Advertising Week 2011 Media Highlights
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A select amount of media highlights from Advertising Week 2011.
Transcript of Advertising Week 2011 Media Highlights
AdvertisingWeek2011…FactsandFigures
ScopeofPress:Thisyear,AdvertisingWeekhad225registeredmembersofthepressinattendancefromboththeU.S.mediaandalsointernationalmediafromCanada,Japan,Mexico,Finland,andBrazil.ThemesoftheWeek:Pressattentionwasfocusedonkeythemesincluding:socialanddigitalmedia,onlineadgrowth,womenanddiversityintheindustry,andadspending.SocialNetworking:Thisyear,therewasinincreasedawarenessofAdvertisingWeekonFacebookandTwitter.TheWeekcurrentlyboasts9,079Facebookfansandhas21,962followersonTwitter.Broadcast:BothCNBCandBloombergNewsbroadcastedlivefromAdvertisingWeek.CNBCreachesanestimated340millionhomesworldwide,95millioninNorthAmericaandBloombergNewsreachesover200millionhomesworldwide.LocalNYCaffiliatesincludingFox,NBCandCW11allransegmentsduringtheweekaswell.NationalPrintFeatureStories:AdvertisingWeeksawanumberofnationalfeaturestoriesthisyear,includingfourdifferentstoriesintheTheNewYorkTimes,aswellasfeaturesinUSATodayandTheWallStreetJournal.Ongoingweek‐longreportingfromtradeandbusinesspressincluding:
HuffingtonPost–20,644,100visitorspermonth Fastcompany.com–1,663,923visitorspermonth Forbes.com–8,884,210visitorspermonth Mashable–2,995,630visitorspermonth Techcrunch–1,298,630visitorspermonth AllThingsD–587,476visitorspermonth AdAge.com–538,000visitorspermonth Adweek.com–207,115visitorspermonth Mediapost.com‐317,389visitorspermonth Mediabistro.com‐933,909visitorspermonth Clickz‐214,704visitorspermonth SocialTimes‐175,542visitorspermonth
DATE
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7‐Oct B
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7‐Oct F
7‐Oct G
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Tuesday, October 4, 2011
Thursday, October 6, 2011
Friday, October 7, 2011
Monday, October 10, 2011
Wednesday, October 5, 2011
October 2, 2011
October 4, 2011
Advertising Week attendees packed an auditorium in midtown Manhattan today to hear executives from the likes of AT&T, BuzzFeed, Facebook, Groupon, Huffington Post and LinkedIn speak on a panel titled “Masters of Monetization.”
Interestingly, these masters of monetization, kings and queens of cash, doctors of dinero, spoke little of actual dollars and cents and quite a bit about data and storytelling.
Several of these socially driven, digital advertising businesses have grown to multi-billion-dollar valuations in a flash, and it seems their plans to continue that growth are based on being as relevant as possible to consumers by merging technology and creative content. And, they’re all learning how to do this in real-time.
“These are new challenges that we’re figuring out together,” said Mike Gamson, LinkedIn’s senior vice president of global sales. “It takes time to explain what you can do with audience information and context and explaining how to use that to go viral.”
Investors have poured billions into start-ups collecting and crunching data in a way that can be applied to marketing initiatives. The wealth of data available and the speed at which it can be analyzed and meaningfully applied is changing the advertising industry. Yet, companies who provide that type of technology face a big challenge in educating the industry on how to put that data to work to better their businesses.
The panelists agreed that the best way to educate advertisers is to show them meaningful results.
“Measurement is what it’s all about,” Gamson said. “If you can’t move the needle for your customers’ business, you shouldn’t be in this business.”
Gamson went on to highlight a LinkedIn campaign for a credit card company that leveraged audience data to discover a segment that was 77% more likely to consider that company’s product. He said now that campaign effectiveness can be measured on an individual level and kept organized, there’s a “new age of what marketers can demand.”
“Advertisers want performance,” said Maria Mandel, vice president of marketing and media innovation at AT&T AdWorks. “They’re open and looking for ideas that are going to drive performance.”
Accessing this data, of course, brings up privacy concerns. Gamson said LinkedIn considers three “Cs” – control, consistency and clarity of the data it uses. Meanwhile, Groupon Senior Vice President of Sales Lee Brown said his company lives by two “Ts” – trust and transparency.
So, if data will lead consumers to water, the panelists were adamant that creative will make them drink. They went bananas for the use of storytelling in ad campaigns.
“We don’t hate advertising, we hate bad advertising,” Buzzfeed Chief Revenue Officer Andy Wiedlin said. “The real opportunity is with creative and content. What do you have to offer that’s interesting and engaging? What do [consumers] love so much that they will share across Facebook and Twitter?”
“The whole creative side is really exciting if done right,” Facebook Vice President of Sales Tom Arrix said. He recommended creating more targeted, bite-size advertising content, as opposed to a broadcast message that marketers have traditionally pursued.
“It’s the combination of the targeting with the storytelling that creates effective advertising,” LinkedIn’s Gamson said.
“All the big brands are engaged in this,” said Taylor Gray, vice president of marketing and social media strategy at Huffington Post. “They understand that they need to get in the storytelling business.”
The panelists also agreed that this strategy of merging data and creative will have its shot to be funded. The consensus was that the advertising business will weather an economic downturn that may be looming. “There’s no indication it’s slowing down,” Facebook’s Arrix said.
October 5, 2011
September 12, 2011
Can Progressive's perky Flo make mincemeat out of the Jolly Green Giant? For that matter, can the Old Spice dude clean Mr. Clean's clock?
That may be up to you. For the first time, social media will become the consumer voting focal point in the eighth annual online competition to select the nation's top two ad icons — and top two ad slogans. The winners will be hoisted as permanent banners on the ad industry's version of Hollywood & Vine: New York's Madison Avenue Advertising Walk of Fame. With Facebook, Twitter and YouTube platforms expected to attract a record vote and a
younger audience, Madison Avenue's newer ad icons are about to seriously test the staying power of the ad world's older icons. Some 20 icons are in the running — from the Energizer Bunny to Subway's Jared — but only two will be enshrined on Oct. 4 during Advertising Week 2011 in New York City. "It's the ultimate seal of approval from consumers," says Matt Scheckner, executive director of Advertising Week, an organization of corporate and media partners that sponsors the competition. To ensure social-media buzz, the group's hired BuzzFeed, the online tracker of consumer Web obsessions. But Advertising Age columnist Bob Garfield says it's particularly ironic that Madison Avenue is turning to the very digital world that had enabled consumers to tune out ad messages. "It's pitiful to see Madison Avenue imagining itself as beloved, when it's barely relevant to the public at large," he says. Garfield insists that, given a choice, most consumers will fast-forward through ads. He adds that people particularly detest seeing unwanted ads on their digital devices. "Madison Avenue can have all the parades and celebrations it wants," he says. "The best thing you can say about this is that it's self-delusional." Or not. Scheckner says he expects a record 1 million consumers, or more, to vote. "This will become viral," he says. Voting begins today at www.buzzfeed.com/adwalkoffame and ends at midnight Sept. 30. Winners will join past winners whose banners already are flying, including Tony the Tiger, Mr. Peanut and the Budweiser Clydesdales. Online voters will be able to vote only once. Garfield says he isn't planning on voting. But he admits being partial to Progressive's Flo. "But how do we all know Flo?" Garfield asks. "It's because she's on TV every three seconds, and we can't get out the DVR fast enough to fast-forward past her."
October 7, 2011
Advertising agencies are bracing for a pullback in spending from big companies as concerns persist that the US economy
is once again on the brink of recession.
Though media companies have tried to remain upbeat in recent weeks, advertising executives interviewed during
Advertising Week, which has been taking place in New York, acknowledged that their clients were likely to take money off
the table in the coming months.
“The slowdown in economic recovery in the developed markets, coupled with rising fears of double-dip recession, have
caused some advertisers to trim back budget increases planned for the end of 2011,” said ZenithOptimedia, the Publicis
agency, as it reduced its forecast for global advertising expenditure.
The lower forecast is likely to mean a renewed analysis of increasingly complex advertising budgets, as chief marketing
officers and media planners assess the effectiveness of television, outdoor, digital and print advertising.
“As money gets tighter we’re going to think about what actually drives a sale,” said David Sable, chief executive of Young
& Rubicam, the New York agency owned by WPP. “There’s going to be even more scrutiny of digital.”
Executives said they were looking for digital marketing solutions that offered engagement with customers, not just a broad
reach. Among such solutions, Facebook, which until recently was seen by many marketers as experimental, is now being
embraced as a mainstream option.
