From TV to Web

As more eyeballs gravitate to the Web, companies are strategically shifting advertising dollars from TV to the Internet. Analysts have predicted that broadcast TV’s upfront dollars will be down this year and the big question for the Internet economy is how much of the ad dollars that don’t go to TV will move to the Web. Last year Proctor & Gamble, the world’s largest advertiser disclosed that it was cutting its overall ad budget by 10%, and various brands like Crest and Tide started moving dollars "aggressively" to the Web. While Proctor & Gamble is the largest advertiser, it didn’t take long for other major brands to follow the leader. Reckitt-Benckiser has announced that it plans to shift $20 million to the Web from TV.

According to Ad Age, the company plans to shift an estimated $20 million in TV ad dollars to the web for more than 15 of its brands, including Lysol, Air Wick, Mucinex, Finish and Clearasil. The strategic shift is significant for the company, which has traditionally spent upward of 90% of its $475 million measured-media budget on TV, and less than $1 million in measured spending on the web in 2008, according to TNS Media Intelligence. Even though its 2008 internet advertising through the first half was already double its full-year internet spending in 2007, it was still only 1% of media spending.

Reckitt has tested the waters when it comes to social media and e-mail based consumer-relationship management promotions in the past, but has not tried online video until now. "We've seen a fundamental shift in consumer consumption and media habits migrating over to digital video. Obviously YouTube started it, but we want to [be] aligned with professional content," he said. "With broadband getting to the scale that it has, the shift has happened. The integration of traditional and digital media is here now," said Marc Fonzetti, Reckitt-Benckiser's media manager and internet specialist.

While Reckitt has shifted their budget to capture the audience, it has also been looking for a more efficient pricing strategy to reach a thousand viewers. Adam Kasper, senior VP-director of digital media for R-B's digital media agency, Havas' Media Contacts said "The CPM was the driving factor here. We needed to make it compelling from a buying standpoint in terms of how these CPMs related to TV CPMs, and we had to deliver the impressions more efficiently than TV did," he said, referring to a more targeted audience.

The need to satisfy the ever-demanding requirement to prove positive ROI still rings true when it comes to nontraditional mediums such as social media and online video. As such, it will be crucial for brands to monitor brand engagement and other various metrics to see if the tactics are working effectively. For Reckitt, Marc Fonzetti said this campaign will be measured using a method that combines TV's gross rating points with the web, with additional interactive layers such as online coupons and click-throughs driving traffic to each brand's microsite. Each brand's audience metrics will then be paired with data from Nielsen's Homescan panel, a shopper product that uses ad exposure on TV and the web to determine in-store purchasing behavior.

As more brands test the waters with these new forms of communication, it will be interesting to see what the results are. These new multimedia strategies that utilize online video and social media take time to develop. Likewise, since these are new tactics there are no hard metrics set in stone, it will also require some companies to take a leap of faith. Rest assured, many marketers and companies are trying to figure out the best possible scenario—to engage consumers via these new technologies and also prove positive ROI.

The Rising Popularity of Twitter

Most of us are familiar with Twitter, which allows users to communicate via posts that go up to 140 characters at a time. This new trend of communicating has become extremely popular and it’s boldly going where no social networking site has gone before. Many people are finding this site useful to update friends and family about daily occurrences and celebrities are using it to communicate to their fan base about concert tours.

An article in the New York Post goes into extensive details about the various times and places that people are Twittering as well as the etiquette associated with posting. People have proposed marriage via Twitter, jurors have posted Tweets during trials and journalists have been sent to cover funerals in real time via Twitter. So where are people going to draw the line?

Anna Post, etiquette author and spokeswoman for the Emily Post Institute, is loath to pass judgment on what events are and are not OK to Twitter about, except in the case of trials ("We are citizens, there are duties, and it's not just about you") and probably death. (In September, the now-defunct Rocky Mountain News suffered massive public backlash after it sent a reporter to cover a 3-year-old's funeral in real time, via Twitter.) Otherwise, she says, it's situational. "There's nothing inherently wrong with Twittering [big events] as long as everyone's comfortable," she says. "I think the danger, though, is in how incredibly banal it is."

I can understand why celebrities would use Twitter as it a fast way to reach their fan base who are likely hungry for the behind-the-scenes scoop. Similarly, I can understand if someone is in the hospital waiting for the birth of their child or caring for a sick family member. It is an efficient use of someone’s time if they’re tied up at the hospital and can’t take numerous phone calls from family and friends asking about a status update. If family and friends are directed to Twitter or a blog, they can keep up with daily events and even respond so that their loved one knows they are reading. However, sending a reporter to cover a funeral via Twitter and jurors posting Tweets about trials and murder weapons is taking it too far.

Although Twitter is only 3-years-old, it is estimated to have between 4 and 5 million users, with 55 million unique visitors per month. As more people sign up for Twitter and see how easy it is to communicate with others, it is likely that the number will increase and the type of instances that people Tweet about will change. We’ve already seen how powerful Twitter has been with real world-breaking news such as the Bombay attacks, the earthquake in China and the Hudson River plane landing. All of these occurrences were first reported by citizens via Twitter. But what makes me wonder is whether people will realize that there are certain times when it’s just not appropriate to Tweet, or if any life event or a passing thought is game for the site. It will be interesting to see how corporations, judges, bloggers and everyday citizens feel about the site going forward.

