Good for the soul, bad for business?

Instagram is removing likes..or at least testing it in select regions- so how does this impact digital marketing? 

CEO Adam Mosseri has announced that Instagram, a social media application for sharing videos and photos, is going to begin hiding the 'likes' feature with some countries/regions already seeing differences. For the everyday user this may mean a bit more confidence and less anxiety on the popularity of posts but for businesses and influencers that rely on this as a measure of a captive/engaged audience it may mean less transparency and impact.

For one thing, users will still be able to 'like' posts thus showing the direct individual they are engaged and actually like the post and the publisher will be able to view who has liked the post. This creates a more authentic relationship between the two and can still capture engagement/captive audience but my question is how will businesses select influencers? Likes is one of the easiest methods to find applicable influencers and promote products to broader audiences and without it they will need to rely perhaps more opaque measures such as followers and just comments which appear to be more difficult to use.

On a brighter note however, with the pressure of likes removed I would imagine the authenticity of posts to re-emerge without the concern of how popular your message or image is- perhaps this will create an ecosystem that is real and thus businesses and individuals will be more keen to interact and follow individuals, products, recommendations, ideas, and advise in an honest way. Instead of consumers liking and following based on others, they will interact and follow what they truly enjoy and find valuable, and that may be what the marketplace really needs.

Shopify-ing the e-commerce journey

After learning about Shopify's newest email solution in Saturday's class, I researched to understand the significance and how this new functionality can be beneficial to a fledgling e-commerce startup.

In a nutshell, integrating email marketing as part of the e-commerce mix allows brands to directly correlate email open and engagement rates with purchasing decisions. Shopify's foray into email marketing illustrates the growth of direct-to-consumer brands and the increasing importance for brands to directly communicate with end consumers. As "old school" as email marketing perceives to be, it is still one of the foundational digital marketing tools that should not be easily dismissed.

Shopify's email marketing tool will be functional and include templates that pull product listings and brand assets directly from merchants' stores to ensure branding remains consistent from email to e-store. There will also be robust sales conversion metrics to help merchants adapt and finetune its content.

The future of digital marketing

Companies are now using artificial intelligence technologies in their digital marketing efforts.  Such technologies are implemented largely due to inaccuracies that marketers are facing in personalizing content to the users and many errors that result from such activities.  Artificial intelligence marketing will allow the marketers to leverage data collected on users and operate a learning machine that builds automated models that predict the next step of the customer and what other interests may be of interest to that particular user.

That said, I'm not exactly sure how that is different than what marketers are doing currently as there are apps and websites that do something very similar.  We receive emails or ads that are customized in such a way that they are based on our recent searches or purchases.  I wonder if marketers are creating their own models with the data to come up with the personalization.

Either way, marketers are using this technology to better utilize the data for better accuracy and it seems like this is where digital marketing is headed.  See link below:

https://www.jpost.com/Jpost-Tech/Artificial-Intelligence-The-future-of-Digital-Marketing-608089

Amazon and Nike break up

After striking a deal to sell their products on Amazon in 2017, Nike is ending their relationship and has announced that they will be reshaping their sales strategy with more direct to consumer sales. 

Some say Nike’s move is part of a growing trend. Tim Armstrong, former CEO of AOL and ex-Google ad chief says Nike’s decision to stop selling merchandise through Amazon is just the “tip of the iceberg” of brands opting to go directly to consumers and that brands are often fearful that by partnering with Amazon they will lose control over how they’re represented on the site.

And this might be true. The 2017 Nike/Amazon deal was made under the understanding that Amazon would introduce stricter policing of counterfeits and unsanctioned sales. Amazon said it invested more than $400 million last year to police its website and blocked more than 3 billion suspected bad listings before they were published to the site. The trouble is, they seem to put most of the onus on the brands to report bad listings. And despite their efforts, complaints of fakes and gray market sellers have persisted. 

The loss of Nike is definitely blow to Amazon. Not only were they one of the biggest sellers on Amazon, but they were a big name executives could cite when trying to woo other big names. 