“It’s more and more being seen as a complimentary strategy that’s different than TV and different from digital,” said David
Fischer, vice-president of advertising at Facebook.
But widespread pessimism is being tempered as advertising groups look ahead to two events next year which might limit
the amount of money that can be taken off the table. The summer Olympics, to be held in London next year, will attract
the budgets of big global brands, benefiting the TV groups that carry the games. And the US elections will funnel
campaign budgets to local outlets, such as regional TV stations, outdoor ad groups and print publications.
“I don’t think this is 2008 or 2009,” said Michael Roth, chief executive of Interpublic Group, the advertising group. “Our
clients have the money and they have access to capital. This is an issue of confidence, of the business community as well
as consumers.”
Yet, even as advertising executives look forward to the spending from political campaigns, they are growing anxious about
the protracted squabbling in Washington, and the perceived failure of the US government to take swift and decisive policy
actions to boost the economy.
“It’s not that corporate earnings are horrible, it’s the expectation that they won’t find these solutions,” Mr Roth said.
“Everyone is waiting for them to solve these problems. Once they’re solved we’re back on the horse.”
October 5, 2011
October 6, 2011
Mobile display advertising broadly outperforms online display advertising, according to a new study revealed
by Millward Brown’s Dynamic Logic at Advertising Week’s Mobile Media Summit on Wednesday. The study,
which offers important “do’s and don’ts” for effective mobile advertising, warned against the repurposing of
online creative for mobile and stressed the importance of creative quality, an attribute that has become more
necessary as mobile advertising’s novelty erodes.
“Similar to other new advertising mediums, consumers were overwhelmingly receptive to mobile display
advertising in its nascency but now that its novelty is wearing out, creative quality matters more than ever,”
said Ali Rana, senior vice president and head of Dynamic Logic’s Emerging Media Lab. “Today, poor creative
can even have a negative impact on a brand, compared to the past three years when creative quality did not
matter as much within mobile display advertising.”
Dynamic Logic revealed three important factors that drive a successful mobile campaign:
1.
The location of a brand name or logo within a mobile ad matters: Left-side brand placement is generally most effective and has a strong impact on advertising recall
2. Clear and persistent branding is important for brand awareness 3. A strong call-to-action encourages interactivity and engagement to help drive purchase intent
The three biggest mistakes mobile advertisers make are:
1. Repurposing online creative by cropping it for a mobile environment 2. Showing one’s brand only through a product shot 3. Cluttering ads with too much text or too many logos
These best practices mirror those which Dynamic Logic has established for online creative.
“With only a brief window to capture a consumer’s attention, both mobile and online campaigns need to be
well-branded and clear to build awareness,” says Rana.
Why is Mobile Advertising so Effective?
The average mobile campaign has a positive impact on the five traditional brand metrics, especially ad
awareness, and significantly outpaces online brand metrics.
While mobile advertising effectiveness is still driven by novelty, it also benefits from the larger proportion of
the mobile screen devoted to the advertisement compared to online. In addition, the copy and content are
typically more focused due to size and technology constraints. Finally, as consumers become more acceptant of
mobile ads, the medium offers better targeting than most media.
Mobile works well at communicating messages for high-involvement categories like financial services;
however, some of the best campaigns are found in low-involvement categories like CPG, where ads are more
effective in moving persuasion metrics such as favorability and purchase intent.
Picking the Right Mobile Creative
Based on their growing body of evidence that supports the power of strong mobile creative, Dynamic Logic is
developing a new copy testing system optimized for the mobile display advertising landscape. In beta now and
coming to market later this year, this groundbreaking solution allows agencies and advertisers to optimize their
mobile creative and get the most out of their mobile media spend.
Follow Dynamic Logic’s Emerging Media Lab on Twitter @emergist. For more information on mobile
measurement solutions, please contact [email protected].
About Dynamic Logic
Millward Brown’s Dynamic Logic (www.dynamiclogic.com) is the world leader in digital insights. Founded in
1999 as a pioneer of the digital revolution, Dynamic Logic helped establish the Internet's true marketing value
to businesses by developing solutions that measure beyond click-through to quantify the full brand impact of
online advertising. Now, as Millward Brown’s Digital Practice, Dynamic Logic continues to lead the industry —
developing innovations to optimize and track digital ad impact, specializing in emerging media platforms, and
integrating insights across all digital and non-digital media. For marketers, agencies, and publishers alike,
Dynamic Logic offers the most cutting-edge and adaptable solutions to make the most of every digital
marketing dollar.
Photos/Multimedia Gallery Available: http://www.businesswire.com/cgi-
bin/mmg.cgi?eid=50018030&lang=en
October 5, 2011
October 4, 2011
Looks like what happened here didn't stay here, after all.
In fact, what happened here made its way to Madison Avenue in New York City, where the Mad men finally gave Las Vegas' most famous slogan its day in the sun.
"What happens here, stays here," the Las Vegas Convention and Visitors Authority's catchphrase, was one of two winners named Tuesday to the 2011 annual Madison Avenue Advertising Walk of Fame in New York City. The ad copy created by R&R Partners received 54 percent of the votes, which came by way of a public campaign that ran from Sept. 9-30.
"We're thrilled as an advertising organization to get this recognition from our peers," said Terry Jicinsky, senior vice president of the Las Vegas Convention and Visitors Authority.
The second-place winner, with 11 percent of the vote, was Capital One's "What's in your wallet?" campaign.
In response to the large margin between the first- and second-place winners, Jicinsky said: "It speaks to the iconic nature of the campaign. It has really become a part of American vernacular."
R&R Executive Vice President Rob Dondero added, "I think it's a testament to the connection it has to people and Las Vegas consumers specifically."
Both slogans will receive permanent positions on the Madison Avenue Walk of Fame, between 42nd and 50th streets in New York City, the advertising industry's version of Hollywood and Vine. This was the Las Vegas phrase's third run at the walk of fame's ballot.
"Our reaction? Yippee! This is the greatest thing that has ever happened to us on a national level," Dondero said.
Allstate's "Mayhem" and the Coca- Cola polar bears were inducted as the favorite icons of the year and the Kia hamsters were named the first-ever "Rookie of the Year."
The Madison Avenue Advertising Walk of Fame was created by Advertising Week, an industry event that is the largest gathering of advertising, media and marketing professionals in North America. Since its creation in 2004, Advertising Week has drawn thousands of participants from around the world to New York City for a weeklong event that focuses on the power of advertising and its neighboring industries.
September 13, 2011
R&R Partners is about to try again.
For at least three years, its "What happens here, stays here" slogan has been on the ballot for inclusion in the Advertising Walk of Fame on New York's Madison Avenue. So far, its vote total has come up short.
Rob Dondero, executive vice president at R&R, said the agency will fire up its social network to remind Las Vegas resorts to get out the vote. Under the rules set by the group that stages Advertising Week in New York, anybody can vote once a day online now through Sept. 30, with the two highest vote-getters out of
20 nominees winning a spot in the walk.
"It's like any hall of fame, you have to earn your way in and sometimes it takes several tries," Dondero said.
The honor was created in 2004 to complement seminars and programs during the week. Five slogans and icons were inducted in the first year, with two more of each added annually since then.
The Advertising Week voting site is http://www.advertisingweek.com/stg/content.php?secc=awf_7, should you want to cast a ballot.
In trying to draw votes, R&R is up against some slogans have been around much longer and have accounted for much more airtime, such as "Don't leave home without it," "Be all that you can be," "Just do it," and "Got milk?"
Las Vegas's now-famous slogan formally defined the city as never before, Dondero recalled. Before late 2002, when the slogan first appeared in ads, R&R had designed several different campaigns for the Las Vegas Convention and Visitors Authority, but there was no predominant theme.
"What happens here" gained wide cachet, even being placed in movie scripts, after the Sept. 11, 2001, terrorist attacks had delivered a body blow to the visitor industry and the attempt to make the city family-oriented was fizzling.
The slogan caught on, he said, with the help of being refused a commercial spot during the 2003 Super Bowl .
Last year "What happens ..." lost out to the much less risqué "Virginia is for lovers" and the venerable "Like a good neighbor, State Farm is there.''
September 12, 2011
October 4, 2011
New York • In an age of political name calling and hate speech, moms may be the nation’s best hope.
Reflecting a bent toward values of a different era, an astounding 77 percent of moms prefer to have children with good manners over good grades, according to the just released Women at NBCU study.
In another sign that moms are embracing a more traditional lifestyle, 66 percent say they would rather be a stay-at-home parent than a working parent. Additionally, the majority of employed moms (53 percent) feel that while financially they need to work, they would prefer to be stay-at-home moms.
