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Branding Forecast to Match Direct Response in Digital Ad Spend

source: http://www.marketingcharts.com/wp/direct/branding-forecast-to-match-direct-response-in-digital-ad-spend-36664/?utm_campaign=rssfeed&utm_source=mc&utm_medium=textlink

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Indeed, brand advertising spending growth will outpace direct response in each year of the forecast, with increases of 18.1% and 11.2% respectively this year and 10.5% and 3.6% respectively in 2017.

The eMarketer forecast aligns with recent survey results from Vizu and the CMO Council, in which 61% of respondents said they are re-allocating budgets away from direct response to brand advertising initiatives. That same survey revealed that 70% of brand marketers expect to up their spending on social media advertising, while similar proportions will increase mobile (69%) and video (64%) ad spend. Interestingly, though, a more recent survey of global marketers (predominantly in Europe) found that few count branding as their top objective for social media ad buys, leaning instead to lead generation. That was a different result than found by Vizu and AdAge in separate surveys indicating branding to be the clear-cut objective for social ad campaigns.

The line between branding and direct-response campaigns tends to be blurring, says eMarketer, which may explain some of the discrepancies in social advertising goals. In any case, the researcher attributes the greater focus on branding to digital’s growing presence in consumers’ media time. That same explanation was given by Vizu and the CMO Council in their survey, with the researchers suggesting that brand marketers and their ad dollars will follow consumers to their chosen digital media channels, whether they be online, tablet, mobile, or connected TV.

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Sunday, September 15th, 2013 news No Comments

54% of Online Ads Aren’t Viewed – comScore

source: http://www.marketingcharts.com/wp/topics/integrated-cross-media-convergence/54-of-online-ads-arent-viewed-30271/?utm_campaign=rssfeed&utm_source=mc&utm_medium=textlink

by MarketingCharts staff

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Thursday, June 13th, 2013 news No Comments

YouTube Offers Millions Of Dollars In Ad Discounts To Attract New Advertisers

Source: http://www.businessinsider.com/youtube-offers-millions-in-ad-discounts-2013-4

vw beetle skip youtube

The minimum bid for a YouTube advertising package dropped from more than $10 million to just $1 million in an attempt to ad steal dollars from television budgets, AdAge reports.

Ads on YouTube, those sponsored clips that play before you get to watch most videos, have typically posed huge up-front costs to advertisers vying for the space.

While advertisers used to spend eight-figures on Original Channel advertising packages for specific genres — Ad Age notes that one music package for space before high-profile music videos sold for $62 million — they now only have to shell out a fraction of the price.

“Last year we were rigid,” YouTube sales chief Lucas Watson said. “We got a few big advertisers with huge checks.” Now, he says, YouTube is breaking ad packages down into “more manageable chunks.”

This will open the ad medium to a wider variety of advertisers. Companies that have previously advertised only on TV might soon expand to YouTube

 

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Monday, April 29th, 2013 news No Comments

Nissan sells more than 20,000 Leafs in first year; Fiat, Not So Much

Source: http://www.engadget.com/2011/11/30/nissan-sells-more-than-20-000-leafs-in-first-year-high-fives-co/

Excerpt: Only a few months after announcing that it sold 10,000 all-electric Leaf cars in international markets, Nissan stated at the Tokyo Motor Show today that the company has sold over 20,000 Leafs since the car went on sale in December of 2010. The company also added that it expects to sell more than 10,000 Leafs in the U.S. by the end of 2011.

SOURCE: http://adage.com/article/news/francois-fights-fiat-fiasco/230033/ This contrasts with Fiat, which went to great expense to make branding commercials with JLo which stirred more “huh’s?” from audiences than sales. One  former auto-marketing exec Peter DeLorenzo called “quite possibly the worst automotive spot of the last decade, hands down.” No official sales numbers were mentioned, probably because it was too embarrassingly low to mention.

Who are they advertising here… the car or JLo? fiat fiasco - fiat 500 ad with jlo   fugly white fiat 500     SOURCE: http://blog.web.blogads.com/2011/11/22/j-los-shameless-strange-and-sad-fiat-fiasco/ Widely denounced, shameless and strange product placement and promo during JLo’s performance at the American Music Awards.