But will the loss of Nike signal a reckoning for Amazon in policing fakes and unauthorized resellers? I’m not so sure it’s in the everything store’s interest. As the Washington Post puts it, “The continued abundance of counterfeit goods on the site is the result of Amazon’s decisions to prioritize a broad selection of products and cheaper prices over the deployment of aggressive technologies and policies that could further stem the problem.” 

Google Manipulates Search Results More Than They Say

https://www.insider.com/google-manipulates-search-results-report-2019-11

We all know that Google manipulates its search results -- what is an algorithm supposed to do other than "optimize" activity, which is inherently manipulative? But the interesting thing about this week's latest probe is that allegedly, Google manipulates results more than they publically claim.

This is inconsistent with their culture of transparency, which was also in the hot seat this week. The discrepancy between what they say and what is "the truth" is the problem, not the fact that algorithms are used.  It's noble to eradicate spam; it's noble to bury "fake news"; it's not noble to lie about what the back-end practices actually are.

Google hasn't been forthright about how its search algorithms work in specificity, in an attempt to block "bad actors" from taking advantage of the system. Google does release guidelines to assist website owners, but that's about it.

Consumers are 35x more likely to open mobile messages than emails

Interesting article from Sinch, a marketing research company.

The report says that consumers are 35x more likely to open mobile messages than opening emails.

Due to too many email campaigns, nearly 1 out of 10 have over 1,000 unread emails. 4 out of 10 have at least 50 unread emails.
However, only 4% have 50 or more unread mobile messages.

Assuming that mobile messages are short and easier to read.


https://www.sinch.com/insights/downloads-and-reports/mobile-consumer-engagement-2020-2/?utm_expid=.NcLURFGiS42GD0wHJoCIqA.1&utm_referrer=

Google, Facebook and Amazon | The Tech Giants of the 21st Century

              

In this course we've had the great opportunity to dive into the histories of three of the biggest players in the tech space, all three of which are integral to the modern economy and to all things digital marketing.

It's been fascinating to me to learn about some of the deep philosophical differences, motivators and working styles across the founding teams of all three of these iconic companies. In John Batelle's The Search, it was striking to see how much attention the Google co-founders paid to quality throughout their platform, using creative approaches to effectively rank and index the web while working tirelessly to provide the best experience for their users. I was impressed by their attention to detail in insisting that ads on the site were un-intrusive, minimalist and still useful to users, and found myself in awe of the noble aspects of the company's mission to make information searchable and accessible to diverse users around the world. Despite the weighty responsibilities of developing such a rich and nuanced dataset, rife with sensitive information, I was left with the impression that Google was up to the task and its founders and leadership generally meant well in their creative and academic approaches to innovation.

In The Facebook Effect, I was impressed by the intense level of collaboration across Mark Zuckerberg and the founding team, including Dustin Moskovitz, Sean Parker, Matt Cohler and others. It was clear that Mark was a decisive leader, but I really liked how tight-knit this team was, and was impressed with the close relationships the young founder forged with industry titans such as Peter Thiel, Reid Hoffman, Marc Andreesen and others. The team worked incredibly hard, but they also seemed to build very strong buzz early on through this dynamic and passionate collaboration. It was interesting to hear about the philosophical goals of the project in making the world more open and transparent and in changing the balance of power so that people were better able to self-organize and share ideas directly. I did think there was a rebellious and disruptive element of the project that was made clear through the book, and the implications of that are still unraveling to this day, especially with considerations around personal data and the right to privacy. At the same time, it was refreshing to hear how much Zuckerberg pushed back against over-commercializing the company early on, and how focused he was on creating a lasting product serving the needs of his users.

In The Everything Store, I was surprised to see how much of a solitary endeavor the project was, especially in its early days. It was also clear from the book what a strong impact Bezos's experiences at D. E. Shaw were in his management style and in a broader sense his operating model. I was impressed with how much the early nurturing he had at D. E. Shaw was in motivating and supporting him to make the move, and at the same time was surprised to see how a calculating commitment to being data-driven has been key to Jeff's working style since the beginning. It was also surprising to see what a long haul its been, with Bezos at the helm building up the modern-day indispensable behemoth over a twenty five year span, through dot-com bubbles, recessions and more.

