym that stands for “Spend to Impact ResponseFunctions.”Okay, so Briggs isn’t that skilled at naming his own brands, but you know he has quite a reputation for analyzing consumerbrands, and according to the copy on the book’s website, his new book will teach you: “How Spend-to-Impact ResponseFunctions are changing the face of marketing, providing unprecedented ability to forecast and manage ROI.”And to give you a little more ROI for your buck, the site is offering you 25% off if you pre-order the book now.Learning To Love 3MSby Gavin OMalleyInevitably, today’s OMMA Metrics and Measurement conference has gotten around to 3MS, a.k.a, Making Measurement MakeSense, a broad industry initiative conceived by the IAB, ANA, and 4A’s.3Ms has three primary objectives: to define transparent, standardized, and consistent metrics and measurement systems tosimplify the planning, buying, and selling of digital media in a cross-platform world; drive industry consensus aroundsolutions; and establish a measurement governance model to support ongoing standards development, ensure compliance,and manage change in a rapidly evolving media climate.Upon its inception, some industry thought leaders expressed their skepticism about the effort. Yet, one such skeptic -- JoshChasin, Chief Research Officer at comScore – says he’s seen the light, and is now a big fan of 3MS. “They’ve done a really nicejob,” said Chasin.Predictive Modelling Or Bustby Gavin OMalleyHow can we expect predictive analytics to change and/or progress over the next few years? Hardly at all, says Claudia Perlich,Chief Scientist at m6d. “Very little with change, at least on the level of perception,” according to Perhlich. “I don’t thinkeveryone will be able to do predictive modeling.”Though somewhat less cynical, Bill Seely, Vice President of Optimization and Analytics at [x+1], still believes that the future ofpredictive modelling rests on the rise of “data-savvy marketers.” No rise; no future for predictive modeling, says Seely.Babelfish Articles Jan-Apr 2012 Page 109
  • Along the same lines, Alex Yoder, CEO, Webtrends notes that the biggest inhibitor to technological progress is you and me, i.e.,human beings. People stifle innovation for fear that new technology will threaten their job, for example. Ultimately, the adindustry will embrace data -- and predictive modelling, specifically – but only as the result of “pain avoidance.”Predictive modelling, if youre not familar, is the process by which a model is created or chosen to best predict the probabilityof an outcome.Using QR To Create In-Store Mobile Momentsby Steve Smith , Tuesday, Feb. 21, 2012It has become a mantra among cheerleaders of mobile 2D codes that marketers must return real value to consumers whenthe user goes through the bother of scanning a code. Of course, one person’s “value” is another person’s mobilized version ofanother TV commercial. And using QR or other codes merely to push coupons and promos to customers is not encouraging thetype of ongoing relationship a retailer or merchant wants or can afford over the long haul. But what mobility does allow is tomake just about any context a moment of true engagement where the marketer can provide what just about any customerwants anytime, anywhere -- a bit of fun.An interesting mobile company out of Kansas City is working with some regional franchises of Hooters, Chick fil-a and OldChicago, and even some local tanning and cleaners merchants in Kansas City and Dallas to engage customers repeatedly in-store and then use that data to understand customer behavior. The Frontflipmodel is a simple virtual scratch card on an app. AQR code on in-store signage activates the card, which, when scratched, reveals an instant winner or perhaps a discount thatcan be redeemed instantly. The rewards are calibrated to include an element of chance and scarcity, to include a "wow"offering and a number of other little rewards, as well as avoid the margin-killing allure of the daily deal.“We felt that retailers and brands didn’t have a way to engage customers when they were in the store,” says CEO SeanBeckner. He was also looking for a way for merchants to get a better sense of their return customers. People generally don’twant to bother filling out forms for loyalty cards or handing over email addresses that will only get them spammed. This way,the merchant can give the user a lottery-like experience they will want to try every time they come back to a store -- and inreturn the merchant can manage the costs of promotion and track these customers’ return rates and redemption rates overtime.But does it work? FrontFlip has only been in the local markets since late 2011. Beckner says, “We have a customer on theplatform that within 90 days has had 25,000 unique scanners and is approaching 50,000 scans. That is a little over two scansper person.” The model is reminiscent of the QR-code campaign that Thomas & King is using at its Applebee’s shops, in whichtable tents engage the lunchtime customers in fun mobile videos -- something that groups of people like to share.Beckner says these simple virtual scratch cards have a similar viral effect. People use the app in-store in groups and willoften push them to friends. And Frontflip is modeling its business on volume of locations. Beckner claims to have 500merchant customers already on the platform, and is in talks with numerous national franchises and retailers.The art of this system is managing the relationship that the little bit of app-ertainment establishes with the customer. FrontFlip is managed by the business via a portal where merchants can set up to four prizes for a campaign. The app isdesigned to limit any user to one scratch-to-win a day in any single establishment. The win rate is kept to 40% to 50% ofentrants, but most prizes are low-cost promotions.The data the app can deliver becomes richer over time. Activating the app requires gender, ZIP code and date of birth, but theapp can track how often a customer is coming back to the store and engaging in the game. The engagement can be brokendown by basic demos, but also compared across store locations and in response to different promotions. “We let them send agift directly to their customer with a personalized message through an app alert,” Beckner says.The system can trigger rewards for high-frequency reuse. The merchant can also send the user a social gift that can be sentto a non-app user via Facebook. “The client can track all of the campaigns and even do A/B testing,” he says. “They can senddifferent groups different gifts and test response rates -- how many redeemed and how many shared, and how differentpromotions generated new customers.”But does it achieve the kind of scale that can give a merchant metrics reflective of the loyal customer base? Beckner saysone merchant has acquired over 10% of its clientele in the scratch-to-win habit in just 60 days. “We are approaching 100,000users just in Kansas City and 200,000 scans in just a few months,” he says. “Dallas is growing even faster.” Anecdotally,merchants report they are generating more revenue from the model. Beckner says they seem to think that more customersare returning regularly and spending a little more.Three months into a mobile program like this, and its still hard to say how it plays out over the long haul. Do customers reallywant to load their app every time they go into the store for a chance to win, five or six months after the novelty has wornoff? And of course, Frontflip has the same hurdle that many third-party shopping apps like Checkpoint and shopkick have tovault: building a startup brand amid familiar retail brand partners with their own apps. Is this a functionality that is bestembedded within a retail brand app, or as a relatively unknown third party?Moreover, is the model really defensible? Couldn’t an agency or retailer construct a similar model on their own? Beckner saysthat patents are pending on some of the technology and back-end systems, and he feels that mobile users will prefer asingle app to use across merchants to separate apps for each of their venues.Whatever the success of Frontflip, the core notion of using mobile to engage customers in-store in an entertaining way issimple, sound and altogether too rare. The desperate need to promote and sell sometimes overwhelms the more sensible andsubtle process of genuine engagement. People return to experiences they enjoy. Scratch-to-win may be a trifle, but it issomething more than standing on line or staring at other customers.I still recall a lunch shop in my north Jersey hometown that opened tback in the 70s called The Road Runner. Using thecartoon characters as its motif (likely violating Warner Bros. property rights to boot), the restaurant ran silent comedy filmsBabelfish Articles Jan-Apr 2012 Page 110
  • and cartoon shorts on a wall of the dining area. The place was packed from day one. The food was okay. The experience wasexcellent -- and 35 years later I still remember it.Get beyond the mobile coupon and perhaps even this simple scratch-to-win idea. Think about it this way. Your customer justwalked into your store with a camera, an HD screen, a music player on a single device that also happens to be wrapped in hercontact list of like-minded friends. It is a moving, personal funhouse just waiting to be occupied. The creative challenge hereis, how do you turn this new situation into a truly engaging mobile moment?Multi-Screen Storytelling: Latinos on SteroidsGustavo RazzettiAs I was about to start this column, I opened TweetDeck to look for some inspiration. It was then that I ran into a tweet by@josehuitron about a new piece by @briansolis: "Content and the New Marketing Equation." The article was about a report withthe same name released by Rebecca Lieb, analyst at Altimeter Group. It addresses how marketers must evolve fromadvertisers into storytellers. Instead of interrupting consumers with messages that are about "me" (brand/product), they needto attract, entertain, and inform. Storytellers are sought and revisited…they often enter into a dialogue with the audience,Lieb says.And the timing couldnt have been better. Me jumping from one screen to another while writing an article is a perfect analogyof how consumers multitask today. Rebecca Lieb says it right: marketers need to rethink the way they deal with thisempowered consumer (a consumer on steroids).The Multi-Screen PhenomenonMultitasking is a universal phenomenon, but Latinos are taking it to the extreme based on the following data.1. More screens available. More than 45 percent of Latinos have a smartphone and 28 percent of Latinos currently own a tablet (versus 34 percent and 24 percent respectively for non-Hispanic whites).2. Tablet penetration is growing faster. A 190 percent increase in Hispanic tablet users from February 2011 to December 2011; thats almost double the increase for the general population.3. Multitasking frequently. Digital Hispanics spend 42 percent of their media time multitasking; they are more likely than the general population to combine TV viewing with browsing the web.4. Mobile shopping. Latinos experienced the greatest growth in shopping on mobile devices (August 2011 versus December 2011). According to comScore, they also make up about 25 percent of mobile shoppers in different aspects: checked product availability, found store locations, compared prices, found coupons or deals, etc.Multi-Enjoying or Multi-Distracting?Considering the growing multi-screen experience, creating engagement can be challenging for both consumers and marketers.How can we address this? With common sense: trying to understand media multitasking from a consumer perspective. Multitasking can be addictive. Forty-seven percent of Latinos are looking at other screens while watching television. Furthermore, young Hispanics spent two hours and 53 minutes watching video, playing games, and listening to music on mobile devices. Thats more than twice the time that whites, who spent one hour and 20 minutes doing the same activities, according to a study by Northwestern University. Latinos are struggling with multitasking. Based on observations on qualitative research, consumers have a hard time trying to find a balance. They feel excited about the enhanced experience that another screen offers while watching TV, but also feel stressed and distracted. The need to share now. Social media is replacing the office coffee break. Why wait till tomorrow if I can share on the go? That Latino mentality is aligned with the growth of Hispanic mobile Facebook users: currently almost half of Hispanic Facebook users. Multitasking occurs more at home. According to Google, search peak time by device is different: during the day is mostly via PC, in the morning is mostly via cell, and tablets play a more important role altogether with PC. Additionally, app usage peaks during TV prime time. Also, tablets are mostly used at home, connected to Wi-Fi. The perfect storm: TV and mobile devices.From Media Planning to Media StorytellingThe multi-screen experience is putting Latinos on steroids. Is your brand taking advantage of this?We are all part of this phenomenon (like my personal story at the beginning of this column). Yet, its surprising to see howmany marketers and advertising agencies continue to approach consumers the usual way. They continue to plan media like inthe old days. Yes, they might add mobile or social media to the plan, but they still arent shifting from advertisers intostorytellers.Here are some thought-starters: Start with the consumer. Understand how the consumers are behaving and build a plan that is consumer focused, not media focused. Dont plan media; plan for an experience. What is your brand trying to tell? What is its story? How do you want to involve the consumer? Whats the overall experience you want to create? Plan for a whole experience. Optimizing your web for mobile is not enough. Content and experiences should be part of a whole. Your TV spots and mobile devices should collaborate to create a single scene. Think real-time interaction. Your social media strategy should play a key role. How can you leverage what consumers are experiencing on TV and offer a space to enhance that experience with people with the same interests or passions? TV shows are getting better and better at this; brands still have a lot to learn.Babelfish Articles Jan-Apr 2012 Page 111
  •  Integrate content and media. It should be a seamless experience. Separation between creative and media agencies isnt helping. Fortunately, in the Hispanic market, many agencies manage both sides of this storytelling. We have a great opportunity to create successful case studies that can feed industry best practices. Search should play a key role. Search sparks curiosity: 78 percent of Latinos have used search engines to find more information on a show they were watching on their TV. Simplify. Consumers are overwhelmed by this multitasking experience. Make it simple; they will thank you for that.There are more thought-starters I would like to share, but sorry…I need to get back to tweeting. The TV show Im watchingwhile writing this column has increased my desire to multitask.Leading the Agency EvolutionMike BakerThe new reality: ubiquitous mobile devices have forever changed consumer behavior, and the data from consumer interactionswith these devices has forever changed marketing. Given the challenges and opportunities this data deluge presents tobrands, I often wonder what agencies are doing to stay on the edge of innovation and use this data to their clientsadvantage? I recently sat down with Alex Andreyev, strategic investments supervisor at Neo@Ogilvy, to discuss the strides hisagency has been making in mobile advertising, and whats next on the horizon as they lead the trend of the evolution ofagencies in a data-driven world.Mike Baker: Why is Neo@Ogilvy pursuing a mobile demand-side platform (DSP) strategy as opposed to working withmobile ad networks?Alex Andreyev: At Neo, we are always focused on new opportunities to drive value and performance for our clients; its in ourDNA. We want to take advantage of the opportunities afforded by the continued convergence of media, data, and technologyto deliver on our clients objectives. Demand-side platforms, while not new for display, are relatively new for mobile. Theydeliver high value that extends beyond buying predetermined audiences to deliver real-time insights and customerintelligence that inform the media plan for optimal effectiveness and efficiencies. By reaching customers wherever they are,knowing their interests, and making the right offers, we can ultimately amplify our clients returns.MB: You had experience using a display DSP. What spurred you to adopt a mobile DSP?AA: Consumers have voraciously adopted mobile devices, but advertisers have struggled to keep up because of thecomplexities of delivering measureable mobile advertising results. We had to overcome these barriers by simplifying how wewould buy, plan, and measure mobile advertising. We needed the benefits of programmatic buying across mobile inventory -all from one central source. We needed advanced analytics and optimization capabilities, such as the ability to optimizeagainst engagement metrics, not just click-throughs, to effectively keep pace with the dynamic mobile consumer. We havealso had to ensure that we are operating in a brand-safe environment that delivers full transparency into how and where adsare running. Now that we have these capabilities in mobile, we are able to drive better results for our clients unique goals. Iguess you could call us control freaks at Neo - we want our clients to have every competitive advantage possible and thegreatest opportunity to discover and leverage new pools of consumer demand, and thats what a mobile demand-sideplatform provides.MB: How are you thinking about tablets? In your media plan, are they treated like PCs, mobile devices, or a separatechannel?AA: Tablets have become an integral part of the e-commerce landscape, and tablet customers are a fast-growing segment ofconsumers who need to be acknowledged. However, companies shouldnt focus just on tablets, distinct from their smartphoneand PC/desktop strategies. Why? It comes back to successful cross-channel marketing - managing campaigns across channelsin a single place, and maintaining a holistic view of the customer. Consumer engagement involves an interconnected series ofinteractions across devices and channels. Your customers expect you to recognize them, show them products and services forwhich they have an affinity, and allow them to have a continuous shopping experience regardless of whether they are ontheir smartphone, laptop, or tablet.As we continue to invest in this space, were re-evaluating our KPIs and success metrics. Weve seen search activity functiondifferently between mobile and PC and were now looking for ways to optimize our tablet strategies through integratedadvertising, backed up by comprehensive cross-channel analytics and insights. We recently ran a campaign for a client whowas looking to capitalize on the pervasiveness of mobile activity within its consumer base to drive new activations. Wediscovered that tablets increased customer acquisition by 40 times and reduced overall CPA by 64 percent compared toprevious campaigns because they made it easier for consumers to complete a multi-step registration process - a call toaction too cumbersome on a typical cellphone and not as personally connected on a PC.MB: Is mobile more about branding or direct response? Which use case do you feel is more successful?AA: The question is how you define success. As David Ogilvy said, "If it doesnt sell, its not creative." The increased data andaudience insights afforded by mobile DSPs present an opportunity to find more efficient ways to identify our target audienceand therefore increase sales. Today, successful marketers are blending strong branding and creative campaigns with a sterneye toward ROAS. Creativity and objective analysis can coexist, and even complement each other. John Wanamaker famouslydeclared: "Half the money I spend on advertising is wasted; the trouble is, I dont know which half." Well, with a mobile DSP,nothing is wasted because the entire campaign produces insights that not only fuel current campaigns but shape futurestrategies.MB: What are the barriers to shifting spend from other channels into mobile?AA: While mobile may not have the cookies of its display brethren, it offers other value. However, it is not immune to thechallenges that any new medium faces. The biggest barrier has been the inability to accurately track consumers and measureBabelfish Articles Jan-Apr 2012 Page 112
