The Choice Seems Clear

Seems like a situation with easy logic: advertisers should spend their marketing dollars with the medium that offers the most audience engagement, right? Well, then someone tell me why Newspapers get 20% of the marketing dollars when they only deliver 8% of time spent between the media and their audience?

BusinessInsider.com shared 2008 research from JP Morgan via their Chart of the Day post:




The Internet tops the chart in disparity of attention vs. advertising investment by delivering 38% of time spent with the medium but receiving a mere 8% of total advertising dollars.

The other big missed opportunity is Radio, only receiving 9% share of advertising budgets, but delivering 19% of audience engagement -- a virtual mirror image of Newspaper!

Certainly something to talk to your clients and prospects about as you help them plan their strategies for 2010.

BusinessInsider.com notes the numbers are from 2008, so the ad spend on newspapers is lower today-- but go on to say "it's not low enough, considering how little we spend with them."

How Does Your Marketing Measure Up?

Read a great article in the latest MarketingProfs "Get To The Point" newsletter on Marketing Analytics. They recap a post from the Email Experience Blog on measuring the success of email marketing campaigns. This specifically addresses email, but the principle applies to ALL marketing efforts and the importance of pre-establishing metrics for success.

The blog post says data gathered on email marketing campaigns might not be as useful as you think. "Real danger lurks in not measuring the right factors or not measuring accurately. You could suffer lost revenue. You might not know which messages are working. And your sales team won't know what to focus on."

There are just SO many different things you can measure in marketing (especially online marketing), that it's extremely difficult to agree upon industry benchmarks in order to make effective comparisons. People are focusing on impressions or clicks or only those clicks that lead to a single sale.

The purpose of any marketing is to trigger an ACTION. Actions could include:

• Forward to a friend
• Signing up for a mailing list or additional informaiton
• Visit to a physical store location
• Attend an event
• Buy a product

It's vital to have a clear view of your client's specific goal for the campaign's marketing message and for the results on which the campaign will be judged. In order to meet those goals, tools must be in effect to capture the correct data by which effectiveness can be judged. As they say in the article... "If you can't measure it, you can't improve it."

VBR for Video

Inside Radio shares these Nielsen stats in regard to increased interaction with online video:
Nielsen released May video viewing data that shows 134 million Americans watched online video content last month. That's up 13% from a year ago. The number of minutes a typical online video user watched jumped 49% to 189 minutes.

If you have a client that you know is using using tv spots now or in the past, a video pre-roll opportunity on the radio site can take advantage of video that has already been produced, but perhaps not fully utilized due to the higher cost of television airtime.

If the client has a product or service that would benefit from visual expores to our audience in addition to the audio spots already being aired, a landing page featuring product demonstration, client testimonials, or an amusing video that drives home an important point of their service can greatly increase the likelyhood of response by your audience.

Some great examples of video used to promote products:
1. http://www.insurance-mitchell.com/
Take a look about halfway down the page to see this creative use of a simple YouTube video embedding to brand his services and point out some perfect reasons why you need great insurance coverage.

2. http://www.savingsanity.com/
Simple 'talking head' video that promotes the advertiser's product while providing real informational content to the audience via the free tips presented in the video.

3. https://www.getsnuggie.com/
And the classic -- Snuggie. Sales not only increased exponentially once this landing page was created to enhance their already successful television spot, but a cult following developed by simple virtue of the new internet audience being reached. It wasn't long before people took the brand and product and started using it for their own creative ends:
Snuggie Remix (over 300,000 views)
Snuggie Pubcrawls (video from Chicago - WGN Radio, NYC, and San Diego - complete with media coverage)
Snuggie Parody (warning: strong - but hilarious - language) (4 MILLION views and climbing!)

Encourage your clients and prospects to use video.
Who knows where it might lead?

Social network ads are tough sell to Gen-Y

Seeking to grab the attention of Gen Y's on social networks? Better put away the old online display ads if you're seeking to grab the attention of Gen Y's on social networks. A new study by the Participatory Marketing Network and Pace University shows traditional banner ads to be ineffective to young adults aged 18-24.

