Lotus 4: Digital Marketing  ||  4th December 2009 Agnis Stibe: “Digital + Marketing”
A Thought <ul><li>Personal development  and overall  progression </li></ul><ul><li>is not so much about  the given opportu...
The Present & Future of  A Compilation of materials from various sources © 2008 Bates141 Digital  +  Marketing 04.12.2009....
Definitions <ul><li>Digital Marketing  is the  promoting of brands  using the  Internet ,  mobile  and other  interactive ...
Agenda <ul><li>The Past </li></ul><ul><ul><li>Where have we been? </li></ul></ul><ul><ul><li>The survivors </li></ul></ul>...
The Past:  DotCom Madness What happened? Who survived? © 2008 Bates141
So, What Was Marketing 1.0? Brochureware  dot.com About Us TV SPAM Directories Radio Pop-ups Contact Us Flash Animations P...
Web 1.0: The Highs & Lows <ul><li>1986: Internet formed </li></ul><ul><li>1990: iMdb launches in Usenet </li></ul><ul><li>...
© 2008 Bates141
What was Web 1.0? <ul><li>“ Read Only” </li></ul><ul><li>= Brochure-ware </li></ul>
What was Mobile 1.0? <ul><li>Talk + Text </li></ul><ul><li>= Mobile  Phones </li></ul>
What was the Social Grid 1.0? <ul><li>6 degrees of separation </li></ul><ul><li>= You’re in my contact list </li></ul>© 20...
What was Advertising 1.0? <ul><li>Links + Listings + Banners +  Pop-ups + Buttons + Spam </li></ul><ul><li>= Ad Nauseum + ...
What was Shopping 1.0? <ul><li>Limited Interactivity </li></ul><ul><li>= eCatalog eCommerce </li></ul>reality perception
Roadkill on the  Information Superhighway © 2008 Bates141
Info Superhighway Roadkill
The Survivors
Lessons Learned <ul><li>Start with a  Business Model </li></ul><ul><li>And then a  A Business Plan   </li></ul><ul><li>Ord...
The Present: Digital Marketing2.0 What’s Happening? Who’s Thriving? © 2008 Bates141
So, What’s Marketing 2.0? user-generated wireless Social networks iPTV WIKI blogs playlists mash-ups AI integration POS AJ...
Web 2.0: The Highs & Lows <ul><li>2000: Google launches keyword advertising </li></ul><ul><li>2001: Wikipedia </li></ul><u...
What’s Web 2.0? <ul><li>“ Read/Write” </li></ul><ul><li>= The Customer Strikes Back </li></ul>
What’s Mobile 2.0? <ul><li>Talk + Text + Web + Media + Apps </li></ul><ul><li>= Mobile  Devices </li></ul>
What’s the Social Grid 2.0? <ul><li>one degree of separation </li></ul><ul><li>= We’re all just a click away </li></ul>
What’s Advertising 2.0? <ul><li>Contextual & Behavioural Targeting </li></ul><ul><li>= Ad Relevance </li></ul>
What’s Shopping 2.0? <ul><li>Customer Ratings, Reviews & Recommendations </li></ul><ul><li>= weCommerce </li></ul>
The Code of the Road <ul><li>QUALITY  People want cool stuff </li></ul><ul><li>ACCESS   Make it easy to find OPENNESS Don’...
The Thrivers
Enough Already <ul><li>The 2.0 World is changing the way we do everything! </li></ul>Interact  Bank Learn Travel Shop Eval...
Lessons Learned <ul><li>The customer  is  always right </li></ul><ul><li>Your customers  are  your brand </li></ul><ul><li...
Digital Marketing Media <ul><li>Short Message Service (SMS) </li></ul><ul><li>Really Simple Syndication (RSS) </li></ul><u...
Top DM channels in 2009 <ul><li>Blogging (34%) </li></ul><ul><li>Microblogging (Twitter) (29%) </li></ul><ul><li>Search en...
Social Media Observations <ul><li>300,000 businesses have a presence on Facebook </li></ul><ul><li>Gary Vaynerchuk grew hi...
Twitter - Expected <ul><li>USA Twitter share is ranked number one with 62% </li></ul><ul><li>Most of the largest cities th...
Twitter - Surprising <ul><li>Australia’s share is 4th on the list with  nearly 3% despite having a population of  only  ju...
Twitter - Summary <ul><li>You will live in the US </li></ul><ul><li>Be a Woman </li></ul><ul><li>Hate shopping online… wha...
The Future: Marketing 3.0 Where’s it going? Who’s driving? © 2008 Bates141
Marketing 3.0? ?
Web 3.0? <ul><li>“ Read/Write/Execute” </li></ul><ul><li>= The Customer Customizes </li></ul>
Mobile 3.0? <ul><li>The whole world in my hands </li></ul><ul><li>= My Device is   Me </li></ul>© 2008 Bates141
the Social Grid 3.0? <ul><li>zero degrees of separation </li></ul><ul><li>= I’m the centre of my universe </li></ul>© 2008...
Advertising 3.0? <ul><li>Personal Targeting </li></ul><ul><li>= I am my media </li></ul>© 2008 Bates141
Shopping 3.0? <ul><li>Preferential Personal Purchasing Power </li></ul><ul><li>= meCommerce </li></ul>© 2008 Bates141
The Drivers: Leading the Pack
How to Get Ahead <ul><li>Open </li></ul><ul><li>Invite  </li></ul><ul><li>Listen </li></ul><ul><li>Ask </li></ul><ul><li>R...
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Agnis Stibe: D+M


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Presentation by Agnis Stibe in conference "Lotus 4: Digital marketing" organized by AIESEC Riga. December 4th 2009.