  • success, but that is quickly changing. We are seeing the emergence of cross-channel integrated digital marketingmanagement platforms that give us a comprehensive view of the journey customers take - online and offline. For instance,are they stopping by a store to view that coveted new flat-screen TV but quickly doing a competitive price search on theirmobile device? These new platforms are bringing technology to the buy-side to give us the control we need over inventory,data and media strategy, as well as the ability to create attribution models that provide real accountability. This advertiserempowerment paved the way for DSP growth in 2011, and will certainly accelerate the uptake of fully-integrated platforms in2012.MB: Knowing that the future of digital marketing is being able to optimize campaigns across all channels, what is yourlong-term strategy?AA: Right now, we are focused on adopting new tools that help us understand how to analyze user patterns across allchannels; who are the users, where are they, what content do they consume, what do they do on mobile? Its about having the"of-the-moment" data that enables cross-channel optimization - allocating spend to the best performing inventory orchannels. Being able to see that data and turn those insights into immediate action is what will separate the winners fromthe losers, and we aim to make certain our clients always have the competitive edge to maximize their ROI. At Neo, ourmindset is to start by considering how every channel interacts with the others to holistically drive client outcomes, asopposed to focusing on an individual media channel, campaign, or tactic. In the end, it all comes down to sales, and in thewords of David Ogilvy, "We sell or else."Will Digital Advertising Wait for Your Brand?Mike BakerIn the digital world, speed kills. Not the brands behind the wheel, but the ones on the side of the road debating whether tojump in.I was reminded of this recently while speaking with a brand marketer for one of the worlds top financial services companies.Her company has been slow to embrace digital, only her hesitation had nothing to do with the technology that powereddigital advertising and everything to do with the fundamentals of brand marketing. Can digital tell a story? Can it connect theright content with the right audience? And most consequentially, can it be measured?All good questions, though perhaps not the ones I typically hear from brand marketers. But my gut tells me these areprecisely the questions all digital advertising bystanders want answered. They deserve close attention.The Most Interesting Ad in the WorldSo what makes a successful brand campaign? In a word: stories. Viewers are presented with protagonists with whom they canidentify, and journey with them as they work through a conflict to achieve resolution. On TV, this needs to happen in 15, 30, or60 seconds. But on the web, youre restricted only by the enthusiasm of your fans. Consider the wildly popular Dos Equis "MostInteresting Man in the World" ads. While brief on TV, an impressive eight-minute web-based version geared toward thebrands super fans has gone viral.What drives brands like Dos Equis to seek out digital distribution outlets? Its simple: customers. If brands need to takecustomers on a journey, then they must pick them up where they are, not where they want them to be.Your New Sunday NightWhich brings up the next question: can digital match the right content to the right people? Once upon a time, a marketer couldown the audience by simply securing an exclusive sponsorship for a Sunday night TV show. But that was back in the MadMen-era when everybody watched Sunday night TV. Today we have neither the category (the show that everyone watches)nor the slot (the time that everyone tunes in). Instead, we have diversity of content across myriad channels, to be consumedat the viewers choosing. This long-tail trend didnt begin with digital - cable TV began fragmenting audiences into discretebits back in the 80s. But only digital can make the long-tail manageable for savvy marketers looking to connect with theright consumers, wherever they are and at whatever time makes sense. Heres an example of why this is so important:according to a recent study, New York City consumers tend to seek financial services information on Tuesday nights. In otherwords, Tuesday night is the new "Sunday night" for people like the brand marketer I mentioned at the top of this story. AndBabelfish Articles Jan-Apr 2012 Page 113
  • only digital, with its broad range of semantic, contextual, and real-time technologies, is capable of discovering when andwhere your target audience tunes in and transform those opportunities into your own "Sunday night."Just the FactsOK, but is digital measurable? Admittedly, there was a time when it was difficult to measure story content across multipleformats and channels. But technology advancements have changed all that. Today, brand marketers can have full visibilityinto whats happening, even though the landscape theyre peering into grows vastly more complex every day.In fact, brand advertisers can now optimize their media buys in real time based on real evidence of how consumers areresponding to their ads - measurement and execution are fully entwined. It may sound over the top, but its the digitalequivalent of the Age of Enlightenment, where science, rather than faith, is leading the approach.So yes, digital is clearly measurable. But more than that, it enables brands to reposition themselves for a more secure future.Think Netflix dismantling its DVD-based business to become a digital powerhouse. Or Barnes & Noble aggressively pursuingthe Nook, so much that a suitor claims to want to buy the company because of the Nook. For brand marketers, going digital isless dramatic - theyre not betting the company on the medium, after all. But digital does represent the most direct route toyour audience, and there is a real risk in not moving fast enough.If youre a brand manager, you know all too well that consumers lack mindshare for more than one brand in a category. Thefirst to capture it wins. The second…well, they may not get there in time. Just ask Borders.Customization Is The Wave Of The Future For Rich MediaApr 6, 2012 David SimonADOTAS – According to eMarketer, U.S. firms are expected to spend 1.74 billion on rich media advertising in 2013 alone. This isnot surprising, as rich media ads have proven to be more compelling and effective at generating revenue and results thanstandard ad units. They trigger higher brand awareness from greater engagement levels through the use of the latestcaptivating, multi-media technology. Research from IAB has shown that rich media formats are also more effective atreaching high-end smartphone users.Due to the complexity, creating original rich media ads can be extremely time-consuming and has in the past required a teamwith special skills and tools. Top brands pay a premium both to internal teams and outsourced resources for their customwork, while everyone else either does without or is pushed toward templated ad solutions. Historically, these “cookie-cutter”template ads do not perform as well as original ads, as the public tends to be turned off by seeing the same ad over and overagain as used by multiple brands. If a brand appears disingenuous, the ad can actually erode consumer confidence.Rich media technology is evolving rapidly, and some of the latest solutions do actually empower non-technical creativepeople to develop full-function rich media ads all on their own. By putting the power to create and compete into the hands ofvirtually any agency, brand or publisher these new offerings are changing the online media landscape.Here are three tips to help you find the right rich media solution for your brand.Innovate and Iterate:Even the big guys don’t know which ad will deliver without placing it and keeping score. Solutions that allow even a smallteam to easily collaborate and generate lots of ideas that can easily be tested and refined without per-ad or per-seat feeswill lead to the production of ads that deliver results.Conserve Effort:While third-party templates usually feel stale, using technology that allows you to quickly customize, save and templatizeyour own original ads affords great efficiency. You should have access to your past work so you or other members of yourteam can reuse components and assets in future work without starting from scratch.Challenge Every Creative:Technology should empower the non-technical, not create barriers for them. Every creative idea, regardless of its source atthe brand, agency or publisher should have a short, simple path from concept to functional, testable ad. Consumers havesophisticated standards for video and animation. Whatever rich media solution you choose, it should be simple enough toencourage real creativity and powerful enough to deliver professional-quality rich media ads that can be accessed across ourever-changing multi-device landscape.Rich media is nothing more than a more powerful palate with which you can tell your advertiser’s story. By following theseguidelines you can identify technology that will put creative power where it belongs — in the hands of your brand’sstorytellers.Independent Data Analysis Aids Credibilityby Mark S. Zagorski, Tuesday, February 21, 2012 9:20 AM“My data is great! Really, it is! I asked it myself and it told me so.”That is essentially what some data marketers are saying when it comes to validation of their data sets in the face ofcontinued advertising industry skepticism. When assessing whether or not a “male is a male” or someone is truly in themarket for a new car, is “trust me” really sufficient?That is why it’s important for companies trading online data to submit their data to the scrutiny of third-party auditors toindependently assess both the audience type and quality. This is critical in both building a world-class premium dataorganization and attracting new dollars to online audience buying from those advertisers reluctant due to their inability tohave a standard reference point.Babelfish Articles Jan-Apr 2012 Page 114
  • From the most basic perspective, independent, third-party panel-based analysis of online data is powerful for severalreasons:1. Two wrongs don’t make a right. Checking several data sources against each other may create a confirmation bias,especially if all sources are wrong for the same reasons. This can happen when multiple vendors have the same techniqueto collect data. In that case, everyone agreeing doesnt make it right, it just makes multiple wrongs. Serial correlation in datastreams is often misinterpreted as accuracy when it may really just be sources being wrong for the same reason.2. People buy, not computers. Panels are comprised of people, while cookies represent machines. People are the ones whoconsume advertising, not machines. It is important to measure ourselves against real consumers. Panels provide a realitycheck to remove us from the proxy world of cookies.3. If it ain’t broke, don’t fix it. Panels are an unbiased measurement technique with a rich history in statistical methodology.In many cases, the real-world panels are accredited by the Media Rating Council, a data analysts’ seal of approval advertisershave come to trust.4. Speak the same language. When dealing with brands, sometimes being the smartest guys in the room just isn’t enough.Many in the digital advertising space are still considered start-up in the eyes of big advertisers, and to commit their moneyto a new direction (i.e. audience targeting) the imprimatur of a leading, objective third party, which carries great weight withthem, can only help their confidence level.To move more advertiser money to online data, it will take a higher level of transparency and willingness to work within thestandards and nomenclature that big brands are familiar with. To try to do otherwise, we are being not just egotistical butturning off the exact buyers we hope to attract.For the online data market, having data verified externally helps build credibility.Read more: Ways to Reinvent the AOR for the Digital AgeI had a lively conversation over lunch last week with an agency head and his largest client. We were talking about digitalmedia, connected consumers, and how theyre shaking up the advertising business as weve known it. We each saw things abit differently, but we all agreed that the traditional ad agency business model is fatally broken and needs to change.The client chided the agency head: "We need you to do more with less, especially when it comes to execution tasks likemedia planning and buying. I dont want to pay by the head for monkey work." Ouch. More generously, she said she valued theagencys strategic message and program development work and hoped they could make better use of analytics to connecttotal client investment to results.The agency head noted that the clients procurement department had squeezed the AOR (agency of record) fees so tightlythat it made it difficult for the agency to invest in innovation efforts - like analytics - that would enable it to become morestrategic. "Procurement has drained the life blood out of agency-client relationships." The client nodded sympathetically.I (president and CEO of DataXu) had to chime in with, "Isnt this why programmatic buying was invented?" I qualified myquestion by explaining that tech geeks like me are excited about the rise of ad exchanges, demand-side platforms (DSPs),real-time bidding (RTB), etc., but the reason these things are being adopted so quickly is that they solve a fundamentalbusiness problem for both the agency and the client. Using smart software to help do "monkey work" means - at least intheory - that the agency can reallocate staff and resources to focus on more strategic messaging and communication workthat moves the brand forward.My reasoning roused everyone from "complain mode" into thinking about the future possibilities. How can the role of agenciesof record (AORs) evolve not just to survive but to actually thrive in the digital age? With credit to my lunch guests, here arefive ideas for how the AOR of the future might redefine its value to clients:Offer Outcome-Based RelationshipsArrangements based on fees for execution (cost of media) and full-time equivalents (FTEs) on the clients account reward thewrong behaviors - doing stuff and staffing accounts with many people. They also make for crummy agency economics. Thinklike a money manager; you should share in the upside if the investments youre running are successful. Sure, clients mightbalk, but consider putting your own skin in the game…which leads me to the creative side of the equation.Inform the Creative Brief With AnalyticsSome AORs are wary of performance-based compensation without complete creative control (e.g., the client who insists on asure-to-fail creative message or strategy). But you can now use a tool like a DSP to measure consumer behavior in reaction tovarious creatives. Then overlay demographic or other consumer data on "responders" to better understand which of yourclients segments engage best with various messages. For a fraction of the cost of traditional research and in much less time,you can generate a more accurate view of the consumer (measuring what people do rather than what they say about an ad).Integrate Customer Acquisition and Retention MarketingHelping a brand acquire customers has long been the exclusive domain of agencies, and CRM (retention or upsell marketing)has been handled by other specialists or by CRM systems run by the client directly. However, as more marketers successfullyleverage consumer data for acquisition in digital media ("faces not places"), these disciplines are starting to converge. AORshave the opportunity to expand data-driven marketing acquisition programs (buying audiences, retargeting prospects) to thedata-rich environment of customer relationship management.Create a Data-Driven "Learning Framework"Audience buying, auction media and bid management, data management, customized multi-channel attribution models - thereis a plethora of new, powerful digital marketing strategies and tools available today. Unfortunately, theres also a shortage ofBabelfish Articles Jan-Apr 2012 Page 115
  • expertise in their use. Theres never been a better opportunity for AORs to play the role of the trusted expert that guides aclient through a bewildering array of options, vendors, and - most importantly - strategies. We see clients and agenciesroutinely struggle with design, assessment, and strategy regarding data-driven tools and ways or working.Deliver Customer IntelligenceGlobal brands have embraced business intelligence (BI) tools to measure and optimize their business operations. As consumeruse of digital devices becomes ubiquitous, theres a huge opportunity to harvest the consumer behavioral data generated bya brands various digital assets. This data can be analyzed, visualized, and put to work in guiding decisions about products,offers, budgets, and media plans. All digital media investments can now be considered research, as distribution andmeasurement of engagement with your content creates rapid, inexpensive, and highly actionable insights that would beotherwise unavailable to your client.If youre an agency of record, you cannot afford to outsource elements of your value proposition to third parties. You knowthe client better than anyone else. If you in-source new tools, vendor relationships and capabilities - granted, thats a big if -the future might be better than the past and the present. Who knows, maybe were on the cusp of a new golden age for theAOR, and theyll be making movies about you 50 years from now. What do you think?The Promise and Peril of Social TVBy Tom CunniffIt seems like yesterday that many in the digerati were proclaiming the death of TV.But in the digital business yesterday is just so… yesterday. Finally, the conversation has shifted -- as I predicted – toharnessing the feedback loop between old and new media. This line of thinking is much more on the money: Jack Myerspredicts the social TV business will grow to $30 billion by 2020.Theres tremendous buzz about Social TV. And Im not just talking about the 12,233 Tweets per second at the end of this yearsSuper Bowl. There are more social TV startups today than you shake an iPad at: Bluefin Labs, GetGlue, IntoNow, Miso, SocialGuide, Trendrr, Viggle, Zeebox to name a few. The Social TV panel I moderated last week at the Association of NationalAdvertisers TV and Everything Video Forum was packed, as was the NY Social Media Week panel on Social TV later that sameday.Why Has The Conversation Shifted?Some of it is fashion; no one wants to be the last person to jump on the latest bright-shiny-object bandwagon. But amongsmart marketers, theres a growing realization that too much digital innovation has been anti-scale: its too damned hard tomove product at mass retail one painstakingly targeted customer at a time. Theres real excitement about an integratedsolution with the mass reach of TV and the intimacy of social media.Plus, it just feels right. TV has always been a social activity. Were not trying to create new behavior. This isnt technologyenabling something and hoping people will buy into it. This is what people already do: they watch TV, are entertained by it,and talk about what they just saw.The Promise And The PerilAs with any change, there is both upside and downside. And anybody who has read this blog knows that breathlessenthusiasm and blind cheerleading isnt my style. As a person of Irish descent, I have a deeply embedded contrarian streak inmy DNA. Rest assured that my next post will address some of the perils – and there are plenty. But for this first post, Ill startwith the promise. What are the major opportunities with social TV?Deeper EngagementThe central promise of Social TV is deeper engagement. Its easy to buy eyeballs; its much harder to reach hearts and minds.Social TV offers marketers entirely new opportunities to get people involved in the stories behind their brands, and to sparkconversation with friends.Generating positive word of mouth is a big deal. For the most part, people dont love advertising or hate it. I think the rightdescription is "near-total indifference". A shift from indifference to endorsement – even among a tiny percentage of a TV-sized audience – can really impact a brands fortunes.In the hands of the TV and ad industrys finest storytellers, theres a real opportunity to extend reach, relevance, and brandfavorability. Thats a pretty potent cocktail.Being Part Of Compelling ContentCreatively, banner advertising has been a big disappointment. There are a million reasons why, but heres a big one: wevemade banner ads literally peripheral to "the good stuff". Everybody who goes online knows where the banners will be, sothose areas of the page are easy to ignore. Instant banner blindness.Second-screen experiences offer brands the opportunity to be embedded in the content. There are a lot of ways that brandscan be integrated into bridge content (extended experiences built around a successful show). Even very simple sponsorshipscan work. A brand that helps unlock unique content in a fun way has a shot at being remembered.Multi-Screen Ad CampaignsForty percent of smartphone owners and forty two percent of tablet owners routinely use these devices while they watch TV.Social TV is perhaps our only hope to refocus and recapture this lost attention. If people look away from their TV to theirdevices, marketers have the chance to be there with something more compelling than checking email. The trick, of course, isto actually be compelling: a dull message on a TV and an iPad at the same time wont help. Boring more people in more placesis not a formula for success.Personalized ads, better targeting, and real-time feedbackBabelfish Articles Jan-Apr 2012 Page 116