Researchers asked a group of Gen Y's if they notice ads at all when navigating through a social community, and if they approve of them. While 84% said they notice ads on social networks, only 19% said they find them "relevant."

Researchers also found that 74% of the young consumers in the study click on social network ads "infrequently," and 36% don't click on the ads at all.

There were a few signs of hope in the results --
62% of the respondents said they have "visited a brand or fan page on a social network" and 48% said they have "become a fan or friend of the company or organization" showcased on a brand or fan page.

The top three reasons respondents cited for joining a brand or fan group were: get product updates ( 67%), view promotions (64%) and view or download music videos (41%).

Read full article: http://www.internetretailer.com/dailyNews.asp?id=29703

Nationwide Is All A Twitter

Meet Shawn Morton.
He's the Senior Consultant for Social Media at Nationwide Insurance.

Nationwide Insurance hired a full-time guy to oversee their social media. That's huuuuge. Shawn's job (according to his linkedin.com profile) is "establishing the enterprise social media strategy and advocating social media within the organization." (Watch your back Shawn. I want that job.)

Shawn recently held a Twitter 101 seminar for his Nationwide associates and was kind enough to post his slides on a (what else?) social website dedicated to sharing presentations.

Twitter 101

View more presentations from Shawn Morton. (tags: socialmedia twitter)

Slide 12 should be of special interest to any of you with 'boring old insurance accounts who cut all their advertising budgets this year...' It's a screen filled with some logos of corporate entities who are using Twitter. Among them: State Farm Insurance, Allstate, and of course Nationwide.

For any of you who've wondered why I send links to companies and articles and examples of businesses who are embracing new media as an option to traditional advertising -- THIS is the reason. Because, although they've reduced their spending on traditional media advertising, they are embracing and investing time AND MONEY into developing their social media efforts.

Become an expert in social media and apply the concepts of effective marketing principles to this new way of communicating to your audience and YOU will be the expert to whom they turn when they decide to reallocate advertising dollars to social media dollars. YOU can be the social media expert who gets rewarded for helping these companies strike up a dialogue with the audience that already loves YOUR brand and communicates through YOUR traditional media and social media tools.

Traditional Media Drives Interactive Usage

Survey Uncovers Drivers of Digital Influence and Reveals How Information is Shared Online
A new research study gleaned from a field of nearly 1,000 digital influencers demonstrates traditional and online media are both important sources when it comes to sharing news. The study by IM MS&L finds that traditional media play a vital role in igniting the process that leads influencers to share information online and via word of mouth.

Eight in ten influencers often go online to find out more after:

• Reading something in a magazine or newspaper (84%)
• Hearing something on TV or the Radio (84%)

"This research supports the need for influencer marketing campaigns to leverage both traditional and online tools to connect with consumers."
~ Renee Wilson
Deputy MD of MS&L New York
Director of the agency's IM MS&L practice.


Source: MSL News Release, 11/16/08.
Full release:
http://www.mslworldwide.com/in-the-news/press-releases/traditional-media-sparks-word-of-mouth

If You MUST Use Banners...

...at least try and use them more effectively.

In his article "The X Factor: Why banners fail" Sean X. Cummings shares some valid theories on why our sidebar 160x600 ads get better click-through rates than the 728x90 located at the top of the page.

From the article:

One of the greatest failings of the banner format is that it is peripheral to the content and not interruptive.

We all evolved as predators. Why is that relevant? Predators evolved with peripheral vision that picks up movement better than what's right in front of you. Their peripheral vision picks up ticks in movement and changes in speed better than smooth, clean movement.

Ah, now you're starting to get it --
Have.
The.
Banner…….[pause]
React.
[pause]
[pause]
[pause] Move. [pounce] Like it's stalking prey.

The consumer's eye will instinctively glance to see what it is. Don't be impressed with your smooth, animated banner approved in isolation of the consumer. It looks nicer but will not achieve your main objective: the attention of the consumer.

The technique won't work for every business or every campaign. Sean adds "It's a very effective strategy depending on your business model. An impression does not mean that the consumer ever saw the ad, it just means that the ad server delivered the 'opportunity' to see an ad. Aim for peripheral focus in your ad creation and increase the effectiveness of your campaigns."

