Thursday, August 04, 2011

The most influential Man on Twitter: A career built with Twitter, Orkut and Youtube.

A Brazilian’s Comic Mania: Social Media

SÃO PAULO, Brazil -- When an Internet research group recently released a study concluding that the most influential person in the Twitter universe was Rafinha Bastos, a Brazilian comedian who came in well ahead of President Obama, Conan O’Brien and Kim Kardashian, the English-speaking world was predictably baffled. “Who is @RafinhaBastos?” Wired magazine asked.

But here on Mr. Bastos’s home turf, where he has long had a reputation as an early adopter of technology, there were lots of knowing nods. Mr. Bastos, 34, is a pioneer of Brazil’s burgeoning stand-up scene, appears weekly on two popular television shows, has just issued a hit DVD called “The Art of the Insult” (“A Arte do Insulto”) and has 2.7 million followers on Twitter — all that success propelled by his enthusiastic embrace of the Internet and social media.

“The Internet is my home,” Mr. Bastos (BAH-stows) said during a long, relaxed interview at a cafe down the street from his apartment here. “I’m a creature and creation of the Internet, and I’m very proud of that. The Internet made it possible for me to construct my career the way I wanted to.”

Mr. Bastos may be the most prominent example in Brazil of a comedian who has learned to use the Internet for his own purposes, but he is by no means the only one. In contrast to their comedy predecessors, who favored sketches and slapstick, younger comedians in this nation of 200 million are embracing stand-up, as are their audiences. A flourishing circuit of comedy clubs now exists in large cities, and early next year Comedy Central will be going on the air in Brazil, the channel’s first foray into Latin America.

In a way Mr. Bastos and his group are like the Brazilian musicians who more than 40 years ago mined Anglo-American pop and transformed it into the globally influential style known as Tropicalia, only this time the raw material is comedy, not music. Marcelo Mansfield, Mr. Bastos’s mentor, is a bit like Rodney Dangerfield. Marcela Leal works some of the same terrain as Tina Fey, and Danilo Gentili, Mr. Bastos’s partner in mischief on television and in a club, has more than a touch of Bill Maher in him, as shown by a DVD called “Politicamente Incorreto.”

“There’s a new generation of humorists out there who are acid, vibrant and clever, who grew up watching American sitcoms and Eddie Murphy films,” explained Alvaro Paes de Barros, the general manager for Brazil of Viacom Networks, whose properties include Comedy Central. “Stand-up comedy is an imported format, but this new generation sees it as a platform for self-expression and has learned to use it with a lot of intelligence.”

Living in a society that tends toward the chaotic, Brazilians have always had an appreciation for the absurd. Just last year a circus clown ran for Congress with slogans like “Why not elect a real buffoon to office?” and won by a landslide. But the emergence of Mr. Bastos and others like him is to some extent also an inevitable consequence of globalization.

“In the past people here didn’t have access to American and English humor,” said Augusto M. Costa Netto, who is the editor of a series of books called “The Best of Humor in Brazil” (“O Melhor do Humor no Brasil”) and also lived for many years in the United States. “Richard Pryor, for example, was a genius, but he was unknown in Brazil because the means of communication we have today didn’t exist then. Stand-up comedy is a new phenomenon for us, and there are a lot of young people suddenly wanting to try it, including some who aren’t funny, because they’ve seen it on the Internet or cable television.”

Though he is as witty offstage as on and seems to see the humor in any situation, no matter how vexing, Mr. Bastos came to comedy in a rather roundabout way. Raised in Porto Alegre, a city of 1.5 million that is the capital of Brazil’s southernmost state, he studied journalism in college there before winning a scholarship in 1999 to play basketball in the United States. He ended up in Nebraska, at Chadron State College, and to stay in touch with friends back home he began to e-mail jokes and parodies of Brazilian pop culture figures.

“I was in a town of 5,000 people in the middle of nowhere, near the Wyoming border and not that far from Mount Rushmore,” recalled Mr. Bastos, who stands 6 foot 7 and has an elaborate tattoo on his left arm. “But I quickly discovered that the Internet offered a way to get my jokes out there, that there were people from Angola, Portugal and the U.S. watching me, even way back then in ’99.”

At the same time he began watching Comedy Central and other American cable television outlets and grew increasingly intrigued by what he saw. The comedians who have made the strongest impression on him over the years, he said, tend to be from the school of indignation: George Carlin, Lewis Black, Bill Hicks, Bill Maher, Lenny Bruce and especially Louis C. K.

Upon returning home in 2000, his athletic career cut short by an injury, Mr. Bastos got a job as a reporter at a local television station. But he continued to do comedy on the side, and after striking a deal to distribute his material through Terra, a major national Web portal, he decided to try his luck here in Brazil’s biggest metropolis.

Onstage Mr. Bastos, who is married and recently became a father for the first time, often touches on traditional subjects like marriage or the aggravations of urban life. “A wedding is a much more happy occasion for a woman than for a man,” he observes in one of his routines. “It’s not by accident that at the ceremony she wears white and he wears black.

“Men were not born for long-lasting relationships. Why do you think a dog is a man’s best friend? Because it’s a faithful companion? No, because the damn thing dies in 14 years. When it comes time to choose a pet, you’re never going to see a man pick a turtle, which sticks around for 90 years.”