  • Every medium that shifts from analog to digital brings new capabilities: we will be awash in data that we never had before. Intheory, marketers will now be able to know far more about whos watching their commercials, and how they are reacting inreal-time. Well have more opportunities to create personalized ads, more opportunities to target our advertising only to thepeople most likely to buy, and more data about when people tune out or Tweet loudest. We can tweak! We can improve inreal-time!Social TV promises better ads delivered more efficiently.More than any other, this is the promise that will have many brand marketers – and CFOs -- salivating.But before you reach for your checkbook… this has been the promise of digital media since the very beginning. And if werehonest, to date it has been more of a promise than a reality for brand marketers.Will social TV be different? Only time will tell.The promise of Social TV is clear, and there are good reasons to be excited. But we also have very good reasons to be wary.Here are a few.Nobody Watches TV Because They Want To WorkThe central promise of Social TV is deeper engagement. No more passive viewers! Everyone will share what he or she lovesabout the show – even the commercials! Once couch potatoes are struck by interactive lightning, the theory goes, theyllnever watch TV the same way again. How could they?Sounds great. But the living room couch is not the most fertile area for a revolution that asks people to work harder at beingentertained.Away from the heady hallways of Wall Street and Sand Hill Road, the world is an exhausting place for a lot of people. Holdingone job isnt enough. You need to work two, at least if you want to live indoors. As Barbara Ehrenreich puts it in "Nickel andDimed: On (Not) Getting By in America","When I watch TV over my dinner at night, I see a world in which almost everyone makes $15 an hour or more, and Im not justthinking of the anchor folks. The sitcoms and dramas are about fashion designers or schoolteachers or lawyers, so its easyfor a fast-food worker or nurses aide to conclude that she is an anomaly — the only one, or almost the only one, who hasntbeen invited to the party."A lot of people who fall asleep in front of the TV dont do it because theyre bored. They do it because they are bone-tired.The closer we get to screwing with the stuff at the core of what makes TV work -- lean-back, relax, and let yourself beentertained -- the more carefully we should tread.Its easy to criticize TV for being mindless entertainment. But sometimes thats exactly what people crave most: escape. Ithink for social TV to succeed, it has to make it easier to escape – not harder.People Will Talk About What THEY Care About, Not What YOU Care About.The recent Oscars broadcast is a case study that all would-be Social TV programmers and advertisers should study carefully.Here we have hundreds of glamorous celebrities, dozens of amazing movies, and the first silent movie nominated for anAcademy Award in 83 years. Plus, glossy new TV commercials launched especially for the occasion.All of this is perfectly awesome fodder for Social TV. But what did people talk about? All they could talk about was AngelinaJolies leg.Just after her arrival on the red carpet, a Twitter feed for @AngiesRightLeg appeared. Then, just after Jennifer Lopez poppedout of her dress, a Twitter account called @JLosNipple popped up, Tweeting: "Did you see me?"And while lavishly produced TV spots were airing, people dove into Social TV – but probably not the way the advertisershoped. The spots gave viewsers time to re-Tweet @JLosNipple saying "Just to clear the areola, me and @AngiesRightLeg haveno beef."Its exciting for advertisers to think of the possibilities on the second screen. But consumers have to be entertained. We willhave to get very creative indeed if we hope to compete with @AngiesRightLeg and @JLosNipple.The More Data We Have, The Dumber We GetThe conventional wisdom about digital marketing is that it is superior to "dumb" analog media because it is vastly moreintelligent.We can put precisely the right ad in front of precisely the right person at precisely the right time to make a sale.That has been the promise of digital from the earliest days, and every year we have doubled-down on that bet. This promiseis what created the infamous Kawaja Chart, its whats fueling Big Data, and its a big reason people are excited about SocialTV.The promise sounds gloriously undeniable. But to borrow a quote from Winston Churchill, "However beautiful the strategy youshould occasionally look at the results."The results are not encouraging: the more data we have the dumber we have become. We have driven click through ratesfrom a high of 35% in the early days down to near-statistical zero today.We might be forgiven for doing that with web banners, which are a tiny fraction of most marketers total marketing spend.But, woe to the CMO – and CEO -- who repeats the same mistake with the millions they spend on TV.The Perils Definitely Exist. But Dont Ignore The Promise.Its important to point out the perils. But I dont want to sound like Girolamo Savonarola demanding a bonfire of the digitalvanities, and I definitely dont want to be burned at the stake as a heretic and schismatic.So, let me end on a more encouraging note. I believe we will be smarter about Social TV than we have been so far becausethere is so much more at stake. A big, important group of consumers will want to be social while they watch TV. They willinexorably force us to get good at it.Babelfish Articles Jan-Apr 2012 Page 117
  • Big Data? Big Magic? Or Both? - Tom CunniffThe demand for marketing accountability is a good thing. When something costs millions of dollars a year, its only fair to ask"are we getting anything for it?"But, like all good things, it is not free from unintended consequences.Marketers must now invest a great deal of time and energy simulating clean inputs and outputs to prove ROI. This may workon spreadsheets. But the real world is not made of clean rows and columns.The real world is and always has been a chaotic mess of overlapping impressions and experiences. This is only made worse bythe move to a paid, owned and earned media world. How should a global brand isolate and estimate the dollar value of asingle Facebook "like" in India or Indiana?We must come to grips with the fact that we are asking people to gauge the relative impact of a single carrot on 100 gallonsof beef stew.But, you ask, isnt this exactly what computers were built to do?The Big Promise of Big DataAccording to IBM, every day we create 2.5 quintillion bytes of data. The more devices we have, and the more that happens inthe cloud, the more data we create. Want proof? Fully 90% of the data in the world today has been created in the last twoyears alone.The Big Promise of Big Data is that somewhere in this whirlwind of structured and unstructured data are transformativechunks of insight capable of unlocking tremendous business value.In many business functions, this is probably true. But I believe the very best consumer marketers – people like Steve Jobs --are ruthless reductionists.They know that marketing is not about knowing everything; its about knowing a very few things that are essential.Should We Trust Big Magic, Instead?I have been creating advertising for more than half my life. I have read countless books about how people make decisions,including excellent ones by Dan Ariely and Jonah Lehrer (wonderfully readable) and Antonio Damasio (wonderfullyimpenetrable). I have studied the subject about as hard as any one human can.I know a lot about how good advertising works. But despite my best efforts I dont entirely know how magic happens. And Idont think anybody else does, either.Like most strong creative people, I can reliably give clients singles, doubles and triples. But occasionally Ive created thingsthat were grand slams. They radically outperformed any reasonable expectations and did fantastic things for my clientsbusinesses.In short, they accomplished things advertising generally isnt able to accomplish.Hollywood would call these hits; if I am to be honest I must call them mysteries. They always started as good ideas. But therewas something magical that lifted them to another level. Sometimes its insanely good luck in casting (this just happened tome on my last commercial shoot). Sometimes its a new technology or even a digital bug that opens previously unimaginedpossibilities. Sometimes the tone of a piece of communication is accidentally perfect for the times, despite having beenoriginally created long before it runs.The Myth Of Predictable MagicWhen I owned my first digital agency, a tech company that wanted to acquire us asked me to detail our process for deliveringmagic predictably. I laughed out loud. I told him we had a process to deliver smart, effective, surprising work every time. Butno creative person or agency can summon magic at will. Predictable magic is a myth: its magic because it happensunpredictably.The best we can do is to look for signs of magic coming our way and to let it happen when it does. Its radically easier todispel magic than it is to create it.But with the pressure to be accountable, many of us want to be smarter than magic. We want to crush problems with theweight of our frontal lobes, with the elegance of our algorithms, with the sheer bigness of the Big Data in our BigSpreadsheets.Big Data. Big Magic. Or Both?Human beings are both rational and emotional. Its OK for marketers to be human. In fact, its the only way we can be.Im not suggesting we ignore Big Data. By all means, lets go as far as the data will take us. Lets rack up our singles anddoubles and triples. Lets be open to what Big Data might bring us.But lets also be appropriately skeptical about its limitations.What lies beyond data is something bigger and harder to explain, but immensely more valuable. So our real job is to keeplooking for magic. And when we start to feel magic happening, our greatest contribution is to get the hell out of the way andlet it happen.Ive worked with people who cant bear to loosen their death grip on the controls, who can never allow anything unexpectedto shake their preconceived notions, who insist that 1+1 can only equal 2 and can never equal 11.Magic never happens for them.But Ive worked with people who have the courage and humility to embrace magic when it comes. Magic happens to theirbrands a whole lot more often. The brands that get lucky most are the brands that are willing to get lucky.Are you willing?Marketings Red Sock Problem - Tom CunniffBy Tom Cunniff Published: June 9, 2011 at 01:19 AM GMTBabelfish Articles Jan-Apr 2012 Page 118
  • "With a decrease in the number of pirates, there has been an increase in global warming over the same period. Therefore,global warming is caused by a lack of pirates." ~ The Church of The Flying Spaghetti MonsterSince this post is about data, it seems only right to begin with three data points.1. Five exabytes of data are created every two days.2. Theres a sucker born every minute.3. Some of these suckers will end up in marketing and advertising.Speed, Scale And SensorsThere have always been people who draw the wrong conclusions from data and accidentally shoot themselves in the foot.But in the past they shot with a cap pistol. Today, they have a rocket launcher.In a presentation at PARC, Googles Marissa Mayer said that there have been three big changes to Internet data: Speed (real-time data); Scale ("unprecedented processing power"); and Sensors ("new kinds of data").For marketers desperate to crack the code and unlock the secrets to what makes people buy, the flood of data feels like amiracle.Puny Consumers, Behold My Mighty Data!For people who believe more data guarantees more insights (pro tip: it never has and never will), this makes them feelinvincible. "Puny consumers, behold my mighty data! You can resist my sales pitches no more! Tremble at my God-likeomniscience!"Even if you approach it with a healthy amount of skepticism, its hard not to get enthusiastic about it. More data and morelights on the dashboard sound pretty cool. We can even augment that data with millisecond- to-millisecond SentimentAnalysis monitored from our secret lair in our Social Media Command Centers.How can more data, faster data and newer data ever be a bad thing?The Red Sock ProblemImagine youre the freshly-minted CMO of RMS Titanic Airways. On her analyst call with Wall Street, your CEO proclaimed, "RMSTitanics stock will soar on the twin engines of real-time data and real-time insight".With these as your marching orders, you dive headfirst into the data. Some of the data is hugely, obviously, instantlyactionable. For example, everybody hates the processed cheese on the domestic flights and would love pretzels. Instant win:bye-bye cheese, hello happy customers.Other data is just weird: you suddenly know how many passengers on each flight wear socks and what the color, fabric andapproximate age of each sock is.Here begins the road to perdition.Once the company has data about how many people on a given airplane are wearing red socks, some people will assume thatthis data by itself MUST be consequential.Decision QuicksandA recent working paper titled "Decision Quicksand: When Trivial Choices Suck Us In," by Aner Sela and Jonah Berger theorizesthat this sort of problem is a metacognitive mistake. We confuse an array of options and excess of information withimportance."Our central premise is that people use subjective experiences of difficulty while making a decision as a cue to how muchfurther time and effort to spend. People generally associate important decisions with difficulty. Consequently, if a decisionfeels unexpectedly difficult, due to even incidental reasons, people may draw the reverse inference that it is also important,and consequently increase the amount of time and effort they expend. Ironically, this process is particularly likely fordecisions that initially seemed unimportant because people expect them to be easier."Of Correlations, Causality and CharlatansIf the team tortures the Red Sock numbers enough, they will find correlations that they can mistake for causality. Some willdo this because they are naïve; others because they are charlatans.Once the Red Sock numbers are in a column next to factual data, they appear to be factual too. Once the Red Sock numbersturn into pie charts in PowerPoint, they will appear to predict the future. And once everyones bonus starts depending on howmany red sock wearers convert to becoming Facebook "Likes" for RMS Titantic Airways, youll eventually have to shrug andchase the mirage. I suspect this is happening right now at a more than a few companies. Were just not used to having thismuch data.What Can We Do?"I notice increasing reluctance on the part of marketing executives to use judgment; they are coming to rely too much onresearch, and they use it as a drunkard uses a lamp post -- for support, rather than for illumination." ~ David OgilvyThe first thing we can do is to recognize that the torrent of available data means we are at constant risk of becoming savantidiots who know so much about irrelevancies that we know nothing at all. We have to be on guard against the seductions.Find some people you trust at your company, and ask them to monitor you for signs of Red Sock delirium. The best CEOs andCMOs I have ever met have been masters at asking simple questions that cut to the heart of the matter. We would do well toemulate them.Why does this number matter? What assumptions have we made? Are we combining pieces of unrelated data? Are weconfirming our own biases? How do we know this is relevant?Its easier than ever to make business complicated.Its harder than ever to strip things down to what is important and actionable.But thats the job today. Time to get to it.Babelfish Articles Jan-Apr 2012 Page 119
