Monday, November 16, 2009

Why Block Google?

I'm very curious about Murdoch's business model of having readers pay for online content. The New York Times tried this a few years ago with their Time Select product. They decided to open their entire site for free to generate more search engine traffic. Now, Murdoch is threatening to not make pages available to Google, so they won't get search engine traffic. Really??

I understand that their visitors would then have more value to advertisers. It's like comparing a cost-per-point from a news program to Springer. The type of audience matters.

Yet search is one of the ways the Internet is interactive. An inactive reader is great for branding... maybe. Right now, it's still difficult the measure the results of branded display campaigns.

The good news about half in the US would pay for content, according to the NYTimes. That's a much higher number than I would expect. Yet, people only want to pay $3 per month.

We're in for an interesting road ahead, as the business models for newspapers evolves. It reminds me of the early days of cable TV, when the mindset was customers did not want to pay for TV.

Monday, November 9, 2009

What Do You Need From A Car Dealer?

My entire career has been in advertising, specifically automotive advertising. The landscape has changed dramatically in this time period. TV and newspaper were the dominant media and that has certainly changed.

I'm presenting a workshop next week on Social Media for the local Milwaukee area dealers through their association (ADAMM - Automobile Dealer Association of Mega Milwaukee).

Obviously, Social Media is about listening and engaging before you transact. Yet, Razorfish's latest research shows customers sign up for brands to get a special offer. On Twitter, 44% follow for specials and it's 37% on Facebook/MySpace. What they fail to mention is about 60% don't sign up for that reason. It's still important to build a relationship before you ask for something in return. It's not an "all or nothing" situation.

What I'd like to know is what you'd like to see on a car dealer's social media sites? I have plenty of ideas (outtakes from TV ads, info about the product, "how to" videos, etc.), but would like your input.

Please e-mail me (mallemon@me.com) me or send me a message (@mallemon) on Twitter.

Monday, November 2, 2009

Guilty Pleasure

The NYT reports the ad world once feared DVR's is now embracing them. The concern was viewers would fast forward through ads, the advertisers would see less results and ad revenues would decline. I remember discussing this with local TV salespeople a few years ago and their response was, "viewers now watch more TV and they'll watch an ad for a product they're interested in." It must have been a "Spots & Dots" article, because they all quoted the same rhetoric.

Fast forward a few years and the reports seem to mirror this viewpoint.

What's frightening is I got a DVR in '04 and now watch more TV than ever. Before my DVR, I really only had one program I watched regularly. And my friends knew not to call during that one hour a week. Now, I'm following several shows. I don't think I could have gotten addicted to "24" without a DVR. When I find a new show that's been on a few seasons, having a DVR allows me to find older episodes. The DVR has become an enabler for me to watch too much TV.

I think back to the first year I lived in Milwaukee and didn't even have cable. Or the Internet (it was '94). I even subscribed to the local paper.

My new love of TV has been my guilty pleasure. At least I'm not alone.

Monday, October 26, 2009

Caveat Emptor

While working on a freelance project last week, I discovered a local source reselling Yahoo! Behavioral Targeting at a higher cost than going directly through Yahoo! The advantages of using the local source include “free” services for creative and placement. That’s it. Yahoo! Provides templates or you can use your own creative. If your budget is over $2,500 per month, Yahoo! also provides telephone support.

A friend of mine (JS – you know who you are) had mentioned this was happening across the country, so I asked the sale team I met with about the rate difference. The sales manager admitted it was less expensive to go direct. I actually found this refreshing, as most managers would have danced around the question.

What this means for you is “let the buyer beware.” Before trying a new product, investigate. Especially if it’s through a reseller. Don’t assume they pay a cheaper rate for their inventory and are selling it to you at a savings.

Monday, October 19, 2009

ROI for Online Display

Per AdAge.com, Google has developed a metric for branding/awareness of online display ads. The tool solves two problems:
  1. Click is an unreliable source of measurement because most of the clicks are performed by a small percentage of online users; and,
  2. Search gets the credit for the purchase/conversion, yet many other ads may have contributed to consumers behavior to search.
The product is new and certainly has limitations - it only works if the consumer has installed the Google toolbar, for example. It's a great start, however, and further research can determine if the users who install the toolbar are vastly different from those who don't.

The industry has relied heavily on click-thru rates and display has not gotten the credit it may (or may not) deserve.

I'm excited to see how this new tool quantifies the impact of display ads to transactions.

Monday, October 12, 2009

No More Joe Consumer

A recent AdAge white paper concludes the concept of the "average American" is gone forever.

Whew! I'm relieved. If a media recommendation of A25-54 on network TV was still the best way to reach the "masses," we'd all be in trouble. The good news is media has led the way in segmentation.

While we have a gazillion channels (with nothing on), consumers have had more and more choices for several years. Yet most people only watch about six channels. The obvious conclusion is the markets are more and more segmented. Yet, you can consistently reach your targeted audience.

This also gives creative the opportunity to craft a message that ties into specific wants and needs of your targeted audience. Instead of just trying to appeal to everyone. It may be shocking, but I have worked with clients in the last few years who still want to have a "menu" approach to creative - something for everyone.

What initially may sound challenging is really just support for strong recommendations. The key is to know who your customer is. Or isn't. Guessing doesn't cut it anymore (it never really should have).

Monday, October 5, 2009

The Birthday Club

Even though the concept has been around for decades, the idea of giving your customer a perceived “gift” on the birthday must still work.

I remember the “birthday club” concept at the local Big Boy restaurant chain when I was a kid in Michigan. When you signed up, you were mailed a coupon for a free kiddie burger.

Now, without signing up, I get discounts off shoes, clothing, coffee, car washes and even cookie dough. And even more clothing. Some offers are sent via postcards, others e-mail and even one embedded in a catalog.

Crazy? Maybe. But it seems to work. The perceived value is special and the customer wants to treat themselves for their birthday. (At least I do!)

With the popularity of CRM/database marketing campaigns, sometimes the most obvious strategy can be effective.

What do you send your customers for their birthday?