Stand-up comedy was initially hard to sell to bar and club owners, Mr. Bastos explained, because they were accustomed to “pratfalls, wigs and funny voices.” So when he and his colleagues tried to explain their approach, they would ask, “Do you know that monologue that opens ‘Seinfeld?’ ” which had been a big hit on cable television in Brazil. “That’s what we do.”

Even before Facebook started, Brazilians were flocking to a social media site called Orkut, and Mr. Bastos immediately got involved with that. As soon as YouTube emerged, he began posting excerpts of his stand-up work there, and when Twitter became available, he jumped on that too. On an average day, he said, he posts four or five tweets about subjects ranging from politics to sports, and has the highest ranking on Twitalyzer’s Influence Index.

More recently Mr. Bastos has been featured on two weekly prime-time television shows. The more established “Custe o Que Custar” (“Whatever It Takes”) is political satire in which Mr. Bastos and other cast members interview politicians or take to the streets to force them to respond to questions. Mr. Bastos has gone to the Brazilian Congress to quiz legislators on national affairs and mock them when they answer incorrectly, and once, in a town where the sewers didn’t work, went to the mayor’s office dressed as a piece of excrement.

“You ask absurd questions, or basic questions like, where is Canada?” he said. “You show them a map and ask them to point it out, and when they can’t, that lets you talk about the lack of qualification or preparation of our representatives.” He added, “Politicians in this country are not used to being confronted, so in the beginning they wanted to beat us up.”

Mr. Bastos admits to having a split personality as a performer. “On TV I do what Jon Stewart does, with political jokes,” he acknowledged. “But what I really like is to talk about daily life in a provocative way, touching on subjects that are more sensitive, and that’s the focus of my stand-up.”

For that Mr. Bastos now has a 300-seat club here called Comedians, where he is part owner and can try out new jokes and routines. The club fills up even on weeknights, drawing locals and tourists from all over the country, and numerous other spots like it have also sprung up in the same general area, allowing aspiring comics to hone their skills before they move to the stodgier world of television.

“We’re not considered artists, we’re compared to punk rockers playing in the garage to see what happens, and I’m fine with that,” said Mr. Gentili, 32, who has just been given a late-night talk show on the Bandeirantes network.

Mr. Bastos, whose full name is Rafael Bastos Hocsman, shares something else with some of the American comedians he most admires: He is Jewish, with ancestors who emigrated from Russia. That background makes him unusual in Brazil, where less than one-tenth of 1 percent of the country’s 200 million people are Jews, and is also, he thinks, relevant to his approach to comedy.

“I never carry that banner because I never had a real Jewish education, and I don’t do jokes about Hanukkah or bar mitzvahs,” he said. “But I inherited a lot of traits from my father, who is a doctor and has all the sarcasm, the eternal skepticism, the self-depreciative streak and the sense of irony that I associate with the Jewish people.”

When asked about his designation as the most influential Tweeter, Mr. Bastos made light of it: “Of course it’s natural that I’m being recognized as a genius.” But turning serious he also expressed hope that the recognition will give him some insulation from a wave of lawsuits he is facing, many of which seem, by American standards at least, frivolous. In one case government officials in an Amazon state are suing him because he describes the state’s inhabitants as ugly in his routine and on his DVD. More seriously, prosecutors here recently questioned Mr. Bastos about an admittedly offensive joke of his about rape victims.

The Twitter recognition has also led to some inquiries from American entertainment companies, reviving his longstanding desire to perform in the United States. To emphasize that point, after speaking in Portuguese for 90 minutes, he switched to English, which he speaks fluently, though with a slight accent, no more than, say, Yakov Smirnoff’s.

“I want to do stand-up over there, but I don’t want to do just two or three nights,” he said. “I want to build a career.” He paused for a second and then asked, earnestly, “Does my English” stink? Assured that it does not, he continued.

“The thing that I would really like to try to do is translate my material, I mean translate the literal words,” he said. “I know that some jokes I do here, about states or people or a supermarket chain, would never work over there. But the marriage jokes would work, and so would a lot of my other material. Actually the only reason I haven’t done it already is because I have a lot of things happening here. I cannot just leave here. But yes, maybe it’s something that will happen. Why not?”

Google acquires Dealmap

Last December Google failed to acquire Groupon at a $6 billion offer. Nevertheless Google did not give up on the social shopping market: this year they have bought Dealmap in an attempt to retain some of Groupon's market.
Dealmap aggregates around 400,000 local and daily deals a and already has 2 million unique users. It is no surprise that Google is so interested in this company. Last April Google launched the Daily Offers service which offers 50% discounts in an attempt to enter in the daily discounts business. Now, with the help of the new acquisition, it is probable that Google will become a close competitor to Groupon.
But will they be able to surpass it?

Email marketing more effective than apps

Following our discussion in class about advertising on smartphones, it is interesting to come across this article in Equi Media about how mobile marketing is more effective than apps.
The article specifically mentions a study conducted by ExactTarget that found Email to be the most powerful form of mobile marketing, for driving online shopping.
Personally, I think it says more about email marketing than about mobile marketing.
I believe the data regarding what drives people to purchase is naturally, as we discussed in class about Email, that it is one of the most basic and successful forms of advertising and marketing. Also, we must take into consideration that most people read their emails over the phone these days.
Although these results should be taken into consideration when deciding whether developing an app is necessary for a company, more than anything I believe this is another reaffirmation of the power of Email.