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  • Here’s a sample of one of the very first Web pages in “Mosaic” the first graphical browser on the web. It’s a great example of what happens when you let engineers do graphic design. Note that grey was the default page colour. Also a great example of what happens when you let engineers do interface design.
  • Web 1.0: The conversation was all one-way: from brand to consumer. You could read what they wanted you to read. And click where they wanted you to click. They weren’t really interested in what you had to say. Oh sure, you could respond: via a “contact us” form, or via email… a sure way to get on a spam list. Apart from purchasing products and populating their databases, real, meaningful interactions were limited. User feedback was hidden and horded. Heaven forbid that someone might say something nasty about the brand.
  • Remember the brick? Car-phones? Pagers? For the most part, mobile phones with less than 3G are good for talking and texting only. Sure, some can take pics and play MP3s and videos and other stuff. But interaction with that enormous pool of people, and data and apps and interactions out there is pretty limited. We are talking largely about a device that is still very much a PHONE
  • It was not so long ago that we all carried around little black books With a big black book as back-up at home. And a rolodex at the office. Remember when the Filofax was the ultimate multi-application device? The must-have for the business person on the go. Contacts were analog. Handwritten. Filed alphabetically. Stored in one location. Committed to memory. How many of you know your wife or husbands phone number by heart? Even with the advent of Palm Pilots, Email contact lists and mobile contact lists, they were glorified rolodexes. Interrelationships were not taken into account. You cold be a friend, family or colleague, but only one of these. Having one person’s name on your list did not guarantee visibility or access to their contacts. Perish the thought! Even that seemed like a gross invasion of privacy. Heaven forbid that you expose such things as your favourite movies or singers to friends or strangers.
  • Here’s a example of what is considered the first web banner ever: October 25, 1994. The site: HotWired The client: AT&amp;T The offer: Who knows? Who cares? The dimensions: 468x60. Why, because that was the amount of space available at the top of their page. And this is still the default size for web banners the world over! So once the threshold was soiled, what did the advertising industry stampede though our living rooms? Well, blinking banners, vibrating banners, animated banners… and finally interactive banners. And don’t forget buttons, and pop-ups and pop-unders and interstitials and superstitials and…. SPAM!!! IT didn’t take long for people to realise that digital marketing1.0 was cheap…but that was because returns were low. So the way to counter low returns was high volume via high frequency and high penetration. Remember that thing you used to do at school? If you stare long enough at the back of someone’s head, they’ll eventually turn around. Well it doesn’t actually work… but you can convince yourself it does if you get enough false positives. Search Marketing as we know it today did not exist. You could certainly pay for links and listings and even for high positions on listings… That was pretty much the Yahoo model. Contextual advertising did not exist
  • Probably more that anything else, eCommerce was THE overhyped promise of dotcom. Hundreds of failed attempts were testament to that. The two notably exceptions, Amazon and ebay were given the kiss of death every day by market analysts. Failure was usually the result of: Real: Limited product offerings (too narrow) Poor product delivery Poor inventory integration Poor integration between online and offline marketing Irate real-world channel partners Dodgy payment gateways Virtual: Poor user experience (search, see, order) Poor usability Complications integrating real world inventory and distribution with online applications Also, people just weren’t ready to: Relinquish credit card details Buy a product sight unseen
  • Kozmo.com: a venture-capital-driven online company that promised free one-hour delivery of anything from DVD rentals to Starbucks coffee in the US. It was founded by young investment bankers Joseph Park and Yong Kang in March 1998 in New York City. The Business model promised delivery of small goods free of charge, using bicycle messengers. Business analysts pointed out that one-hour point-to-point delivery of small objects is extremely expensive. Kozmo countered that savings due to not needing to rent space for retail stores would exceed the costs of delivery. In July 2000, at the height of its business, the company operated in Atlanta, Chicago, Houston, San Francisco, Seattle, Portland, Boston, New York, Washington, San Diego and Los Angeles. The bad news was that they had to pay Starbucks $150,000,000.00 for this convenience. While popular with college students and young professionals, the company failed soon after the collapse of the dot-com bubble, laying off its staff of 1,100 employees and shutting down in April 2001. Boo.com: a UK Internet company founded by Ernst Malmsten, Kajsa Leander and Patrik Hedelin that famously went bust following the dot-com boom of the late 1990s. Boo.com&apos;s intention was to sell branded fashion wear over the Internet; however, after spending vast sums of its venture capital, it eventually had to liquidate and was placed into receivership on May 18, 2000. The boo.com website was widely criticized as poorly designed for its target audience, going against many usability conventions. The site relied heavily on JavaScript and Flash technology to display pseudo-3D views of wares as well as Miss Boo, a sales-assistant-style avatar. The first publicly released version of the site was fairly hefty—the home page alone was several hundred kilobytes which meant that the vast majority of users had to wait minutes for the site to load. Boo.com&apos;s sales didn&apos;t match expectations, due partly to the very high number of products returned by the customer (a service that was offered for free, but charged for by their logistics supplier Deutsche Post). Poor management and a lack of communication between departments resulted in costs spiraling unchecked—the effectiveness of an eye-catching (and expensive) ad campaign was limited because the website wasn&apos;t ready in time, resulting in curious visitors being greeted with a holding page — and the results were inevitable. Staff and contractors were recruited in large numbers, with a lack of direction and executive decision about how many and what was required Pets.com: a short-lived online business that sold pet accessories and supplies direct to consumers. In January 2000, it aired its first national TVC as a Super Bowl ad costing $1.2M. Why you should shop at an online pet store? &amp;quot;Because Pets Can&apos;t Drive!” Pets.com did make significant investments in infrastructure such as their warehousing; resulting in the company needing a critical mass of customers to break even. They believed that the revenue target was close to $300 million to breakeven and that it would take a minimum of 4 to 5 years to reach that -- based on growth of Internet shopping and the percentage of pet owners that shopped on the Internet. By fall of 2000, and in light of the venture capital situation after the bursting of the dot-com bubble, the Pets.com management and board realized that they would not be able to raise further capital. They aggressively undertook actions to sell the company. PetSmart offered less than the net cash value of the company, and Pets.com&apos;s board turned down that offer. The company announced they were closing their doors on the afternoon of November 6, 2000. Webvan.com: Go.com: a web portal created and operated by the Walt Disney Internet Group, including content from ABC News, ESPN, Movies.com and Familyfun.com. The site originally started in 1995 as a search engine. In 1998, Disney changed Go.com from a search engine into a web portal. Go.com also hosted personal web pages. In early 2000, with visits to the site dropping, Disney announced that the general portal would now focus more on entertainment.