Watch the whole bizarre performance here (The Fiat stuff starts around 1:15):

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Wednesday, November 30th, 2011 Branding No Comments

A sure sign Facebook’s already in trouble – meteoric rise and meteoric fall coming

Facebook Suicide is on the rise (people leaving Facebook and not coming back)

Source: http://www.businessinsider.com/well-these-new-zuckerberg-ims-wont-help-facebooks-privacy-problems-2010-5

According to SAI sources, the following exchange is between a 19-year-old Mark Zuckerberg and a friend shortly after Mark launched The Facebook in his dorm room:

Zuck: Yeah so if you ever need info about anyone at Harvard

Zuck: Just ask.

Zuck: I have over 4,000 emails, pictures, addresses, SNS

[Redacted Friend’s Name]: What? How’d you manage that one?

Zuck: People just submitted it.

Zuck: I don’t know why.

Zuck: They “trust me”

Zuck: Dumb fucks.

Source: http://gizmodo.com/5537408/the-devolution-of-facebook-privacy

Google Suggest — top searches starting with “how do i… “

Ecosystem of Apps for Facebook is already overtaken by iPad Apps as evidenced by search volume around the 3 terms.

NYTimes: chart of Facebook Privacy Options – too complex for most people to figure out and use appropriately.

Source: http://www.businessinsider.com/what-diaspora-should-do-with-their-newfound-fkyoufacebook-money-2010-5#ixzz0oFA1oSKT

Charlie O’Donnell: “By the time of this post is done, Diaspora, the web decentralization play from four NYU/Courant students in New York, will undoubtedly have $100,000 raised on Kickstarter.  Over and above that, it seems like they’re on a clear path towards a million dollars.  Think I’m poking the bear?  I’m dead serious.  You watch.  A week from now, they get to seven digits.  Why?  Because the ire over Facebook’s privacy issues, platform aggression, etc. is real.  If you’re concerned about Facebook, these guys are your heroes.”

AdAge Poll from May 19, 2010.


My Previous article:  Facebook is going down in unique users, visits, and time spent

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Monday, May 17th, 2010 digital 1 Comment

Nielsen IAG Top Ten Most-Recalled In-Program Placements: Dramas/Comedies

Sex sells … well, sex .. but not much else. Victoria’s Secret was the most recalled product placement on TV — fortunately they sell products related to what was recalled. Not so sure about the mayo and cell phone.

Source:  http://adage.com/madisonandvine/article?article_id=143808

Rank Brand In-Program Placement Description Program Airing Info Recall Index
1 Victoria’s Secret Michael interrupts meeting to offer Donna a retail store’s catalog The Office (NBC, Apr 29) 214
2 Ford Cole Austin points to his Mustang and says he still owns it Cold Case (CBS, May 2) 190
3 Skype Joyce tells Benson and Stabler that she talks to Andrew online Law and Order: SVU (NBC, Apr 7) 183
4 Yamaha Susan explains to Mike that she has inherited a piano Desperate Housewives (ABC, May 2) 181
5 Rolex Provo tells Fin that Jack stole his watch; member of the cooking staff is wearing it Law and Order: SVU (NBC, Apr 7) 178
6 MedTec Name is visible on the ambulance doors Trauma (NBC, Apr 5) 176
7 Toyota Mitchell and Cameron park their car at Charlie’s house Modern Family (ABC, Apr 14) 161
8 Chevrolet Winston drives with Guerrero, who identifies the car as a Camaro Human Target (FOX, Apr 7) 155
9 Porsche Zack asks Nick where he got his car from Accidentally On Purpose (CBS, Apr 21) 152
10 Chevrolet Pres. Hasaan rides in a black SUV after turning himself over to terrorists 24 (FOX, Apr 5) 147

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Friday, May 14th, 2010 digital 1 Comment

Stop paying Kim Kardashian $10,000 per tweet – She’s NOT Influential if no one re-tweets

Source:  AdAge.com

Yahoo Scientist Questions ROI of Kardashian’s Sponsored TweetsDuncan Watts Explains His Model for Predicting Value of Influencers on Twitter

Ad Age Digital Conference

NEW YORK (AdAge.com) — Stop paying Kim Kardashian $10,000 per tweet. That’s the recommendation based on the work of Yahoo’s principal research scientist Duncan Watts, who presented his findings at Advertising Age’s DigitalConference.

“If you recruit enough people who, on average, influence just one other person, you could get a much better return on investment if you aggregated them and altogether paid them a tenth of what Kardashian gets.”