Thrillist on Techcrunch

Ben, the founder of Thrillist, is interviewed on Techcrunch:


They have a great conversation about Groupon, growth strategies of internet companies, and how they are currently expanding.

Wednesday, August 03, 2011

Facebook’s New Ad Rating Systems


An article on the WSJ this week reported that Facebook, in an effort to help companies measure the marketing exposure their brands receive on its website, is getting its own rating systems.

Nielson Co. will team up with Facebook to start offering in August a ratings service for marketing campaigns. Web analytics tool ‘ComScore’ has also started offering a new tool that allows big brands to track the number of people who view and interact with their products on the social network. The service can measure the impact of how big companies use Facebook’s fan pages and the “like” button as well as what individuals say on their own pages about specific products and services. On Facebook, advertisers can grab and republish an individual’s comments about a particular product or brand.

A quote within the article describes a new ecosystem of online advertising performance metrics: “As the online advertising market has grown, so has an entirely new set of metrics and lingo.” Charles Buchwalter, Nielson’s president of online campaign ratings was also quoted as saying that “online advertising has grown with a collection of metrics that are completely unique.” With new measurement systems come new economics of evaluating value and performance measures of ad campaigns.

For example, ComScore and Nielson are seeking to rate Facebook on a measurement known as “gross rating points” instead of other more commonly known online metrics. Gross rating points are a traditional advertising metric that multiplies the “reach”, i.e. size of an audience, by the “frequency” with which the audience sees a brand. Facebook is also intending on upgrading its own marketing tool called Insights, providing an analytics system not unlike Google Analytics that allows page owners and developers to access data on how their content is being viewed on the site. Richer analytics tools on social networking sites such as Facebook would better empower online advertisers to evaluate and tailor their ad activity on these platforms.

The "Facebook Law"

With Facebook continuing to gain popularity among the 18 and under crowd, parents are becoming increasingly stressed with the online interactions that their kids are experiencing. This has led to the passing of The Amy Hestir Student Protection Act or also known as the "Facebook Law." While the law is quite long, there are two sentences in the law that refer to Facebook and that is why it has been nicknamed the "Facebook Law." The two sentences specifically are:
                       No teacher shall establish, maintain, or use a work-related internet site unless such site is                        vailable to school administrators and the child's legal custodian, physical custodian, or legal                       guardian.
                      No teacher shall establish, maintain, or use a nonwork-related internet site which allows                        exclusive access with a current or former student.
According to the congresswoman who sponsored the bill, the idea was to prevent a school teacher who was found guilty of sexual assault from transfering school districts. She says that she does not want the law to prevent teachers from joining social networking sites or friending their students. The idea behind this law is to make everything transparent in order to prevent any misconduct.

The Rise of Community Support Networks


Community Support Site ‘Get Satisfaction’ raises $10MM today on Series B funding led by InterWest Partners and followed on by Azure, OATV and First Round Capital, bringing the total funding for the company to $21 million.

Companies are increasingly turning to community support sites such as ‘Get Satisfaction’, ‘Lithium’ and ‘Telligent’ to have conversations with their customers, wherever those customers may be. These support sites operate under the premise that communications between brands and customers should be open and transparent, and provide companies with even more options to engage customers across multiple points of contact. They offer potential avenues to provide companies with leads and brand awareness campaigns by integrating these support sites to the company’s main service sites. For example, the Get Satisfaction Facebook Fan page integration reroutes all conversations through the company’s main hub.

Additionally, ‘Get Satisfaction’ has multiple forum components that allow customers to begin discussions in one of four ways, Ask A Question, Share an Idea, Report a Problem or Give Praise. Companies can set up a Get Satisfaction page for free, and pay a monthly fee to claim and moderate the page, starting at $19.00.

iAds Twice as Effective as TV?


After Mondays class I decided to do a little more research on iAds, since I personally have never encountered one despite having tons of apps on my iPhone 4. There was lots of buzz around the concept of these "mobile ads with emotion" when it was first announced over a year ago, but how succesful have the iAds actually been for advertisers?
According to a new Nielsen study, very. The study showed that a Campbell's recent iAD campaign was more effective than its TV campaign by a wide margin. The five week study showed that respondents recalled the Campbell's brand 5x more when shown the iAD vs. the TV ad, and the actual commercial messaging 3x more. Additionally, not only did the respondents report liking the iAd spot better than the TV commercial, but iAd respondents said they were 4x more likely to purchase the product than the TV respondents.
While this may be a good case study Apple can use to persuade skittish advertisers to try out the new platform, I still have my doubts about how effective iAds will actually be in the longrun. I applaud Apple for being first to the market with this concept. But while I can see the ads being novel now that they're still new and unique, as soon as they catch on and consumers are bombarded with them every time they use an app, I think they will loose their cache pretty quickly. How do you feel about getting ads within your apps vs. other forms of mobile advertising? Does it make a difference if the ads are engaging or emotional- or will you be annoyed by them either way?
Click here for more information on the study:

The 'Value Trinity' of Social Customer Relationship Management


There has been a lot of buzz around social customer relationship management (sCRM) lately. Social media platforms and technologies are transforming how companies engage audiences and market products. Likewise, companies delivering CRM tool suites to their clients can gain value by riding the wave of evolution from traditional CRM to sCRM.