Although I am left with the impression that Amazon has the most commercial focus of the three major tech players, I found the ability of all three teams to avoid focusing on the short-term and instead drive relentlessly over the years to build organizations of lasting value incredibly inspiring. I look forward to seeing what comes next with all three.

Future of Banking: Will Google Or Amazon Be Your Future Bank?

I found this article very interesting especially after the announcement of google this week getting into banking.  Early next year, Google wants to start offering some type of checking account to its users.  However, to be honest, I don't think their main goal is to be the bank of their users but more about monetizing the information that they will have access too.  By providing the banking infrastructure to their users, they will be able to see where the money comes from all the way to where and how it spent.  Think about the power of this information on millions of customers.

What will the future of banking look like?  I have been in finance for 20 years and its a question I ask myself every day.  The article talks a lot about millennials and what their expectations will are around money management.  However, I think we need to think bigger.  The future is about the information on users and clients and using that to maximize experiences, spending and brand loyalty, etc.

 I work at Jpmorgan and we are trying to become a place that is a destination and experience for our clients.  We want to be known as a "tech firm" that does banking and google wants to be known as a "banking firm" that does tech.  As technology changes and evolves around us we will see who wins this race.  One thing I do agree with the article on, whoever you are not doing anything is not an option.

https://www.huffpost.com/entry/future-of-banking-will-google-or-amazon-be-your-future-bank_b_8921888

KOL vs. KOC

Different from KOL (key opinion leader), KOC (key opinion customers) has fewer followers on social media. Although they do not have expertise in marketing, they “appear” to be more trustworthy than KOLs. Instagram has started a new law that influencers need to specify “sponsored content” on top if they receive financial returns from the brands. Despite this fact, content shared by influencers is less trustworthy. 

KOC, on the other hand, is the next target of marketers. Although they do not have millions of followers, influence in a close friend cycle of tens and hundreds can drive sales as well. Their opinions, if positive, being seen can bring a higher conversion rate than KOLs. 

However, are KOCs really more trustworthy than KOLs? 

An article about “Micro-influencer” :

https://www.impactbnd.com/blog/power-of-micro-influencers 

Disney+: A win or a loss for advertisers?

This week, Disney+ went live in the US after months of anticipation. Disney built up consumer demand through targeted digital campaigns on social media, banner placements on apps and websites (mobile and desktop) and through their traditional media platforms (ABC, ESPN, Disney Channel, etc). For $6.99 per month, subscribers can watch unlimited Disney content without advertisements. For this reason, I ask the question - is this a win or loss for advertisers?

On one end of the spectrum, Disney+ is building a subscription model similar to that of Netflix and HBO that is absent of ads. Hulu on the other end of the spectrum, also owned by Disney, has a lower monthly fee and is partially subsidized by targeted ads. These non-ad content providers are stealing share of viewing hours, replacing traditional cable viewing, featuring advertisements, with on demand ad free experiences. If advertisers can no longer reach captive viewers while watching shows and movies, are they losing?

I argue this is NOT a loss. As technology has improved, the population's attention span has diminished, reducing the effectiveness of TV advertisements in recent years. Replacing TV ads with targeted mobile, apps, or social media ads has increased the effectiveness and relevancy of ads. While viewers are watching shows, they are more likely than ever to shift their attention to their phone, tablet, or computer where advertisers are ready to feed them incredibly relevant adverts.

Additionally, there are several ways Disney + is actually creating more marketing opportunities. As Disney+ learns about their consumer base, they are able to leverage the learnings to sell their properties through licensing for co-bramded products- for example: cereal, ice cream, snacks, etc... Brands that chose to partner with Disney will have increased demand and awarness for their products.

As millions of viewers flock to sign up for Disney+ all over the world, more targeted digital marketing opportunities will emerge, not fewer. The process of bringing people online to Disney+ will accelerate the transition to a more digitally savvy world, which will open more opportunities.