But in looking at influencers, Mr. Watts found that it’s incredibly hard to predict who will be a major factor on Twitter, a conclusion that runs counter to the prevailing wisdom of social epidemics popularized by the book “The Tipping Point.” While he acknowledges there are certain personalities such as Kim Kardashian who can potentially trigger a larger cascade of re-tweets given her large amount of “followers” (“Tipping Point” enthusiasts call her a connector), close studies of social platforms reveal that influence is spread more efficiently and more reliably when done through many-to-many connections, rather than through a few highly connected individuals.

“Most of them will send tweets, and no one else re-tweets,” Mr. Watts said. “A lot of times, not that many people are listening on Twitter.”

More supporting details here: http://www.marketingcharts.com/direct/celeb-twitter-followers-have-low-authority-13297

Celeb Twitter Followers Have Low Authority

While celebrities have high numbers of Twitter followers, those followers usually have minimal reach and influence, according to social media consulting firm Sysomos.

Celebrity Followers Offer More Quantity than Quality
Celebrities seem to have large amounts of followers with low Twitter authority levels (see “About the Data” for more information on how authority levels are determined). Of five celebrities examined, the average follower of President Barack Obama had the highest authority rating on a scale of 0 to 10, 2.4. The most common authority score among Obama’s roughly 4.2 million followers is 1, held by 20%.

sysomos-twitter-celeb-june-2010.jpg

Interestingly, the celebrity whose fans had the second-highest authority score of 2.1, pop singer Lady Gaga, had the second-lowest following of about 4.5 million. The most common authority score of followers of all celebrities except Obama was 0.

Actor Ashton Kutcher had the highest number of followers (about 5.1 million), and the third-highest average authority score (1.8). Pop singer Britney Spears had the lowest average follower authority score (1.3) and second-highest number of followers (about 4.8 million).

Celebrities seem to have large amounts of followers with low Twitter authority levels. This could be because they attract everyone from all walks of life. Some people may only be on Twitter to see what their favorite stars have to tweet about. In addition, most celebrity followers tracked by Sysomos had few followers themselves, pushing down their authority scores.

Social Media Heavyweight Followers Have Most Authority
Social media heavyweights, private citizens who have made a name for themselves on Twitter, had the fewest followers but the highest average authority scores for their followers. Following the pattern seen with celebrity tweeters, the social media heavyweight with the fewest followers, Jason Falls (27,195), had the highest average follower authority score (4.8).

sysomos-twitter-heavyweights-june-2010.jpg

Conversely, the two social media heavyweights with the most followers, Chris Brogan (139,693) and Jeremiah Owyang (64,775), tied for the lowest average follower authority score of 4. The most common authority score for all social media heavyweight followers was either 4 or 5.

Online Media Beats Traditional Media
On the whole, the five news/media sources tracked by Sysomos show more variety among their scores than the celebrities or social media heavyweights. However, online media sources attracted fewer followers with higher average authority scores than traditional media sources.

sysomos-twitter-newsmedia-june-2010.jpg

Online media source Read Write Web, with about 1 million followers, had an average follower authority score of 3, which was also its most common follower authority score (19%). This tied online media source Mashable in average authority score, most common authority score and percentage of followers with the most common authority score. Mashable has more followers with about 2 million.

Online media source Tech Crunch ties traditional media source Time.com with an average follower authority of 2.4 and most common follower authority score of 2, at virtually the same percentage. However, Time.com has significantly more total followers (2.1 million) than Tech Crunch (1.4 million).

Traditional media source New York Times has the highest total number of followers (about 2.5 million) and lowest average authority score (2.2). It also has by far the lowest most common authority score of 0 (22%). Not surprisingly, sources that specialize in social media attract users that are more active on Twitter.

Facebook Fans More Valuable Customers
While there is variation in the value of different types of Twitter followers, on the whole Facebook fans of a brand provide more value as customers than non-fans, according to a new study from digital consulting firm Syncapse Corp.

The average value a Facebook fan provides a brand is $136.38, but it can swing to $270.77 in the best case or go down to $0 in the worst. This value is based on Syncapse analysis of five factors per fan: product spending, brand loyalty, propensity to recommend, brand affinity and earned media value.

On average, a Facebook fan participates with a brand 10 times a year and will make one recommendation. Value can differ significantly by individual brand. For example, in the case of Coca- Cola, the best case for fan value reaches $316.78 but is $137.84 for an average fan. In the worse case scenario, a fan is worth $0.