  • Tom Cunniff began his career as a copywriter at traditional agencies, founded an interactive agency in 1994 and now works onthe marketing side creating and integrating traditional and interactive. All of Toms opinions are entirely his own. Tom can bereached at CMOs Learn to Love Data, Theyll Be VIPs in the C-SuiteAnd If They Dont, Theyll Be Relegated to Overseeing Promotions While Someone Else Takes Chief Customer Officer RoleBy: Natalie Zmuda Published: February 13, 2012Data was once the domain of tech geeks and direct-marketing gurus, while chief marketing officers focused on loftier thingslike shaping brand perception. But those days are over. A study from tech-research firm Gartner projects that by 2017 the CMOwill spend more money on information technology than the chief information officer.Macys CMO Martine ReardonThanks to an explosion of data from social-media platforms, call centers, transactions, loyalty programs, registries and more,CMOs who want a seat at the table will have to harness customer data and leverage it -- or risk being relegated to chiefpromotions officer."With economics and innovation, things that werent possible years ago are now possible, and thats causing brands to stopand rethink the role of data and how it powers the enterprise," said Tim Suther, CMO at Acxiom, a technology and marketing-services company.Take Macys, for example. The retailer is mining customer data in partnership with customer-insights specialist Dunnhumby tobetter understand shopping preferences and behavior. That enables Macys to make informed marketing decisions by lookingat the day or even the time consumers prefer to shop. It can also offer solutions; for example, a black handbag tocomplement the black shoes just purchased."Those are the kinds of things weve started to do with customer data so were not polluting her mailbox, so were not guidingher through a 98-page [catalog] when the first 50 pages arent relevant," said Macys CMO Martine Reardon. "This fell tomarketing, because we are the team of people that really have the customer on our minds 100% of the time."The challenge for CMOs, said Dave Frankland, an analyst with Forrester, is to integrate that data and mine insights to"distinguish signal from noise." The payoff for marketers who accept that challenge will be data and insights that give them"credibility and validity to go alongside their hunch and expertise," he said. "The best CMOs inherently understand customersat a macro level. This allows them to get in the customers head at a micro level."At business-communications company Avaya, CMO Dan Murphy is responsible for shepherding customer data, which he uses toidentify sales trends and revenue opportunities. "Im able to identify through the data we get where particular customers arein that sales life cycle, and I can target my marketing specifically to where they are," said Mr. Murphy. "Its very different fromwhere marketing used to be, where you threw the net far and hoped you could capture some customers. Now, we have a laserfocus."Companies that are already established in gathering and analyzing customer data include credit-card companies, as well asother direct marketers such as Geico and Dell , said David Williams, chairman-CEO of CRM agency Merkle. Retailers, consumer-packaged-goods and health-care companies are trailing. But there are few companies that wont be headed down that road inthe next three to five years, predicted Mr. Frankland. Forrester, for its part, has dubbed 2010 and beyond the "age of thecustomer.""The only sustainable competitive advantage is knowledge of and engagement with customers," wrote Forrester analyst JoshBernoff. "Brand, manufacturing, distribution and IT are all table stakes. The only source of competitive advantage is the onethat can survive technology-fueled disruption, an obsession with understanding, delighting, connecting with and servingcustomers. In this age, companies that thrive ... are those that tilt their budgets toward customer knowledge andrelationships."In fact, industry watchers say todays CMO must become the de-facto chief customer officer -- or lose out. "CMOs havehistorically been the brand steward. This is an opportunity to be a customer steward," Mr. Frankland said. "If they dont do it,someone else will."The unanswered question is whether that person will be the CMO, the CIO or a newly elevated chief customer officer. Mr.Williams believes the ideal scenario would be a partnership between the CMO and CIO."Things that have historically been separate are fusing: Mad Men and math men, offline and online," said Mr. Suther. "Its agreat time to be a CMO, if you want it to be. ... The CMO, as the traditional voice of the customer, has an opportunity toredefine [his or her role] in a more robust way and earn a seat at the big table."How Google+ Is Encircling Your Brandby Gavin OMalley, Friday, February 17, 2012 1:10 PMAlthough no Facebook, Google+ is emerging as a great way for brands to connect directly with consumers.In the last month alone, Google+ fans -- i.e., the number of users in “circles” -- of the world’s top 100 brands grew from222,000 to 3,100,000. The relative explosion -- recorded by digital marketing platform provider BrightEdge -- represented a1,400% increase for Google+.Which brands are making out best? According to BrightEdge, the growth is being driven largely by 10 brands that haveestablished a powerful presence on Google+. The “G+ Ten” account for more than 3 million of the 3.1 million followers, andbring more than 10 times as many followers as brands in the rest of the top 100.Babelfish Articles Jan-Apr 2012 Page 120
  • Leading the way, fashion giant H&M now holds the No. 1 slot with 462,000 followers, while Coca-Cola leaped from 1,800 to336,000 -- a 187x increase -- over the past month. Coke’s direct competitor Pepsi, however, remains narrowly ahead with350,000 followers.Other Google+ winners include Samsung -- with 372,000 followers -- Starbucks -- with 335,00 -- Sony -- with 258,000 -- Intel-- with 258,000 -- eBay -- 253,000 -- Google --193,000 -- and Amazon -- with 184,000 Google+ followers, by BrightEdge’scount.According to BrightEdge CEO Jim Yu, the dominance of a select few brands on Google+ might not bode well for the socialnetwork. “While the growth of the G+ Ten is impressive, in contrast we have noticed many companies seem to be taking aslower, wait-and-see stance to the search giant’s social offering,” said Yu.Top brands that appear to be waiting on the proverbial sidelines include Goldman Sachs, Microsoft and Apple, Yu notes.That said, in Yu’s opinion, there is tremendous interest among large enterprise players in how Google+ will evolve.Although BrightEdge data shows that brands are embracing the social networking site, the success of the G+ Ten contrastswith lower activity among “G+ Laggards.”With search driving continued visibility of Google+, Yu said he expects to see continued consumer adoption of Google+: “Butbroader brand adoption is still a challenge and increasing attention will be paid to the end-user engagement model.”How Google expands from its G+ 10 core partners and spreads more broadly across brands will be closely followed by theindustry, and how the engagement model involves end-users may impact the rate at which Google adds followers, Yu added.“Google+ still has less than 1/100th the number of total consumers interacting with the top 100 brands that Facebook hasachieved,” he said.Read more: Cofounder Says Startups Should Look to Harness DataPrivacy norms changing, says Reid HoffmanBy Tim Peterson February 17 2012Not everything needs to be social. That sentiment’s shocking enough when uttered during a Social Media Week session, buteven more so when coming from LinkedIn cofounder and executive chairman Reid Hoffman, who banked $1.8 billion when thesocial network went public last May.“You don’t really need to tweet your grocery list,” Hoffman said. His top feature request for Twitter, he said, would be theability to filter tweets about friends’ coffee choices from those about important industry trends.Hoffman is looking to data to power that pursuit, mentioningthat he called data "Web 3.0" in a talk last year. During hiskeynote, Hoffman urged investors and entrepreneursto focus on how to build apps and platforms atop the data that areableto mine and apply the information. An example of that strategyis the LinkedIn Today social news aggregator, as it siftsthroughLinkedIns data to deliver what users need to know to do their jobsbetter. “Business intelligence,” Hoffman explained.However, examples like LinkedIn Today are ground-floor programs. Hoffman estimated that the digital industry has realizedabout 1 percent of datas possibilities.With privacy concerns looming over the data conversation, Hoffman said norms around data and privacy “are definitelychanging.” When DoubleClick acquired Abacus in 1999, he said, there was a general outcry over using consumers’ offlineinformation to target online ads, a practice now “considered to be normal.”To avoid any missteps, Hoffman said companies looking to apply data need to be transparent about their practices andensure that those practices deliver only value to consumers. “It’s part of the reason the [privacy] boundary movesintelligently,” he said.Lastly, Hoffman said he hopes that those in the social media industry will be able to “collectively self-navigate the right way”to remaining aligned with consumers’ privacy and minimize need for government involvement. But to avoid harmfulinterference from government regulators lacking “the full skill set [to understand] how to architect social systems,” theindustry may have to move to create an organizing body similar to the MPAA, he said, an idea he’s been pondering for thepast year.Brands Pinning It On PinterestRetailers were among the first to join the social scrapbooking site. But marketers will realize they’d better start pinning, tooBy Ki Mae Heussner February 19 2012Pinterest, the scrapbooking site that’s suddenly on everyone’s lips, is like a gift from the social media gods for style-conscious retailers.“I think for any company that has an e-commerce presence, they absolutely have to be paying attention to Pinterest,” saidRachel Tipograph, social media director at The Gap.In addition to the clothing chain, retailers such as West Elm and Nordstrom have watched the beautiful-looking, easy-to-usePinterest—which enables users to grab and save images from across the Web—become a growing source of online YouTubecombined, per Shareaholic. This month, per comScore, Pinterest hit 11.7 million unique visitors in theU.S., most of them women.After noting an uptick in Pinterest users pinning its outfits last fall, The Gap began creating themed pinboards of its own,including “Denim Icons” and “Everybody in Gap,” Tipograph said.While e-commerce brands may see more tangible benefits, Pinterest can be a powerful tool for any brand since marketingmaterials constitute its content, said John Donahue, director of business strategy at the social media agency Socialistic. “YourBabelfish Articles Jan-Apr 2012 Page 121
  • experts, your visionaries, your creatives now have this platform to syndicate content that is interesting to them, to helpbrands [tell their story],” he said.For example, after brands and their agencies stage photo shoots for marketing campaigns and attend fashion events, theycan then take to Pinterest to share behind-the-scenes content with—and build affinity among—their fans.Yogurt brand Chobani has taken a lead in extracting that kind of value. Emily Schildt, digital communications manager, saidChobani joined Pinterest in October after spotting its fans sharing recipes and pictures on the site. Now, through pinboards,Chobani engages with about 2,000 followers. Pinterest helps Chobani drive traffic to its bloggers and shares the brand’s“personality and the values we hold and our lightheartedness,” said Schildt.As it grows, look for Pinterest to potentially add brand-friendly insight tools and enhanced sharing options—and, possibly, tomonetize its platform with Twitter-like sponsored pins, pinboards and interests.Meantime, as John Bell, global managing director at Ogilvy & Mather’s new social media practice Social@Ogilvy, pointed out,marketers have some work to do. “The challenge to us,” he said, “is to quickly try to articulate that value so we don’t shutourselves out.”Five Types of Social Media InfluencersThis post was originally written in French by Raymond Morin, February 18, 2012What Makes A Good Influencer?“Influence” is a concept difficult to evaluate since it refers to both subjective and objective values, resulting in ameasurement of:  commercial and financial success  reputation and credibility  quality of affiliations and contacts  charisma and the impact of personalityFor each of these values, the notion of influence may vary from person to person.In fact, in the age of social media, the definition is changing as how to identify influencers. Today, thanks to onlineapplications, all social media users now have the opportunity to stand out and in turn become leaders in respect to theirinterests. As a result, marketers and public relation professionals are forced to reassess their approach to define the notioninfluence on social networks.Influencers on social media are either passionate individuals who turn out to be specialists or professionals involved who useWeb 2.0 tools as part of their work. They take advantage of their presence on social networks for personal gain or asrepresentative (or ambassador) a brand, company or organization. They produce and sharing relevant content, appealing tothe interests of a community. This can result in regularly prompting discussions and interactions that might have influence onbehaviors.Start Thinking Strategically For Content CurationBabelfish Articles Jan-Apr 2012 Page 122
  • According to the content curation firm HiveFire, some of the greatest challenges facing content marketers in the United Statesare creating original content (73.6%) and finding high-quality content (43.0%). In an online world of tweets, retweets, blogsand links to other blogs, it is becoming difficult to provide content that your organization can call its own to reach marketingand business objectives.With all of the applications that can be used to automatically gather and share content on social networks, some contentmarketers may want to step in and put the brakes on their system to evaluate if the right content is getting out. By goingback to the basic business objectives of an organization, individuals involved in the content curation process can startthinking strategically. Some food for thought for such a brainstorming session may include.When should you blog?Blogging in the context of content curation ensures that you own the content that is posted. As a result, you have the powerto either a) “shape” your brand before the eyes of your target audience or b) reinforce your brand. In both situations, bringingcontent that will substantiate what your brand offers is critical at all times. Putting forward evidence that your organizationhas THE solution to the target audience’s problem is one of the avenues to engage with them and ultimately prompting themto buy.What should you retweet?How many of you think before clicking the “Retweet” link on Twitter? Are you retweeting for the sake of retweeting or areyou sharing to reinforce your brand or position it in the market place? In a perfect world, an organization would retweettweets that is applauding a product or service however; organizations do not operate in a perfect world. In situations wherean organization receives a tweet about a prevailing trend in an industry, wouldn’t it make sense to retweet it? Two goodreasons: a) Retweeting is a sign of acknowledgement and understanding of the upcoming trend and b) it is a great way togauge reactions from followers about the trend.What social media applications should you be using?The content that you will be curating will have an impact of the selection of tools that you will be using to deliver thecontent. In addition, having a critical mass of individuals in the target audience on these applications is a strategic elementto consider. Understanding that there are portions of the target audience who maybe reached efficiently via one tool versusanother tool is something that cannot be overlooked.Are the right people in place?Not to cast any doubts about the abilities of current personnel but a content curator should have a certain skillset. Alongwith the soft skills mentioned in the blog, “4 Soft Skills For Content Curation“, there are some definite hard skills to be usedfrom a strategic point of view. Here are a few hard skills to keep in mind when staffing your content marketing function:  Advanced web searching techniques  Real-time searching  Content strategy analysis of competing firms / organizationsAre you using the right Tags / HashTags?Although tags / hashtags maybe a small aspect in context of a social media strategy, it is a strategic tool that can be used to“brand” your content on such platforms as Twitter, Flickr and YouTube. Ideally, you want individuals to associate a set of tagsor hashtags with your organization. This is easier said than done and requires constant use and posting them on otherpromotional platforms on the web.4 Soft Skills For Content CurationBY IAN SMITH – MARCH 15, 2011It seems that old is new again in terms of individuals using the title, “community manager” when it comes to social mediamarketing and social networks. One of the fundamental roles of a community manager at the present time is being a goodcontent curator. Content curators fuels the community to engage to become “more social” and participate in discussions.Ultimately, these discussions will lead the members one step closer in the buying process.Content curation is more than tools and engaging with members of the target audience. As an individual who was acommunity manager from the days of web portals in the mid 90′s, there are soft skills that must be put into practice toreach marketing objectives. Here are four that I would like to offer to you.1. ListeningAny social media professional will tell you that “listening” is at the heart of any social media marketing initiative. Listeningwill enable content curators to provide relevant information for an existing problem or issue. It is also important to considerthat listening also entails remembering what was said in the past. Recalling a problem from an individual a month ago canprompt posting a current article from a newspaper or writing a blog post offering a solution.2. Be InquisitiveContent curators must be inquisitive (a.k.a. nosey). Although curators have tools to monitor information on the web, they mustbe motivated to look in different places for insights and other pertinent information to post or fuel a content strategy. Whenwas the last time you visited your competitors’ Facebook Page to see what their consumers are talking about?3. Time ManagementThe soft skill for time management is valuable to content curators. Although some tasks can be automated, curators maybeasked to carry on other roles in the organization. As a result, curators must set aside time to execute their tasks in order forthe right information reaches the right individuals at the right time. If this is not done, a content strategy could be placed injeopardy.4. Be Proactive – AnticipateBabelfish Articles Jan-Apr 2012 Page 123
  • This skill is linked to the Listening skill. The task of just posting an article or a blog post to reply on an issue is good but notgood enough. Curators should be proactive and provide content for the future. Consumers / clients that sees companies whoare able to anticipate their needs will most likely be prepared to buy or obtain the company’s products or services.The Five Types of Social Media InfluencersThere are different types of influencers. Depending on the objectives, not all types of influencers can be matched with alltypes of personalities.Klout’s matrix of influence offers no fewer than twelve different types of influencers that include: the specialist, the activist,the socializer, the observer to the broadcaster, curator to the thought leader.Many users do not give great importance to this matrix.Lisa Barone, co-founder of the firm Outspoken Media (New York), in contrast, proposes a simpler list in Small BusinessTrends: The Five Types of Influencers On The Web.A list which corresponds very well to the five main types of influencers that found on social media: The networker (Social Butterfly): one who has the biggest contact list and found on all platforms. He or she who knows everybody and everybody knows him or her. The opinion leader (Thought Leader): one who can become the best ambassador of a brand. He or she has built a strong authority in his or her field by based on credibility. Their messages are most often commented on and retweeted. The discoverer (Trendsetter): one who is always the first to use a new platform. Constantly on the lookout for new trends, they become the “hub” in the sector.Babelfish Articles Jan-Apr 2012 Page 124