Customer data can reveal different value traits that help to assess each individual, akin to the different types of social data collected on social networks. The web and these social media platforms have introduced new ‘relationship’ and ‘influence’ measures that can act as complements to traditional CRM transactional, relationship and influence indicators.

By gaining access to social graph data on existing social networks (e.g. via the employment of the Facebook Social Graph API) and by deliberately connecting existing clients to these social networks, CRM companies can seamlessly integrate the “Value TRInity” — transaction, relationship and influence — with their existing offering, enabling them to gain deeper insights into customers within these spheres. An example is American Airline’s use of an ‘AA Mystery Miles’ Facebook page to secure customers on the social network and to track their AAAdvantage memberships.

As a mashable article describes: “As the practice of CRM evolves alongside the social web, it’s critical that we not only think in terms of measurable data, but also about the integration of social behavior to provide a true and accurate reflection of valuable customers. Success will be defined not by chasing influencers, high-volume buyers or friends-of-friends, but by leveraging the Value TRInity to forge enduring, mutually beneficial relationships with your brand’s true friends.”

Tuesday, August 02, 2011

SEO Quake for FF

Just a quick note--I've been doing a lot of pagerank research at my internship and SEO Quake, a plugin for your browser is fabulously good for this. And they finally released it for Firefox (in our lecture notes it's only for Internet Explorer).

It takes a little tweaking but you can rig this up in preferences so that a page of Google search results will list Pagerank and a whole lot of other metrics next to each URL. Extremely handy when you need to do a quick survey of a keyword/phrase.

Happy SEOing.

Google+ Drives Hyperactive Engagement

Mashable recently ran an experiment to compare Facebook engagement with Google+ engagement and the results indicate that Google+’s ecosystem seems to facilitate a higher level of engagement and interaction compared to Facebook.

Posts and updates seemed to drive comments and interactions at hyperactive levels with 70 or 80 responses being created over a very short time frame. The numbers that were cited include:

Facebook
57 likes and 40 comments

Google+
183 +1′s and 116 comments

The difference is significant with Google + receiving 321% more approvals and 290% more comments than Facebook, which is highly significant statistical difference.
Their comment regarding the results was “Granted this is only one post of many, but it’s still quite telling”

Chris Brogan in a recent blog post commented on this phenomena and his anecdotal observation was that updates on Google+ seemed to drive 3 times the activity he had experienced elsewhere. Google+ seems to be a more natural platform for conversations.

Reasons why Google+ drives hyperactive engagement could be its high population of innovaters and early adopters (according to the diffusion theory of innovation) that are both influential and very active and are poking and prodding the new levers. Also, the well designed UI encourages ease of use and speed of the Google+ channel seems to be exceeding Facebook’s newsfeed. Furthermore, the inviting ‘red button” hinting at more notifications is compelling and addictive. As Google+ continues to gain traction and potentially open up usage to businesses, digital marketers need to increasingly discern the distinctions between the two social networks to gauge the appropriate advertising strategy employing both networks.

‘Push Pop Press’ Acquired by Facebook


Last year, ‘Push Pop Press’ set off to re-imagine the book. The company created innovate ways to publish and explore text, images, audio, video and interactive graphics on touch-screen mobile devices and the end result was a new kind of book - Al Gore’s ‘Our Choice’ that was released in early 2011.

On its website, you can find a well-known quote by Tech columnist David Pogue of the New York Times summing up the tool: “This is one of the most elegant, fluid, impresive apps you’ve seen. It’s a showpiece for the new world of touch-screen gadgets.”

The publishing technology was a result of teaming between the Push Pop Press team, Melcher Media and Al Gore. The tool’s acquisition by Facebook suggests that the large social network has set off to help design the world’s largest book. It also means that there is possibility the giant social player might either use the bought technology on its mobile applications or it would enter the space of digital book publishing. Either way, Facebook would be enabled to give users richer ways to share their stories. What this means for digital marketers is also the ability to explore the advertising use of richer media content on social networks.

Bjork's New Album is an App-lbum

Bjork is set to release her new album Biophilia in the fall, but she doesn't want you to just buy 1 song for $.99, she wants you to buy the full experience. In conjunction with Apple, Bjork has created an app for each song on her new album, which will provide a multi-media experience for the user. It's interesting that this is being developed in conjunction with Apple as their $.99 strategy is responsible for the demise of people buying the whole album. This new format will also create a little turmoil inside of Apple as their app and iTunes divisions are separate competing entities.

You can read more about the album here:

http://www.wired.co.uk/magazine/archive/2011/08/features/music-nature-science?page=1

Monday, August 01, 2011

Mobile Application Could Expand the Art of Dance

What you see is not always what you get – the final performance product that most audiences witness on stage, whether it is Alvin Ailey’s world-renown Revelations or an emerging choreographer’s premiere in an obscure space – is never the first draft of an idea. The art of dance and creating movement is a process and one in which can now be documented and shared thanks to Richard Daniels, arts administrator, producer and choreographer. While recovering from a shoulder injury Daniels was reviewing some rehearsal videos and realized that there was something extremely compelling about the behind the scenes footage, so he began to edit it on his computer and then quickly transferred it to his phone…enter Dance for an iPhone, a free application featuring modern dances ranging between two to five minutes.