Obama is ‘open for questions’

Recently, Whitehouse.gov launched an openforquestions page which gives people the opportunity to submit questions to President Barack Obama about the economy. According to the page, people are invited to participate in the community-moderated online town hall. People are asked to submit a question about the economy, vote on submissions from others and include a link to a video. Finally, they are asked to come back on Thursday to watch the President answer some of the most popular submissions live at the site.

Giving people the ability to post questions to the President could bring a lot of interesting topics to the surface. Tracking these questions and then choosing which ones get posted is no easy task. The government has to deal with a slew of issues such as censorship if they delete comments, privacy if they keep track of you, and complicated procurement rules to use any kind of software. Despite these issues, creating this page is definitely a step in the right direction of getting the President involved and listening to people’s concerns.

According to a blog on Wired, the first big issue that arises is whether the site will be swarmed with useless questions. The internet is a great tool for harnessing the wisdom of crowds — and also the "idiocy of trolls." Nicholas Thompson, author of the blog post indicates that the trolls are doing OK in at least one area: flooding the page with questions about legalizing pot — a marginally important debate at most times, and a totally trivial one at a time of global economic catastrophe. As of right now, there are 290 questions that have been submitted that include the word "marijuana." By comparison, there are 90 that use the word "manufacturing" and three that contain the word "broadband."

While negative comments are to be expected, there are many people are that voting on various positive topics. As of right now, 92,517 people have submitted 103,755 questions and cast 3,599,068 votes. An interesting question that is number one in the Jobs Category is "What are your plans to encourage corporations to keep middle-class jobs, such as customer-service call centers and transactional-based support services like accounting and computer program jobs, in the U.S?" Needless to say, it will be interesting to see which questions get chosen and ultimately get answered by the President. The blog raises a few interesting questions about the site: Will Obama cherry-pick questions that lead into policies he has already developed and that he likes discussing? Or will he pick the hardest, most-complicated and most-important questions?

While this site is just the beginning for the Obama administration, it is definitely a step in the right direction based on the networked society that we live in and the desire people have to get involved online. Opening up a free-flowing site where people can submit questions and vote on issues is a risky step. However, this also demonstrates a new way for the president to communicate with the country.

Teach Twitter in Elementary Schools?

Logging on to your computer is a daily ritual for many people. Some programs are easy to learn and some require structured classes and a detailed explanation. However, when it comes to social networking sites like Facebook, Twitter and MySpace, it is easy to just sign up and take a test drive. As I was browsing TechCrunch to catch up on my daily digital news, I came across an article that explains that the British government is proposing that Twitter is to be taught in elementary schools as a part of a wider push to make online communication and social media a permanent part of the UK’s education system.

Details about the proposed curriculum are listed in the The Guardian, the well-known British newspaper and it has caused quite a stir across the globe. The plan is to strip away hundreds of specifications about the scientific, geographical and historical knowledge pupils must accumulate before they are 11 to allow schools greater flexibility in what they teach. It emphasizes traditional areas of learning - including phonics, the chronology of history and mental arithmetic - but includes more modern media and web-based skills as well as a greater focus on environmental education. The proposal would require children to leave primary school familiar with blogging, podcasts, Wikipedia and Twitter as sources of information and forms of communication. They must gain "fluency" in handwriting and keyboard skills, and learn how to use a spellchecker alongside how to spell.

While I do agree that it is essential that children learn how to use computers and various technologies, I don’t think it’s necessary to enforce that Twitter be taught as part of the curriculum. The skills that kids acquire from learning Web technologies can also help them in real world situations and ultimately, be prepared for the working world. But what happens when kids are taught these programs in class and then are on them while class is in session? How many times to professors say “no instant messaging in class?” Soon they will have to say no “tweeting” or “updating your status in class.” British teachers that are instructing these Web-focused classes need to make sure that kids understand the basics but also the rules of etiquette.

Baseball Cards Meet the Web

Everyone has childhood memories that consist of collecting dolls, coins, stamps, posters, stickers, stuffed animals or baseball cards. While some of these hobbies such as collecting baseball cards seem outdated, a new trend has surfaced that allows hobbyists to use the Web to watch players come to life on the cards.

Topps, an international marketer of entertainment products, principally collectible trading cards, confections, sticker collections, and collectible strategy games has teamed up with Total Immersion to launch a new series of 3D cards. Collectors and hobbyists can use their computer and webcam and watch as the players pop up in full 3D for interactive minigames including batting, fielding and pitching drills.

An article in the Daily News gives a brief explanation to get started:
After you've snagged one of the "Topps 3D Live" cards - they come in both Topps 2009 Baseball Series 1 and Topps Attax packs - you log on to ToppsTown.com and select the player on your card. Then, simply hold the card up to a standard WebCam and - voila! - Alex Rodriguez, CC Sabathia, Johan Santana or one of 30 other stars appear to emerge from the card, in 3D, on your computer screen - for a series of simple games playable using your keyboard.

