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.

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:

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.

How lucky can you get? Lucky magazine sure did with this shopping trend.

Young adults who read Lucky magazine head to the Internet to search for the latest clothing, shoes, handbags, sunglasses and makeup that were featured in the latest issue. NearbyNow, an online business of locating the closest retail outlet that stocks merchandise shoppers are searching for is benefitting from this spike in shopping searches. The article explains that the mission is to, "enable anyone, anywhere to find the nearest place to buy anything."

Browsing and shopping on the Web is a weekly and sometimes daily ritual for me. Often, I am too busy to visit a store and try to find most items online. It’s easy and convenient, which is what many consumers, including myself, are looking for today. In fact, I do the same thing that this article refers to. I read a magazine and either fold down the top corner or rip out the page. Then, I head to my computer, search for the item to check it out and finally decide if I am ready to purchase. Recently, I read the Style section of People magazine and saw a chic, cheap dress from Target (or Targee΄ as my friends call it with a French accent, of course). I read the reviews from other people that purchased the dress to find out what they thought as well as their suggestions on sizing. After a few positive and convincing reviews, I was on my way to the checkout section.

NearbyNow and Lucky are set to launch an iPhone application that brings the geo-locating concierge service to the mobile handset. The article explains that every product featured in the magazine will have a corollary in the iPhone app, which means iPhone-toting fashionistas can dial into the Lucky app and see if their nearby retail outlet has their object of their desire in stock, in their size and in the color that matches their favorite nail color. This technology will eventually be accessible on all cellular phone networks, which I know I will certainly use.

Can retailers make it any easier for me? Companies and brands are making it easier for us to connect with them and spend money. Reading a magazine not only drives people to the Web, it will ultimately drive people to their mobile device. I think this is a very smart and innovative way to get users to try a different shopping route. While I do think that sending coupons to consumers through a mobile device is a great way to get them into the store, this new trend of getting users to shop with their phone is simple and convenient.

Is Print dead?

But is it really? The answer may depend on who you ask. If you ask any account manager at People magazine, you might get a reassuring and positive answer that print is alive. However, media strategists and analysts beg to differ and insist that print is a dying medium. I am on the fence about this issue. Although I go on the Internet on a daily basis for information, I truly look forward to checking my mailbox on Friday to get my weekly issue of People magazine. A smile always comes to my face when I get it because it means that the work week is done. I can sit on my couch, forget my worries and catch up on my entertainment news. The same goes for me when it comes to high fashion magazines, such as Vogue. While both magazines have a robust website with various new articles on them, I still think there is something special and unique, even luxurious, about reading a big, high-end glossy magazine. A guilty pleasure you might ask? Whatever you want to call it works for me. I just don’t get the same feeling of excitement and relaxation when I read similar people-oriented or fashion-based articles on the Web. You just can’t curl up and relax with a computer screen and an internet-based article.

However, one benefit of the Web is speed. Since I am time-starved and busy with work and school, I turn to the Web for most of my daily news and other information such as advertising and media trends. Searching for news on the Internet is quick and easy and I get all the information with a few clicks of the mouse.

After reading an article by Jeff Jarvis, former print editor, now a consultant and blogger at BuzzMachine.com and John Griffin, President of the National Geographic Society's magazine group regarding the demise of print, I feel confident that the strong magazines will survive. I take the side of Griffin especially when he says “there is tremendous value in passionate, knowledgeable, talented editors who can assign stories and photographs with budgets to do them better and more authoritatively than any individual can. The reader of a magazine like National Geographic can depend on the information being accurate, coherent, concise, beautiful and created by the by most talented writers and photographers in the world. And readers may learn about something that they didn't know they were interested in.”

Spending quality time with engaging content and entertaining visuals truly makes for a luxurious experience that readers can’t recreate on the Internet.