  • Netflix (est. 1997): The online DVD rental company. Combining a long-tail virtual catalog with simple, efficient postal delivery and returns. Business model based on ongoing cash-flow via monthly rental fee. Users encouraged to interact and rate,review and recommend. eBay (est.1995): The virtual marketplace, which uses auctions to let sellers to post items and buyers to bid. Transactions negotiated via PayPal and other respected sources. Business model is to collect a non-refundable insertion fee and a small transaction fee (1-5%) for each sale. They “rent” virtual storefronts to large-volume sellers. Dell (est. 1984): Direct PC and peripheral seller who pioneered built-to-order online sales. Business model sees Dell get payment for the product before it is even assembled…. And aggressive price competition Lastminute.com (est. 1998): Online travel agent offering cut-price deals on flights, hotels etc. Now own by travelocity. Business model based on commissions for selling stale inventory of flights, hotels etc. to impulse buyers. Doubleclick (est. 1996): Online advertising server offering widescale reach. Business model based on service fees for managed/automated (contextual/behavioural) ad placement and reporting… often charging on a per-click basis Amazon (est. 1994): Online etailer of everything from books to DVDs, toys, gadgets and . The original long-tail retailer Business model is based on sales but with a massive virtual inventory. Also, clever contextual and behavioural targeting made them the exemplars of relevant “suggestion” based marketing. Cisco (est. 1984): Maker, installer and maintainer of networking and communications technology. Essentially built the backbone and nerve centre of the Internet. Business model: sales of product and the associated software. Service charges for installation, maintenance, repair and consultation. Also moving towards a “virtualisation” model with distributed software, so ongoing licencing fees for software and service. Paypal (est 2000): An e-commerce business that permits payments and money transfers over the Internet. It serves as an alternative to traditional paper methods such as cheques and money orders. A major facilitator of transactions for online sites such as eBay, Amazon etc. Business Model: fees charged on a per transaction basis. Typically, 3-4%. Yahoo: (est. 1994): Search engine and “everything” portal… the original. Gets 130M unique users a month. Business model: initially paid-for listings, but then advertising: mostly reach advertising but also display and contextual. Rediff.com (est. 1996): Indian news, info, entertainment and shopping portal. Business model: initially advertising, but branching into other areas such as shopping, job search, holiday bookings etc. Internet Explorer (est.1995): Internet browser owned by Microsoft. Won the “battle to the death” cage match with Netscape to become the dominant internet browser in 1999. It’s usage peaked at 95% in 2003. None really. Bundled and sold for free… but by default driving its millions of users to the Microsoft online properties which greatly popularised msn.com, hotmail, live spaces etc.and thus generated huge advertising revenue for Microsoft. Imdb (est. 1990): The internet movie (and TV and video game) database. The go-to site for info on nearly any movie, actor, director or key-grip. Has 17M regular users. Acquired by Amazon in 1998. Bsuiness model: a few “pro” features but mostly advertising due to massive site traffic. Ask (est. 1996): A search engine which began life as Ask Jeeves. Notable as one of the few surviving search engines. Uses a more user-friendly format aimed at answering the question “how do I…?” with contextual hints. Business model: as per Google.
  • Don’t Advertise on the Superbowl… until you’ve done your beta testing More speed, less haste
  • Web 1.0: The conversation was all one-way: from brand to consumer. Now the customer strikes back: Personal opinion EXPLODES over the web. And new opinion leaders emerge. Your opinion matters. My opinion matters. They can create content without knowing HTML: Blogs, Media sharing They can enhance existing content: Comments Ratings &amp; Reviews Rants &amp; Raves Recommendations Tags They can also appropriate content and mash it up with existing apps without programming knowledge : via RSS, APIs and AJAX (I.e. Google Maps, Flickr photos) A copywriter’s point of view is now the least effective and relevant part of the mix.