The rift between reality and aspiration has never been wider, supported by the fact that only 12 percent of moms in the study say they believe they are very accurately portrayed in advertising.
“Although moms are not saying they want to go back to the 1950s, they are clinging to certain values and traditions associated with that time period,” said Melissa Lavigne-Delville, VP of Trends and Strategic Insights, Integrated Media at NBCUniversal. “There’s a backlash to the complexity of current conditions like the economy and fragmented families. Brands with strong “roots” have an opportunity to play up their heritage or consider resurrecting brand assets from this past. Ultimately, though, women will need products and services that are modern and can keep pace with their everyday realities — traditional cannot mean old school.”
According to the study, dads’ aspirations are also shifting dramatically — toward the home.
More than 1/3 of dads (36 percent) prefer to be a stay-at-home parent than a working parent. Additionally, while dads claim they are pitching in at home more than fathers of previous generations, perceptions about the actual amount of housework diverges between partners: 61 percent of dads say they split the household labor and childcare equally with their partner, while only 27 percent of moms feel the home workload is evenly split.
The survey also shed light on the fact that the most technically-connected generation of moms, Gen Y’s (18-32 years old), are the ones who actually feel most out of touch. Nearly twice as many Gen Y’s (42 percent) as Gen X’s (24 percent) felt isolated when they first became mothers. This is, in part, attributed to the fact that women are becoming mothers at all different ages and, thus, cannot necessarily relate to their peers. Unlike previous eras, first-time motherhood can span four decades.
Other noteworthy findings from Women at NBCU’s new family study include:
• Moms reported that the “breakdown of the traditional family” was the second most serious issue facing children today, right after drug abuse.
• 60 percent of moms believe that in 10 to 20 years there will be as many stay-at-home dads as there are stay-at-home moms.
• 31 percent of moms reveal that they tend to linger longer in the shower, while running errands, on appointments or during a commute, just to find a little more alone time during the day.
• 30 percent of moms believe that in order to keep up with today’s competitiveness, a child’s education begins at or even before birth.
The nationally representative survey was conducted among 3,224 moms and 403 dads in June and August. About Women At NBCU :
Launched in May 2008, Women at NBCU is a combination of media assets reaching women across multiple platforms.
October 3, 2011
To capture the Hispanic vote, politicians need to forget their obsession with the immigration issue, remember that Latinos are important swing voters and advertise in Spanish, according to an Advertising Week panel called "Will Latinos Elect Our Next President?"
Mark Mellman, a pollster and president-CEO of the Mellman Group, said, "The Latino community is disproportionately Democrats, but there are as many swing voters among Latinos as Anglos."
He said Hispanics represent about 9% or 10% of the electorate, but in key states can make up 12% to 16% of voters, and as much as 35% of the voting population.
And they're not as interested in the immigration issue as politicians appear to believe they are.
"They're more interested in the economy, jobs, education, government waste and higher taxes," Mr. Mellman said. "Language is also important. A large percentage of the swing voters -- one-third or more -- is Spanish dominant. A relatively small group only watches English-language media, and even they think it's important to advertise on Spanish-language media. They say that's a sign of respect for their community."
Eighty-four percent of registered Latino voters go to the polls and vote, said Chiqui Cartagena, VP corporate marketing at Univision Communications. She said that 34% of Latinos are under 18 and that every year 500,000 Latinos turn 18, offering both parties an opportunity to woo young voters.
She said neither party is well-versed enough in Hispanic consumers to show they care about them. "They want to tick the [Latino] box and make the other candidate look bad. I want to be talked to about jobs and health care and government waste."
Ms. Cartagena said that 40% of new registered voters in 2008 were Latinos. Among all Latino voters, about 16% can be considered swing voters.
Those Latino swing voters are likely to be important in the 2012 presidential election. Mr. Mellman cited five states -- Florida, New Mexico, Arizona, Colorado and Nevada -- that will play a central role and have substantial Latino populations. Other very divided states like Virginia and North Carolina have smaller numbers of Latinos, but "every vote will count," he said.
In 2008, the Obama campaign spent about $25 million on Spanish-language media and the McCain campaign spent about $5 million. Lionel Sosa, a long-time Republican political consultant who currently works for Newt Gingrich, said he doesn't see that changing.
"Obama will be able to spend $25 million," he said. "The Republicans, it's hard to say. If it's Romney, he'll probably spend less, because even though Latinos don't care about immigration, when you talk about guns and fences, it sends out an unfriendly message. [But] the world could change 12 months from now. If things are looking up again, they could give Obama another chance."
He said it's more important for Democrats than Republicans to advertise in Spanish, and that Republicans can "feature a Latino as the hero in your general market ads. You don't spend one more nickel."
October 5, 2011
October 10, 2011
By moving Advertising Week so it would no longer coincide with the UN General Assembly, there were fewer logistical headaches than in the past. Attendees could find Manhattan hotel rooms for under $900 a night and didn't have to grapple with street closures.
But the affair, now in its eighth year, remained too exhausting in terms of number of events and too short on fresh thinking. A lot of it was the same old, same old.
Since it's less about what's said during panel discussions than what's said over coffee and cocktails, Ad Age staff decided to use the week's meetings with top execs as a chance to take a temperature check: How is the lack of confidence in the economy affecting marketers' plans for 2012, and how are agencies behaving accordingly?
"Marketers are reacting to the current economic uncertainty the same way consumers are," said Zain Raj, president-CEO at the SolutionSet MediaWhiz Partnership. "They're managing their current spending conservatively while adopting a wait-and-see attitude on making aggressive investments. Unlike the last recession, which was caused by consumer fear that quickly infected marketers and caused a lot of knee-jerk reactions, the feeling right now is more akin to a low-grade fever that refuses
to go away."
Most marketers say there is no pressure to slash marketing budgets. But budgets aren't rising, either.
"We're doing our plans now for next year and we're doing everything we can to keep spending at the same levels as this year," Kim Bealle, Kraft's senior director-consumer marketing group, told Ad Age. The company is adjusting its media mix, however, with certain brands, such as Kool-Aid, spending 50% or more in the U.S. Hispanic market.
Compared with packaged goods, there seems to be a bit more clamming up when it comes to the restaurant and beverage business. Tony Pace, top marketer for sandwich chain Subway, said he's observed restaurants are doubling down on value messaging to entice customers who might otherwise conserve their cash. A drop in gas prices, however, could free up some disposable income, which in turn could mitigate some consumer fear about a double-dip recession.
"We're certainly concerned about the economy, only because in many parts of the world there's not the confidence level," said Joe Tripodi, chief marketing and commercial officer, Coca-Cola. "Our business gets hurt when the economy is down and people don't go to restaurants. We have a huge fountain business, a huge restaurant business, quick-serve restaurants, cafés and bars." The beverage giant predicts consumers could start gravitating back to lower price points, and is working with its restaurant partners on different "ways to bundle the product with food, to drive value for the customer."
Condé Nast CMO Lou Cona - fresh off a trip from Europe where he met with a bevy of chief marketers and CEOs -- said things look solid for luxury advertising despite recent turmoil in the financial markets. "What I have heard is -- and I was pleasantly surprised -- is that many of them have posted double-digit gains in their sales year to date, and their expectation was that they would end the year in very positive territory."
Mr. Cona observed similar bullishness for the beauty market: "If I look across the beauty business and some of the early talks we're having for 2012, we're not seeing any wholesale cancellation of schedules. We're actually seeing some pretty robust requests for proposals."
Frederic Rozé, CEO of L'Oréal USA, likewise said he sees no slowdown yet in the U.S. beauty market. "It's due to the polarization of the U.S. economy," with unemployment still low among college-educated consumers and high among others.
What's common across all marketing sectors is that social media and mobile will likely continue capturing more ad dollars, according to people who work in the realm.
Said Adam Bain, Twitter's president of global revenue: "As we continue to grow our audience and expand our ad offerings, we expect to see even more demand as brands look for cost-effective and measurable solutions."
"I see no slowing of growth [in mobile investment]," said Anne Frisbie, head of North America for mobile ad network InMobi. "I haven't seen bad signs yet, but even if that was to happen, I think mobile will be fine because 2008 was different; mobile hadn't yet gotten its foothold."
When it comes to digital overall, the focus is increasingly on measuring how ad dollars are providing return-on-investment. As Shane Ginsberg, VP-corporate development at Omnicom Group agency Organic, put it: "We're in a "prove it' economy," and what's on the chopping block in tough times is "advertising that doesn't lead to a sale tomorrow."
