I just wrapped up my report on the future of television: “Digital Disruption Rattles the TV Ad Market.” And, while I was interviewing and exchanging views with advertisers and senior TV industry executives, a clear and surprising find emerged…
I wasn’t surprised to hear visions of dynamically targeted ads to deliver the right message to the right household. Neither was I surprised by the dream of synching messaging on the living room screen to the screen in people’s hands. Nor was I surprised that many in the industry still want to shoehorn these new ad opportunities into the old Nielsen rating model of the TV ad market.
What surprised me was the general optimistic outlook that these new developments will bring even more dollars to the TV ad market.
For decades, talk of the impact of cable television, VCRs, DVRs, online advertising, etc. has usually predicted the end of TV’s reign as marketing’s most powerful medium. New technologies would sap advertising effectiveness and splinter the audience. New advertising opportunities would be more engaging and measureable than the soft branding of TV.
But the fact is, the opposite happened: TV is stronger and more important than ever. Even as prime time TV audiences have shrunk, fragmenting across hundreds of channels on the cable spectrum, the rest of the media landscape has fragmented and faded even faster.
But perhaps I should amend my statement that TV is more important than ever: something like “video entertainment content originally created to be broadcast on television networks is stronger and more important than ever.” As these programs find new audiences, on new devices, at new times in viewers’ lives, it creates opportunities for video advertising to draw more dollars and more advertisers to it.
Greetings from Beijing! Allow me to introduce myself — my name is Xiaofeng Wang, and I’m a new analyst at Forrester, having just joined in November 2012. My coverage focuses on digital marketing, and, specifically, how marketers should harness the power of social media in China.
After working at Sina Weibo (a major Chinese social media platform) for around three years, I joined Forrester with a lot on my mind regarding social media in China. A highly fragmented platform landscape, the lightning-speed evolution of technology, and marketers’ struggle to identify the right platform to engage audiences effectively all weighed heavily as I set out to write my first report. I’m pleased to announce the outcome of my analysis, entitled “Winning Social Media Marketing In China,” is now live on our website.
In the report, we divide the development of Chinese social media into three different dynasties: the Kaixin001/Renren dynasty, the Weibo dynasty, and the WeChat dynasty. Each social dynasty is defined by different features, which are the key reasons behind their adoption. For example, anonymity and casual connections contributed to the initial boom of Weibo, while WeChat is increasingly attracting privacy-conscious users. By tracing the rise and fall of a handful of social giants, the report helps marketers understand what features matter the most to Chinese consumers and the marketers who want to target and engage them.
I belong to more loyalty programs than the average consumer. As a result, on any given day, my wallet is overflowing with loyalty cards and loyalty program related paraphernalia. At the register, I’m often rummaging through my purse to locate reward certificates, half-filled punch cards, coupons, and the like.More often than I would like to admit, rewards go unredeemed simply because I didn’t have access to them when I needed or wanted to make a purchase.
I am also — like 42% of US online adults — a perpetually connected consumer. Whether I’m “just looking,” comparing specific products and prices, searching for coupons in my email, or making a purchase, I rely on my smartphone as a trusty sidekick. In that vein, my mobile phone has recently helped me reduce some of the physical bulk that comes with loyalty program membership. I have an app that digitally manages all of my membership cards in one place, a loyalty program folder to corral branded apps that offer loyalty program functionality, and more than one retailer lets me scan rewards barcodes at the POS.
Much of my research agenda focuses on the notion that consumers now discover brands across myriad channels – not just search engines. That’s right – acquisition is happening in places other than on traditional search engines. Forrester calls the strategies for positioning a brand or products within a user’s discovery path, “discovery marketing.”
Some companies employ cross-channel acquisition strategies, but we’ve not seen many examples of firms that are adjusting their search marketing strategies to accommodate this notion of discovery marketing.
What about you? Does the notion of discovery marketing make sense to you? How well prepared for it is your firm? What does the advent of discovery marketing mean for your company? How will discovery marketing change your current approach to search marketing? I’d love for you to share your thoughts about discovery marketing here or through ongoing direct dialog. Drop me a line if you want to talk!
The boom of the cheap and trendy bus service that links our cities together is old news to most of us East Coasters. You can’t bring up the BoltBus in a New York City office without inadvertently starting a lively Bolt/Mega debate. Everyone has opinions and these opinions – qualitative bits of data – are often what we’re relegated to evaluate before we choose. Based on the opinions of friends whose tastes are most in line with mine, I chose to take the BoltBus, on which I now sit, to Washington DC.
But what if this little heuristic of relying on the opinions of my likeminded chums leads me astray? Well, I could eliminate the risk of a bad decision by researching extensively. The research would involve screening potential advisers on myriad criteria for my travel preferences and general expectations. Thorough? Sure! Data-informed? Absolutely. Efficient? Not in the least.