For baseball collectors, Topps 3D Live cards gives new meaning to swapping cards with friends and chewing that stale piece of gum that came with the cards. While most of us have probably thrown out or sold our collections, this example goes to show that there are ways to bring back old hobbies with the help of the Web. It will be interesting to see if this site gets traffic and how old their users are. Today, kids and teenagers might not understand the value and appreciation of collecting cards.

The Power of the Internet

It seems as though everyone is trying to get their 15 minutes of online fame by posting videos on YouTube or by participating on Facebook and Twitter. Kids, teenagers, business professionals, mothers, celebrities and athletes are all using these social platforms. The power of the internet allows anyone with a half-baked idea, a product and a webcam to start their journey to online fame. In the latest example of a social-media world, Lauren Luke, an unknown young single mother from England began selling makeup on eBay and posting pictures of herself wearing the makeup she was trying to sell. She also posted online tutorials on how to make the most of your makeup on YouTube. She has won the hearts of fans all over the world with her use of vibrant color and by recreating celebrities’ coveted makeup looks. Ultimately, her presence on the Web and popularity has made her a global sensation.

While Lauren has never had any formal training as a makeup artist, she has gained a global following as user Panacea81, which is a branded YouTube channel. The videos are short, casual, unedited and entertaining. As her popularity grew and her fan base became more addicted, Anomaly partner Duncan Bird also became interested in the friendly unknown sensation. According to an article in Ad Age, Duncan was impressed that she had 100,000 views on some videos and every time he went back to visit she seemed to have attracted 100,000 more. "There was something about Lauren that struck me as so authentic, so unusual and so interesting," Mr. Bird said.

Since then Mr. Bird has become Lauren’s manager and they’ve created a new cosmetics line, By Lauren Luke which will debut in stores on April 27. The line will launch in North America and Europe with five eye-color kits and will eventually expand. Because Lauren is such a YouTube sensation, Mr. Bird said, By Lauren Luke won’t need a traditional media campaign. "What we're trying to do is make sure that everything we do is true to what Lauren is about," he said. "I'm very passionate that Lauren stays true to her own self-image."

While there are umpteen beauty products in stores and a plethora of beauty consultants, it is still feasible for an unknown person to become a global sensation in the cut throat world of beauty treatments. Getting your message out on social networks and showcasing your talent on YouTube can make you famous and open doors that might not have been opened a few years ago. Who needs Hollywood, the so-called land of where dreams come true when you have a computer and Internet access?

Check out this video to see Lauren Luke in action:

Halftime during a Basketball Game calls for a “Tweet”

Twitter’s popularity is rising among people in all different fields such as celebrities, politicians and athletes. Cyclist Lance Armstrong provides updates on the frequency of his anti-doping tests and posts pictures from his training rides and NBA star Shaquille O’Neal gives away free tickets to fans. The latest craze that has received a lot of attention is the fact that Charlie Villaneuva, NBA basketball player for the Milwaukee Bucks posted a “Tweet” from his mobile phone during halftime of a critical game. He posted “In da locker room, snuck to post my twitt. We're playing the Celtics, tie ball game at da half. Coach wants more toughness. I gotta step up."

According to an article on Foxsports.com, coach Scott Skiles was perturbed when he found out that his top player was on his mobile phone and not focusing on the game. "We made a point to Charlie and the team that it's nothing we ever want to happen again," Skiles said after practice Tuesday. "You know, (we) don't want to blow it out of proportion. But anything that gives the impression that we're not serious and focused at all times is not the correct way we want to go about our business."

But according to Charlie, he didn’t think he did anything wrong and was completely focused on the game. As he noted, he had to “step it up” and he did just that by scoring several points and ultimately, this allowed the team to hold the final playoff spot in the Eastern Conference. He denied any comments that alluded to the idea of him not being focused on the game.

Although Charlie is one of the best athletes to follow on Twitter because he is consistently active, engaging and amusing, it is unnecessary that the professional NBA basketball player post “tweet” during halftime. Isn’t playing ball and the stress associated with it enough? Die hard fans might disagree and enjoy the behind the scenes and live scoop.

Charlie’s response to all this chatter was “we’re talking about Twitter here. We should be worried about Orlando.” In fact, I have to agree that this all this drama was silly. But I am sure that Charlie has learned his lesson and won’t be posting “tweets” during any games.

CRM to the Rescue

Due to declining readership and revenue, many media companies have been struggling to stay relevant and ultimately, stay in the game. With so many eyeballs gravitating to the Web, many print publications have lost their fan base and have been forced to build engaging websites with fresh content. As a result, Time Warner, Disney and other media companies are experimenting with customer relationship management programs in an effort to retain their relevance. However, traditional media lag behind their online counterparts in collecting customer data.

Media companies are trying to figure out the best strategy to keep their consumers happy. They are also trying to package the content in a way that will provide the most value to their loyal customers. “Newspapers, magazines and media companies in general have to start thinking about what con­tent they reserve and what they don't,” said David Rosen, SVP at San Francisco-based Loyalty Lab, a provider of on-demand customer loyalty technology. “By asking people to sign up for digital con­tent, for example, and to be part of the brand, it creates a deeper sense of engagement. That then becomes a marketing platform as opposed to an advertising plat­form, which is what media com­panies have now.”

