Digital advertising is akin to a carpenter’s toolbox. Each tool in the box serves a different purpose and was made to accomplish a specific task. Similarly, native advertising, or sponsored content, is a marketing tool that marketers can use as a complement to other forms of digital advertising to achieve a specific purpose.
Forrester defines native advertising as: Any form of paid or sponsored content that directly and transparently contributes to the experience of the site or platform where it appears by aligning with the format, context, or purpose of that site or platform’s editorial content page.
While Asia Pacific marketers have yet to invest in native advertising in a big way, native advertising provides them with an additional avenue to better engage with customers and win their preference. Native advertising is more engaging than display advertising and is also showing early success on consumers’ mobile screens. For example, content marketer Contently saw a clear 10% rise in brand opinion among its engaged subscribers, while Virgin Mobile USA claimed that native ads led to a 200% uplift in the likelihood to consider its brand. Taboola, Virool, and Skyword are examples of companies that can help marketers drive discovery of their content and improve engagement. I discuss how marketers can work with them in my latest report.
For two days this week, I enjoyed Hubspot’s Inbound 2015 conference. Hubspot is an inbound marketing platform targeting small to medium-size businesses and each year the company holds a conference bringing together thought-leaders, customers, and partners. This 3.5-day event has over 250 sessions spanning a myriad of topics. Conferences provide different perspectives on the marketing landscape, customer success stories, product updates, philanthropic awareness, networking opportunities, and — my favorite — kernels that can be developed into themes with broader implications. I was happy to experience all those elements and walked away with more than a few kernels with broader implications. I’d like to share a few resulting from comments by Brian Halligan and Dharmesh Shah, Chris Brogan, and Mitch Joel. Let me forewarn you, these ideas may seem provocative, but they make for a good debate and even better research.
Here at Forrester we are busy planning our upcoming Forum For CIOs And CMOs. With a theme of “Building A Customer-Obsessed Enterprise” the event explores the partnership between marketing and technology leaders. But what about our government clients? The role of marketing is associated with the private sector. Companies employ marketers to identify their target markets and the opportunities for providing goods and services to them. Public-sector organizations don't typically have the luxury of choosing their target market or their products and services. Or at least that’s what most organizations think. But even if that is the case, it doesn't mean that these organizations shouldn't get to know their "customers" and understand how best to meet their needs. While the service might be prescribed by legislation or regulation, public organizations can influence the customer experience, and the rising focus on citizen engagement mandates they do so.
Alright, I admit it. I'm not necessarily the most loyal insurance customer. I like mixing things up to test out different experiences, which means that if you're my insurance company, I'm going to talk about you in my job...a lot.
Back in 2012 when I was writing the US Secure Auto Insurance Site Rankings report, I changed my car insurance to Progressive (so underwhelmed was I by their predecessor, I can't remember the name of the insurer, just that I got from my agent). And I not only changed to Progressive, I also switched from a traditional auto policy to the company's usage-based insurance coverage, SnapShot.
A few days after signing up, I was surprised to get this box in the mail--note the SnapShot logo on the packaging tape (and trust me that there's a Progressive logo on both ends of the box). Best of all, there was a compelling call to action on the box: "Plug In Today!"
And inside the shipping container? This smaller box, about the size of...the box an engagement ring might come in. Oh my! I felt like I was about to go with Flo on a Thelma and Louise-like adventure, assuming that we'd be safer drivers than they were, at least when the movie ended.
As a prequel to some of what we'll hear from Laurie at our event, we sent her questions about the FedEx customer experience and why she sees it as a competitive advantage. Her answers appear below.
Q: How would you describe the experience that you want FedEx customers to have?
A: Relationships oftentimes start with a simple handshake. For example, when you meet someone for the first time and extend your hand in greeting, you’re offering to build a relationship. In the same way, we want to offer a hand to our customers to establish a personal and meaningful connection. After all, FedEx is more than just delivering packages. We’re an innovative company that thrives on delivering solutions and programs that meet our customers’ needs and expectations.
2D bar codes are on buses, in newspapers and magazines, storefronts, product packaging, store shelves, bus stops, mailings from political candidates, and subways. Retail stores like Best Buy, Home Depot and Lowe’s have corporate programs for 2D codes. Honestly, it is hard to name a place that I haven’t seen a 2D bar code. Hard to say if there are more codes — or more consumers scanning the codes. I think it is the former. As with many things mobile, this is more of a supply-side-driven phenomenon than demand-side.