  •  The sharer (Reporter): one who distributes information to the bloggers to journalists through the specialized webzines. He or she usually amplify messages. The user (Everyday Customer): one that represents the regular customer. He or she does not have a network as large as the networker, but his or her network remains equally important.According strategies and objectives with the campaigns in social networks, certain types of influencers are a perfect fit. To beefficient, it must be determined what type of influencer you want to reach.What kind of influencer do you identify yourself as?In a future post, I will propose ten key indicators to determine the real value of a social media influencer.Targeting Latinos: The Right Segmentation ApproachGustavo Razzetti | February 7, 2012As the Hispanic market continues to evolve, more and more clients are asking about the right approach to the Latino market.How to find the best segmentation model is one of the most frequently asked questions. I always reply with anotherquestion: what are you trying to solve?Its because a one-size-fits-all solution doesnt work when it comes to segmentation. Clients must be very careful when beingapproached by companies trying to sell their own "proprietary Hispanic segmentation" model. Most of these predeterminedsegmentation models are not based on a specific product or category. Rather, they can be too generic.The Usual SuspectsOriginally, language was the default variable to segment U.S. Latinos. Well, though hard to believe, language still seems to bethe first thing many companies think of when it comes to Latino marketing.Focusing on language preference doesnt help you understand who the consumer is in terms of identity and behavior. It mightdefinitely have an impact on media selection but it shouldnt dictate your strategy. It doesnt make much sense. Its like, letssay for a general market campaign you decided to create different messages based on the various English dialects (e.g.,lowlanders vs. New Englanders).Country of origin comes second to language.U.S. Hispanics are not all the same: like Mexicans and Puerto Ricans. But, as marketers, we need to get past those differencesand find common threads. For example, if you are a Mexican beer you might think about targeting Mexican Americans. But therealities of Mexicans living in the U.S. are certainly different from those living in Mexico. Do they want to stay connected totheir heritage or seek new experiences? And if thats the case, why limit your sales only to Mexicans? Why not expand yourpotential market by targeting other Latinos too?Actually, the marketplace has become more complex and the usual variables might be completely aligned with the Latinopopulation dynamics.Acculturation, Important but MisleadingIn the past few years, acculturation has become one of the most overused variables in the Latino market. This segmentationapproach assumes that people within the same level of acculturation (a.k.a. level of adaptation to American culture) willbehave the same. I agree that acculturation plays an important role and needs to be considered. But as I discussed in myprevious column, acculturation is not a linear process anymore.Lets see some examples of how acculturation can be misleading.Assumption: High-acculturated Latinos earn more money than lower-acculturated Latinos.Fact: Foreign-born Latinos make up 55 percent of Hispanic households with an annual income of over $100,000.Assumption: More acculturated Latinos have a very similar behavior to the general population.Fact: Take sports as an example. More acculturated Hispanics have a higher tendency toward American sports, but thats inaddition to sports from their native countries. They add rather than replace.Assumption: Differences in acculturation level implies different mindsets.Fact: There are more similarities than you might think, according to these statements based on Experian Simmons data.Tell Me How You Behave and Ill Tell You Who You AreWhen I approach Hispanic segmentation for any of our clients, I always stress the importance of behavior on top of otherapproaches. Its critical that the model is based on how a consumer behaves specifically to your product category. Attitudestoward religion might not be relevant when it comes to selecting a mobile phone carrier.How individuals have behaved in the past can be a far more accurate predictor of future behavior than others discussedabove. And, at the end of the day, thats the sole purpose of segmentation: to group people trying to predict how they willrespond to a specific marketing effort.Babelfish Articles Jan-Apr 2012 Page 125
  • Behavioral segmentation allows you to identify the relationship between different variables (attitudinal, psychographics,interests, technology adoption, media consumption, connection to Latino culture, etc.).Then, as a second step, you can cross tab segments against the "usual suspects" (language preference, acculturation, countryof origin, and other demographics).Im not saying just go for behavioral models. What Im saying is that you should go beyond language and acculturation. Build aspecific model for your brand that combines all variables that have an impact on your business. Test and learn.Questions Your Segmentation Model Should Answer Is it relevant? Whatever the approach you decide to use, make sure that the segmentation is based on your specific category and the business challenge you are trying to solve. Is it actionable? Segmentation models only works if they can affect/have an impact on strategy, messaging, and media selections. Is it predictive? Your model should help anticipate consumer behavior. Are segments substantial? Though Latinos have contributed to more than 50 percent of U.S. population growth, they represent 16 percent of the total population for now. Having models that segment Hispanics in seven different groups would make it impractical and difficult to justify the resources needed. Does it make sense? At the end of the day, everything is about business smart. If your segmentation model makes strategic sense, go for it.How Not to Get Scammed By Agency Trading DesksAgencies Need To Put Clients First - Above Their Own Proprietary TechnologiesBy: Will Margiloff Published: February 17, 2012One of our industrys most heated and contentious debates of the past year focused on the ethics of holding company tradingdesks. Independent trading desks and advertising networks have accused the holding companies of creating inherentconflicts-of-interest for their media agencies.Many agencies appeared to be compelled or even forced to use their in-house trading desks over the indies or advertisingnetworks (even ones with proprietary inventory or unique technology/data sets). The holding companies fired back by sayingthat they would maintain objectivity and do whats best as fiduciary agents for their advertisers.Hmmm, well the jury has been out on this for a while now, and its coming back guilty.While, I dont mean to paint all holding companies with the same brush, there is a level of shadiness in how many areconducting their businesses. It stems from the fact that these trading desks are significantly more profitable than thetraditional agency model due to double dipping occurring in many instances. This sleight-of-hand is done by marking up in-house trading desk inventory (calling it a technology fee or something innocuous like implementation fee) and then chargingclients a percentage of ad spend on top. This encourages agencies to move towards exclusively using their own trading desksand not being open to other unique inventory, proprietary data or other technologies.This exclusivity is a real disservice to clients. Heres why:  Theres no proof that solution a marketer is getting is better than 3rd party technologies  Buying through proprietary systems doesnt always mean a marketer is getting unique media offerings  Because not all inventory is equal, the marketer may not be getting the best data or targeting, either  Moreover, while media inventory might be a commodity -- unique technology, offerings and service are notSo, lets say youre a marketer working with a big holding company and using their trading desk technology--or, maybe yourea holding company and would like to provide better, more transparent service to marketers--heres an easy way to maintainneutrality and make sure everyone wins:  First, quit the shenanigans  Leave 25-30% of budget for testing third-party offerings  Try different sources of ad inventory, technology and data so you dont all your eggs in one basket  Be transparent about billing practices and dont double dipClients first. Agencies need to remember to put their client goals and objectives first while putting their own wallets second.If you want to make more money, then change or break the model. Take some risk, align your clients goals with yours andcreate a performance deal on a revenue share or cost per model. If you want to be successful you should always offer thebest, most innovative options that will create the greatest results for the clients, not just great margins for you.Smartphones and Tablets Influence Consumer Purchasing Decisions on Mobile, Online and in StorePosted by: Dai Pham, Google Mobile Ads Marketing 2/13/2012 12:01:00 PMRetailers are largely focused on how consumers are shopping across channels and devices. We know consumers love theirmobile and tablet devices, but we are just beginning to develop a strong understanding of how they engage with thesedevices as they make their purchase decisions. To gain greater insight into this key behavior, we partnered with Ipsos duringthe 2011 holiday shopping season to study online shoppers. We uncovered a number of interesting consumer behaviors acrossdesktop computers, smartphones and tablets. The powerful data we uncovered can drive best practices for advertisers atevery holiday and year round.The first key mobile insight every advertiser should know is that consumers use their smartphones at many different pointsin their purchase path. 41% of those who used their mobile phones to help with shopping said they made a purchase directlyBabelfish Articles Jan-Apr 2012 Page 126
  • on their smartphone. 46% said they researched an item on their smartphone then went to a store to make their purchase. 37%said they researched an item on their smartphone then made their purchase online.Another key mobile insight that emerged is that consumers used all three devices throughout the research process, but someactivities were more popular on specific devices. Consumers who owned tablets read product reviews and looked for productinformation more from their tablet devices than from their desktop computer or smartphone. This is likely due to thecombination of the large screen and portability of the device that enables consumers to use it more often and in more places.Consumers are carrying tablets with them to the couch, while in the kitchen, and even to bed.Not surprisingly, more consumers used their smartphones to contact a retailer. With the natural calling ability of phones andmany click-to-call phone numbers on websites and in ads, smartphones make it easy to contact retailers, whether to see ifthe store has the product in stock, get directions or find store hours.While the 2011 holiday season is now firmly behind us, it’s clear that smartphones and tablets are only going to become abigger part of the consumer shopping experience. Among consumers that used their devices to shop last year, 80% ofsmartphone shoppers and 70% of tablet users said they used their device more frequently this year.To stay ahead of this shift in consumer behavior, advertisers need to make sure they have a mobile optimized site, make iteasy for customers to reach them with click-to-call and deliver a seamless experience between online and offline in-store.It’s the advertisers who engage with their customers across all three devices that will have a distinct advantage in 2012.To learn more about consumer shopping behavior across the desktop computer, smartphone and tablet and view a full reporton Post Holiday Learnings for 2012.Babelfish Articles Jan-Apr 2012 Page 127
  • The Mystery Of Mobile Targetingby Laurie Sullivan , Friday, Feb. 17, 2012Mobile applications are a mystery to some. Even developers and experienced programmers seemed surprised to findapplications copying data from address books in smartphones, where sensitive data gets kept. Its too easy to capturepersonal identifiable information, even when keeping security in mind.Many company execs dont think the Mobile Marketing Association (MMA) has addressed this issue. Thats what keeps adnetworks, ad exchanges, and data companies like eXelate from getting into the mobile targeting business."Its unclear the best ways to target consumers on mobile devices," said Damian Garbaccio, chief revenue officer at eXelate."We dont want to get involved with personally identifiable information and need to know what being classified as PII. TRUSTeand others are hashing it out to determine whats permissible."Online privacy remains one of the more debatable issues. About 10% of U.S. adults report being worry-free regarding theironline privacy, compared with 21% who worry frequently about their digital privacy, and 23% who always worry, according toonline privacy service company TRUSTe.MMA Global CEO Greg Stuart said the organization hired him a little more than a year ago and now there is a committeeworking on all aspects of mobile privacy and targeting. "Its a big deal, and youre absolutely right to hear about concerns," hesaid. "Were also doing privacy work around location services, as well as unique identifiers."Stuart said industry ad executives who dont know about the work need to get involved with the MMA. Last month theorganization released the final privacy policy guidelines for mobile applications, which address core privacy issues and thedata processes of mobile applications.The key guidelines cover core privacy principles in what the MMA considers "consumer-friendly language" for developers, andways to inform users on how data is obtained and used. The guidelines call attention to applications that collect precise real-time location information, whether or not third parties can see or have access to the data, and opt-out rights for consumers.Crowdsourced Advertising: It’s Not Just Cheap LaborFeb 17, 2012 Wil MerrittADOTAS – Survey today’s brand marketers and advertisers about the role of crowdsourcing in the industry, and you’ll receive arange of reviews. While a growing number of advertisers have embraced the practice, some skeptics question its reliabilityand fear that the practice undercuts the value of agency services. Having contributed to more than 200 campaigns, ourcompany, Zooppa, has found that cutting-edge brands and agencies view crowdsourcing as a way to enhance traditional adcampaigns, rather than as a threat.Disapproval for crowdsourcing often stems from a misunderstanding of its purpose and potential for added value.Crowdsourcing is so much more than simply “a cheaper way to create ads.” If managed properly, a crowdsourcing campaigncan generate a powerful combination of content, awareness and engagement that’s so eagerly embraced by marketers in thedigital age.It’s worth stating that nothing can replace a well-researched and well-executed creative campaign. The level of creativitythat top-tier marketing teams and agencies generate simply cannot be commoditized. Any attempt to substitute crowdcreativity for the imaginations of creative visionaries is destined to be inadequate.However, when incorporated into traditional ad campaigns, the “crowd” contributes a powerful asset. With a bit of imaginationand a willingness to open the creative process, brands can motivate groups to build groundswell among a brand’s fans,extending the value of traditional ads. In today’s interactive media landscape, outright dismissal of crowdsourcing is a missedopportunity to amplify the reach and engagement of a great creative concept.Below are two examples of how a brand and an agency have incorporated elements of crowdsourcing to take their campaignsto the next level:Siemens gains a global perspective. In February of 2011, Siemens launched their new online storytelling format, /answers, thatfeatured content produced together with world-renowned documentary filmmakers and journalists. Seeking to complementthis work with an unfiltered community perspective, the corporate communications team launched a crowdsourcing campaignthat invited people from around the globe to submit documentary videos that told personal stories of how technology canmake their own cities more sustainable. The response was positive and astounding, with 118 well-crafted documentary videosfrom 26 countries on six continents sharing insights on topics like urban infrastructure and intelligent buildings. The results ofthe campaign provided meaningful video content from some of the world’s major cities and great material to use in theircommunications around sustainable urban development.Buick collects authentic stories. In partnership with the NCAA, Buick and their agency, Leo Burnett, launched the “HumanHighlight Reel” during March Madness. The campaign featured a series of professionally produced films that spotlight formerNCAA student-athletes doing good works, with select stories running on TV and online. Seeking to extend this celebration ofstudent-athlete achievement, Buick asked fans to share stories of former athletes in their own communities online. Zooppa’sonline community contributed stories of male and female student-athletes from more than 30 colleges and universities whoparticipated in 12 NCAA sports. By inviting anyone to share their own stories of community leaders, the campaign not onlyutilized crowdsourcing for video production, but also to take advantage of network effects to locate the student-athletesubjects. In the end, the project enabled Buick to add depth and authenticity to their celebration of student-athleteachievements and the principles upon which the NCAA was built.Siemens and Buick provide just two examples of how advertisers can leverage stories from the crowd to compliment moreconventional advertising efforts. If managed properly, these campaigns can empower brand fans to own a piece of thecreative process and provide more touch points for consumers to interact with a brand. Now more than ever, marketers areBabelfish Articles Jan-Apr 2012 Page 128
  • building brands from the ground up and aligning themselves with values that resonate with consumers first and the C-Suitesecond. There’s no better place to start this groundswell than with the crowd.Wil Merritt is CEO of Zooppa, the world’s leading source of user-generated advertising. Prior to coming aboard as CEO ofZooppa, Wil made a career at the intersection of media and technology. For four years he served as a Senior Vice President forthe Corbis Corporation, Bill Gates wholly owned private digital media company. Wil also spent 18 years with Time Warner, Inc.,in posts around the globe including President for Europe/Middle East/Africa for the Time and Fortune Publishing Division.Canadian network WSI - We Simplify the Internet has about one thousand offices in 80 countriesMark Paul Perfect, master franchisor of WSISpecializing in digital marketing and internet consulting, WSI - We Simplify the Internet began to start a processof expansion in Brazil through franchises and individual masters . It is expected that only in 2012, 30 new offices areestablished in the country. For this, the company has been studying the market since 2008, when he began to collect data toestablish a structure of four masters franchisees "were more than two years studying Brazil and formatting documents andprocesses with the characteristics of the local market. Now its time to expand with strength and solidity, "says Mark PaulPerfect, master franchisor of the network.The idea is that franchisees act with sales of Digital Marketing services, including techniques that promote the improvementof the performance of digital communication tools, including placement in search engines, e-business solutions, mobile weband geolocation. The parties do not include requirements for experience in the field of technology or software development.The values of the franchise fee ranging between $ 49,700 and $ 69,700 (from $ 85,500 to $ 120,000), depending on the type oflicense, plus any travel costs for Canada. The simplest methods do not require investment in office or employees, may beinstalled in home-based model. Perfect Second, the intention is to reach all regions of Brazil, where there is still a greatmarket to be exploited. "The speed of our growth is the market for digital marketing, which grows very rapidly in the country,"he concludes.Type of business Franchise Marketing and Digital Solutions for InternetDate of foundation 1994 (Canada), 2009 (Brazil)Initial Investment from U.S. $ 69,000 (U.S. $ 118,600)Franchise Fee of $ 49,700 to U.S. $ 69.7 (from $ 85,500 to $ 120,000)Royalties 10% of revenueWorking capital U.S. $ 20,000 (£ 34,400)Advertising fee from U.S. $ 100 (£ 172)Average monthly billing $ 15 to 40 000Net profit 50% to 70% of gross salesTerm average return on investment de 18 to 24 monthsTerm of contract 5 years renewableUnit area home-basedStaff 0Franchisee Support training, technical support, international support local businessEmail marcos.paulo @ (11) 7885-6636The cost to have a franchise of WSISource: DisclosureRules For the Social EraBy Marina Ribeiro by Nilofer Merchant 1:36 PM Tuesday February 14, 2012"This business model is right for a company selling Purina Dog Chow, circa 1970.""Theres no way we could ever be this collaborative."Both are comments I got about my book, back in 2009, about setting direction, collaboratively. The first is from a Googleexecutive; the second, from an exec at Cisco. Same business model architecture, two entirely different responses: obvious orunachievable.Facebook, KickStarter, Kiva, Twitter, and other companies thriving in the social era are operating by the rules of the Social Era.They get it. They live it. And to them, its ridiculously obvious.But too many major companies — Bank of America, Sony, Gap, Yahoo, Nokia — that need to get it, dont. A friend of mine whoruns a venture capital firm is emblematic of the bias I encounter in the Bay Area. He tells me to ignore the big enterprises;that they are not the future. But Im not willing to give up on these firms. I think we can get the 800-pound gorillas of our dayto act more like 800 gazelles — fast, nimble, and collaborative.Like the rising temperature of the water the proverbial frog is sitting in, organizations are feeling the social era all aroundthem, but failing to notice how significant a change it has produced. Because it has shown up in bits and pieces, via freemiummodels, crowdsourcing, online communities, virtual workforces, social networks, and so on, it is easy to miss how much theoverall context has changed for the way value is created.Babelfish Articles Jan-Apr 2012 Page 129