Creating a relationship with its best cusomters is a strategy that rings true for Disney, the world renound company that children and even adults adore. According to a recent article in the DM news, Disney has launched a comprehensive membership program called D23 that includes a subscription to a new quarterly publication, offers to attend special events and purchase exclusive merchandise, access to exclusive online content and a membership certificate and card. Additionally, the Disney.com/D23 fan site will feature Disney news, exclusive feature stories, blogs, a collectibles boutique, special event information, and other content. A statement form the company explains that D23 refers to the year 1923, which is when Walt Disney opened his studio in Hollywood. The program is the first official community for Disney fans and a one-year membership costs $74.99 according to a statement from the company.

The driving reason why companies are willing to invest in these loyalty programs is because they want to continue the conversation with their loyal consumers. Ultimately, subscribers have to feel that a relationship with the brand is really worth paying for. Rosen agrees and says, “Here's a case where a media company is taking a lesson from the direct marketing industry. By providing structured value [to its cus­tomers], Disney will ultimately see higher levels of conversion and engagement across the entire franchise.” With this sophisticated communications program and community, Disney is able to understand what their customers are willing to pay for and reward with items that are of interest to them. As the infamous character Donald Duck would say, "Nothin' to it!"

'Smoking Smarties'

Companies are aware that people who are using their brands in unconventional ways will make sure to spread the word via social networking sites and by posting videos on YouTube. The catch is that the end result can be either positive or negative. A positive example would be the buzz that Diet Coke and Mentos received with the infamous experiments. A negative example would be all the press that Smarties is getting due to the latest videos that have been posted on YouTube called “How to Smoke Smarties.”

I had not heard of this new fad, so when I read my Ad Age Daily email and saw the headline “Smoking Smarties Videos Create Blaze of Unwelcome PR”, I was curious to read what was going on. In case you have not seen them yet, here is the video clip:



Apparently, there are many more videos of teenagers giving lessons on how to smoke smarties in the correct way. Although most of the videos are old, this video has sparked interest in a number of people and is number one on Google’s results page when you type in “smarties.” The big hit and the one that comes up most frequently in organic search is filmed by YouTube youngster "baller4life," aka Titus, which was created in December 2007.

While the video is old, the article explains that it is a simple case of exposure. Last week the video was featured on BuzzFeed and then on Monday appeared on CollegeHumor; the popular video-gamer destination G4tv.com's "Attack of the Show"; and the "Late Night With Jimmy Fallon" blog. And so began the rise of Titus' 1 minute, 38 second Smarties-smoking tutorial. I don’t know about you, but it seems outrageous that these people or sites would mention these videos in a positive manner. Are teens and people supposed to think these videos are cool? We’re talking about smoking here, and using a candy to demonstrate that. Seems pretty pathetic.

Luckily, the marketer of Smarties agrees and does not support these videos or viral communications. "It's certainly not endorsed by us. We don't endorse smoking, but we can't control what people do out there," said Eric Ostrow, VP-sales and marketing for Ce De Candy, the owner of the Smarties brand. He said he's been aware of the YouTube videos for more than a year, but Ad Age's query was the second call this week -- and the only one he's ever received regarding the videos.

Since participating in social networking sites and posting videos to YouTube are common activities for everyone including 15 year-olds with access to webcams, companies are going to have to brace themselves for the worst case scenario. That being said, they also need to be paying attention to what is being said on the Web, social networking sites, the trade journals and of course, word of mouth. In the case of Smarties, the brand is being connected to the act of smoking, and the company is distancing itself and denying any connection.

Pete Blackshaw, Executive VP of Nielsen Online Digital Strategic Services said “by Ce De speaking out and saying it doesn't condone the activity, is doing about as much as it can right now. For every time we have a Coke/Mentos, we need to keep in mind the equal opportunity of social media. It can go both positive and negative," he said, adding that one of his concerns for Smarties now is the video showing up at the top of a Google search. "That's where you could start to have a problem with general consumers getting the wrong idea. ... I know we all like a positive story ... but the real story in social media is how brands are challenged and eroded by it."

Although companies wish they could get positive PR from people performing stunts and finding unconventional uses for brands, they must figure out a way to deal with the opposite effect. Unfortunately, this means that every company and brand is fair game. Beth Snyder Bulik, the author of the article, gives advice about what to do if people are messing with your brand online:
1. Don't fight it. Trying to cajole, warn, threaten or even sue someone who is misusing your product or making a joke will only come off as heavy-handed. "Maybe some Neanderthal thinks that they can control this, but the reality is no one can," said Pete Blackshaw, exec VP of Nielsen Online Digital Strategic Services. And antagonistic attitudes will only invite more criticism and mocking.
2. Survey the extent of the problem. Is it a small group of jokers no one will take seriously or a more reputable group? How damaging is what they're saying or doing? That is, are they completing maligning the product and associating it with extremely unsavory behavior? Or is it just goofing around?
3. Turn to your social-media crisis plan. And if you don't have one yet, develop one.
4. Be open with employees. They use social media too and likely already know about it. But make sure to discuss what's happening and give them the information you want conveyed (for instance, what to say if a friend asks at a party, "Hey, what's up with all these kids smoking Smarties?").
5. Respond accordingly. At the very least, have a prepared statement for any media calls. Make sure it is available to all senior executives who may be queried. And make sure to respond as quickly and as transparently as possible to any direct questions from your customers.