Since early 2011, when Dance for an iPhone was released, the app has been downloaded over 2,000 times in almost 50 countries. The point of the app is to show a more intimate side of dance than what most people are used to seeing on shows such as Dancing With the Stars and So You Think You Can Dance? At the moment there are only six different videos on the app; however, Daniels is set up to expand the repertoire.

So, several things come to my mind after reading about Dance for an iPhone.

First of all this is a marketing jackpot for local, national and international dance companies. Dancers, choreographers, and rehearsal directors should be encouraged to create their own rehearsal footage and use it to promote their performances. Although some companies have video and pictures on their website and you can look many videos up on YouTube, this could be a one stop shop. Patrons could search for a specific company, or style of dance, or maybe even utilize location-based technology to find local information and then be directed to a variety of rehearsal and backstage footage. Furthermore, within this app, companies should announce their next upcoming show and encourage users to buy tickets. On top of all this, once Google Wallet becomes more prevalent, users could buy their tickets on the spot. While we’re at it, why not add in coupons. When I’m walking around in Chelsea on a Friday night I can look for deals on unsold tickets for that night based on where I am and what I like to watch. Whew!

The good news is that this app seems to be going somewhere, however, I think it needs to go a bit faster!

How the Olympics could look like with the power of digital marketing?!

Along the course we have seen the use of digital marketing for many companies, however I thought it would be interesting to image the impact of digital marketing on an event as big as the Olympics! The 2010 Vancouver Olympics already had a strong digital print, thanks to the technology and new media that let millions of people around the globe to follow the show. This time, Rio Olympics has the potential not only to use digital media to extend the reach, but also to capture the culture and the excitement of the event and bringing it to the people at home in real time. How is it going to happen?! Even though we still have four years to go, there are already many Facebook pages on the event and many high quality videos that I’m sure they will go viral soon. Two of my favorite videos are: http://www.facebook.com/video/video.php?v=1690097945153 and http://www.youtube.com/watch?v=yMLzB1fsSTc . Furthermore each nation/team could build its own digital marketing plan through facebook, youtube, tweeter, etc. to let all the fans fully participate to the event. Streaming and online video will be able to transmit every single event to all over the world. Furthermore Twitter, that has grown tremendously since the last Olympics, reaching more than 200 million of subscribers and 1 billion tweets per week, could be extremely leveraged during this event. Athletes themselves could be tweeting, breaking news and all kind of details and real time emotions could be typed in and reach millions of people in very few seconds. Moreover ad hoc IPhone applications could be created to give people the possibility to know when and where all the events are happening, real time news on the medal counts, TV schedule, etc. Olympic games apps, apps that let people to bet on Olympic games and all kinds of possible social interaction apps could be created to increase participation. To conclude, digital marketing could have a great impact on making this incredible event unique, special and fully engaging as it has never been.

Can't Buy Them? Then Beat Them.

It was announced today that Google has acquired "The Dealmap", a startup launched last year that aggregates daily deals by local markets. The Dealmap currently has over 2 million users who login via the web or mobile apps in order to find deals in their area. The purchase comes on the heels of Google's failed $6 billion bid for Groupon last December and the subsequent creation of "Google Offers".

What will Google get from this deal? They are most likely hoping the acquisition will boost their efforts to tap the local daily deals market and compete with the current market leader, Groupon. Considering that Google Offers is currently available in only 5 cities and The Dealpmap has access to deals in multiple cities across 45 states, the acquisition should help them in their quest to be number one in the daily deals space. How exactly will Google integrate this service with their exisiting Google Offers service? And will the acquisition tie in with the launch of Google Wallet? I guess we will have to wait and see.

Experiments on new Ad types on Twitter

Many articles have been published recently on the power and development of Twitter.
As a matter of fact Twitter's value on the market is continuously increasing but no wander. The advertizing model of Twitter is still in full development and the more they innovate, the better they seem to do.
A recent example comes from Sephora, makeup retailer that is part of luxury giant LVMH. Initially Sephora did not allocate any funds to Twitter in 2011. However an experiment was launched last February and Sephora bought 15 promoted Tweets: basically they launched a contest among customers in which they would give away their products to fans of the popular show Glee. Surprisingly for Sephora the results of the test outperformed projections by 700%.
So the outlook for the future is now completely different and Sephora’s social media director Kathy Choi has been asked to apply additional advertising budget for Twitter for 2011-12.
Further innovations are yet to come and Twitter will launched later this year a self-advertising system and is also developing several other advertising products. Will this be the real receipt of a sustainable double digit growth?

Google has you covered with ‘Sparks’

Google+ has a functionality known as ‘Sparks’ -- a content recommendation engine that finds the most relevant and interesting articles and videos on almost any imaginable subject. The Spark for Android, for example, contains links and thumbnails from articles about recent Android news.

Google doesn’t publish how it determines which content is the most relevant, but most likely it uses signals from its search engine, Google News, Google+ and others to determine which content is the most relevant algorithmically.

Google provides a list of suggested topics, but you can type in almost any topic that suits your fancy. Some sparks have more content than others, though. You can also “pin” your favorite sparks to your left-hand navigation for easy access at any time. Sparks also lets you directly share the content you find with your circles.