"On the management of agencies side, we're trying to be as thoughtful as possible about our costs, and strategic about who we bring on to staff now," said Mary Baglivo, CEO of Saatchi, New York, and CEO-chair of the Americas. "We are being pretty conservative in that regard."
At the end of the day, it's all relative.
The Motor City, of all places, is finally a bit more upbeat. Said David Demuth, CEO of Doner: "Despite all of the rhetoric about uncertainty in the economy, here in Detroit it feels pretty damn good relative to how bleak it was just a year or two ago. So, we're focused on growth."
October 7, 2011
October 3, 2011
October 7, 2011
For every winning idea such as the Client Stock Index, how many innovations have you introduced at kbs+p that simply slipped through the cracks or didn’t pick up steam?
Well, I think we entertain a lot of ideas, and we try to be choiceful in the one’s we select. The Client Stock Index [which weighs employee incentives against campaign results] started as sort of an all-agency invitation to pitch ideas that would help advance us as a company. So there were literally 50 ideas that were brought forth by 50 of our employees. We selected the Client Stock Index as the top idea because it was such a no-brainer, given that if you wanted to create the mentality of aligning employee wealth and motivation with client success, it’s something really tangible that you can put in the culture. But I think the main thing is to entertain a lot of ideas and then be choiceful about the ones that you implement.
It sounds like a game of odds. Some of those ideas must fall flat.
I mean, absolutely. There are always going to be ideas that succeed and fail. But if you have good instincts, the odds will be in your favor. And if you don’t try, then you won’t have the success.
What’s the biggest challenge when you introduce an idea? Is it convincing the other partners, is it motivating employees, or is it an entirely different obstacle altogether?
Well, one of the things we did in order to create change is, first of all, engage people in it. So when I talked about that American Idol-style sort of pitch process to select an idea that we put into our culture to drive change, when people feel like they’re part of generating what that change is going to look like, they’re less fearful of it. And the other thing is that we have a value system here, which is “do things that matter.” It really puts an emphasis on doing rather than just talking about it all the time.
With such an emphasis on innovation, do you press your clients to be more innovative?
Absolutely. We’ve made real investments at the agency in terms of the technology. We have Spies and Assassins, which is our technology and innovation practice. We have the Test Kitchen. We have kbs+p Ventures. And all of those are designed to help our clients have a view into the future and be able to experiment with us, and be able to actually execute ideas that will help them drive change.
What will you be talking about at the panel?
The reason I was so interested in doing this panel is because Advertising Week’s mission has been described as “to inform and to inspire,” and I think that this seminar brings a third dimension to that, which is to apply—to actually be able to apply that information and inspiration. The areas I’ll probably talk most about will likely be focused on this purpose-driven organization of having a do-things-that-matter kind of value system. What that means is saying yes to entrepreneurs. So when you have people that bring ideas forward, it’s having a bias toward action and empowerment.
Considering how innovative you are, what companies do you think of as innovative?
Certainly a lot of technology companies. We also work with our great automotive friend, BMW. And one of its hallmarks is certainly innovation. But so I think you can see examples of innovations in most categories. There’s always someone blazing a trail. Is there such a thing as too much innovation? I think that change in our industry requires constant reappraisal of our practices and our perspectives. Ideas are born from multiple influences, and creativity is about looking at things in different ways. So I think innovation is a constant imperative.
For every winning idea such as the Client Stock Index, how many innovations have you introduced at kbs+p that simply slipped through the cracks or didn’t pick up steam?
Well, I think we entertain a lot of ideas, and we try to be choiceful in the one’s we select. The Client Stock Index [which weighs employee incentives against campaign results] started as sort of an all-agency invitation to pitch ideas that would help advance us as a company. So there were literally 50 ideas that were brought forth by 50 of our employees. We selected the Client Stock Index as the top idea because it was such a no-brainer, given that if you wanted to create the mentality of aligning employee wealth and motivation with client success, it’s something really tangible that you can put in the culture. But I think the main thing is to entertain a lot of ideas and then be choiceful about the ones that you implement.
It sounds like a game of odds. Some of those ideas must fall flat.
I mean, absolutely. There are always going to be ideas that succeed and fail. But if you have good instincts, the odds will be in your favor. And if you don’t try, then you won’t have the success.
What’s the biggest challenge when you introduce an idea? Is it convincing the other partners, is it motivating employees, or is it an entirely different obstacle altogether?
Well, one of the things we did in order to create change is, first of all, engage people in it. So when I talked about that American Idol-style sort of pitch process to select an idea that we put into our culture to drive change, when people feel like they’re part of generating what that change is going to look like, they’re less fearful of it. And the other thing is that we have a value system here, which is “do things that matter.” It really puts an emphasis on doing rather than just talking about it all the time.
With such an emphasis on innovation, do you press your clients to be more innovative?
Absolutely. We’ve made real investments at the agency in terms of the technology. We have Spies and Assassins, which is our technology and innovation practice. We have the Test Kitchen. We have kbs+p Ventures. And all of those are designed to help our clients have a view into the future and be able to experiment with us, and be able to actually execute ideas that will help them drive change.
What will you be talking about at the panel?
The reason I was so interested in doing this panel is because Advertising Week’s mission has been described as “to inform and to inspire,” and I think that this seminar brings a third dimension to that, which is to apply—to actually be able to apply that information and inspiration. The areas I’ll probably talk most about will likely be focused on this purpose-driven organization of having a do-things-that-matter kind of value system. What that means is saying yes to entrepreneurs. So when you have people that bring ideas forward, it’s having a bias toward action and empowerment.
Considering how innovative you are, what companies do you think of as innovative?
Certainly a lot of technology companies. We also work with our great automotive friend, BMW. And one of its hallmarks is certainly innovation. But so I think you can see examples of innovations in most categories. There’s always someone blazing a trail. Is there such a thing as too much innovation? I think that change in our industry requires constant reappraisal of our practices and our perspectives. Ideas are born from multiple influences, and creativity is about looking at things in different ways. So I think innovation is a constant imperative.
October 7, 2011
The sorry state of the economy has eaten up hours of talk at Advertising Week. But in the good news column—for some agencies, anyway—there’s this: ad spend targeting Hispanics has yet to slow down. The 2010 U.S. Census laid bare what the industry has known for a while: the demographic is exploding. Hispanic consumers now number 50 million—or 1 in 6 Americans—accounting for more than half of the nation’s increase in total population. So, while growth in general-market advertising is slowing, marketing expenditures targeting Hispanics continue upwards, albeit not at the double-digit increases seen before the recession. In the first half of this year, for instance, Procter & Gamble shifted budgets into Spanish-language media at the expense of general market consumer magazine and TV (both broadcast and cable). And financial services and pharmaceuticals, which traditionally have not been very active in the Hispanic marketplace, are now boosting their ad spends. For some multicultural shops, however, the good news has a downside: As investment levels increase, so does interest from general-market shops with established, big-client relationships. And their deep pockets means they can lure talent from these smaller agencies. In August, research firm IBISWorld released a list of the top 10 U.S. industries in which the Hispanic market share is growing the fastest. No. 5 on that list? Ad agencies. “You’re seeing a lot of general-market agencies building their business at the expense of multicultural agencies,” said one industry insider. Given the changing U.S. population, it’s an obvious business expansion. Last November, for instance, Ogilvy created OgilvyCULTURE, a cross-cultural strategic service practice, picking up work from marketers such as Kodak, Ikea, and British Airways. Roberto Orci, chair-elect of the Association of Hispanic Advertising Agencies, which hosts its annual conference next week in Miami—as well as president of L.A.-based Acento—notes that in certain areas in the U.S., and for certain brands, the Hispanic market is even being considered the general market. His agency, he adds, has participated in general-market reviews, and has gone up against general-market agencies in Hispanic reviews. Ingrid Otero-Smart, CEO of Interpublic’s Casanova Pendrill, says her Costa Mesa, Calif. agency is more likely to have a client give new Hispanic work to one of its general-market agencies than it is for Casanova Pendrill to come up against general-market shops in a new-business pitch.
Hispanic consumers, as a group, now have more discretionary spending power than any other multicultural segment. Otero-Smart, Casanova’s Pendrill’s chief, seems less concerned about the encroachment of general-market shops on her turf than she is about marketers’ slowness in heeding the wake-up call delivered by the recent Census findings. “One of the issues we face is, ‘How do we get marketers beyond the 4-5 percent levels of spending?’ Their budgets should be two-to-three times bigger,” she says. “Competition from general-market agencies would be a moot point if that was the case—there would be enough business for everyone.”