Addicted to Twitter

As I mentioned in a previous post, posting your every thought on the popular networking site can get you in trouble. But some people have admitted that they are addicted to the site and can’t stop Twittering.

According to an Adweek poll, Twittering is increasingly part of mainstream culture. In fact, some ad world CEOs have joined in on the fun such as JWT's Bob Jeffrey, AKQA's Tom Bedecarre, EVB's Daniel Stein, Deep Focus' Ian Schafer and Big Spaceship's Michael Lebowitz. These top CEOs have taken the opportunity to promote themselves and their agencies. Additionally, they’ve admitted that they find Twittering just plain fun. "I can lose myself in it," said Lebowitz, whose "bigspaceship" account has nearly 3,000 followers.

It seems as though people need to filter and re-read their Tweets before posting them. Tweets and status updates can spread beyond your inner circle of friends and family to competitors and frenemies. According to the article, Ketchum director James Andrews also threw caution to the wind when, in January, upon landing in client FedEx's home city of Memphis, Tenn., he Tweeted, "True confession, but I'm in one of those towns where I scratch my head and say, 'I would die if I had to live here.'" FedEx, needless to say, was not amused. (Relations between the two are now fine.)

Not only do people need to filter their Tweets, they need to be as transparent as possible and sensitive to the fact that current and potential clients are out there reading and listening. No client would feel comfortable if their agency of record or account team were Twittering about client-sensitive information.

I agree with Marian Salzman, CMO for Porter Novelli, when she says, "It's public communications, so you're still very aware.” She described herself as ‘obsessed’ with Twitter. "[CEOs] just have to realize that [Tweetering] is very different than talking to a close inner circle."

Although Twitter is a less formal medium of communication in the business world, readers are still disgesting CEOs comments and forming their own intepretations of the Tweets. CEOs and management need to be aware of this and understand how these messages are portraying their businesses.

The Digital Landscape in Italy

If you have ever visited Italy, it is likely you will agree that people are more relaxed and not connected to the digital world and their mobile devices 24/7/365. Italians break for siesta, visit cafés for Internet access and stop for a shot of espresso on their way home from work. As such, it is quite different from the fast-paced, multitasking American way of life, which consists of eating lunch at your desk, emailing and talking on the phone at the same time and working until the wee hours of the night. But who is complaining?

Studying abroad my junior year of college in Florence, Italy gave me a taste of living in a city that was serene. I remember feeling out of place and strange when stores, banks and the post office would close for siesta. But after a few weeks, I was completely adjusted and got used to taking it slow. Coming back to the United States was a different story.

My journey to Italy began in 2001, which seems like ages ago. Since then, a lot has changed especially in the digital realm. While I was there, it was a daily chore to go to the local Internet Café to send email to friends and family back in America. Needless to say, all we did was email and leave to tour the beautiful city. Visiting websites such as MySpace, Facebook and Twitter were not daily routes and unheard of at the time.

Although I miss Italy very much and promised myself and my fiancé that we would go back, I have often wondered what has changed in terms of their technology and acceptance of social networking. That being said, when I came across Kara Swisher’s blog entry on All Things Digital I was engaged with the story, especially since she discussed the digital trends and the popular conference “Tutto Cambio, Cambiano Tutto?” That roughly translates into “Everything changes, but should everything change?”

Kara indicated that Internet penetration is much lower in Italy then elsewhere in Europe and television still dominates most media. She attended the conference in Italy and said the following: “’We’re 2,000 years old’ is something you hear a lot from people as an explanation for approaching everything, from social networking to iPhones to anything interactive, with some wariness. While most people here note that they like Facebook, pronounced ‘FAY-sa BOO-ka,’ hardly anyone sees the point of Web 2.0’s trend du jour, Twitter (‘TWEE-tur’).” While few people have heard it, those that have don’t use it.

What surprises me the most is how fast Americans have embraced these websites and social applications and have made them part of their daily lives, while Italians are moving at a leisurely pace. Even though I mentioned earlier that the Italian lifestyle is much slower, it seems like they would want to at least keep up with popular social networking sites, especially when other countries in Europe have adopted them. I am always amused when I hear that Italian designers define the fashion trends and style guides for the fall and spring seaons, but when it comes to other aspects they lag far behind.

For more information, check out Kara’s interview with several Italians at the conference:

Think twice when you use your cellphone. Advertisers are vying for your information.

We all know that advertisers will do just about anything to stick their ad in your face. Tracking consumers on the Web has been an effective medium that allows advertisers to target ads based on collected information. However, if you think the pop up ads on your computer screen are annoying, brace yourself for what is coming down the pike. Cellphones are going to be the device that gives advertisers your interests, habits and location. Since cellphones are used for a variety of activities such as playing games, downloading applications, sending instant messages, browsing the Web and emailing, it has become the latest and potentially extensive way for advertisers to aim ads at consumers.

According to The New York Times, there was a story about the power advertisers are finding in using GPS as well as other details about user profiles, pulled from “smartphones” like the iPhone and Blackberry, to send highly targeted messages to customers— as granular as sending a coupon for an NYC restaurant when the phone sends up a GPS signal about a user’s location on Broadway and 42nd. The story notes that advertisers are willing to pay a steep price when they know they’re hitting just the right consumers.