He ends the article with line -- which is valuable advise no matter which media you're using. "Don't create ads that annoy us."

How/Why Consumers Share Info

ShareThis.com has just completed an extensive study on sharing with Forrester Research. Forrester and ShareThis, teamed up to find out what and how people are sharing information online with one another. The study, which will be released next week, provides some interesting statistics around how people share online information --

• 69% of adults cite email as the primary source of sharing information
• Less than 1/3 of online adults said they learned about the new content from shared content sources such as YouTube, a wiki, or social networking sites
• 84% of people still use the traditional cut and paste method to share a URL or information
• 81% of adults claim that they share to help others -- believing a person will benefit from the information they share
• Sharing increases site traffic 2x, thus increasing ad dollars or revenue for publishers
• Men are more likely to share recommendations and videos than women; 77% of adult males and 74% of younger males shared news and web links
• Women are more likely to share products or ideas they like via easy or direct sharing methods (ie texting.)

You can read the full press release here.

VBR: Staycations

With the already established MixFunGuide.com and TheFanGuide.com websites, the trend toward families cutting costs by reducing the travel and expense of their family vacation is a prime marketing challenge for our advertisers and real revenue opportunity for the creative account executive.

The latest buzzword for the trend mentioned above is "Staycation" and here is some information that can help you craft a compelling VBR that gains the attention of your prospects...

Let's start with Weber, the grill-maker, which released some survey results last month that say this is the summer of staycations and grilling. They surveyed over 1,000 people and received some interesting results:

• Among grill owners planning staycations, a whopping 80% plan to grill weekly
  
• 41% plan to grill at least several times each week
  
• Once having the term explained to them, 51% of the respondents said they plan to take one or more staycations this summer
  
• 24% who are changing their traditional summer vacations to include a staycation this year
  
• 40% say they plan to try new grilled foods or grilling recipes
  
• 13% plan to purchase a new outdoor grill this summer
  
• 7% plan to update or improve their current grill
  
• Others plan on buying grilling accessories (11%) or a grilling cookbook (8%)

What about state tourism organizations as a target?

• In Pennsylvania The Constitutional Walking Tour of Philadelphia is pushing its staycation not only as inexpensive and educational, but as a green-friendly trip.
  
• Connecticut created a web site that highlights staycation destinations in the Constitution State and offers discounts to many of those places.
  
• The Arlington (Texas) Convention & Visitors Bureau has a local and regional campaign designed to get the locals to go to Six Flags Over Arlington and spend the night with the family in a hotel.

Retailers can be Staycation destinations, too!
Wal-Mart is making things interesting for consumers, with its subsite makeyourdollarstretch.com and a downloadable desktop Widget called 101 Days of Summer Staycations.

The Staycation trend may have been created the need to cut spending on the rising cost of gasoline (and everything else!) but it may also have been created to help the innovative marketing professionals earn additional profits this summer!

Valuable Resource

I wanted to share this website with you -- it's dedicated to marketing stats:
http://www.marketingcharts.com/

They've got some great original charts (excellent for use in PPT proposals) , along with being a reliable news clipping/link resource for info in just about every industry.

Here are some favorites...
‘Online at Work’ Audience a Prime Target for Advertisers
http://www.marketingcharts.com/direct/online-at-work-audience-a-prime-target-for-advertisers-2921/

Big Shift to Online Ad Spend in $40B Global Auto Ad Market by 2011
http://www.marketingcharts.com/television/big-shift-to-online-ad-spend-in-40b-global-auto-ad-market-by-2011-2743/

Vertical Search an Advertising, Revenue Opportunity for Online Publishers
http://www.marketingcharts.com/direct/vertical-search-an-advertising-revenue-opportunity-for-online-publishers-2627/

Ad Spend to Grow 6.7% in ‘08, Internet to Overtake Radio in ‘08 & Mags in ‘10
http://www.marketingcharts.com/television/ad-spend-to-grow-67-in-08-internet-to-overtake-radio-in-08-mags-in-10-2596/

Top 5 Auto Brands by Share of Market Interest Online
http://www.marketingcharts.com/interactive/top-5-auto-brands-by-share-of-market-interest-online-november-2007-2851/

Top 10 Online Retail Categories by Order Size
http://www.marketingcharts.com/direct/top-10-online-retail-categories-by-order-size-october-2007-2812/

Top 10 Financial Services Online Ad Spenders
http://www.marketingcharts.com/interactive/top-10-financial-services-online-ad-spenders-november-2007-2791/

You can also subscribe to to a daily digest of the latest updates. Just visit http://www.marketingcharts.com/ and enter your email address in the top/right corner.