About the Data: Using its social media monitoring and analytics platform, Sysomos looked at the authority rankings of five celebrities, five social media heavyweights and five media organizations. Rankings were based on the kind of Twitter users following these celebrities, social media heavyweights and media organizations. Each Twitter user is assigned an authority ranking between 0 to 10 – with 10 signifying someone with very high reach and influence. This authority ranking is based on the number of followers, following, updates, retweets and several similar measures used by Sysomos.

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Tuesday, May 4th, 2010 analytics 1 Comment

AdAge: AOL to Sell or Shut Down Bebo in 2010

Move Comes Just Two Years After Portal Spent $850 Million to Acquire Social Network
NEW YORK (AdAge.com) — AOL will shut down social-networking service Bebo if it can’t find a buyer, the company said in a memo to staff on Tuesday.
FULL ARTICLE

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Wednesday, April 7th, 2010 digital No Comments

AdAge: Web-Tracking Research Emerging From Surveys’ Shadow

As Social-Media Continues to Grow, Marketers Place More Emphasis on Listening to Consumers

BATAVIA, Ohio (AdAge.com) — Replacing “asking” with “listening” has been a hot topic at market-research conferences for the past couple of years. But now some researchers are finally doing more than talking — they’re taking steps toward replacing surveys with web tracking.

FULL ARTICLE

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Wednesday, April 7th, 2010 news No Comments

This is what happens when 99% of the inefficiencies are cut out of a system (advertising industry)

Update: Including Q3 09 numbers

Source: http://adage.com/agencynews/article?article_id=140125

While no holding company’s results are pretty these days, Interpublic Group of Cos. last week posted particularly poor numbers, swinging to a net loss of over $35 million for the first nine months of 2009 from almost $60 million in profit during the same period in 2008. IPG’s third-quarter revenue fell 18% compared to declines of 14.4% at rival Omnicom Group, 8.7% at WPP (factoring out the effect of acquisitions and currency shifts) and 5.3% at Publicis Groupe. WPP’s reported revenue, including revenue from its big Taylor Nelson Sofres acquisition, rose 16.7%. In the same quarter, net income attributable to IPG tumbled 47.3%, more than double the drop of Omnicom (down 22.5%).

wasted-ad-dollars

Google changed the game by changing the business model from paying for impressions to paying only when the advertiser gets the click.  This helped to cut out the 99% of waste and inefficiency which existed in the industry.


WPP Profit Dropped 47% in Second Quarter More Than Half of Company’s Revenue Came From Nontraditional Advertising

NEW YORK (AdAge.com) — Using words such as “severe” and “surprise” to describe the recession’s impact on its business, WPP, the world’s largest advertising conglomerate, today said its profit was down 47% for the second quarter. And WPP Chief Executive Martin Sorrell said it will be a while before marketing executives begin to spend and take chances the way they did just a few years back.

FULL ARTICLE – Source: http://adage.com/article?article_id=138673

______________________________________________________________________

In a first half earnings statement released this morning, WPP Group announced that digital and direct marketing-related services now comprise 25% of its body.

WPP Group owns labels like 24/7 Real Media, Mediaedge:cia, MediaCom, Mindshare, GroupM and Outrider.

Digital and direct garnered $1.7 billion in revenues in the first half of ‘09, with a projected annual run rate of nearly $3.5 billion total. But it is digital media and advertising that appear to be dominating the segment.

Overall, first half revenues fell 2.9% to $6.4 billion in the first half on a reported basis, MediaPost reports. Like-for-like, however, total revenues slid 8.3% against the first half of 2008.

According to WPP, traditional advertising and “media investment management” have been the hardest-hit amidst the economic downturn.

“On a constant currency basis, advertising and media investment management revenues fell by 7.5%, with like-for-like revenues down 7.8%,” it stated.

Branding and identity, healthcare and specialist communications — which includes direct, internet and interactive — were least affected.

The media conglomerate committed to prioritizing the growth of digital communications, customer insights and strong geographic markets.

Related topics: Online Advertisers, Data Updates,

Sourcehttp://www.marketingcharts.com/updates/digitaldirect-marketing-now-25-of-wpp-group-10211/?utm_campaign=rssfeed&utm_source=mc&utm_medium=textlink

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Thursday, August 27th, 2009 digital 1 Comment

Dr. Augustine Fou is Digital Consigliere to marketing executives, advising them on digital strategy and Unified Marketing(tm). Dr Fou has over 17 years of in-the-trenches, hands-on experience, which enables him to provide objective, in-depth assessments of their current marketing programs and recommendations for improving business impact and ROI using digital insights.

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