  • You might notice that I have used the term social era. Its not to create more jargon, its to emphasize a point: that social ismore than the stuff the marketing team deals with. Its something that allows organizations to do things entirely differently— if we let it become the backbone of our business models.How does this work? What are the rules? What does it mean for all parts of my business? Thats something I will be exploringin several posts for HBR. Here, let me start with three major shifts that I see:Lean, not big. Most organizations operating today started when companies needed more operating capital. Being big was initself a mark of success. And in fact, being big created a natural barrier to entry for competitors. The "big" mindset continuesto form an organizational framework for many institutions. Take banking as a visible example. Bank of America recentlyconsidered a $5 fee for customers to get their own money via their debit card because they have to find a way to fund allthose retail storefronts. But if they were launching today, banks would likely ask themselves how to accomplish thetransactions (deposits, withdrawals, financial management) of banking without the physical commitment of banks. They mighttry what ING is doing with its café model. They might even reimagine what it is to lend money. Instead of competing with newstartups like Lending Club orProFounder, they might be the ones reinventing the space.Conversations, not chains. Many organizations still operate by Porters Value Chain model, where Z follows Y, which followsX. These linear models optimized efficient delivery of a known thing. But this doesnt help us when faster, fluid responses arewhat we need. Fifteen years ago, The Cluetrain Manifesto taught us that markets are conversations and that was a greatstarting point. But "conversations" can actually go deeper if you allow them to become central to how you work, rather thanleave them on the perimeter of the work. How many companies have figured out how to shift from supply chain managementto integrating customer feedback directly into their product design, distribution, and delivery? Because thats the point.Mass markets were a convenient fiction created by mass media. Television and major magazines could only reach only veryvague demographic segments like "women of child-bearing age" and "college students," so a lot of organizations still think ofthat as "targeting" their offer. But real markets are much more precise.Finding out where any particular customers hang out and talking with them directly is central to accurately understandingdemand and building it into the business model. Case in point: Gap missed many of its performance numbers in 2011 bybelieving that their only interaction with their customers happened at the cash register.Sharing, not telling. When companies think of social media, they hope to get consumers to "like" them or "fan" them, as ifthat increased connection is meaningful. Again, that captures the marketing aspect but misses the strategic point. The socialobject that unites people isnt a company or a product; the social object that most unites people is a shared value orpurpose. When consumers "love" Apple, they are saying they love great design and the shared idea that "thinking differently"is valuable. By "loving" Firefox, the web community is saying that they believe an open web browser is valuable to the world.By loving TEDx, a volunteer army of people are saying they believe that smart ideas that get people to think more about theirworld is a cause worth putting energy into.Companies that just tack a Facebook page onto their existing model without cultivating that shared purpose often soundknow-it-all, tone-deaf, or stupid. This was the case with Netflix, whose well-documented pricing snafus showed a tone thatdidnt work for the social era. Its worth appreciating that Netflix defeated Blockbuster by appreciating the shift from leanover big, but hasnt yet caught onto a co-creative relationship; it continues to tell the market what they should want.Collaborating with consumers or movie aficionados would allow an ongoing exchange. For example, Netflix might have apassionate set of enthusiasts who review films and recommend content in the same way that GoodReads offers bookenthusiasts a venue to exchange ideas. That would have naturally put them into conversations with influencers who couldhave an interest in what the company creates. Instead, they focused their efforts, famously, on refining their recommendationalgorithm — taking social out of the equation.Collaborating with people through shared purpose creates advantage because it allows everyone to work towards a sharedgoal. When people know the purpose of an organization, they dont need to check in or get permission to take the next step,they can just do it. When people know the purpose, they are not waiting to be told what to do. With shared purpose,alignment happens without coordination costs. Shared purpose makes customers and team-members more than transactionsand payroll recipients. It allows us to "tear down that wall" between who is "in" or "outside" the firm creating a morepermeable organization which unleashes the inherently collaborative nature of work — like a herd of gazelles runningleaderlessly, daringly, across a plain. This is the foundational principle of the social era.What the 800-pound Gorilla used to fight against was the younger entrant coming in on a different dimension of performance,gaining a foothold and fundamentally changing the cost structure. That was why Christensens The InnovatorsDilemma became the bible of the boardroom. But the web and the social era enabled by it have illustrated a new truth: itsnot enough to do more, faster, cheaper. No, we need to do things entirely differently.Today, many 800-pound gorillas look more like dinosaurs. From technology, to banking, to education to health care, fromautomobile makers to the media, many organizations that once dominated now struggle to meet the rapidly changingdemands of a volatile, global marketplace. Thus far, organizations have been focused on tacking on social elements onto theircurrent operations. Social has been adopted programmatically, rather than strategically. All that does is get the Gorillasaursto lumber a little faster. Its not enough to escape the asteroid.The reality is more like this: The world has changed; how we create value has changed. Organizationally we have not. It willbe wholly insufficient to put the word "social" in front of existing business models and expect things to change. Instead, weneed to imagine the fundamental enterprise anew for the social era. Lean, adaptive, community-driven organizations, built forspeed, will thrive. In my next post, Ill talk more about how companies like that organize to win.Babelfish Articles Jan-Apr 2012 Page 130
  • With Streaming Video, Ad Strategies Come Streaming InTessa WegertStreaming video is a market that, though still in its infancy, appears poised to grow up fast. According to the January 2012Accenture report "Always On, Always Connected" that analyzes online services used by worldwide Internet users, 36 percentof consumers aged 18 to 34 stream movies and shows, along with just 20 percent of those aged 35 and up. And yet, digitalstreaming services seem to be raking in the dough. In the past year, Hulu grew by 60 percent to reach $420 million in revenue.And even though it lost hundreds of thousands of customers due to an increase in prices, Netflix still boasts 20 million weeklystreaming customers who watch an average of over 33 hours of content per month.The recent news that Verizon and video rental service Redbox will partner this year to create a new digital streaming serviceis, therefore, worth paying attention to. Verizon and Coinstar, Inc., parent company of Redbox, are reporting that their newservice will include DVD and Blu-ray rentals along with on-demand streaming media services. Just as Netflix and Hulu usersare able to stream movies and TV shows to TVs, computers, and mobile devices, so too will consumers who subscribe to thenew Verizon-Redbox service.This has some significant implications for advertisers. Its still unclear to what degree the new service will be ad-supported.Netflix has shied away from advertising to date, but streaming media giant Hulu offers :15 and :30 video spots, companionbanners, overlays, and plenty more. If Verizon and Redbox want to introduce advertising into the streaming portion of theirservice, theyll merely need to take a look at Hulus victories and mistakes.Funnily enough, it turns out that its successes are, in fact, attainable to any advertiser. The best practices that have evolvedfrom streaming media advertising are essential to virtually all marketers reliant on video content to promote their servicesand products.Providing OptionsHulu was one of the pioneers of the Ad Swap ad selector unit that allows its users to choose from several advertising options.The concept is quite revolutionary: instead of requiring users to watch whatever the content publisher (and its advertisingclients) believes should be of interest, they allow them to actively express where their interests lie.If given the opportunity, advertisers should consider providing similar flexibility to their target customers. According to BreakMedias 2012 Digital Video Advertising Trends Report, ad selector units are among those expected to see big gains this year:while 18 percent of marketers used the unit in 2011, 33 percent plan to in 2012. Check with your media partners to see iftheyre offered (among those sites making them available are NBC and CBS).Making Your Voice HeardWhether its achieved by way of a page skin or by purchasing all banner ads associated with specific content, havingcomplete share of voice on a site page can provide exposure thats unrivaled. When that page is drawing users who areprimarily interested in watching video clips, its even more essential. Regardless of how entertained consumers stand to beby your video ads, there will probably always be a part of them that resents the interruption. Leave them to their videos byconcentrating on the surrounding space and theyll forgive you your banner ads. They may even be more willing to give themdue consideration.Getting on the Right TrackWe all know the importance of targeting ads, but when it comes to advertising around streaming media, few tactics play agreater role. "The success of streaming video websites…will depend not only on their ability to offer valuable premium paidsubscriptions, but also their ability to provide compelling free content by enticing advertisers that can monetize it," saysMartin Hayward, director of marketing for Mirror Image Internet. Hayward points to cookies and pixel-tracking as keyelements, and this kind of user data is critical to brands across the board. As for the future of streaming media, "The websitethat can offer advertisers the most value by getting their ads in front of the right audience will be the big winner here."Twelvefold Extends Spectrum Ads To Mobileby Mark Walsh, Thursday, February 16, 2012 7 AMTwelvefold Media (formerly BuzzLogic) has brought its Spectrum ad platform, which targets display ads at the page levelbased on topic, audience and social activity, to the mobile realm. The company says its Spectrum for Mobile solution willallow more precise targeting on smartphones and tablets than what is typically available today.It notes that traditional mobile ad solutions target audience based on categories or targeted to keywords. Spectrum forMobile matches ads to more specific content, such as “easy-to-make, healthy snacks for kids that contain whole wheat andare loved by moms.”Twelvefold says the growth in online traffic originating from mobile devices led to its efforts to extend Spectrum beyond thedesktop Web. Spectrum for Mobile ads are compatible with Android and iOS systems, and are formatted by device. Ads servedto a smartphone might appear at the bottom of the screen, but display directly within a page viewed on a tablet.Read more: Whats in the Fridge? Contest Woos Appliance Fiendsby Sarah Mahoney, Wednesday, February 15, 2012 11:30 AMGE is targeting kitchen-appliance mavens with a new contest, offering $20,000 in appliances and kitchen design services. Inaddition to the kitchen makeover, additional prizes include groceries, cookware, French door fridges and dishwashers. To play,consumers find a refrigerator-unlocking code hidden in the company’s TV ad, viewable online. In addition to prizes, theBabelfish Articles Jan-Apr 2012 Page 131
  • appliance maker is also offering rebates of up to $750. GE says the contest is intended to drive viewership of its ads, whichpreview new appliances debuting next month.Read more: Time to Start a CompanyDont wait. Here are seven reasons to launch a venture today.By Michael Lazerow | @lazerow | Feb 13, 2012Now that you know my belief that starting a company is your best hope of living the life you want, heres the next logicalquestion: When should you get started?1. Youre youngThe best time to start a company is when you are young. The younger, the better. Youth is a beautiful thing. Its the perfectcombination of ignorance and innocence. Stupid decisions are excused as learning experiences and the worst outcome ofmost youthful transgressions is a few days in juvenile prison, or, worse, going broke.Blogger Michael Arrington recalled a conversation with a venture capitalist last year that "entrepreneurs are like probasketball players. They peak at 25, by 30 theyre usually done."I dont agree with the blanket statement, but I do agree that its easier to pour your life into a company when youre young,creative, fresh, and fired up.When I graduated from Northwestern in 1996, my primary asset was time and passion. I decided to focus these assets on twogoals: making money and finding women who would date a geek in glasses with crossed eyes and a bum heart.Starting a business killed two birds with one stone. I grew my first company into what became a publicly-traded firm(University Wire and Student Advantage) and I met my future business partner, best friend, lover, and wife at a wedding atage 22.Ive never met an entrepreneur who said, "Wow, I wish I hadnt started so young." The world is full of regrets and one of themain ones is from entrepreneurs and would-be entrepreneurs lamenting that they didnt start off earlier.2. Youre miserable at workLife is too short to sit behind a desk and be miserable. Show me someone who makes a million dollars a year but hates his joband Ill show you an unhappy guy. Show me someone who makes a tenth of that and Ill show you someone who is 10 times asunhappy.Ive always believed that misery loves company for a reason. Look inside any company and youll find a boatload of misery,the best fuel to start your own company. We grow up rebelling against our parents. Many grow companies to rebel againstformer bosses.Use your nights, weekends, and lunch breaks to form your ideas and network and start laying the groundwork for youreventual prison break. And when youre confident youre on to something, jump. I assure you that youll never look back, evenif all you have at the end is less money in the bank and a learning experience.3. Youre out of workTheres nothing like a good ol fashion layoff to turn you from a worker into an owner. It shocks and beats the comfort out ofyou. Its a mini death forcing the least introspective to examine all aspects of their lives.Lets be clear, everyone who is laid off should not start a business. But a layoff is a great catalyst if youre already thinkingabout making the move.When youre fired or let go, many fall into the trap of focusing energy on the people who "wronged" you. Just the opposite.Look at the firing as a blessing in disguise and motivation to reevaluate your life. Put everything on the table—newopportunities you have been ignoring, industries youre interested, and starting your own gig.4. You have no responsibilitiesStart-ups and life responsibilities are often inversely related, if not mutually exclusive. The more responsibilities you have,the less likely it is that you will start a business.I have many friends who have been speaking to me about starting businesses for 15 years now. And for many, they now feelits too late to jump in.While age and responsibilities are often related, they arent always. So start a company when you have the time and theenergy and the freedom to do so. Dont wait until its too late and youre trapped by a mortgage, private school tuition bills,and annual family vacations that you need to fund.Starting your own firm has a ton of rewards—excitement, accomplishment, the promise of financial freedom, and more. Butdont kid yourself, it also has a ton of downsides—you wont see your friends or family as much, your income will approachzero, the time you used to spend working out is now being spent networking, meeting, recruiting, and traveling.Providing for others and keeping up with a lifestyle youve grown accustomed to makes it hard to start companies, especiallyfor the first-time entrepreneur. If you are single, married without kids, or thinking about getting married and starting afamily—and considering jumping on the entrepreneurial train, do it now before you decide that its just too late.5. You have an incurable obsessionOur great country was founded on the idea that anyone with an idea can strike it big. John D. Rockefeller, the son of atraveling salesman, founded Standard Oil, and in the process became the nations first billionaire whose fortune swelled tomore than $500 billion.Babelfish Articles Jan-Apr 2012 Page 132