  • Your Phone is now more than a phone… it’s a device, a mini computer in your palm. It’s all the previous handheld devices rolled into one. It is now connected to the net… and all the information contained therein is at your fingertips. Your camera Your MP3 player Your phone Your address book Your diary and calendar Your gameboy Your web browser Your email client For most people the wonders of digital technology will be first experienced via a mobile phone rather than a computer, game console, digital camera or MP3 player
  • We’re all just a click away. Social networking application has brought us all closer together. Finding old friends and creating new ones has never been easier. And communicating has never been easier. We can: text, chat, message, VoIP, email, join cliques, groups, networks, poke, throw sheep and smear with peanut butter. Or to expose ourselves, lay our lives open: our likes, dislikes, tastes in music, movies, literature, our career paths, education Virtual worlds also means that we can interact within a range of virtual environments: From the Battlefields of Arathi Basin (World of Warcraft) To the nightclubs of Virtual Manchester (Second Life)
  • The target is getting smaller… it’s just the size of one person: YOU And as far as you’re concerned that’s the only relevant target. Contextual Targeting: “a subject of particular interest to you” as revealed by: “ relatedness” to the content you are currently viewing or keywords you search on Related recommendations (i.e. Amazon) and “crowd wisdom” Behavioural Targeting: “a subject you’ve revealed a preference for” as revealed by: A previous (or current) activity such as a search, click, though or purchase “ relatedness” to the activity you are currently doing… or have done It usually runs like this: We know little about you When you hit our site, we observe the pages you click or the searches you make We serve you contextual ads initially --&gt; related to the content your are viewing If you respond to an offer or click a specific link, we start moving into behavioural mode Base on your previous actions (just browsed, almost bought but abandoned, bought, repurchased etc.) we start targeting you behaviourally. If you are in a database for instance, we can observe what emails and offers you respond to. If you show high propensity to click on certain offers, we try more of the same If you don’t we try a more contextual tack until we start getting a response. Think of it like a seduction. If you can find out what your object of desire is into, you ask him/her on a date that is going to get you to the first base. This is contextual. What you then do on that first date in order to get the goodnight kiss and the second date… well that’s purely behavioural.
  • Shopping is now behaving more like a real marketplace. Bad products have nowhere to hide… nor should they. A badly burnt customer has a greater impact on sales than a happy customer. But many happy customers have a huge impact on sales. The more that are merrier, the merrier the marketer. Aggregated or team buying power is also starting to rule… especially in China where factors such as low credit card and internet penetration are the norm. In China it’s called “tuanguo”
  • The thrivers Friendster – an internet social network service Their system collects descriptive data and the relationship data are integrated and processed to reveal the series of social relationship connecting any 2 individuals within a social network. Sina.com.cn—the largest Chinese language infotainment web portal They aim at providing internet services to the Chinese population around the world in every localized website. There are more than 50 integrated channels covering various aspects; news sports finance, fashion etc. Xanga—a website that hosts weblogs, photo-blogs and social networking profiles. Xanga.com is one of the few blog/profile sites that allows the encoding property to work. Thus, their blogs have an infinite number of customizations, and this has led to a sense of uniqueness within the community. Baidu—Chinese search engine that can search websites, audio files and images. It also has an online collaboratively built encyclopedia, and a searchable keyword-based discussion forum. It’s “Baidu 500” is a comprehensive listing of popular Chinese music. Last.FM—UK-based internet radio and music community website, with over 15 million active users over 200 countries. It has the ability to build a detailed profile of each user’s musical taste by recording details of all the songs the user listens to… and thus make recommendations based on preferences of others with shared musical tastes Msn.com(Live Messenger)—A freeware instant messaging client. Its authentication system allows anyone with an email address that is registered as a Windows Live ID to sign in and communicate with other people who are signed into the network. Flickr—A photo sharing website and websites services suite, and an online community platform. It’s popularity has been fueled by its innovative online community tools that allow photos to be tagged and browsed by folksonomic means. Alibaba—A Chinese based e-commerce/auction company, specializing in global B2B trade. Their English-language site focus on business-to-business trades, especially for international buyers trying to get into contact with Chinese sellers. Crunchyroll—The Asian YouTube. A site for users who share similar interests, they’re able to exchange Asian videos or dramas online. There is an online community involved. Uwants—Hong Kong-based online discussion forum. The website is equipped with similar wikipedia search functions, enabling users to find contents with relevance percentage. Itunes—Digital media player application, linked to it’s iTunes Store, introduced by Apple. It can be use for playing, and organizing digital music and video files and synching to your iPod. Additionally, it can be connected to internet to purchase and download digital music, music videos, television shows, games etc. Wikipedia—A free, multilingual, open content encyclopedia. Its articles have been written collaboratively by volunteers around the world, and the vast majority of its articles can be edited by anyone with access to the internet. Now features over 2.2M articles Craigslist—A centralized network of online communities, featuring free classified advertisement (jobs, services) and forums on various topics. It is the alrgest classified advertising system in the world. It makes its money primarily from job listings. Its advertisements are cheap; USD 75/ad for San Francisco Bay Area, USD 25/ad for New York, Los Angeles, San Diego, Boston, Seattle, Washington D.C. Google—The largest search engine, receives several hundred million queries each day. Google not only caches HTML files, but also 13 other file types; PDF, Word document, Excel spreadsheet, Flash SWF, Plain text file etc. Blogger.com—A blog publishing system, one of the earliest dedicated blog-publishing tools. A drag-and-drop template editing interface is being introduced to help less IT-savvy users to create blog. Thus, blogs are updated dynamically, as opposed to rewriting HTML files. Orkut—An internet social network service which is run by google and named after its creator, a Google employee. Unlike Facebook, where a member can view profile details of people only on their network, Orkut allows anyone to visit another’s profile, unless a potential visitor is on your ignore list. Very popular in India, Brazil and Russia. Del.icio.us—A social bookmarking web service for storing, sharing and discovering web bookmarks. A combined view of everyone’s bookmarks with a given tag is available; for instance URL http://del.icio.us/tag/wiki displays all of the most recent links tagged “wiki”. It’s collective nature makes it possible to view bookmarks added by similar minded users. Fairfax Digital—Australia’s leading provider of online news and classified. There are more than 50 newsletters for members to choose from, covering daily breaking news, great shopping deals, business and financial news. Alert email will be sent to your account for any updating of subscribed content. QQ—Most popular free instant messaging computer program in China. The current version of QQ, is to coincide with events such as the Olympics or Chinese New Year, so as to be seen as a hip program that relates itself to the latest events. Youtube—A video sharing website where users can upload, view and share video clips. Youtube’s popularity had led to the creation of many youtube internet celebrities, popular individuals who have attracted much publicity in their home countries (sometimes world renown) due to their videos. Discuss.com—A popular internet forum among Hong Kong’s internet users There is a wide range of forum topics: food, sports, jobs, flights, information, fashion etc. RSS—It is a family of web feed formats used to publish frequently updated content such as blog entries, news headlines or podcasts. RSS makes it possible for its subscribers to keep up with their favourite websites in an automated manner that’s easier than checking them manually. Windows Live—Windows Live account is the website for windows live users to manager their identity and relationship with Windows Live. Information created in windows live account is used throughout the windows live applications; live hotmail, live msn live messenger etc.. Thus, users are saved from the hassle of creating numerous accounts. BoingBoing—A publishing entity, first establish as a magazine, later becoming an award winning group blog. Their “unicorn chaser” concept acts as an antidote to blog postings linking to sites containing disgusting or shocking images. Skype—It allows their users to make telephone calls over the net to other skype users free of charge. For a free, users could also make phone call to landlines and cell phone. Additional features include instant messaging, file transfer, short message service, video conferencing and its ability to circumvent firewalls.