The capability for collecting information has alarmed privacy advocates. “It’s potentially a portable, personal spy,” said Jeff Chester, the executive director of the Center for Digital Democracy, who will appear before Federal Trade Commission staff members this month to brief them on privacy and mobile marketing. He is particularly concerned about data breaches, advertisers’ access to sensitive health or financial information, and a lack of transparency about how advertisers are collecting data. “Users are going to be inclined to say, sure, what’s harmful about a click, not realizing that they’ve consented to give up their information.”

While a mobile device holds a great potential for advertising, I have to admit that this is taking it a little too far. The thought of advertisers knowing every move that I make and then reaching me on my mobile phone is extremely intrusive and unnecessary. I truly hope that consumers fight back on this one. Since it’s common today for consumers to cause a ruckus when they are not satisfied, I can only hope that the troops rally on this one. However, this seems like wishful thinking on my part.

Social Media and the Workplace

It has become the norm today for people of all ages to participate in social networking. I’ve become accustomed to reading status updates on Facebook and each time I wonder why certain people feel the need to tell everyone that they are tired, hungry, thirsty or ready to party. As a member of Facebook, I can honestly say that I’ve only added one status update and that was to tell my family and friends that I had the best weekend ever—I got engaged to my boyfriend of five years. I thought that special moment deserved a mention. It was the one stop shop for everyone to find out, including my coworkers.

Posting friendly messages to these social networks is harmless and sometimes comical. But what happens when someone posts status updates to Facebook or “tweets” about client meetings and goals? Heather Rast, an avid member of the social networking space describes her real-life story of how social media involvement affected her corporate career. As a follower of Joe Pulizzi’s blog Junta42Match, I came across his interview with her and was shocked. Since social networking is a hot topic these days, I felt this interview was worth blogging about and passing along to friends. Additionally, I learned a few things and have made a mental note for any future use of social networks. You might want to do the same.

According to the interview, Heather explains that the company she was working for didn’t have a social media policy. She says,”Because of my level of responsibility, I thought it within my purview to choose methods for generating interest among outside parties about what my team did, and what we had to offer. I used Twitter to share ideas like ‘Just had a great client meeting. I think they’re understanding what a SEM campaign can do for their short-term search goals.” However she also stated that she never mentioned a client by name and never detailed any client project.

Apparently, people at the company didn’t agree with her approach and decided to selectively cull certain Tweets and Facebook status updates and presented them to executive management. They claimed that she was sharing confidential client information and using poor judgment.

While Heather is no longer with the company that questioned her social networking activities, she is proud to say it was worth the fight and she would do it all over again. She now works for a company that has full disclosure of her blogging and Twittering and they support her writing and sharing with others openly.

At the end of the interview Heather give some lessons that will stay with her forever:

Heather’s Lessons Learned:

• “Be very intentional about what I write anywhere. Have awareness about if the first and the fourth (example) sentences were stripped away, could my idea be misinterpreted, or used against me?”
• “Have a healthy respect for dissenters. Threatened people will resort to surprising behaviors. Take actions to preempt their plans by being as transparent as possible.”
• “You are replaceable, and your achievements are only as noteworthy as your weaknesses are few. Bad things can happen to good people.”
• “Isolate what is really important to your career/professional happiness. Then make sure you’re working at a place that truly allows you do those things. Life’s too short to just work somewhere; find that career that offers fulfillment.”

Check out Joe’s blog for the full detailed interview.

Many companies do have workers that participate in the social networking space for the good of the company, but the important point is that they’ve also made an effort to have guidelines in place. IBM and Edelman are some of the companies that have such policies. People have to be aware of what their own company guidelines are and think twice before they publish information for the world to read in the social networking space.

Standing out above the din in this dismal time

Despite the fact that many consumers are holding off on purchasing houses and cars, companies are finding ways to communicate with consumers and ultimately building trust. Michael Fischer, VP Marketing for Coldwell Banker Real Estate is one executive that sees an opportunity in these challenging times. His philosophy on marketing troubled products and services: “build trust.” No one wants to trust their hard-earned dollars to someone or a brand they have questions about," says Mr. Fischer.

Recently, Fischer was interviewed by Advertising Age and explained that he is enthusiastic about the opportunity to reach out to the “dreamers” and boost web efforts. Fischer referred to the fact that Coldwell Bank is celebrating its 103-year-old legacy, and he has touted this information in its marketing efforts. When he was asked if real estate is just an impossible sell right now, he optimistically explained that there are tens of millions of people who are in the “dreaming” process and that they’re online looking at listings. So what is the important piece to the puzzle to get consumers to make a purchase? According to Fischer, consumers are looking for brands they can trust when there is a downturn in the economy. Since he thinks trust is important to consumers, he has made an effort to tell the firm’s story and boast the heritage of Coldwell in his communications strategy. Colbert Coldwell and Benjamin Banker, the founders of Coldwell Banker, play an important role in their marketing efforts. The interesting aspect of their marketing plan is that they have created Facebook and Twitter sites for their founders.