  • The Rockefeller story is a great one. But dont get seduced by the myth, the money, the adventure, and the allure of being aself-made person. Starting a company is the hardest thing you will ever do professionally. Its you versus the world. And theworld wins 90% of the time.Start a company after you sit on your idea for a while—and you cant get it out of your head. Youre obsessed. Youre incurable.No matter how much you try not to think about the business, it keeps coming back. You start working on the idea during allyour free time. You cant stop talking to friends and family about it. And you feel like you will never forgive yourself if youdont take a chance.This incurable obsession must be consistent over an extended period of at least three months. Let it sit. Let it settle. And dontconfuse it with the entrepreneurial seizure, a more temporary excitement that will wane if you give yourself time to reallythink about the idea.6. You are an "intrapreneur"I am starting to spend time with more and more entrepreneurs who came to the game late but are in an ideal position tothrive. They have launched stuff inside large companies (also known as "intrapreneurs") and have put some money in thebank. Despite having responsibilities and being older then 25, they are in a position to invest in themselves.Just look at David Rochon and Michael Libenson from SavingStar, a mobile savings company I invested in and sit on the boardof directors. David had 25 years experience in the grocery industry and Michael was a former consultant who spent 20 yearsbuilding other peoples businesses.The two launched Saving Star, which in December 2011 TechCrunch called the "Groupon of Groceries." The two are well on theirway to creating a formidable business that will revolutionize how consumers save money through a network of 24,000grocery and drug stores nationwide.Its well documented that college dropouts create great businesses (Facebook, Microsoft, and Dell, to name just a few). Butdata also shows that age and entrepreneurial success arent tied. The Founders Institute released research last year thatshows that being older increases the likelihood of success. They theorize that the "combination of successful projectcompletion skills with real world experience helps older entrepreneurs identify and address more realistic businessopportunities."The Kauffman Foundation reports that the Great Recession of a few years ago drove more people to start their own businessthan any time in the past 15 years. And the fastest-growing group of business starters? Old fogies like me (those who areolder than 35)!7. Do it todayYou can try to pick the best time to start a business. When you are old, young, rich, poor, fat, thin, with hair or balding. But anyattempt to do so wont make you more or less likely to succeed. Entrepreneurs come in all sizes, shapes, ages and colors. And,believe it or not, our country doesnt have a monopoly on business creation.Great businesses have been created in times of prosperity. Great businesses have been started when we the country wasfacing its darkest hours and the entrepreneur was at her lowest low.If youre reading this story, youre interested in starting your own business. And if you are reading to the end (yes, you! Imtalking about you!), youre about to jump and seriously consider it. Why else would you read 1,500 words about a topic youwerent passionate about?So let me make it simple for you—the best time to start a business is TODAY. Not tomorrow. Not in two weeks. Not after youget promoted, pregnant, married, or your MBA. TODAY! Youre not getting any younger. Your life is not getting any simpler.See that cliff in front of you that youre scared to go over? Run up to it once again. But this time, actually jump. What you willfind below is the life you wanted to live and all you need to do is get over the fear thats keeping you back.To see more about how I decided to start my first company rather than take a job, and how fear is getting in your way, checkout my talk from late last year.War! The Fight For The Future Of Advertisingby Matt Straz, Monday, February 13, 2012 11:07 AMThere is a war taking place in advertising, one that will determine what the industry will look like for years to come. Thisbattle is being waged on multiple fronts, but the outcome will be based on one question: What technology will marketers useto create, target, deliver and measure their ads? The winning software will make its makers rich and powerful. The losers willfade into history. Everyone else in advertising will be inexorably linked to the technology that wins, perhaps for generations.The coming ad technology revolution will create efficiencies at such a scale that it will remake whole parts of the advertisinglandscape. For example, some of the independent data management platforms are attempting implicitly to make mediaagencies obsolete. Some believe that all of the “middle-men” -- agencies, ad networks, etc. -- will be made redundant oncethe technology platforms are in place. These absolutists see their software, used by marketers and publishers alike, replacingthe need for agencies.They also claim that the signs of this future are already here. Marketers are becoming quite sophisticated when it comes todata and software, and how could they not? Once you cut your teeth on self-serve ad-buying platforms like Google andFacebook, it’s impossible not to adopt a more technological approach to marketing. And a few marketers -- retailers, inparticular -- appear to be bringing some marketing activities in-house thanks to software.The war extends inside the walls of the marketers themselves. Companies like Microsoft have recently cut hundreds oftraditional marketers from their ranks as they put data-driven product teams in charge of marketing.The media agencies aren’t taking any of this lying down. After years of letting ad networks do some of their grunt work --planning and buying ads from thousands of Web sites using a potent mix of people and software -- they’ve decided to getinto the game. Most of the major agencies now operate trading desks with software that allows them to buy online ads inBabelfish Articles Jan-Apr 2012 Page 133
  • real time. As with Google pay-per-click campaigns in the previous decade, the trading desks are a training ground, readyingthe ad industry’s next generation for a time when most media will be bought via software rather than through handshakesand insertion orders.The biggest battle for the future of advertising right now is in television. Media agencies are loath to implement anytechnology that might cut them out of the lucrative business of planning and buying TV ads. This is why they have thwartedattempts by companies like Google to get into the TV ad business. The technology companies, on the other hand, argue thattelevision buying needs to be modernized with online-like targeting and frequency capping. They are right, of course, and inexchange they want their own piece of the multibillion-dollar television ad market.Also, MediaOcean, the result of a pending merger of back-office agency software companies Donovan and MediaBank, wantsto build the operating system for advertising. The company positions itself as the anti-Google, an independent softwareplatform that is not in the media business. This enemy of the agencies’ frenemy intends to be Madison Avenue’s ally in thebattle for the future of advertising.Meanwhile, next-generation media companies are launching their own assault on Adland. Facebook’s ad platform has beenwildly successful and turns over a billion dollars every three months. Apple, Twitter and others have also created proprietaryad systems. With the proliferation of platforms, it would be ironic if the old-line media agencies, with their extensive ad opsand analytics expertise, emerge from the war in power.The pacifists in the ad war, the creatives, will eventually be drawn into the battle whether they like it or not. New cloud-based platforms that optimize the production of ads are now within reach. Agencies will have to decide if these systems arefriend or foe, reducing billable hours for production work, but freeing up creatives to do what they do best: producing contentand telling great stories for brands. But the big creative shops don’t have much choice. If they don’t adopt the tools, someoneelse will jump in and seize the software. Technology is relentless.While the outcome of the war has yet to be determined, we do know one thing right now: Software will irrevocably changethe current landscape and usher in a new age of advertising.Read more: Reasons to Integrate Your Digital Marketing TacticsJeff Lerner | February 14,It might not have seemed like it then, but marketing used to be a breeze. Throw up a billboard, write up an ad for the weeklynews magazine, and maybe send out a direct mailing when the mood struck. OK, maybe Im oversimplifying the past a bit, butyou understand my point. When the Internet came along, it brought a myriad of new ways to market your product in asomewhat Wild West-ian effort to - hopefully - reach target customers.With so many digital marketing routes to take, how do you organize your strategies? Whether you keep your digitalmarketing strategists in-house or outsource the work, youll face two choices. One, you treat your marketing endeavors asseparate worlds. Someone (or some agency) handles your SEM, another your public relations, another your social media, andmaybe another your search engine optimization (SEO). Your other option is integration, and this is what most companiesshould strive for. You should have one digital marketing plan that encompasses all of the marketing tactics (PR, SEO, etc) thatyou want to test, and not a different, disconnected plan for each.Whether youre integrating in-house or hiring an agency that can keep all your digital marketing activities in sync, youll soonrealize there are some major benefits to taking this approach. Here are three:1. Integrating Can Bring Out Your Core MessageSEO. SEM. PR. Social media. If youre a company that doesnt handle these foundations of digital marketing in-house, its verypossible youve got two or three outside agencies laser-focused on their respective area of expertise. Your SEM agency willdo whatever it takes to get you the most whitepaper downloads, for example, while your PR agency fights tooth and nail toget your CEO an interview in Forbes. These two agencies, more often than not, are never in contact and probably dont carewhat the other is doing (or what messaging conclusions theyve learned about your brand along the way).Often, youll find what works in one medium can be adapted to your advantage elsewhere. Moreover, integration allowsmarketing tactics to combine in ways they might not otherwise; for example, using a pay-per-click advertising campaign tohelp promote a viral video, or using SEO keyword analysis to help craft a press release.2. Integrating Can Give You ClarityNot every marketing platform will work for every company, but companies can often stubbornly stick to strategies they thinkthey need to follow (sometimes for no better reason than because thats what their competition is doing). Putting all digitalmedia under the same microscope - so that the return on investments can be evaluated side-by-side and not in a silo - reallyhelps companies better understand what marketing platforms work best for their brand.If your Google AdWords campaign is attracting new leads for pennies a day while your PR campaign struggles to generatebuzz or website visits, companies must re-balance their marketing spend. Too many companies are blindly saying, "Wellspend $10,000 on an SEM agency, $15,000 on a social media agency, and $12,000 for a PR agency." You should not look at thesemerely as line items. Rather, by integrating these three, and instead saying there is a $37,000 budget for all of marketing,youve made the different marketing strategies more malleable.Digital marketing isnt like print ads, billboards, or Super Bowl spots where spending is rigid and concrete (and where yougenerally have a better idea of what youre getting, in terms of penetration volume). Digital marketing is much easier toexperiment with, from a budget perspective, if everything is integrated.3. Integrating Can Save You MoneyBabelfish Articles Jan-Apr 2012 Page 134
  • This mostly applies to companies that outsource their PR, SEO, SEM and such, but having all of those managed under the sameroof, by the same team (assuming the capability of doing so), can drastically cut costs.So go ahead and connect the dots between your previously disparate digital marketing undertakings - youll find that thewhole will be greater than the sum of the parts.Database Marketing, Social Media Converge for Retail BrandsFrancis Kwok | Tuesday, February 14, 2012Europes sovereign debt crisis is forecast to result in a "not-so-good" economy. This worrying outlook has driven more andmore retailers in Europe and China to focus on retaining businesses through their existing customer database and socialnetworks. Given a diminishing amount of marketing budget, the biggest question for marketers in 2012 is how to make themost out of it while reaching ROI expectations.Increase Competitiveness by Adopting an Online Business ModelIn fact, many large scale retailers such as grocery stores and supermarket chains in North America, Europe, as well as China(VANCL, Moonbasa, Taobao Mall, Jingdong Mall) have adopted the robust online business model and have resulted in greatsuccess within these few years. Many successful stories are found. For example in the United States, many Canadian shoppershave changed their shopping habits ordering from Canadian websites to U.S. retail websites. Either due to the internationalshipping services or the attractive currency exchange rates, an increasing number of Canadian shoppers are purchasing fromretailers in the United States. According to the online consumption of 2011, it showed that Canadian consumers are spendingmore on foreign e-commerce than local ones.It is known that thousands of mainland Chinese people visit retail stores andshop for luxury brands in Hong Kong every day, and marketers are aware of the leading business opportunities. Consideringthe Chinese consumers could only buy so much at each visit, Hong Kong retail stores could possibly provide a cross regionsuch as international shipping services on the digital platform. This way, customers from other countries could engage intransactions at any time.Establish a Database Marketing StrategyThat strategy should include: build a database, retain loyal customers, and optimize word-of-mouth strategies.In China, both offline and online retail stores allow customers to enjoy an easy shopping experience without the hassle ofresearching different brands.However, with this convenience in mind, it has been more difficult for marketers to retain customers and to gain their loyaltybecause of the fierce competition surrounding various brands.External factors such as promotional activities and sales will only attract customers to an extent. Launching promotionalcampaigns on various social media platforms contributes to customer database acquisition. It cannot be more attractive togive out their contact in exchange for discount offerings. Not only do these campaigns update and clean the database, theyalso help to gather information that is essential for successful email campaigns. At the same time, customer relationships aremaintained, and a loyal customer base is also established.Selecting the Most Appropriate Social MediaSince social media has been being adopted in marketing practices, many Chinese marketers have questioned whether or notthe social media channels would replace email marketing. In fact, this convergence is giving marketers greater opportunitiesto grow their business in a more affordable way. The lines between email marketing and social media marketing will continueto blur. Certainly, the two channels could combine and deliver an improved ROI when employed in conjunction. While eDMsenable businesses to make the messages known, social media ensure that the messages spread and expand reach.For example, based on Nielsen data, one out of every four minutes is spent online in the United States. Social media isregarded as one of the most popular online activities. It has become part of consumers lives as opposed to just a source ofentertainment. While Facebook remained the top social media network in Hong Kong, Google+ has successfully entered thesocial media fray and becoming widely used in Hong Kong as well. Marketers will have better control over the keyperformance indicators (KPIs) by gaining easier accesses to measurement tools and analytics.In 2012, we expect that integrated marketing tactics will become more sophisticated in China and Hong Kong. With the rise inprominence of email, social media, mobile, and viral marketing, marketers will continue to embrace a more multi-channelapproach and integrate numbers of digital channels to satisfy customers while improving ROI.Social Business In Action: Field NotesBabelfish Articles Jan-Apr 2012 Page 135
  • I just finished up participating in one of our events for Social Media Week, a global conference taking place in several majorcities around the world. Our panel moderated by colleague Robin Hamman included Euen Semple who previously ran socialefforts at the BBC and Vincent Boon from Giff Gaff, while its still fresh on my mind, I wanted to jot down a few key thoughts:Social Business Is About Applying Purpose & Intent At ScaleThe above diagram is something I started off with and an attempt to describe social business in one visual. At its core, itsabout connecting stakeholders who are critical to the success of your business. And as Ive stressed before—its aboutexecuting initiatives leveraging the "3 Ps"—People, Process & Platforms. I stressed starting with people.Social From The Inside OutEuen said the following:"Theres no point aspiring to be 2.0 outside the firewall when you are still operating at 1.0"While I would not go as far as to say theres no point, (an organization can learn from external initiatives) I concede thatEuens point is well taken as so many organizations dont internalize social behaviors externally. If you cant walk the walk,how can you talk the talk?Members OnlyVincent stressed that Giff Gaff customers are viewed as "members" and I simply loved this perspective. It is exactly in linewith how "social" has altered our behaviors. Marketing departments always viewed their target as "consumers" but thinking ofthem as members and co-creators is a really nice way to acknowledge how empowered they are and how this can benefitthemselves as well as the business.Shiny Objects Be DamnedAs I write this, Im looking at a leaderboard created for Social Media Week London which uses Kred to rank "movers & shakers"AKA individuals creating noise this week at the events. Its clever but also a distraction. I referenced some of the effortsVerizon takes to include feedback into their services via forums—as well as levering experts who actively produce contentand engage. Often times a social business is one that doesnt attract the most attention, but generates results. Beware thebright and shiny objects that capture attention but dont deliver long term value.Redes sociais para investidores lutam para ganhar espaçoPor Bruna Cortez | De São PauloRodrigo Terni, executivo-chefe da Meivox: "As pessoas querem encontrar outros usuários e comparar as estratégias"Sucesso entre investidores do mercado de capitais no exterior, principalmente nos Estados Unidos, onde parte da populaçãoestá habituada a trabalhar com capital de risco, o modelo de rede social para a área financeira começa a lutar por maisespaço no Brasil. O número de redes com esse perfil no país ainda é baixo, mas a expectativa é que a procura por esse tipo desite de relacionamento aumente à medida que mais pessoas façam investimentos nas bolsas de valores.Lançada no começo deste mês, a Meivox é uma das redes sociais para investidores desenvolvidas no Brasil. No site - criadopelos empresários Fernando Terni (ex-executivo da Nokia e da Schincariol), Fábio Schaffer e Rafael Lee - em vez de fotos oucomentários sobre o dia a dia, o objetivo é que os usuários divulguem negociações de ações. A partir dessas informações, aMeivox elabora rankings das ações mais negociadas pelos integrantes da rede e também dos usuários que tiveram melhordesempenho.Apesar de relatar as operações em bolsa, os usuários da rede social não precisam informar os valores investidos. O que apessoa faz na rede social também não está, necessariamente, associado ao "mundo real". Para registrar a compra de uma açãono site, por exemplo, não é preciso ter comprado de fato aquele ativo, basta a simulação.Babelfish Articles Jan-Apr 2012 Page 136