October 6, 2011
October 5, 2011
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October 7, 2011
Tracy Dolgin, chief of the YES Network, offered several reasons this week why "TV Everywhere" still poses significant hurdles for the industry. Two have been cited before, but there was one that appeared to make its public debut: a risk of piracy.
Unless cable operators make broader efforts to determine exactly who is accessing the content, there is a risk of consumers gaming the system, Dolgin said.
"You actually have to know who's watching, not someone they've given their pass code to," he said at an Advertising Week event.
"TV Everywhere" is the industry initiative where cable and other operators make networks available to viewers on multiple platforms, so long as they go through an authentication log-in process to prove they also have a TV subscription.
But what if the keys are passed along through a college dorm or at a book club? Cousins on the West Coast have almost certainly handed over a Netflix password to kin back East.
So far, with TV Everywhere still establishing itself, any bootlegging has probably been minimal, but a more precise authentication process -- and who knows how that would work -- may be needed. Don't bet against the engineers at a Cablevision or Verizon coming up with the functionality. But preventing people from giving a friend access when they're paying $150 a month for TV service might not be the best PR move.
The YES Network Dolgin leads is a regional sports network in the New York area, which airs about 130 Yankees games a year and a slew of other programming.
The Turner networks, along with HBO and ESPN, have been among the programmers who have experimented with TV Everywhere, which could gain increased interest as consumers enjoy watching on iPads and maybe the new Kindle.
Yet, YES's Dolgin also mentioned two other potential hold-ups -- albeit well-trodden ones -- that may make content providers reticent about allowing a Dish Network or Cox to make their programming "globally" available.
Agreements need to be cut that give an economic benefit to the networks and operators. And, networks want sturdy viewership metrics, so they can monetize the consumption with advertisers.
"We would be out of or minds to allow our content to migrate (to) all platforms until the data is being used," he said.
Nielsen has launched a system that can meld TV and broadband viewing together to produce a single C3 rating, which can then be used as market currency.
To a degree, YES Network has been involved in some TV Everywhere-type initiatives. Outside the New York area, an MLB.tv package allows consumers to view Yankees games. In the YES home market, games are available for streaming on broadband through deals with multiple operators.
There, consumers need to prove they also receive the network on TV. And unlike other TV Everywhere packages, they must also pay an added access fee.
On the FAQ page for the service, a question is "May I share my account with others?"
Answer: "No. Sharing of your username and password is strictly prohibited."
October 5, 2011
October 6, 2011
October 5, 2011
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October 4, 2011
The pace of change in the marketing world, especially the emergence of new technologies, has made agencies more indispensable to brands and their CMOs, John Partilla, COO of Dentsu Network West, told attendees of Advertising Week's Bloomberg roundtable on Oct. 4 in New York.
As clients shift more of their budgets into social media, he said, a knowledge gap involving social and other innovations makes agencies more valuable in terms of support, as long as those agencies are ahead of the technological curve. “Clients are relying on their agencies as business partners,” he said.
However, the perception still persists that marketing via social media is less expensive than other channels, said Colle & McVoy president and CEO Christine Fruechte. “Clients believe that shifting from traditional to nontraditional will save money,” she said, but that is not necessarily the case when it comes to executing a successful campaign.
Panel moderator Felix Gillette, a writer for Bloomberg Businessweek, noted that less costly technology has allowed more businesses to compete using the latest tools.
“These days, the cost has come down so that pretty much anyone with a laptop and some cloud computing can start a business,” he said, creating the phenomenon of the 19-year-old CEO.
New technologies, especially in the social media space, have bolstered data-driven marketing, Partilla said, but data should not be the sole factor of a campaign. He shared a cautionary tale: One of his clients had its feature film flop last summer, even though data beforehand had suggested it would perform well. “The client was saying, ‘We don't understand. The data said the film should have opened up better. We thought we had a runaway hit on our hands.'”
Partilla blamed an ineffective launch campaign for the movie's failure. “Somehow they lost the art in the science,” he said. “You need to bring the two together.”
This is where agencies can provide added value to clients. By encouraging an integrated approach that incorporates not only traditional direct marketing methods but newer channels, agencies can help clients build their brands in a way that resonates with today's consumer, panelists agreed.
Creativity remains key, said Maria Luisa Francoli, global CEO of MPG, though “some creative people will have to accept that algorithms can show what works and what doesn't work,” she said.
Traditional marketing channels, including DRTV, email marketing and print media, are hardly dead, no matter the conventional wisdom, said Partilla.
Nick Brien, chairman and CEO of McCann WorldGroup, concurred, adding that he is “in awe of how swiftly magazines completely reinvented themselves around the tablet.”
“Everything that is old can be new again,” Partilla said. “If you want to survive, forget old and new media: you need relevant media.”
Donald Coleman, president and CEO of GlobalHue, likened those clients still resistant to investing in marketing via emerging media channels to The Titanic, saying that while they want results, “they don't want to change their paradigm.”
“Some clients are living off the fumes of a past business model,” agreed Brien. The goal, he said, should be to take advantage of the “ability to connect people, then experiences, then passions, around a common purpose.”
October 4, 2011
October 3, 2011
October 3, 2011
Facebook's New Tools Give Marketers Insights, Help Measure Fans' Word Of Mouth
BY E.B. BoydMon Oct 3, 2011 Among the tools Facebook is releasing today in conjunction with New York's annual Advertising Week are a new dashboard to measure the reach of individual Page posts, an API to allow third-party agencies build their own tools on top of this new Facebook data, and a new ad unit that allows companies to create ads out of their Page posts.
Companies set up Facebook Pages to market themselves. But until now, they’ve only had fairly blunt instruments--like the number of Likes--to measure how well they’re doing. Now Facebook is releasing a new set of tools that the social network says will give marketers better insights into how well their Pages are reaching Facebook users--and ultimately make those Pages more useful to brands.
Among the tools Facebook is releasing today in conjunction with New York's annual Advertising Week are a new dashboard to measure the reach of
individual Page posts, an API to allow third-party agencies build their own tools on top of this new Facebook data, and a new ad unit that allows companies to create ads out of their Page posts.
The tools reflect the company’s increasing emphasis on driving sharing among users--an area of focus CEO Mark Zuckerberg announced this summer, saying that the company now views the amount that people share on Facebook as a stronger indication of the value of the network than the previous metric, which simply measured the total number of users.
“With the new Page Insights, Facebook is emphasizing the importance of sharing on Pages, because this increases a brand’s reach,” the company said in a press release.
The new dashboard, called Insights (pictured, right), appears as a tab on the company's Page and is only available to adminstrators of the Page. The Insights tab lists the Page’s total number of fans ("Total Likes") and the total number of other people reached via those fans ("Friends of Fans"). It also offers a ticker to show whether those numbers are going up or down.
With the Insights tab, Facebook is launching a new metric: “People Talking About This,” which doesn’t just measure how much people are talking about the Page in the conventional sense (such as a user commenting on a post on
the brand’s Page). It also includes all the activities that Facebook considers a “conversation”--things that indicate a user is in some way engaged with the brand.
Among the activities that fall under that the umbrella of a “conversation” are: Liking the Page; posting to the Page’s Wall; liking, sharing, or commenting on a post; RSVP’ing to an event; photo-tagging the Page; checking in at the brand’s Place; and Liking or sharing a check-in deal.
Facebook says providing this data, particularly at the individual post level, will allow companies to measure the impact of their posts and, ultimately, help them create posts that do a better job of going viral. “Research shows that word-of-mouth conversations among friends are the most influential for getting a brand’s message across,” the company said in its press release.
Indeed, Facebook cited comScore research showing that fans and friends-of-fans of a Page are more likely to “visit a store, website, and even purchase a product or service.” Fans and friends-of-fans of Starbucks spend 8% more in stores than the average Starbucks customer and transact 11% more frequently, the company said.
The data supports Facebook’s overall premise: that the social network is a valuable place to market, because it allows companies to activate user word-of-mouth at a scale previously never possible. Indeed, the company has previously said that Sponsored Stories, a category of ads that show Facebook users which of their friends already Like a certain brand, perform twice as well in engaging users than do generic ads on the network.
To that end, Facebook is also today releasing a new premium ad unit that allows brands to turn their posts into ads. If the ad is put in front of a user who has a friend who is a fan of the brand, the ad will include that information in the ad (pictured at the top of the image, right)--thus, Facebook says, “combining the brand's voice in the ad with a friend’s voice.”
According to the social network, this kind of “social context” results in a 68% increase in people recalling the ad, and people who view these kinds of ads are four times more likely to make a purchase than people who see generic ads.