Even though the marketing budget at Coldwell Banker is tight, Fischer said spending is shifting from TV to online and alternative media. Last year 30% of the budget was dedicated to online, while the 2009 allocation is 40%. It seems rather contemporary for a 103-year-old firm to be on Facebook and Twitter. But the reality is that Fischer and his teams have done their homework. In other words, they’ve conducted market research and know where their audience is. Furthermore, since their audience is online they’ve discovered that digital platforms are the best way to start or continue the dialog. Fischer knows that purchasing a home is an important milestone and people need a little hand-holding to get to the finish line. Additionally, he knows that his prospective customers love the empowerment of the Internet and that when it comes down to making a purchase they need to engage with a real-estate professional. Ultimately, Facebook and Twitter not only presents an opportunity to have a conversation with consumers, but it also gives them a great opportunity to talk to more than 100,000 global agents that represent Coldwell Banker.

In the midst of a recession, people might not be purchasing, but they are online and thinking about moving forward into more prosperous times. If companies know where their audience is and how they feel towards a category, they can use this knowledge to their advantage and make a connection. Having conversations with consumers can present an opportunity to start a relationship and ultimately build trust, which according to one CEO is essential.

An Advertising Lullaby

Advertising critics are everywhere. So when you come across a funny interpretation of how the advertising world works, it’s only the right thing to pass it on to other colleagues and friends. With the help of social networks like Facebook and Twitter, it’s easy to post such videos and share with friends. Although I still get emails from friends that like to share information, social networking sites are certainly the way to go.

Joe Pulizzi, a Facebook friend and colleague posted a video of George Carlin in action. He gives a clear warning that if you are easily offended then it might be a good idea not to proceed. However, the late and grate George Carlin is a memorable character, and to hear his take on the purpose of advertising was quite entertaining and definitely worth passing it along.

Check out the video for an entertaining depiction of advertising by the George Carlin from "You Are All Diseased" (1999):



It’s obvious that when consumers are not spending, and companies are laying people off and cutting budgets in half, many industries suffer. Often times advertising gets hits the hardest as Management feels that it is one area that can be scaled back. Executives who succumb to that temptation, however, put the long-term future of their companies at risk, according to Wharton faculty and advertising experts. "The first reaction is to cut, cut, cut, and advertising is one of the first things to go," says Wharton marketing Professor Peter Fader, adding that as companies slash advertising in a downturn, they leave empty space in consumers' minds for aggressive marketers to make strong inroads. Today's economy "provides an unusual opportunity to differentiate yourself and stand out from the crowd," says Fader, "but it takes a lot of courage and convincing to get senior management on board with that."

These difficult times represent an opportunity for companies to use integrated campaigns that mesh traditional outlets with digital media. Just because consumers might not be spending as much now that does not mean that they are looking to dwell in the recession. Eileen Campbell, chief executive of the Millward Brown Group advertising firm in New York City, says "If you can put a positive spin on how you can genuinely help without invoking doom and gloom, I think that's going to be more compelling." Ultimately, companies, marketers and consumers are in this dismal phase together and it’s going to take everyone to put one foot in front of the other to slowly get out of it.

Staying in the Game

Growing up in the suburbs during the winter months, it was a weekly routine to stop at Blockbuster to pick up a few flicks for the weekend. Family and friends would hang out in the den and relax with a newly released movie on a Friday night. Things have certainty changed. Now it’s obsolete to think about getting off your couch and driving or even walking to a Blockbuster. As we all know, new services and technology such as Netflix, DVR and You Tube are the popular outlets for watching videos. As a result, Blockbuster is in trouble and reportedly mulling a Chapter 11 bankruptcy protection filing. Needless to say, the Blockbuster that I went to growing up is closed for business and my Blockbuster membership card, which was once a must-have item in my wallet, has disappeared to a drawer somewhere in my apartment.

The excitement of going to Blockbuster to get a new release will continue to be a memory for me. But the truth is, why would anyone go to the store when they could order it from their home or watch it on their computer? This makes me wonder what rock Blockbuster decision makers were living under. For years, customers have been migrating to video downloads and mailed rentals and Blockbuster was no where in the conversation. Since I have not rented videos from Blockbuster in years and never visited their website, I decided do some investigating. Apparently, the company did spend heavily and pile up debt to build an online DVD rental service to compete with Netflix Inc. I didn’t even know the chain had a section to download movies on its website or allow people to get movies delivered to their home. Obviously, none of their attempts worked and they’ve lost me as a customer. Perhaps the chain was late to the game or forgot to inform its customers all together about these new additions.

As Vicky Else, President of The Market Artist mentioned in a previous interview on my blog, research is essential. Tracking consumers and understanding their needs is important in order to move forward and stay relevant. While research can be expensive, there are online research techniques that are useful and cost effective. Ultimately, research leads to insights, which can help a company alter their strategy or remain focused. So where did Blockbuster go wrong? Did they think that people adored their chain so much that they would forgo the idea of sitting in their own living room and pressing a few buttons to get the new release? As the world's largest video rental chain, it did have the ability to keep its’ customers loyal. However, this is a perfect example that illustrates how not keeping up with the trends, listening to your consumers and communicating with them, your competition could knock you off your feet. Although these thoughts are only based on my speculation and past relationship with the chain, it seems pretty accurate to say that Blockbuster missed the boat. I have jumped on the Netflix boat and have never turned back to checkout Blockbuster.