This Google+ functionality can be used by users who would like to find out more about their favorite band or consumer product, and can influence the way marketers spread viral information that can be picked up by the Google+ sparks algorithm. It provides another avenue and platform upon which consumer products can gain exposure to their targeted market.

Google Wallet?

It sounds like a great idea. I like the idea; I endorse the concept; but I'm just curious how it can ever become mainstream?

If 70% of all U.S. commerce derived from small business, how can Google make this wallet concept affordable and mainstream to these small business owner? In addition to the credit card fees these small merchants have to pay, they also have to pay extra for a Google Wallet reader now?

I want this concept to work because other countries can adopt it as well. Work on this more Google and impress us picky customers.

The power of mobile to reach the bottom of the pyramid

Mobile phone penetration in the developing world is surprisingly high compared to the adoption of any other technology or even basic public services, particularly in rural areas. High penetration coupled with technologies that enable users to use their phones to deposit, withdraw, and transfer money, as well as use their phones as a payment mechanism, create a lot of opportunities for marketers to reach the bottom of the pyramid (around 2.5 billion people how live on less than $2.50 a day but who still consume)

Take for example M-Pesa. It is a money transfer service for mobile phones that has been incredibly successful in Kenya. Users can deposit and withdraw money from a network of airtime resellers and local retailers that serve as bank agents that manage the cash float.

The technology for M-Pesa was originally developed for Microfinance. The high cost of formal banks is one of the main causes for low financial inclusion in developing countries. With M-Pesa microfinance institutions could reach their clients without the need to set-up expensive branch networks. Unfortunately, microfinance institutions have not so far benefit greatly from the technology and M-Pesa remains as a money transfer system.

This is not only a good story in economic development, it also shows that mobile technologies are enabling the BoP to access consumer goods. Marketers of consumer goods can target both the immigrants living in the developing world and their families who are receiving the money back in their native country. The big food brands come to mind, they could give a promotion code to the sender in the developed country that the recipient could receive and claim in the home country. This can even be extended to a credit service where the sender can go on-line and buy products that the recipient then claims in local stores.

Digital Marketing in Finance

When we think about digital marketing, we usually associate it with consumer products. But the applications can actually be endless.
I realized this recently when I was speaking with a financial entrepreneur who launched his hedge fund in 2009 with capital raised from family and friends. With increasing success in generating excess returns, he was able to expand his capital base. However, it was only when his friend (a consultant with vast digital marketing experience) joined him that his business really took off.
Soon they had an active website and running blog. They started posting research on their website, groundbreaking for the investment management industry, and attracted droves of internet traffic to their site. A solid marketing strategy coupled with strong financial performance led to an inundation of investor inquiries from around the world. And as a sure sign of success, the founder found himself being interviewed on prestigious forums such as CNBC and Bloomberg.
Bottom line – digital marketing cannot be underestimated, and its applications can be far and wide.

QR Code Marketing Campaigns


Consumer-facing QR codes are hitting mainstream America hard this summer. QR codes themselves present an offline-to-online delivery mechanism and can be an effective medium to reach increasingly mobile consumers. Some best practices for setting up QR codes is integrative design of the QR code with the company branding. An example is the QR code employed by Coca-Cola. (See right image)

Beyond that, it is the execution that is key. QR codes that link to overly-long URLs, as well as broken unscannable “codes” often lead to customer frustration and lost leads. Importantly, it is what is beyond the code that usually determines whether the user experience will delight or disappoint. Destinations to non-mobile-optimized sites decreases response rates and trigger negative associations to the brand name in question. Providing sufficient value for the user would also lead to higher retention and response rates.

Is Digital Media breeding a generation of narcissists?

You might be wondering how this has any real relevance to the topics being discussed in digital marketing but hear me out. When Facebook became a worldwide pandemic, I use the word pandemic purposefully; I stopped to think what it really was it that made it so successful.

Was it the ‘oh so eloquent’ mission statement of ‘helping you connect and share with people in your life’? No that’s BS. As much Mark Zuckerberg had the noble cause of helping people understand the world around them, let’s be honest, Facebook is a paradise for stalkers and narcissists and taps into a primitive instinct of general curiosity. How many of you suddenly get excited by your friend count going up, or think about what status update to put up or how many people respond to what you say? Recent websites such as Klout.com and the Sunday Times Social media rich list are serving to breed a relentless self promotion that give rise to some wholly unhealthy behaviors.

Sites like LinkedIn I can see real professional merits to but the number of people who constantly seek some form of self validation and attention on social networking sites is alarming. Now I actually did some research on this. In an article entitled ‘Narcissism and social networking websites’ (Laura E Buffadi & W Keith Campbell) those with narcissism are predicted to have higher levels of social activity online with more self promoting content. Of course I have posed the reverse question but through my own observational evidence – I can attest to the fact social media sites can make even the most normal people become a little on the self obsessive side.
One might wonder that this level cycnism completely contradicts the fact that I love all things digital. I am excited by how it is changing the world as I have written in many blogs for this class but I am equally cautious and aware of its malaise.

I look forward to any comments you might have.

See the destructive technology, mobile messengers!