  • You tell me! I hope the rest of the presenters will help form a picture of what this will be and where it will go.
  • In Web3.0 we can read, react and respond. We can make things happen. And I don’t mean like posting videos online or commenting on someone’s facebook picture. But get applications to perform complex functions on our behalf: Noting our search terms, actions, behaviours, interests… Recording what we browse and buy, tracking our preferences. Even incorporating advice from valued sources. Web 3.0 is intelligent searches, informed suggestions, simplified buying, enhanced entertainment Web3.0 promises the “semantic web” where machines can learn to understand the meaning of pieces of text. They can interpret meaning, relevance, and interrelationships. There are no longer random strings of text and numbers. That means that our overall intelligence can increase. The Web won’t be a web… it will be a soup. Devices will run any application You can create your own custom applications like lego. Keyboards, screens and hard-drives will disappear. Storage, processing and distribution will be outsourced.
  • Mobile2.0 saw the emergence of the mobile DEVICE Mobile3.0 will be the mobile ME. It will not just be for calendars, contacts, calculations and capture (of music, videos and photos) It will be me: My memories, My media, My data… My ID, My licence, my passport… My wallet, My credit card, My cash, My bank… My car keys, My house keys… My window to My friends, My family, My colleagues… My books, My zines, My web… My words, My thoughts, My diary… My hopes, My wishes, My dreams… My sense of time, space and direction… My security blanket… My life…
  • Society2.0 brought us all together in one virtual place. Society3.0 puts the individual at the centre of their universe. It’s not just your profile that’s linked and connected. It’s your interactions and transactions. It will be people empowering peopl. You will be able to share finances: lending and borrowing money from a peer network. Micro-finance will extend to personal credit and lending. Your facebook network could finance your mortgage. You’ll be able to share bandwidth and processing power which will be ubiquitous and distributed. Everyone’s power will be your power. Co-creation will take on a new meaning with elaborate, multiple real-time and time-shifted collaborations. Wiki-power will extend to music, literature, filmmaking and art. The power of positivity will be exponentially enabled. Time shifting will give way to “space-shifting” and “face-shifting” as we move virtually from universe to universe, avatar to avatar, persona to persona. The organised individuals will be able to outsource all their work… even their education to others and lead a life of total leisure.
  • Advertising as we know it will cease to exist. Static mass media (fixed location, fixed time-slot) will become niche. Relevancy will rule. Permission will rule. Courtesy will rule. Personal profiling and will become a necessity in order to penetrate our personal firewalls. If you don’t play by my rules I’ll block you. I am my media My prime-time is when I say it is. If you want to reach me you have to know me. I’ll let you in when it suits me. Interactions with brand will become increasingly important: Creating engaging content Providing exceptional experiences My relationship with your brand will be one-to-one.
  • Shopping 3.0 will put the power in the hands of the shopper. I’ll initiate the negotiations. I’ll set my price limits I’ll set my personal preferences. And YOU will bid for my purchase. I’ll get my information from my preferred peers and respected reviewers. I’ll want novelty, personalisation, customisation, orginality.