  • A estratégia do site é ter gráficos convencionais sobre os principais índices de ações associados aos rankings elaborados apartir de informações dos usuários. "É uma mistura da análise tradicional de mercado com o sentimento dentro da rede social",afirma Rodrigo Terni, executivo-chefe da Meivox. O investimento inicial para criação do site foi de R$ 500 mil.Mas por que alguém bem-sucedido no mercado de capitais teria interesse em divulgar sua estratégia em uma rede social?Segundo Terni, mesmo quem já é veterano no mercado financeiro gosta de ter uma segunda opinião. "As pessoas queremencontrar outros usuários e comparar as estratégias", diz. O uso da Meivox é gratuito, mas, futuramente, quem quiser recebero sinal da Bovespa em tempo real terá de pagar entre R$ 25 e R$ 35 por mês.Uma das redes sociais com que a Meivox terá de disputar usuários é a Tapix, lançada em setembro de 2011. Ao contrário daMeivox, que é mais parecida com o Facebook, a Tapix foi desenvolvida com base no conceito de microblog e tem um perfilmais próximo do Twitter.Um dos maiores desafios da rede social para investidores é firmar parcerias com as corretoras de valores para conseguir maisusuários. "Elas tentam manter os clientes dentro dos fóruns privados", explica Marcelo Mayworm, fundador da Tapix eengenheiro de softwares da Bolsa de Valores de Nova York. A Tapix não cobra mensalidade dos usuários. Atualmente, a maiorparte da receita vem de publicidade, mas o site tem planos de criar outras fontes de recursos. "Queremos que profissionaiscadastrados na CVM [Comissão de Valores Mobiliários] passem a vender análises e relatórios através da rede social", explicaMayworm. Nesse caso, os profissionais terão de repassar para o site cerca de 5% do valor recebido.Já no caso da Guiainvest, a opção foi por reunir elementos do Facebook e do Twitter. "Pegamos o que era bom em cada umdeles e o que fazia sentido para uma rede social de investidores", explica André Fogaça, sócio-fundador do site. Na Guiainvest,cada ação negociada na Bovespa tem uma página e, "seguindo" o perfil do ativo, é possível receber todas as informaçõespublicadas referentes a ele. A receita da Guiainvest é baseada em publicidade, mas a rede social também tem uma parceriacom a XP Corretora e ganha um percentual sobre a venda de produtos financeiros, como carteira de ações e fundos deinvestimento.Become More Optimistic: 6 Smart TricksTo acquire a more positive attitude, all you really need is a more powerful vocabulary. Try these linguistic shifts.By Geoffrey James | Feb 13, 2012Some people see the world through a filter of optimism: They always make lemonade from the lemons, no matter whathappens. Others see the world through a filter of pessimism; they always find the cloud in the silver lining.Its a truism of life that the optimists are always more successful than the pessimists, but that raises a crucial questions: howcan you change your attitude to be more optimistic? The answer? Change the words that you use every day to describe yourexperience.Here are some quick language tricks that can change your attitude.1. Stop using negative phrases ... such as "I cant," "Its impossible," or "This wont work." Such statements program your mind to look for negative results.2. When asked "How are you?" ... respond with "Terrific!" or "Fabulous!" or "Ive never felt better!" rather than a depressing "OK" or "Getting by."3. Stop complaining ... about things over which you have no control—such as the economy, your company, or your customers.4. Stop griping ... about your personal problems and illnesses. What good does it do, other than to depress you and everyone else?5. Substitute neutral words ... for emotionally loaded ones. For example, rather than saying “Im enraged!” say “Im a bit annoyed”—or, better yet, “Ive got a real challenge.”6. Expunge profanity and obscenity ... from your vocabulary. Such words are always signs of a lazy mind that cant think of something really witty to say.Rules 1 through 4 came from Jeff Keller, author of the bestseller Attitude Is Everything. Rule 5 come from Tony Robbins. Rule 6,as it happens, comes from my mother.IP Geolocation Explained: How It Works For AdvertisersMike Blacker Feb 13, 2012ADOTAS - For more than a decade, the use of IP geolocation data has driven many critical functions in the online world such ascontent delivery, language, search results, advertising, fraud detection, compliance and a host of other services. The use ofInternet Protocol (IP) data is widespread in the industry, but certainly not widely understood.Location is the most important signal on the internet beyond search keywords, as the majority of household spend is within afew miles of the home. Determining a user’s location seems like a pretty basic function, but the fundamental infrastructure ofthe internet is not built to easily perform this task. Worldwide networks are built to identify when a device is plugged intothe network, but not necessarily where the device is located. As a result, early publishers and search engines did not knowwhere a user was located. In the mid 1990s, several companies began using the IP address as a proxy for user location andbegan to aggregate, analyze and provide IP geolocation data to the marketplace for various uses.An IP address is a numerical label assigned to devices participating in a computer network. There are approximately 3.5 billionroutable IP addresses worldwide. Various registries around the world provide public access to basic IP data, but do not specifyor guarantee the accuracy or security of those IP address allocations. IP geolocation data is generally accurate to the metroarea or approximately 25- to 50-mile radius in the United States and Europe. The accuracy varies greatly depending on theprocesses of the IP data provider, the country and network type.Babelfish Articles Jan-Apr 2012 Page 137
  • The most basic form of IP geolocation data is simply scraping the public registries, aggregating the data and selling it to themarketplace. This method is acceptable for non-critical functions like content delivery or marketing, but without furtherrefinement, the data are oftentimes unreliable for more precise needs like security, fraud detection and compliance.To more accurately decipher the use and allocation of IP addresses around the world, some IP geolocation companies havedeveloped their own proprietary technology. These sophisticated platforms analyze the publicly available IP data but alsoprovide additional computer learning and human touch to drive higher accuracy for critical processes like fraud detection,regulatory compliance, security and, increasingly, marketing campaigns. With limited geographic accuracy, many companiesare working to further refine IP data and drill down to the neighborhood or ZIP plus four level of accuracy.Geolocation is not the only benefit of IP data. There are many other parameters associated with an IP address that can bevery useful for marketers, security, analytics and much more. An IP address provides a useful window into the technographicsof the carrier in which the IP address is associated, the connection speed, the connection type, domain, registeringorganization and more. All of these data points are useful and valuable in various ways, depending on the use case and need.IP data is privacy safe. An IP address provides a window into certain aspects of a user connection, but does not ever allow forthe identification of an individual user or their behavioral patterns. Unlike a cookie, the IP data does not store userinformation, but simply provides generic data attributes related to that connection.IP geolocation is an essential tool for online advertisers to ensure that only the most relevant ads are served to consumers,and that the correct currency and language are relevant to a user when a website is accessed. It allows marketers to thinklocally and personalize content, advertisements, local news or local search results in a scalable and measurable way.As consumers continue to increase their time spent online, CMOs are shifting their marketing budgets from traditional displayand print media to online advertising. In fact, a recent eMarketer study found that in just the U.S. alone, online advertising willincrease to $49.5 billion by 2015, as a result of new platforms and opportunities for growth. With these new online advertisingchannels, it’s becoming even more critical to create brand loyalty and further consumer engagement. As IP data providerscontinue to refine the accuracy of IP geolocation data, advertisers will be able to more effectively target at the local orneighborhood level and precisely target by desired demographics.BlueKai Report Explains DMPs To PublishersBrian LaRue Feb 10, 2012ADOTAS - BlueKai released a report this week on the value of data management platforms for publishers, aiming to explainhow exactly a DMP manages data, and how it can provide insights that might grow audiences and increase ad revenue. In theprocess of explaining the functions of a DMP to publishers, the report starts out by differentiating what a DMP does fromwhat other platforms that work with publishers can do. “Currently, many publishers rely on SSPs to manage multiple indirectsales channels for their inventory in a real-time bidding environment,” the introduction asserts. “While SSPs provide someanalytics about inventory pricing, bids, sales, and performance, they have not developed significant capabilities for first partydata ingestion and management.” And that’s where a DMP comes in, the report says — by leveraging a huge amount of data,both first-party data from the publisher and third-party data, a DMP can provide real-time analysis that allows publishers tosegment ad inventory, define target audiences and work in accordance with DSPs, SSPs, ad exchanges and ad networks. Inshort, the report explains a DMP can centralize the audiences of all a publisher’s properties throughout the web in one space,use insights about that centralized audience to present a richer proposal to exchanges and media buyers, and (via mediabuyers) extend its audience across several websites or content categories or among media partners. It also explains what apublisher should look for in a DMP — which can be helpful, seeing as this stuff can get fairly heady and technical.In an email exchange, BlueKai senior vice president of strategic partnerships Wayne Thorsen acknowledged that a DMP mightnot be part of a publisher’s daily thought process, it can provide solutions to things publishers do think about often. “Whilepublishers may not be thinking specifically about ‘data management,’” he said, “they are thinking every day aboutunderstanding who is coming to their website, what they are doing once they get there, and increasing engagement, adrevenues and yield from their audience.” He pointed out benefits of finding out what permitted third parties know about apublisher’s audience and the ability to use all this data to optimize an audience’s actions, whether the goal is customerconversion, registration or simply continuing to move from one article to the next. And while a publisher might be disinclinedto work with one more type of company in a fragmented online arena, Thorsen underlined the idea with a DMP is “not aboutworking with one more company, but having an agnostic platform that helps them make smarter business choices andimprove the value exchange from any partnership that the publisher enters into.“I think for publishers, the frustration of working with multiple companies comes with the fear of losing control, or that any ofthem have the publisher’s best interest in mind,” Thorsen said. “A DMP allows publishers to gain a better sense of thetruevalue of their audience assets that is not dictated by someone else. ”The Evolution of Online-User DataJANUARY 10, 2012 by Ed Busby,The gathering of online-user data is among the most exciting and controversial business issues of our time. It often brings upconcerns about privacy, but it also presents extraordinary opportunities for personalized, one-to-one advertising. This articleis the first in a series exploring the importance of personal data across different industries. It represents a joint effort of TheBoston Consulting Group, Goldman Sachs, and BlueKai.The Importance of User DataBabelfish Articles Jan-Apr 2012 Page 138
  • The basic appeal is straightforward: the more a company knows about someone, the easier it should be to target relevant adsto that person. All the stakeholders in the digital-advertising ecosystem—from Google to ad networks to Expedia—arecollecting as much information as possible about what their users are doing online.Over the past five years, we have seen the development of a robust secondary market allowing the buying and selling ofuser profiles. If someone goes to a travel site to book a room in a Tokyo hotel, for instance, that site can then sell the user’sprofile to an ad network via a user data exchange or an aggregator. The next time the user visits a website served by thatnetwork, an ad for the Tokyo Hilton might appear.There are several underlying supply, that is, advertiser, trends that have driven interest in building these profiles: A Shift in Campaign Strategies. Advertisers are increasingly moving away from campaigns based on cost-per-thousand data (the cost of reaching 1,000 page views) and toward cost-per-click or cost-per-action strategies, in which advertisers pay only when a qualifying action, such as a purchase or registration, takes place. Ad networks and agencies leverage user data to more effectively target ads in hopes of improving click-through rates, that is, how often a user clicks on an advertisement. Growth of Rich-Media Advertising. Video ads and other types of rich-media advertising—which are more interactive and technically complex than text ads—have grown in popularity. Their high cost makes precise targeting crucial. The Shift to Ad Exchanges. The purchase of advertising inventory is shifting from networks to real-time bidding on ad exchanges. Advertisers are increasingly incorporating user data to target the ads traded on these exchanges. BCG estimates that the share of online display purchased on exchanges will increase from approximately 15 percent today to 35 to 40 percent by 2015, further accelerating the growth of user data.Demand-side, that is, publisher, trends are also driving user data growth: Advances in Tracking and Analytical Technology. It is easier than ever to track Web users with a variety of techniques such as cookies and Web beacons or tags—methods for revealing who is reading a Web page or an e-mail, when, and on what computer. Advances in analytical techniques have also increased the value of the data collected. Financial Pressures on Publishers. Many of these publishers are under pressure from their investors to increase the top line. The sale of user data is an easy way to quickly monetize assets, particularly for subscale content companies that cannot take full advantage of the data themselves. Growth of Data Intermediaries. Over the past five years, an ecosystem has emerged to help connect publishers with advertisers, simplifying the process of buying, selling, analyzing, and managing user data from multiple sources.At the same time, there are several trends that could hamper the growth of this market: The effect of spending shifts to Facebook and other “closed” publishers, which have their own rich sets of proprietary data Concerns about accuracy, such as when the same cookie is identified as coming from a female user by one provider and a male user by another—a common occurrence when computers are shared The proliferation of low-cost remnant inventory, that is, unsold advertising space or time available to media companies for last-minute purchase A reluctance to share personally identifiable information because of the threat of regulation and the risk of public backlashDespite these concerns, we believe that demand for user data will continue to play an important role in the online-advertising ecosystem.Types of Data CollectedWe classify user data first on the basis of how the data are obtained. There are three broad classifications of obtainment:opt-in, or volunteered, data; observed data (first and third party); and inferred data.Opt-in data, the information users voluntarily provide to publishers when they sign up for services, is the data type of whichusers are most aware. Sometimes this information is simply an e-mail address, but it might also include an array ofdemographic information.First-party observed data are gathered as users surf the Web. Third-party observed data come from the same sources, butcompanies purchase this information from other websites that have done the collecting.Inferred data are assumptions that third-party ad networks and agencies make on the basis of observed data combined withopt-in data. For example, if a user is frequently logging on to a college textbook exchange and the website for Cosmopolitan,it is reasonable to assume that the person is a college-age female student. Such inferences are notoriously unreliable,however, especially because the data often come from shared computers.Opt-in and first-party observed data are the most critical of these data types. They are by far the most reliable, but moreimportant, they can serve as a Rosetta stone when mapped to other, less reliable third-party data to create a more accuratepicture of users.The second way we classify data is according to the nature of the information itself. We break this down into five categories: Demographic Data. This includes such information as age, gender, and income and is often at the core of companies’ consumer segmentations. Demographic data can be either volunteered or inferred. Behavioral or Contextual Data. These include a user’s interests and attitudes and can be either volunteered or observed based on the type of content consumed or the cookies that track where a computer has gone online. Linking behavioral data to actual purchase intention is difficult; ad networks often need to piece together multiple fragments of information to have a meaningful impact on advertising effectiveness. Purchase Intention Data. This information more directly measures a person’s plans to make a specific purchase. It can be volunteered (such as on a lead generation site, where users fill out a contact form, for instance, to learn more about aBabelfish Articles Jan-Apr 2012 Page 139
  • product); it can be observed, based on actual searches; or it can be inferred, based on past purchases. “Retargeters”— companies that track the products a user looks at but does not buy, such as a pair of shoes on Zappos—have had some success with this type of information by presenting the user with a display ad for the same shoes hours or even days later. Social Data. These describe the relationships a person has with other people. From a marketing perspective, social data assume that people who are connected on the Internet have similar attributes or purchase intentions. Such information can be volunteered either through sites such as Facebook or through such interactions as sending someone a newspaper article. User Location Data. Marketers are able to identify location using a variety of approaches. This information has historically been gathered based either on the user’s IP address or the sites a user visits. (Someone viewing The Sacramento Bee online is assumed to live near Sacramento, for example.) Interpreting IP address location has become more accurate since the old dial-up days, though it is still difficult. Mobile Internet promises not only to improve accuracy but also to provide user location precisely enough that companies can know when users are shopping and send them coupons that they can use right away.No single data type can promise perfect targeting. Most marketers make use of several sources to be effective, improvingclick-through rates by anywhere from 2 to 8 times, depending on the quality of the data. The challenge is that these click-through rates start at a low base.The Marketpla