The Power of CEOs

While times are tough, consumers are not making as many purchases and are concerned about how they spend every dollar. In these tough times, it’s interesting to see how consumers feel about their favorite brands and what comes to play when they actually make a purchase. Is price the major factor? Are they loyal to the brand and purchase its’ products despite the dismal economy? Do they pay attention to advertising? And if they do pay attention to advertising, do they like it when CEOs participate?

Over the years, there have been countless companies that have used CEOs in their advertising campaign. CEOs such as, Charles Schwab, Dave Thomas of Wendy’s, Frank Perdue of Perdue Farms, Dan Hesse of Sprint and Warren Buffet of Geico have either appeared on television or in print campaigns. While prominent and confident CEOs have taken the spotlight in recent years, an Adweek article has raised the red flag that companies should rethink this strategy.

“These CEOs have chosen an interesting time to be in the spotlight. With the news filled with images of overpaid executives flying corporate jets to Washington, D.C., as they plead for government assistance to keep their companies afloat, no CEO at a major corporation-even those not related to the banking or car industries-can count on any goodwill coming his or her way,” said Eleftheria Parpis, the writer of the article. Additionally the article refers to a recent Opinion Dynamics poll from Fox News. The poll found that 73% of respondents felt corporate CEOs were not honest or ethical.

Despite the poll and the state of the economy, several companies are still using high-level executives in their advertising campaigns. As I was reading this article, I found myself wavering back and forth as to whether I thought it was a good idea to have CEOs front and center. As a worker bee in the corporate world, I admire high level executives and firmly believe their statements and opinions when it comes to the company’s mission and dealing with the ever-changing world around us. On the other hand, I can understand how so many consumers are weary of CEOs based on the recent events pertaining to the financial world. The CEO is the ultimate decision-maker and is supposed to have a tight grip on all aspects of the business. This type of thinking and assumption is why so many Americans, including myself, are confused and frustrated as to how things got so bad.

Advertising and media agencies will continue to be creative when it comes to building campaigns for their clients. Although using CEOs might have been successful in the past, there is evidence that people are weary and suspicious of these high-level executives. One can only hope that the agency is well informed about the rumblings on the street and are aware of how the consumers feel about the company and industry as a whole. A true test would be asking consumers how they feel about certain companies and CEOs to gauge interest. Putting aside pictures in an ad campaign, I can promise you that if people saw certain CEOs of financial institutions out on the street they might not be too happy.

Not all CEOs have sneaky and selfish goals up their sleeves. Case in point, Dave Thomas built his multi-billion dollar fast-food restaurant chain from the ground up, earning him a reputation as one of the most successful and loved entrepreneurs in American history. He is also known for appearing in more than 800 commercial advertisements for the chain from 1989 to 2002–more than any other person in television history. Now something has got to be said for a CEO that has appeared that many times in commercials.

In memory of Dave Thomas, here is an oldie but goody:

Dating in the Digital Age

Forget trekking to bars and participating in speed dating to find your true love. Online dating has become the new popular way to meet your soul mate. There are many websites that cater to people looking to get set up in the virtual world. These include Match.com, JDate.com and eHarmony.com. Just when you think you’ve mustered up enough courage to date in the online world, a new way to find a date has surfaced.

Welcome to Skout, the first-ever social dating application that allows people to use their mobile phone. People can flirt, chat and belong to a community of singles who want to chat online and then meet in the real world. The application allows you to tell potential love interests what you’re all about by posting mobile pictures or notes.

Recently, Skout proudly introduced Skout OUT which is real time online dating in bars and clubs across America. According to a press release on the website, Skout is "leveraging location-based services and 42" touch-screen plasma displays stationed in bars and clubs across the US. Single men and women looking for love need only let their fingers do the walking to flirt, send virtual gifts, or dedicate a passionate song to someone that inspires their senses. Skout OUT currently interacts with hundreds of thousands of Skout users using their iPhones, cell phones and laptops to find love on Skout's mobile dating service."

If you think buying someone a drink at a bar is enough to get a date, you might want to think again. Not only do you have to put your best face forward in the online world, you will need to be accessible with your phone. "Skout OUT solves the age-old problem of finding and approaching singles," said Skout's CEO and founder Christian Wiklund. "As an industry first, we are connecting the virtual online dating world with the real world. Skout OUT enables singles at clubs to 'see' not only available singles at their location, but also singles in other nearby venues as well as Skout mobile phone users. Skout OUT is an important new tool in our company's mission to make finding love easier."

Will people be willing to swipe their credit card or insert cash into the build-in payment system to purchase virtual gifts or music and send to prospects at the bar? Although the process seems convoluted, it’s feasible many bar-hoppers will participate—especially after they’ve had a few cocktails. Even though some people might not feel comfortable announcing their dating interests for everyone to see, it seems like the norm to try different avenues and routes to find true love. The old saying “Never frown; you never know when someone's falling in love with your smile” rings true in the digital world now too. So get your game face on!

While SKOUT presented at the DEMO 09 conference yesterday, TechCrunch had a preview of the program and posted this video clip:


Skout OUT from Robin Wauters on Vimeo.