  • Iphone—The ipod touch is a portable media player designed and marketed by Apple Inc. The ipod touch also has the capability to detect the current and last 10 songs playing in a starbucks café within the vicinity. Veoh—San Diego based company created a unique internet television service that enables open, free personalized television from across the web. Publishers can use their computer to upload videos for distribution. Veoh transcodes the video file so it’s available in the Veoh player, steamed on the publisher’s own website, to portable devices like ipod, psp and on viral video sites. Facebook—A social networking website. Users can join one or more participating networks, such as a school, place of employment, geographic region or social group. Interpersonal communications are easy and a facilitated by a number of means from sharing virtual drinks and playslists to posting videos and playing games. Heavy.com—A broadband entertainment website. Heavy is primarily responsible for creating and producing largely comic programming for the internet. Some of these comedy programmes have been aired on cable television networks worldwide, and gone into syndication as well. Zoho—A web office suite which includes tools for word processing, spreadsheets, presentations, databases, note-taking and other applications. These applications can be used either to create content or to manipulate files created with other widely distributed office suites. Zoho can read and write files formats used in MS office, Open Office and other system. Cisco—It designs and sells networking and communications technology and services. It was one of the first to sell commercially successful multi-protocol routers, to allow previously incompatible computers to communicate using different network protocols. Joost—A system for distributing television shows and other forms of video over the web using peer-to-peer television technology. As opposed to streaming technology in which all clients get the feed from the server, P2P television technology differs in the sense that the servers serve only a handful of clients; each of the clients in turn propagate the stream to more downstream clients and so on. This moves the distribution costs from the channel owner to the user. BitTorrent—A peer-to-peer file sharing (P2P) communications protocol Clients incorporate mechanisms to optimize their download and upload rates; for example they download pieces in a random order to increase the opportunity to exchange data, which is only possible if two peers have different pieces of the file. Wii- The fifth home video game console released by Nintendo A distinguishing feature of the console is its wireless controller, the Wii Remote, which can be used as a handheld pointing device and can detect acceleration and orientation in three dimensions.It allows more realistic and kinesthetic gameplay: such as swinging a tennis racket, playing a guitar or throwing a left hook. Android—It is a mobile phone platform based on the Linux operating system and developed by Google and the Open Handset Alliance. The Android platform is a software stack for mobile devices including an operating system, middleware and key applications. Developers can create applications for the platform using the Android SDK. Applications are written using the Java programming language and run on Dalvik, a custom virtual machine designed for embedded use which runs on top of a Linux kernel. Ryze—A free social networking website designed to link business professionals, particularly new entrepreneurs. The site claims to have over 250,000 members in 200 countries, with over 1,000 organizations hosting sub-networks on the site. Both paid and unpaid membership levels are offered. It was the first of the new generation of social networking services, and was a heavy influence on Friendster. Twitter—A free social networking and micro-blogging service that allows users to send &amp;quot;updates” to the Twitter website, via short message service, instant messaging, or a third-party application such as Twitterrific. Users can receive updates via the Twitter website, instant messaging, SMS, RSS, email or through an application. WorldOfWorldCraft—WoW is a massively multiplayer online role-playing game (MMORPG). In an effort to further players&apos; enjoyment and create common goals for large groups to accomplish, game developers began to add World Events into the game. They also implemented holiday content that could be considered a world event. Valentine&apos;s Day, Easter, Halloween, Christmas, as well as New Year&apos;s and its lunar counterpart all have their Warcraft-themed counterparts. During these week-long events players partake in holiday-themed quests usually involving humorous references to real-world pop culture surrounding the holiday. For example, one of the Winter&apos;s Veil (Christmas) quests involves fighting a creature known as the Greench (a parody of the Grinch) and rescuing a kidnapped reindeer named Metzen (styled after lead designer, Chris Metzen). Mozilla Firefox—A robust web browser, FTP and gopher client descended from Mozilla. Firefox includes tabbed browsing, a spell checker, incremental find, live book marking, a download manager, and a search system that uses Google. Functions can be added through more than 2,000 add-ons created by third party developers. WebEx—It provides on-demand collaboration, online meeting, web conferencing and video conferencing applications. WebEx acquired the ability to offer online collaboration tools such as discussion forums, document sharing and calendaring. Picnik—An online photo editing service with many image manipulation features similar to the popular image editing software from Adobe, Photoshop. Many of Picnik&apos;s basic photos editing tools are user-friendly and free of charges. Picnik Premium includes additional photo editing features and is offered for an annual subscription cost. SecondLife—A downloadable client program called the Second Life Viewer enables its users, called &amp;quot;Residents&amp;quot;, to interact with each other through motional avatars, providing an advanced level of a social network service. Residents can explore, meet other Residents, socialize, participate in individual and group activities, create and trade items (virtual property) and services from one another. Chumby: Think of it a as a portable internet TV. The chumby is a compact device that displays useful and entertaining information from the web using your wireless internet connection. Always on, it shows — nonstop — what&apos;s online that matters to you. Ebay—An online auction and shopping website in which people and businesses buy and sell goods and services worldwide. Ebay offers several types of auctions. Auction-style listings allow the seller to offer one or more items for sale for a specified number of days. The seller can establish a reserve price. Fixed Price format allows the seller to offer one or more items for sale at a Buy It Now price. Buyers who agree to pay that price win the auction immediately without submitting a bid. Dutch Auctions allow the seller to offer two or more identical items in the same auction. Bidders can bid for any number from one item up to the total number offered. The New York Times—A daily newspaper published in New York City and distributed internationally. When referring to people, the Times generally uses honorifics, rather than unadorned last names (except in the sports pages). The newspaper&apos;s headlines tend to be verbose, and, for major stories, come with subheadings giving further details, although it is moving away from this style. It stayed with an eight column format years after other papers had switched to six, and it was one of the last newspapers to adopt colour photography. In the absence of a major headline, the day&apos;s most important story generally appears in the top-right hand column, on the main page.
  • The reason I place “listen” before “ask” is that too often as marketers we ask leading questions. We only ask the questions we seek answers for. If we listen without prejudice, we just might hear something unexpected… something that our narrowed minds were not aware of. Question the Macro: Don’t always lump things together: Big trends, big hits, large swings, gross revenues. Quantitative data con obscure the qualitative. Observe the Micro: Look at the little things, the anomalies, the differences, the individuals, the interactions, the transactions Look for turning points, tipping points, peaks, troughs. Look for qualitative data: moods, opinions, queries, searches, comments. Drill down… explore. Day parts are a great example.