Also, today, Facebook is releasing a “Page Insights API” for outside agencies and developers at brands that have access to certain kinds of (anonymized) Facebook data. The agencies, including Context Optional, Wildfire, and Webtrends, are part of a growing ecosystem of third parties that are building powerful tools for marketers using Facebook data, further accelerating the value that brands get from running campaigns on the social network.
“The updates will enable marketers to discover which publishing and ad strategies on Facebook are creating the most engagement and growth,” Context Optional said in a press release.
October 6, 2011
It's great to see multiculturalism as a key subject during this year's Advertising Week. We have the 2010 census to thank for adding fuel to a fire that has been burning in plain sight for some time. "Think globally, act locally," is a multicultural call to action if I ever heard one. And that concept has been around for quite a while.
For the second year in a row, the 4A's has delivered great content though its Competitive Edge series for Advertising Week. The sessions commenced with Nancy Hill, President-CEO of the 4A's, moderating a critical business discussion with leaders in education and advertising. The subject was the partnership between private industry and education and how the advertising and media community can support The High School for Innovation in Advertising and Media (IAM). As the only public advertising and media high school, IAM is uniquely positioned to help our industry sustain itself through early engagement and development of multicultural talent.
Presentations on multicultural talent and cross cultural business practices, led by top advertising and media CEOs from Ogilvy, Saatchi and ZenithOptmedia demonstrated that a high stakes change management proposition, such as fostering a culture of inclusion, requires the active engagement and participation of the agency's Chief Executive. Period. These agency leaders, including John Seifert , Chairman and CEO N.A, Ogilvy; Mary Baglivo, CEO and Chair of the Americas, Saatchi; Tim Jones, CEO of ZenithOptimedia, N.A; and Dave Ehlers President of Optimedia USA, recognize diversity as a business imperative: a competitive advantage, if you will. It's not a "pass off" situation being delegated to HR, but rather diversity is an integral part of how these leaders are advancing their businesses. The men and women who took the stage aren't talking "around" the subject of diversity. Each of them shared insights, best practices and lessons learned for all to grow from. The point is diversity as a business imperative and the entire multicultural conversation has made center stage in a big way, at all levels of the industry, during this week dedicated to thought leadership, business strategy and the future.
What else has been hot this week in terms of the multicultural dialogue? The Vidal Partnership's three-part series on the Transformed General Market has been a brilliant collective of business leaders in discussions that reinforce our clients' recognition of the critical impact to the bottom line that is engagement and retention of the multicultural consumer. And as an aside, if you haven't experienced Manny Vidal's passion when it comes to the diversity dialogue, you have missed something tremendous. The bedrock of all presentations around diversity during Advertising Week is, of course, the AAF Mosaic Awards. And the GLAAD Awards were simply spectacular.
I'm thrilled that we are now seeing a fierce convergence of many other sessions regarding the need for multiple perspectives and talent that can touch numerous markets, such as the Multicultural Media Talent Pipeline for top college students on Friday, led by Steven Wolfe Pereira, who is a force to be reckoned with when it comes to his determination to increase the number of Hispanic and African American workers into the media hot spot MV42. Adding to that, AWNY has launched its Multicultural Task Force! This organization, which is supported by many high profile and powerful women in our industry, has now run fast and long into the multicultural exchange with How to Use Multicultural Insights that Drive Brand Growth.
It is remarkable to see the entire advertising and media community ignited with discussions about the vast multicultural space and how it deepens our capability to acknowledge, embrace and represent the global marketplace and today's (and tomorrow's) consumer. It strengthens our impact as a society and industry, and elevates us as business practitioners. Moreover, it's great to experience and engage in dialogue concerning the multicultural landscape and how it brings us to the competitive edge that many organizations are leveraging. But the subject itself, at its core, is about change. It's not soft and furry; it's complex and sometimes uncomfortable. Like any other critical pillar of business, multiculturalism is serious, multi-layered. Those not ready to participate in the transformation into the new multicultural state-of-being will find themselves swimming in mediocrity as a result of missing the boat. Stay tuned!
October 2, 2011
For eight years, we've gathered for this fantastic week that brings together the best-in-class from all advertising disciplines in the spirit of celebration, cooperation and collaboration. I love this week. And one of the biggest reasons why I love it is that it brings me back to the early days when I first became passionate about our industry, a passion that remains just as strong today.
I wasn't in New York or Chicago, the hotspots of the biz. I was in a smaller community at Doner, in the wonderful city of Baltimore and just starting out in the business. We were in the middle of what became a case study pitch. All industry eyes were on Doner. The community was rooting for us. But best of all, everyone who was at the agency worked together for a single cause and purpose.
It is that spirit of cooperation and camaraderie that completely hooked me. It was a heady feeling. That same spirit is at the very heart of Advertising Week. And while you're racing around New York City for the many events, I want you stop and, pardon me, remember to smell the roses. Because you will be surrounded by like people, people gathered together by a common passion.
And passion is the driving force of creativity.
Now I want to jump on my soap box to dispel what I consider to be a myth that holds too many of us back: "No one likes creativity by committee. It never works."
I say no! Collaboration CAN work. It DOES work and it WILL work... but we have to make it work, and provide the proper dose of direction and leadership to do so. It's like Harry Truman once said: "There is no limit to what you can accomplish if you don't care who gets the credit."
I speak quite often at industry events, and I am always asked about the demise of the AOR arrangement and the rise of multiple and varied agency/client relationship types. The bottom line is that clients want the best work, and they are willing to look wherever to find it.
There are many ways that clients usually get that best work. Probably the most detrimental to our industry is when a client thinks that they can just hire a bunch of different agencies, command them to collaborate, and leave it up to them to figure it out. It's kind of like putting 12 cats in a bag, closing it up and waiting a day to see who is still alive at the end. Nobody likes to wrangle cats.
But there is something to be learned, though, from this "agency soup" approach. It's not just the ingredients. And it's not just assuming collaboration and cooperation will magically happen. There's another "C" -- clarity. Without clearly defined leadership and direction, collaboration just won't happen and it certainly won't lead to a desirable outcome.
Keep that in mind this Advertising Week. We come together so easily to celebrate. Why can't we apply that same culture to every business practice and creative brainstorm, too?
October 7, 2011
October 3, 2011
October 4, 2011
Three months and $35 million later, the firm that took MySpace off News Corp.'s hands is doing its darnedest to convince the ad community that it can dust off the social-networking platform and make it relevant again.
The new owner, Specific Media, had hoped to woo advertisers with an invite-only event on the first day of Advertising Week—the annual confab held in New York—trotting out its famous investor, Justin Timberlake. And influential agency execs did turn out, so that's progress. But even the presence of Mr. Timberlake, everyone's favorite boy-band sensation-turned-serious-Hollywood-actor, couldn't attract more than a few representatives from big marketers themselves, according to folks who attended, contrary to reports that as many as 55 chief marketing officers and senior marketers were expected.
One top marketer who showed face was Jonathan Mildenhall from Coca-Cola, while agency leaders included MDC Partners' Chief Strategist Chuck Porter, Ogilvy & Mather New York CMO Lauren Crampsie and Interpublic Group of Cos' executives John Hughes and Thom Gruhler, who are president of the Martin Agency and CEO of McCann's New York office, respectively.
According to several people, there were no more than about 40 executives present Monday evening in an upstairs room at Radio City Music Hall. There Mr. Timberlake spoke for about three minutes, while Specific Media CEO Tim Vanderhook spoke for about 10 minutes. Their pitch turned out to be less about a new future for MySpace and more about returning to its roots.
Specific Media did not provide a comment by press time.
The Wall Street Journal's AllThingsD posted a copy of a deck that MySpace is now using, which can be seen here. But far more interesting than anything contained in this deck—which, like most decks, looks like a dry slideshow full of assertions (MySpace is "The Hulu of Music")—is the story that Mr. Vanderhook and his new famous friend Mr. Timberlake emphatically told potential advertisers: that MySpace gave "voices to the unknown" and turned them into stars.
The crux of the pitch was about MySpace as a discovery engine for the music world, pointing out that it was responsible for unearthing artists like Katie Perry and Justin Bieber (wasn't that YouTube?). For this reason, advertisers should consider it a primary means of reaching young demographics, they said. Of course, strategy is just one part; the other is how MySpace will look and work for users. People who attended the VIP event said MySpace's new simplified look was pretty nice actually, and notably, said one person, it will look "less trashy."
That's a start, at least.
A version of this story originally appeared on Advertising Age, a sister publication to Crain's New York Business.