Best Way to Reach Business Decision Makers

The Internet is the best way for advertisers to market to business decision-makers, according to a poll. A survey of nearly 1,000 people by Minnesota Opinion Research found 60% agreeing the Web was persuasive. Fifty percent said it influenced them to make a purchase.

"Business decision-makers have told us that the Web is the best place to reach them," said Chris Schroeder, CEO of Washington Post/Newsweek Interactive. "Most importantly, they've made it clear that what they're seeing on the Web is leading directly to purchases."

Online Advertising To Top Radio In ‘08 & Magazines By 2010

Worldwide internet ad spending will jump to $44.6 billion in 2008, from about $36 billion, increasing its share of the market to 9.4% from 8.1%, according to ZenithOptimedia.

“We predict internet advertising to pass three milestones over the next three years,” according to ZenithOptimedia’s forecast, released December 3rd. “We expect it to overtake radio advertising in 2008; to attain a double-digit share of global advertising in 2009; and to overtake magazine advertising in 2010, with 11.5% of total ad spend.”

Advertising Now International
In addition to noting the growing importance of new media, ZenithOptimedia also notes a trends toward international ad spends.

“North America used to be half of advertising expenditures,” said Tim Jones, CEO of ZenithOptimedia Americas. “We’re seeing its share drop a full point every year at this point. That’s being made up for everywhere east of Eastern Europe. Look at the multinationals and where their investments are focused: the Russias, Chinas and Indias of the world. That’s true of our business and media vendor companies as well.”

Between now and 2010, according to the forecast, the 10 fastest-growing ad markets will be Kazakhstan in the pole position followed by Belarus, Serbia, Egypt, Russia, Moldova, Indonesia, the United Arab Emirates, Ukraine and what the agency refers to as “Pan Arab.”

Selling The Way Businesswomen Buy

Deloitte & Touche associates are approaching women clients differently than men based on lessons learned from observing women's shopping behavior. Their theory says that just as women consumers shop differently than men, businesswomen shop for professional services differently than businessmen.

TrendSight Group (an Illinois consulting firm) interviewed senior women execs and employees, finding the same discovery process women use when doing personal shopping also applies to purchasing business services. For instance, a woman might go to a store to buy a black pair of pants but then buy something else or change her mind. By contrast, men just focus on the black pants.

Other suggestions from the study:

• Don't get frustrated if spaces change
  Female clients may reevaluate or modify their initial requests because women discover as they shop. On the up-side -- women may be more likely to buy additional services and features they discover
  
• Share some personal details to build trust
  Women clients want to know and trust their consultants personally as well as professionally
  
• Business Lunches vs. Dinners
  Women often prefer business lunches to dinners because they tend to have more responsibilities at home. They'll be more receptive to evening events if given time to make arrangements
  
• Nodding doesn't equal understanding
  In terms of body language, men tend to stare as they listen and nod to signify they understand. Women may nod when they don't yet understand, simply to encourage the speaker to continue talking
  
• Face to face
  While consultants often purposely sit beside a male client as their "right hand man," women are more comfortable seated face to face

Deloitte's new approach comes as women are increasingly taking on more decision making roles at corporations, although the Wall Street Journal found most companies haven't systematically pitched women differently than men outside sponsored conferences and networking events.

The WSJ also points out that the method could easily backfire. Some women may welcome the greater sensitivity behind the approach, but others may find it patronizing.

Meryle Mahrer Kaplan, a vice president at Catalyst (a research and advisory group on women in business,) said "It's a great idea to pay attention to women as a people of influence, but if stereotypes seep in there, that's not helpful."