  • Agnis Stibe: D+M

    1. 1. Lotus 4: Digital Marketing || 4th December 2009 Agnis Stibe: “Digital + Marketing”
    2. 2. A Thought <ul><li>Personal development and overall progression </li></ul><ul><li>is not so much about the given opportunities , </li></ul><ul><li>but much more about </li></ul><ul><li>willing to take them and ability to recognize them. </li></ul><ul><li>/agsti/ </li></ul>
    3. 3. The Present & Future of A Compilation of materials from various sources © 2008 Bates141 Digital + Marketing 04.12.2009. LOTUS / SSE
    4. 4. Definitions <ul><li>Digital Marketing is the promoting of brands using the Internet , mobile and other interactive channels . </li></ul><ul><li>Digital Marketing is the practice of promoting products and services using digital distribution channels to reach consumers in a timely, relevant, personal and cost-effective manner. </li></ul>
    5. 5. Agenda <ul><li>The Past </li></ul><ul><ul><li>Where have we been? </li></ul></ul><ul><ul><li>The survivors </li></ul></ul><ul><li>The Present </li></ul><ul><ul><li>Where are we now? </li></ul></ul><ul><ul><li>The thrivers </li></ul></ul><ul><li>The Future </li></ul><ul><ul><li>Where are we going? </li></ul></ul><ul><ul><li>The drivers </li></ul></ul><ul><li>Thru the lens of: </li></ul><ul><ul><li>The Marketing Tools </li></ul></ul><ul><ul><li>The Web </li></ul></ul><ul><ul><li>The Mobile Space </li></ul></ul><ul><ul><li>The Social Grid </li></ul></ul><ul><ul><li>Advertising </li></ul></ul><ul><ul><li>Shopping </li></ul></ul>
    6. 6. The Past: DotCom Madness What happened? Who survived? © 2008 Bates141
    7. 7. So, What Was Marketing 1.0? Brochureware dot.com About Us TV SPAM Directories Radio Pop-ups Contact Us Flash Animations Press SPAM What’s New! eMail Blinking Banners PORN Dial-up Telemarketing dot.gone What’s Hot SPAM SPAM SPAM SPAM links e-this i-that SPAM SPAM portals vortals hortals spyware adware DM SPAM SPAM WEB
    8. 8. Web 1.0: The Highs & Lows <ul><li>1986: Internet formed </li></ul><ul><li>1990: iMdb launches in Usenet </li></ul><ul><li>1992: WWW launched </li></ul><ul><li>1995: Netscape IPO, craigslist founded </li></ul><ul><li>1996: Flash 1.0 </li></ul><ul><li>1997: Steve Jobs rejoins Apple, first ‘weblog’ </li></ul><ul><li>1998: Microsoft Anti Trust </li></ul><ul><li>1999: Y2K panic, Blogger launched </li></ul><ul><li>2000: The Crash, Napster sued </li></ul><ul><li>2001: The Meltdown </li></ul>
    9. 9. © 2008 Bates141
    10. 10. What was Web 1.0? <ul><li>“ Read Only” </li></ul><ul><li>= Brochure-ware </li></ul>
    11. 11. What was Mobile 1.0? <ul><li>Talk + Text </li></ul><ul><li>= Mobile Phones </li></ul>
    12. 12. What was the Social Grid 1.0? <ul><li>6 degrees of separation </li></ul><ul><li>= You’re in my contact list </li></ul>© 2008 Bates141
    13. 13. What was Advertising 1.0? <ul><li>Links + Listings + Banners + Pop-ups + Buttons + Spam </li></ul><ul><li>= Ad Nauseum + Inbox Invasion </li></ul>
    14. 14. What was Shopping 1.0? <ul><li>Limited Interactivity </li></ul><ul><li>= eCatalog eCommerce </li></ul>reality perception
    15. 15. Roadkill on the Information Superhighway © 2008 Bates141
    16. 16. Info Superhighway Roadkill
    17. 17. The Survivors
    18. 18. Lessons Learned <ul><li>Start with a Business Model </li></ul><ul><li>And then a A Business Plan </li></ul><ul><li>Order & Process beats Fast & Loose </li></ul><ul><li>Substance beats Style </li></ul>
    19. 19. The Present: Digital Marketing2.0 What’s Happening? Who’s Thriving? © 2008 Bates141
    20. 21. So, What’s Marketing 2.0? user-generated wireless Social networks iPTV WIKI blogs playlists mash-ups AI integration POS AJAX AdWords GPS targeted banners VOiP Broadband call centres file-sharing RSS WiFi 3G search m-this iP-that API rich media mobile web services video virtual worlds eCRM widgets VoIP tags POD
    21. 22. Web 2.0: The Highs & Lows <ul><li>2000: Google launches keyword advertising </li></ul><ul><li>2001: Wikipedia </li></ul><ul><li>2002: Friendster, RSS 2.0, Xbox Live </li></ul><ul><li>2003: mySpace, Second Life </li></ul><ul><li>2004: “Web 2.0” coined, Google IPO, flickr & Gmail launch </li></ul><ul><li>2005: GoogleMaps, YouTube, Xbox 360 </li></ul><ul><li>2006: Wii, Facebook goes public </li></ul><ul><li>2007: iPhone, Google announces Android & buys Doubleclick, Facebook announces Platform, Amazon launches Kindle eReader </li></ul><ul><li>2009: ??? </li></ul>
    22. 23. What’s Web 2.0? <ul><li>“ Read/Write” </li></ul><ul><li>= The Customer Strikes Back </li></ul>
    23. 24. What’s Mobile 2.0? <ul><li>Talk + Text + Web + Media + Apps </li></ul><ul><li>= Mobile Devices </li></ul>
    24. 25. What’s the Social Grid 2.0? <ul><li>one degree of separation </li></ul><ul><li>= We’re all just a click away </li></ul>