Right after purchasing iphone back in Korea, I literally stopped sending text messages my friends. Instead, I used ‘Kakao Talk’, the mobile messenger like ‘What’s App’ in US. Guess what happened afterwards… Many Kakao devotees have stopped sending Short Message Service texts since they downloaded the app, which allows users to send messages, pictures, soundbites and even video via the Internet.

The application is free to download, and sending and receiving material in wi-fi zones is also free.

Even outside the zones it is relatively cheap because it uses a mobile data payment plan rather than phone company connections such as SMS. However, the company makes part of its revenue from a commission on gifts which users can send to friends via Kakao.

Mobile messengers ... not only substitute for SMS, but also create a new communications culture, where users can actually chat even without a computer and have a group conversation. Moreover, a new phenomenon has emerged in which people who don’t use Kakao Talk feel excluded from their peers.

Will mobile messengers end texting?

In the long run, the answer will be yes. Now we are facing clearly destructive technology that destroys the former technology.

Some interesting statistics about social media platforms

Few hours ago I read this article that I found interesting to share here. Foursquare who's founder presented in our last class have yet to do a lot to reAlly become a favorite spot for advertisers. Interestingly 68% survey participants gave Facebook good and excellent remarks as compare to other social platforms.



For more information visit this original article at http://mashable.com/2011/08/01/social-media-advertising-2/

35m Cyworld, Nate users’ information hacked!

Few days ago.. the korean version facebook, Cyworld, was hacked..

The problem is, unlike facebook, Cyworld requires Social Security Numbers and other personal information to join. Yes, this is clearly a disaster. This is clearly the worst online security breach and fears are sparkling that the leak could lead to massive online and voice scams in coming weeks.

Nate is the country’s third-most visited Web search engine and Cyworld is the biggest social networking site with 25 million users, which accounts for half of the South Korean population.

Company said the hacking originated from a malicious code in China, an allegation that has yet to be verified by police investigation.

The latest hacking involves SK users’ names, phone numbers, email, resident registration numbers and passwords. SK Communications said the members’ password and resident registration numbers are protected through high-level encryption, but plan to set up a hotline for handling the hacking incident to stem secondary damage in the form of voice phishing and spam mail.

As with previous hacking incidents, Cyworld and Nate members, including me, are likely to receive more spam messages or fake calls from phishing firms.

Branchout vs Linkedin

There is no question that Branchout is adding users at an exponential rate. Recent news indicate that the platform has surpassed a million users in a very short time. Is this the "Linked in" killer?

Branchout leverages facebook's social platform to build a professional network that benefits from the 750 million users. But isn't facebook mostly youngsters? With somewhere around 40% of facebook users in the 26- 44 age range, demographics aren't a major hindrance for Branch out. At this mix, branchout has a potential target audience of 300 Million users which compares favorably vs Linked in's 100 Million.

However, i think that Facebook isn't the best venue for a professional network. Currently, Branchout uses Facebook's profile pic, a big no no. People put fun/silly/personal photos on their profile which isn't exactly what you want a potential employer to see. Also, facebook friends are not always people you would want in your professional network either. I think this is the power of Linked-in.

Separate networks make sense for professional and personal. G+ Groups however, might be a more interesting venue to explore

Spotify, a game-changer?

Last class we talked a bit digital sales, and its impact on the music industry. No surprise that revenue from sales has dropped. Through the MMA club, earlier this year we met with a music agent who described a paradigm shift. Whereas previously music tours were used to promote CDs, today, songs are used to promote tours, therefore the big money-maker has shifted from "cd" sales to concerts, tours, and the like. It was a simple explanation, but one I hadn't thought about before.

Spotify, briefly mentioned in Jeremy's presentation last week, has finally been released in the U.S. (2 weeks ago).

A brief summary: It's a European music listening cloud - based service that is supposed to be such a game-changer that users could replace iTunes, Pandora, and Sirius XM with the new service.

The key difference? It's like iTunes except instead of having only access to your online library, you have access to their ginormous library of 15 MM songs, and they have a 3 tier subscription based fee (free, tier 1 and tier 2) kind of like Netflix.

In this sense, it's a paradigm shifter, like Rhapsody and Pandora such that music listening is no longer about ownership, but about access.

Will it be a success?
People seem to think so. No one yet offers the aggregate services that it does, apparently users are priority over ad revenues, there has been a lot of US pre-launch buzz, and it's already integrated with FB for instant reach. It's projected to reach 50 MM users within the first year!

The challenge? Control. In light of the recent uproar over Netflix's subscription model changes, people should remember that it's all about upfront investment and gaining market share. We have little control over what happens to our music in the future without ownership rights.

Also, like most content streaming services that seem too good to be true, Spotify is already being sued...

Gap Marketing Going Digital

The Gap brand has not seen the best times over the past few years, as they try to revitalize an aging image. Of special note, they introduced and immediately retracted a new logo last year that caused widespread public outrage. For Gap's next global campaign, they have announced a slightly more non-traditional route, focusing a far bigger percentage of their ad dollars on digital and social components. They have created more than 30 videos, which they plan to stream on sites like Hulu, Daily Candy, Refinery 29 and ShopStyle. The content will focus on interviews with merchants and designers, as well as instructional videos regarding how products come to be. The videos will also be incorporated into animated display ads and print ads in magazines like Vogue, Lucky, Men's Health, Nylon, and ESPN The Magazine. Whether this new effort will result in better brand equity and stronger younger appeal for Gap, or whether it is too late, remains to be seen.