October 5, 2011
October 14, 2011
October 4, 2011
Facebook cofounder and CEO Mark Zuckerberg may be the guy who has made the social network many people’s home on the Internet. But it’s up to David Fischer, vice president of advertising and global operations, to make sure it also becomes an enduring business.
I laid out Fischer’s and Facebook’s latest ambitions in advertising and marketing Sunday night. This morning, he’s the keynote speaker at Advertising Week, the ad industry’s annual event in New York. Although Fischer is no stranger to Madison Avenue, both at Facebook and at Google before that, this is something of a coming-out for him at Ad Week. In the previous two years, Facebook Chief Operating Officer Sheryl Sandberg had made the keynote speeches for Facebook.
His theme this year: “Brands are better in a connected world.” Here are the highlights of what Fischer, joined by Mark D’Arcy, Facebook’s relatively new director of global creative solutions, had to say, in their own, sometimes paraphrased words (you can view the keynote here as well later today):
Facebook’s recent f8 conference focused on developers, but Fischer says the new features introduced there hold plenty of opportunity for brands, too.
One is Timeline, which takes the place of users’ Facebook profile. It’s intended to be the story I want to tell my friends of my life. It gives you the chance to tell who you are. This is going to unlock huge new opportunities in the way people represent themselves. And, it goes unsaid, lots of data with which to target them with ads.
The other is social apps, enabled by the Open Graph–all the connections that happen on Facebook, not just people-to-people but connections to everything on Facebook. The first step last year was the ability to Like things. We just took the second step. Now we’re enabling a whole new set of verbs, starting with three: read, watch, and listen. I can easily share what I’m reading, or see what video my friends are watching.
There’s so many new opportunities for brands to participate in this experience. For example, Nike with its Nike+ device. My running can be shared on Facebook with my friends. We think all this will encourage more sharing and engagement on Facebook. More than 2 billion posts are Liked or commented on on Facebook every day.
Do brands really have a place on Facebook? We at Facebook have no doubt. We really need brands on Facebook, and every product represented there. Everything that matters to you in your life should be on Facebook. (Unless you value your privacy, of course.)
Every day on Facebook, 100 million connections of people with Pages happen. People want to connect with your products. People are spending a lot more time connecting with brands than with celebrities. Businesses are truly better off in a more connected and social world.
Fischer also talks about the new premium ad unit. Honestly, he says, it doesn’t look that interesting. That’s a fair first reaction. But Jim (my friend, mentioned in the sample ad for the movie The Ides of March) matters a lot to me even if you don’t know him. Peole are two to three times more engaged with an ad when your friend is in it. Purchase intent goes up four times, according to Nielsen.
Facebook is also trying to provide more tools for measuring marketing impact, Fischer says. Three things are important:
1) The audience. Nielsen’s new Online Campaign Reports basically measures online audience in the same terms as television, using Gross Rating Points. They’ve found a mixed picture. Marketers often waste a lot
of impressions online not reaching the intended audience. On Facebook, people are their real selves, so marketers can reach their intended audience 90% of the time, compared with 35% on the rest of the Internet. (I didn’t catch the source on that.)
2) Sharing. People’s connections make a difference on brand preference. People whose friends Like Southwest Airlines are 165% more likely to go to Southwest.com, for example.
3) Effectiveness. Is this driving brand metrics and ultimately sales? Facebook just introduced a new version of its Insights analytics service that shows not only the number of fans or Like, but also how many friends of friends can be reached, how many people are talking about the brand in some way, and the total weekly reach.
Diageo has found an effective recipe for promoting engagement on Facebook. We ran an advertising test on five of our brands. We saw a 20% increase in sales compared with people who didn’t see the ad on Facebook.
Mark D’Arcy, director of global creative solutions for Facebook, talked about the art that complements the science of measurement on Facebook.
I don’t think people hate advertising. People hate bad advertising. Facebook is such an incredible opportunity for people to share things they care about with people they care about. So if you’re creating brand stories, it’s a place where they should live and be celebrated. Agencies and many of the people in this room are making sure the right people are engaging on Facebook and driving more engagement with friends.
The creative opportunity on Facebook is not about putting traditional work in a more social environment. People connect with the things they care about on Facebook. Including brands. I can’t imagine a more awesome responsibility than … to turn them into advocates.
We’re really in an early stage on Facebook. We’re sort of like 1951 television. (Ad agency types would agree, and they’re still not happy they can’t do more with ads.)
A lot of people are using the platform to stimulate activity in the real world, such as American Express’ small-business campaign on Facebook. Nike created a Facebook app that helped you create running routes on GPS maps–not just any running routes, but “graffiti runs” that looked like Nike swoosh, for instance. And they created running clubs organized on Facebook.
If you do nothing else, he says, be useful. (That’s good advice anywhere online, but especially Facebook.)
Driving real-world social connections is not about Facebook for Facebook’s sake. It’s about real people in the real world connecting with real things they really care about. The authentic relationship you can have with people on a one-to-one-at-scale basis is an extraordinary thing.
When I talk to ad directors and copywriters about Facebook as a creative platform, the question I get is Why are the ads so small? If you look at the experiences on the site, like for films–those are the rock concerts we want you to build. Those ads are nothing more than the ticket to the show. (In other words, the creative needs to be focused on the overall experience, specifically apps and Pages, rather than the ads themselves.)
I genuinely believe this is a creative platform for the future. (Translation: We’re not just a bunch of nerds; we’re creative, really we are!) But we need more, bigger, better, rich ideas as we learn together about all the ways this incredible platform can change the way brands connect with people and vice versa.
Bottom line: Facebook advertising isn’t necessarily the place ad creatives should spend their energy. It’s the rest of the Facebook experience where they need to use that out-of-the-box thinking they like to think they represent.
September 22, 2011
With Advertising Week less than two weeks away, CMOs are deciding which of the dozens of invitations they should accept or wondering how they can get on the lists of elite receptions where they weren’t invited. In this feature we’re going to ask the Executive Director of Advertising Week for his top picks and also learn from VIPs from Coca-Cola and Sears about the obvious and not so obvious places to be.
Matt Scheckner, Executive Director of Advertising Week, describes Advertising Week as the place where MIT meets Davos, where TED meets Harvard, where Silicon Valley meets Silicon Alley and where Leaders come to be led. “CMOs are looking for the express route forward and for answers to the biggest challenges that keep them awake at night. I feel that Advertising Week blazes that trail forward.”
Unless it’s an exclusive CMO event, I personally don’t bump into many marketing chiefs at conferences. When I mentioned that to Scheckner, he states that CMOs attend Advertising Week events to be exposed to new thinking and a much broader ecosystem. This year will blend CMOs like Marc Pritchard from P&G, Frank Cooper from Pepsi and Beth Comstock from GE with celebrities like Ed Burns and Sarah Jessica Parker.
When I asked Scheckner which Advertising Week events in particular are a must attend for CMOs, he said the Fast Company Talent Summit, the Bloomberg Series and the Wired seminars are all incredibly strong.
Some CMOs are not just going to the obvious spots. I spoke with Ian Gomar, CMO, Fitness & Sporting Goods at Sears, who shared that he’s attending and presenting at the Brand Innovators Summit. He’s also participating on the Hyper Local Retail Advertising Roundtable being produced by Brand Approved and ZenithOptimedia, a more intimate gathering which will include ten CMOs of major retail corporations. Gomar said that he looks forward to a robust conversation with his peers talking about the future of retailing. “I hope to come away with one valuable idea that I can immediately apply to my business.”
It will also be interesting to watch speakers participate at multiple events with different types of audience members and hear the varying questions they receive. For example, Jonathan Mildenhall, VP Global Advertising Strategy and Content Excellence at Coca-Cola, is presenting at both IAB MIXX and the Brand Innovators Summit. Although he expects difference audiences, Jonathan plans to inject the same stimuli.
Scheckner’s most valuable advice to a CMO attending Advertising Week: “Get out of your head…Advertising Week allows attendees to try things they would notionally do. With 100 seminars to choose from, be adventurous. And eat a decent lunch or dinner, the nights are long and full of marquee entertainers and open bars.”
For full details and a calendar of events go the Advertising Week website. If you’re looking for additional benefits such as priority seating at events, access to special concerts and other exclusive perks, you can register as a Super Delegate for $599.
In full disclosure, the author is co-producer of the Brand Innovators Summit.
October 12, 2011
As Advertising Week came to a close last Friday, most of us were feeling tired. It wasn't due to the 6-course dinners, or the cocktail hours, or even the concert at Terminal 5. We were feeling exhausted because we'd heard so many great perspectives from the leaders in our industry -- it's been a lot to take in within one week.
I've taken some time this weekend to sit back and digest everything that was said and reflect on it.