    25. 26. What’s Advertising 2.0? <ul><li>Contextual & Behavioural Targeting </li></ul><ul><li>= Ad Relevance </li></ul>
    26. 27. What’s Shopping 2.0? <ul><li>Customer Ratings, Reviews & Recommendations </li></ul><ul><li>= weCommerce </li></ul>
    27. 28. The Code of the Road <ul><li>QUALITY People want cool stuff </li></ul><ul><li>ACCESS Make it easy to find OPENNESS Don’t bullsh*t </li></ul><ul><li>CONTROL Let them play with it </li></ul>© 2008 Bates141
    28. 29. The Thrivers
    29. 30. Enough Already <ul><li>The 2.0 World is changing the way we do everything! </li></ul>Interact Bank Learn Travel Shop Evaluate Find Search Listen Watch Play Find info Stay up to date Meet Communicate entertain Date Work
    30. 31. Lessons Learned <ul><li>The customer is always right </li></ul><ul><li>Your customers are your brand </li></ul><ul><li>Customers expect choice and control </li></ul><ul><li>WOM is the best form of advertising </li></ul>
    31. 32. Digital Marketing Media <ul><li>Short Message Service (SMS) </li></ul><ul><li>Really Simple Syndication (RSS) </li></ul><ul><li>Podcasts </li></ul><ul><li>Voice Broadcast </li></ul><ul><li>Video E-mails </li></ul><ul><li>Banner Ads </li></ul><ul><li>Outdoor Digital Displays </li></ul><ul><li>Websites </li></ul><ul><li>Blogs </li></ul>
    32. 33. Top DM channels in 2009 <ul><li>Blogging (34%) </li></ul><ul><li>Microblogging (Twitter) (29%) </li></ul><ul><li>Search engine optimization (28%) </li></ul><ul><li>Social network participation (Facebook, LinkedIn) (26%) </li></ul><ul><li>Email marketing (17%) </li></ul>
    33. 34. Social Media Observations <ul><li>300,000 businesses have a presence on Facebook </li></ul><ul><li>Gary Vaynerchuk grew his family wine business from $4 Million to $50 Million using Social Media </li></ul><ul><ul><li>He found $15,000 in direct mail generated 200 new customers </li></ul></ul><ul><ul><li>$7,500 Billboard provided 300 new  customers </li></ul></ul><ul><ul><li>$0 on Twitter produced 1,800 new customers (well.. someone had to spend some time “Twittering” it’s not exactly $0, because time costs but hey.. it wasn’t much in dollar terms)  </li></ul></ul><ul><li>Dell sold $3,000,000 of computers on Twitter </li></ul><ul><li>Only 18% of traditional TV campaigns generate a positive ROI </li></ul><ul><li>Blendtec increased sales by 400% with “Will It Blend” YouTube videos  </li></ul>
    34. 35. Twitter - Expected <ul><li>USA Twitter share is ranked number one with 62% </li></ul><ul><li>Most of the largest cities that use Twitter are in the USA </li></ul><ul><li>English speaking countries dominate </li></ul><ul><li>The UK is ranked second as a Twitter nation </li></ul><ul><li>The majority of iPhone owners using Twitter are located in the U.S.  </li></ul><ul><li>65% of all users are under 25 </li></ul><ul><li>Tuesday is the most popular day for Twitter activity, accounting for 15.7% and you Tweet from 11am to 3pm (of course this was expected, who wants to tweet on Monday) </li></ul>
    35. 36. Twitter - Surprising <ul><li>Australia’s share is 4th on the list with  nearly 3% despite having a population of  only  just over 20 million </li></ul><ul><li>Brazil ranks 5th despite not being English speaking </li></ul><ul><li>Women outnumber men   </li></ul><ul><li>5% of users account for 75% of all activity </li></ul>
    36. 37. Twitter - Summary <ul><li>You will live in the US </li></ul><ul><li>Be a Woman </li></ul><ul><li>Hate shopping online… what !!!! </li></ul><ul><li>Young (under 25) </li></ul><ul><li>Own an iPhone </li></ul><ul><li>Enjoy Social Networking  </li></ul><ul><li>Don’t like music </li></ul><ul><li>Note: Don’t take this too seriously </li></ul>
    37. 38. The Future: Marketing 3.0 Where’s it going? Who’s driving? © 2008 Bates141
    38. 39. Marketing 3.0? ?
    39. 40. Web 3.0? <ul><li>“ Read/Write/Execute” </li></ul><ul><li>= The Customer Customizes </li></ul>
    40. 41. Mobile 3.0? <ul><li>The whole world in my hands </li></ul><ul><li>= My Device is Me </li></ul>© 2008 Bates141
    41. 42. the Social Grid 3.0? <ul><li>zero degrees of separation </li></ul><ul><li>= I’m the centre of my universe </li></ul>© 2008 Bates141
    42. 43. Advertising 3.0? <ul><li>Personal Targeting </li></ul><ul><li>= I am my media </li></ul>© 2008 Bates141
    43. 44. Shopping 3.0? <ul><li>Preferential Personal Purchasing Power </li></ul><ul><li>= meCommerce </li></ul>© 2008 Bates141
    44. 45. The Drivers: Leading the Pack
    45. 46. How to Get Ahead <ul><li>Open </li></ul><ul><li>Invite </li></ul><ul><li>Listen </li></ul><ul><li>Ask </li></ul><ul><li>Respond </li></ul><ul><li>Share </li></ul><ul><li>Question the Macro </li></ul><ul><li>Observe the Micro </li></ul>© 2008 Bates141
    46. 47. PULL PUSH