Why are there so many codes? They are one of many mobile technologies that facilitate the connection of consumers to relevant content when they need it. Scanning bar codes simplifies the experience of discovering content or initiating an action on a cell phone like sending a message or adding a contact to a phone. Brands are doing all they can to educate consumers about what codes are and how to use them. Budweiser, for example, has designed an entire TV commercial around tags from Spyderlink on its Bud Light cartons. See the video.
Plastering codes everywhere, however, is working — adoption among US adults has increased from only 1% last year to 5% this year. Adoption among smartphone owners is three times that. While adoption is relatively low today, the strong growth in usage of the codes by brands and consumers alike indicates a bright future for brands looking to deepen their engagement with consumers. Bar codes don’t facilitate just marketing — they will be used 360 degrees around a customer’s journey — from branding or consideration through to purchase and replenishment.
Now that you’ve settled into your latest position as the head of Hewlett-Packard, we wish to make a request of you. That request is, “Please take HP back to the greatness it once represented.” The culture once known as “The HP Way” has gone astray and the people have suffered as a result. Those people are of course the vast collection of incredible HP employees, but also its even vaster collection of customers. They (ahem, we) once believed in the venerable enterprise that Bill Hewlett and David Packard conceived and built through the latter half of the 20th century.
HP became renowned for its innovation and the quality of its products. While they tended to be pricey, we bought HP products because we knew they would perform well and perform long. We could count on HP to not only sell us technology, but to guide us in our journey to use this technology for the betterment of our own lives. We yearn for the old HP that inspired Steve Jobs to change the world – and he did!
We need not remind you of what transpired over the past decade or so, but we do have some suggestions for what you should address to restore the luster of HP’s golden age:
Commit to a mission. HP needs an audacious mission that articulates a purpose for every employee, from you and the HP board all the way down to the lowest levels. Borrow a page from IBM’s Smarter Planet mission. While it sometimes seems over the top, that’s the whole point. It is over the top and speaks to a bold mission to create a new world. Slowly but surely, IBM is making the planet smarter. Steve Jobs got Apple to convince us to Think Different, and we did. What is HP’s mission?
In today’s fast-paced global economy, examples of how empowered customers and citizens use social technology to influence everything from brands to governments are all around us. The Arab Spring clearly shows the ability of technology to empower people. In this new digital age, marketing teams must react at the speed of the market: Product development life cycles that used to last many years are compressed into months or weeks; customer service expectations have moved from same-day response to instant response; public relations snafus must be handled in minutes rather than days; marketing campaigns are adjusted in real time based on instant feedback from social media. In this new era, mastering customer data becomes the key to success and, in my opinion, represents the biggest opportunity for IT to impact business results since the dawn of the Internet.
Forrester recently published the “State Of Retailing Online 2011: Marketing, Social, and Mobile” report in conjunction with our friends at Shop.org. It is available on Shop.org (with a subscription) now.
Some highlights include:
Understanding which marketing tactics are still leading to growth.
Examining the investment in social and the returns retailers are seeing.
Analyzing mobile and tablet adoption and strategy.
This week I was the lone IT analyst attending Forrester's Marketing Forum. Although I was there because much of my research overlaps with my colleagues covering marketing roles, I can't help feeling CIOs are missing out by not attending this event.
For many years I have believed that a successful CIO must understand marketing -- especially if he/she ever aspires to the CEO or COO role. Although today's marketing professional is more dependent upon technology than ever before, marketing is too often the part of the business least understood by IT.
With awareness comes understanding: which is why I think it is essential for IT professionals, and especially CIOs, to attend conferences like the Marketing Forum. These events help develop a much greater understanding of the challenges faced by the marketing professionals in your organization -- and will no doubt stimulate many new ideas about how IT can help.
Here's just a sampling of some of the thinking heard at the Marketing Forum this week in San Francisco:
We heard from Practice Leader David Cooperstein that CMOs are suffering a crisis of confidence: most feel they don't have enough budget, executive support, or marketing technology to meet the new digital challenge. (The CIO message: your CMO shares your pain.)