As I was getting ready for work this morning, I checked the day's forecast on my favorite weather app, and, as always, took a look at the ad on the page. I come across many mobile ads because it's part of my job to see what's happening in the space. But it's always a rarity when I identify an ad as one created specifically for mobile.
Most of the ads that I see on my smartphone are TV or Online ads repurposed for mobile. And it is usually pretty clear that they weren't intended to run in a mobile environment, but somehow they've ended up there.
It seems that many marketers and agencies think that we can just slap some online creative into a mobile-sized ad and somehow that might catch people's interest and get them to tap on these ads. I feel bad for those little out of place ads. I feel bad because they will never get the attention that they should've, had they been interactive or engaging.
So why are we still creating mobile ads that are static and boring?
If you think about it, mobile ads that run on phones are typically the smallest ads that any agency or marketer can purchase -- a standard smartphone ad space is 320 pixels in width and usually around 50 pixels in height. To put that into perspective, this ad space is about the same width as a standard ad you'd see on most websites online, but 1/5 of the size in height. A small ad space, certainly, but the potential is HUGE.
On Wednesday I was invited to speak on a panel about the value of rich media in mobile. We discussed the economics of using rich media and whether the ad performance garnered the investment. My stance was clear -- mobile rich media has impressive interaction rates and they clearly outweigh the premium we pay to run these ads. I also stated that I firmly believe we must bring an experience to the consumer and not try to pull a consumer away from their content.
We must develop messages that encourage consumers to engage with a brand. And then we must take them into an immersive experience -- one that is interactive and memorable.
And while a mobile ad experience can start in the smallest ad space around, there has never been a media channel that allows us to so quickly grab the attention of our audiences through the use of the senses -- sight, sound, touch, and voice.
TV and Online use sight and sound to engage with consumers. Print and Out-of-Home primarily use sight but sometimes include touch or sound elements. And Radio relies on sound alone.
Mobile is different. Mobile can ask a consumer to do something -- touch it, tap it, say something, watch something. But most importantly it can react based upon that person's response. For example, we can ask people to tap a button in an ad and then bring them to a map of all the retail locations that carry a certain product, even providing directions on how to get there.
Mobile cannot use the sense of smell... yet! But it can use any combination of these other elements to deliver a powerful brand experience that resonates with the consumers' senses. As agencies and marketers, we should always be thinking about how we can use these things to bring ads to life.
I encourage you, as media agencies, creative agencies, and marketers -- think about how you can make mobile more exciting from a creative perspective.
If you aren't developing mobile specific creative that utilizes the device capabilities and maximizes rich media, why are you doing mobile? The power and effectiveness of mobile relies on rich media, so do yourself and the consumer a favor and use it.
October 7, 2011
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Updated: As generalist news sites face a tougher time crafting a distinct identity, and content sharing partnerships tend to be lopsided in favor of one site or another, rending the grand promises of improved news delivery and ad sales advantages largely null and void. Yahoo (NSDQ: YHOO) and ABC (NYSE: DIS) News held a press conference earlier designed to address those challenges, though the news was greeted with some
skepticism, considering that the two had first teamed up 11 years ago.
Aside from mapping out each other’s turf, the new effort, which outlines the shared production and distribution of online news and video series, the entities face several hurdles. For one thing, web users increasingly get their news from niche sites on the web. Both are struggling with their growth plans, though each attracts millions of viewers and users daily. As such, executives argue proves
that what they have to offer is meaningful to consumers and advertisers. Primarily, observers questioned what Yahoo and ABC News have achieved from past content partnerships and what’s so different about the integration plans this time?
In particular, Merrill Brown, a former editor-in-chief of MSNBC.com and a former consultant for ABC, told the NYT’s Brian Stelter that Yahoo has historically not “delivered for news partners” to the extent promised in grand pronouncements like the one made on Monday.
“The stakes are significant and they need to effectively push users to ABC,” he said. “This deal seems to recognize that, at least at the press release level.”
In the meantime, it’s worth wondering what the supposed close tie-up of ABC News content with Yahoo News will mean to the portal’s current roster of less-integrated content from partners like Reuters (NYSE: TRI). While today’s presentation was squarely focused on the present, there were more than several hints that this represented a new direction that Yahoo would apply to future partnerships across its other channels.
In large sense, this deal recognizes that while Yahoo and ABC News may draw millions of eyeballs both on their own and together, that doesn’t necessarily mean that they have “engaged” those audiences, to use the favorite buzzword of media and advertising companies. For the most part, when one thinks of dynamic news on the web, the “old media” is well represented by the likes of the NYTimes.com (NYSE: NYT) or relative upstarts like TPM. These brands have forged and maintained a distinct identity that, for better or worse, resonates with their users. It’s hard to say that Yahoo News or ABC Digital can claim that same kind of affinity on the web, despite some impressive numbers and features.
Secondly, although AOL (NYSE: AOL) and Huffington Post continue to take a beating in the tech press for what’s considered an ill-conceived fit of content properties—especially after the Mike Arrington/Techcrunch debacle, Yahoo is under tremendous pressure to match the integration, which has nevertheless given AOL much more scale than it previously had, at least for the time being. The pressure on Yahoo has intensified in the weeks following the ouster of Carol Bartz as CEO, after the board lost confidence that she would be able to quickly address the company’s poor display performance.
As for ABC News, there too, it has millions of viewers watching its morning and nightly newscasts as well as its Sunday morning talk shows. But in a world where news is delivered 24-7 online and on cable, those millions of broadcast viewers are diminishing and they’re aging. The hope, in part, is by entwining its editorial voice and image with Yahoo, it can somehow gain new relevancy with younger consumers who have never watched a 6:30 newscast. The big test for both will come with the election season, with their respective strengths and weaknesses as news gatherers in sharp relief.
Original post: The announcement, held on the second floor of ABC News’ studio in Times Square, also kicked off Advertising Week in New York City. Yahoo also is expected to launch its digital newsstand.
Executives afterward were at pains to stress that this deal is different than the syndication agreement the two signed 11 years ago (via @pkafka). The announcement is also being positioned as on that builds on ad hoc partnerships that the two have done over the years, most recently with coverage of Royal Wedding.
The newest version partnership launches today with the debut of GoodMorningAmerica.com on Yahoo and three new, “online-first” video series with ABC News’ anchors and correspondents. Newsmakers, an original interview series, kicks off today with ABC News’ George Stephanopoulos interviewing President Obama live at the White House at 2:35 p.m. ET. The entire interview will stream live on both Yahoo.com and ABCNews.com. “The first guy who wants to reach the audience—potentially 100 million people—is the president,” said Ben Sherwood, the head of ABC News. “‘Nuff said.”
ABC News and Yahoo News editorial teams will work together to develop additional series. Journalists from both will collaborate on branded content that will appear on both the Yahoo News and ABC News sites. Teams will co-produce coverage for major news events and will have integrated bureaus in New York, Washington, D.C., and Los Angeles. Yahoo editorial staff and content will appear on air.
“The future of news and information is up for grabs,” said Sherwood. “We provide 25 percent of Yahoo’s news videos already. This is not just another content partnership. And we see this as much of a mobile deal as well as PC deal. Having that stretch across all platforms is why we believe in this so strongly.”
“The value created around premium content is not something that can be replicated,” said Yahoo Americas head Ross Levinsohn. “Ben and his team share our values. The odds of success are tremendous, including creating new voices for online. The scale that we have together, gives us 25 million a day. And that doesn’t exist in another platform.”
ABC News has gone through some drastic changes in the past year in ways that suggested that the days of dominant, expensive broadcast TV operations had seen their best days. The news division made deep staff cuts in 2010 that led to the departure of some of its top digital execs, including ABC News digital head Paul Slavin and digital VP Jon Dube.
There have been some notable hires on the interactive side, as well, such as the April addition of AOL (NYSE: AOL) vet Joe Ruffolo as the SVP of ABC News Digital.
It’s not clear whether one brand will dominate the Yahoo/ABC News collaboration. For example, ABC News will still have distinct mobile and PC web destinations. At the start at least, all the news will be co-branded and co-produced. There are no plans to offer anything other than free, ad-supported content, Levinsohn said. As for whether the model of this deal will be used for Yahoo’s other verticals, such as its entertainment/gossip channel OMG, Levinsohn said it remains to be seen.
Both Sherwood and Levinsohn brushed aside a question about what role former CEO Carol Bartz had in creating this deeper tie-up, suggesting that the talks began as a discussion between two executives with a shared history. “We began talking about three days after Ben was hired in December,” Levinsohn said.
October 6, 2011
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