A Perspective on E-Commerce

We talked last week about 3 different ecomm models, direct sales, disintermediated sales, and digital sales. It's not hard to find the huge pros associated with ecomm. I LOVE being able to shop JCrew factory with free shipping, craigslist for getting tickets, and amazon's kindle for buying digital content. We are priveleged to have unprecedented thresholds of price, efficiency, and choice. It certainly has created new types of jobs, for example in data entry, website creation and maintenance, credit card processing, Internet security, and inventory management, and it allows people to shop from the privacy of their own home. Additionally, it significantly lowers the barriers to entry and gives small shops many otherwise lost opportunities. Most obvious, is that ecomm allows business owners to cast a wider net while reducing some traditional costs associated with retailing (i.e. operational costs, transaction costs, etc.

Because the pros of ecomm are so obvious, especially to us as users, I thought I'd summarize below some of the adverse effects of ecomm that have been written about, so that we can all have some knowledge of both sides of the coin.

Cons of Ecommerce:

On the consumer side, obviously we deal with loss of privacy, consumer protection issues (sophiscated fraud or abuse of personal information), displacement of workers, and negative impact on quality of work life.

On the business side, companies are forced to reduce profit margins, and there is tremendous pressure to force price down, small players might actually be killed by large players (think EBay) subduing the market more so to "winner takes all" scenarios, and e-commerce could have tremendous impact on tax policy. Some papers suggest that ecomm could lead to erosion of tax bases since it transcends national boundaries. In terms of labor market, yes ecomm will create new jobs in IT type services, but it will displace the more traditional workforce and probably contribute to higher rates of turnover in a fast-paced, technology based world that will be ruled by innovation. An article by S. Sharma and J. Gupta suggests hones in on this point by stating that the world will shift from mass labor to knowledge labor.

So in summary, while we fawn over the convenience of ecommerce in the short-term, it behooves us to understand and prepare for the future changes it will bring to price, composition of trade, and labor markets.

New "Priceless" Campaign

There are a lot of memorable MasterCard's "Priceless" commercials on television. A youtube search showed there are over 1200 commercials. Granted some of them maybe duplicated and several years old but I'm sure most of us have seen at least one of those commercials. The first Priceless campaign ran in 1997 during the World Series and gained a lot of traction for many years afterward. Once in awhile, I would see the campaign on television but they are not as frequent as they used be.

A recent article on mashable.com - MasterCard Rewards Facebook Places Checkins in New "Priceless" Campaign shows that MasterCard is slowly adapting to a new channel of advertisement, social media. MasterCard needs to be a little quicker on following the new trend because companies like American Express has been very active in pursuing this new channel of engaging with their card members. I look forward to seeing more of the clever "priceless" campaigns MasterCard has to offer and I hope their campaigns are as memorable or "priceless" as the ones they have shown on television.

Asset Managers Using Digital Marketing Tools

I also recently came across an article highlighting the increase in asset managers using digital marketing. This is a space I previously didn't consider would ever use digital marketing because of regulatory issues and the fact that many asset managers (the smaller ones) tend to be very private. The fact that the asset management industry is competing more and more for investor dollars means digital marketing is being used as another tool to attract those investors. In addition, younger investors are accustom to using social media platforms to get information and to share ideas. In the future, more and more asset managers will use social media to build awareness and monitor QR (quick response) content.

Crowdsourcing Change Using Social Media

I ran across an article (and another one) that discussed First Direct (a UK bank) that is creating an open forum for discussion regarding its digital plans, website and smartphone apps, among other things. First Direct has been a leader in the banking space for using other social media outlets such as twitter to track customer satisfaction and provide customer feedback. Financial institutions have been slower than most companies to jump on the social media bandwagon (although it is more of a necessity than a bandwagon at this stage). First Direct's new lab will be a new outlet that links with other social media sites such as Facebook to monitor recommendations/suggestions in real time. This is the next level of more typical customer forum sites. It is simpler to use, is more frequently moderated and is used to cull stats. I believe other companies, if they haven't started initiatives like this, will start similar type labs.

Obama Takes Heat on Twitter Campaign

Columbia graduate Barack Obama's use of social media in the 2008 campaign was a great boost to his campaign, especially in the eyes of young people who love technology. His success in delivering the message of Change and Hope brought a sense of optimism that he might have enough media and tech savvy to have an even greater ability to connect with the people and their goals once he was elected.

In an administration marked by vehement opposition, the budget crisis marked a new low, and the normally cool Obama showed uncharacteristic irritation with his nemeses over the past week. On Friday, he took to Twitter and gave out the addresses of various members of Congress, imploring people to get in touch with their representatives about the budget.

In the ensuing hours, measurements of his effectiveness in proliferating the message of "compromise" was being discussed by Mashable and other tech pundits. Republicans jumped on him saying he was "spamming" America. Even on social media, the Republicans have a way of framing him negatively.

Very interesting to hear that losing 39,000 followers was the focus of this info. With over 9 million followers, is 39K significant? Isn't that like .4 percent? That's a lot in an election. Especially in Florida.

Could Obama have made his tweets more effective?