In the January-February edition of the Harvard Business Review, Richard H. Thaler and Will Tucker explore this idea of data-driven decision making from the consumer side. The authors predict that the movement towards “Smart Disclosure” (i.e. “the timely release of complex information and data in standardized, machine-readable formats in ways that enable consumers to make informed decisions”) will have profound effects on policy, economy, and businesses. Incidentally, this movement will enable consumers and business alike to make better-informed decisions that are not only thorough and data-informed, but also are efficient. Based on their hypothesis, the authors anticipate the rise of the choice engine, a platform that will store consumer’s personal data and spew recommendations that are based specifically on the data the consumer provides.
There's a growing group of people who are always online and use their devices to support nearly every activity, including making decisions about your products and services. We call them your perpetually connected customers. They will shake your marketing to the core, because they value service and utility – not ads buzzing in their pockets. To thrive, you need new tactics and a culture of innovation. In the run-up to our Forrester Forum for Marketing Leaders EMEA, I've been speaking about marketing innovation with one of our keynotes, Greg Williams, Executive Editor at WIRED. As an editor, speaker, and writer, Greg scouts the best glimpses of the future that exist in the here-and-now. Here are some of his thoughts.
Q: What's your favourite example of an application that merges the digital and physical?
Between events and trade shows, nearly a quarter of the average B2B marketer’s budget is spent on events, dwarfing all other marketing mix categories, including website and advertising spending. Your customers agree that in-person events are highly influential. For example, in our Q3 2012 survey of business hardware buyers, 68% of respondents state that in-person events are important for researching and evaluating what to purchase.
As an analyst, I both attend and participate in a number of different trade shows, customer events, and industry or role events each year — including our own Forrester Forum For Marketing Leaders April 18-19 this year in Los Angeles.
No matter what the event, vendors have event giveaways — or swag — for their customers and prospects. Marketing swag — when done right — can help you get the most value out of the events you are already running or attending. How? People will remember you favorably, and that's a good start to a follow-on sales conversation or marketing touch. Unfortunately, many giveaways fail to reach that objective, and waste both time and money.
I’ve created an interactive tool for clients, with three major categories of factors used to evaluate your event giveaways or swag. Consider:
If the swag connects back to your brand message enough to be worth offering it all: The $2 bill test; Company branding; Value alignment.
How valuable and useful the swag is for your intended audience: Usability; Interactivity; Durability; Portability.
How practical the item is logistically: Unit cost; Reusability; Portability.
Our Forum for Marketing Leadership Professionals in Los Angeles is just a few weeks away, and in preparation I’ve been talking with our industry keynoters about their sessions. Last week I had a chance to catch up with Richard Char, Global Head of Information Services, Global Enterprise Payments at Citi, in advance of his keynote at the event. We talked about how Citi is using customer data to market to customers at the right time, with the right messaging for connecting in the moment. Here are some of Richard’s thoughts.
Q: How is Citi using data to build a view of customers in a specific context?
A: In our soon-to-be-released digital wallet application, offers will be selected for each customer (who has opted in) depending on the customer’s indicated preferences and based on predicted relevancy of the offer. We use past transaction data and the customer’s prior interaction with offers in the digital wallet, as well as the customer’s current location and context (time of day, day of week, current weather, etc.), to select the next offer which will have the greatest predicted relevancy for the customer.
Q: Why should brands and merchants work with an intermediary like Citi for targeted promotions?
A: With respect to our soon-to-be-released digital wallet application, there are three reasons local merchants are working with Citi:
Think about the past 24 hours: What have you done with your mobile phone? Did you send a text message? Check your email? Read any articles? Challenge someone in Words With Friends? If you said ‘yes’ to any of these, chances are that you may be one of the rapidly growing segment of perpetually connected customers that Forrester has been talking about. Welcome to the club!
Being one of these super-connected, mobile-savvy people is exciting. You can sit on your couch browsing a store’s catalog on your tablet while simultaneously messaging with friends on your smartphone. You can get a notification from your favorite store’s app about a flash sale happening that moment. You can search for the best dinner spot nearby and check reviews while walking down the street. You can find out more information about the TVs you are deciding between while in-store through the mobile Web or scanning a barcode. The options are endless!
Now put on your marketer hat. It’s an exciting time from this perspective too because the opportunities available to reach this consumer anytime, anywhere also seem endless! So yes, it’s exciting, but — let’s be honest – there is a lot of pressure to successfully meet these consumers’ demands, and it’s a little daunting to wade through the endless options to discover what tactics are right for your brand and how to get the programs launched.
In our new report, Extend Your Marketing Into Games, we take a closer look at how marketers can take advantage of opportunities within games. From dedicated consoles to mobile devices and in browsers, games are a multi-platform stage for brands to get in front of consumers.