Social Media Trends for 2020 and Beyond

• Social Media Trends for 2020 and Beyond (Influencer Marketing Hub)
• Ephemeral content such as Stories will continue to rise, so creating short, engaging content is key
• Brands should look to fast-growing, niche platforms like TikTok and Twitch
• According to a Cisco study, 82% of all online content will be video content by 2022

Social Media Marketing Strategy

A blog I borrowed from Shopify as I came across it during my research for our group project.  This is just about how you should get started when thinking about marketing through social media.  Thought this was interesting as we're having a guest speaker from Shopify so this may be a little preview of what we're about to hear in class.  This seems like a very comprehensive step-by-step in planning and something our group will definitely leverage since our company doesn't even have a product so we would need to plan very carefully (especially when figuring out the target audience).  Anyway, I thought I'd share with everyone since it seems to be very useful...

See link below:
https://www.shopify.com/blog/social-media-marketing-strategy

Is the Apple card sexist?

Over the weekend, DHH (https://twitter.com/dhh) posted on twitter about his and his wife's application to the Apple card and the significantly different credit limits even though they file joint tax returns, live in the same house, and she has a better FICO score. His tweets went viral - see them here  https://twitter.com/dhh/status/1192540900393705474?s=21 .
Apple and GS did a terrible job at appeasing him, or containing the issue. More and more people started to chime in and to share similar stories, even Steve Wozniak! Now Apple and GS are being investigated by the New York's Department of Financial Services (DFS).
Coverage of the story here:

https://www.bbc.com/news/business-50365609
https://www.washingtonpost.com/business/is-the-apple-card-sexist/2019/11/11/0f70b2fa-048d-11ea-9118-25d6bd37dfb1_story.html
https://www.nbcnews.com/tech/apple/ny-regulator-investigating-apple-card-possible-gender-bias-n1079581
https://nypost.com/2019/11/10/steve-wozniak-agrees-with-critics-who-say-apple-card-is-sexist/

Columbia University's very own TikTok club

TikTok's precipitous rise to popularity in North America is not a case of luck. TikTok is in the midst of licensing negotiations to launch its own subscription service, according to three people briefed on the matter, which would see TikTok go up against Spotify and others for consumer dollars.

Columbia University's first club devoted to TikTok is a testament to Bytedance's far-reaching ambition and ability to convince brillant youngsters to lean in. 

In Preparation for Next Saturday's Class....

I wanted to share this article from Retail Brew to help everyone prepare for our upcoming speaker in next Saturday's class. Shopify has been making a lot of headlines in the retail marketing community about their partnerships/breakups with Mailchimp and their new in-house email marketing tool.

This isn't the only big expansion move for the company. The article also references another article from Tech Crunch about creating retail hardware for small shops to leverage chip-enabled credit card purchases.

Spotify Taps Viacom for Digital Marketing Globally

https://digiday.com/marketing/spotify-viacom/

Spotify has decided to use a media giant, Viacom, to develop its content marketing. Content marketing is a significant lift for a company like Spotify, so it makes sense that Spotify is employing a media specialist like Viacom to execute on it.

Spotify's objective in utilizing Viacom for content marketing is to expand its user base.

Facebook's Mic Drop

Facebook had a party in New York this week – a Portal Party – to show off the updates to its smart screens and Oculus virtual-reality headsets. The Portal is Facebook’s video messaging device which already comes with some pretty cool features like the ability for the camera to track the caller as they move about in a room or widen the image when more people come on screen, so you can always see the person you’re talking with. Facebook used their Portal party to demo its newest feature, Mic Drop. 

Mic Drop might sound familiar if you’ve used TikTok. It’s just a lip-synching app, and Facebook’s latest attempt to keep it hip for the kids. It’s got the look and feel of Guitar Hero and allows users to choose face filters inspired by the artists in the songs. Have a look for yourself (skip to one minute mark to get straight to it).

One big difference with Mic Drop compared to TikTok is that these videos aren’t meant to be shared with strangers but rather close friends and family. If you read my previous post about TikTok, I shared my teen cousin’s take on TikTok: “so cringey”. You be the judge as to if the above performance above was cringey too… And if you’re on the side of cringey, think, maybe you'd feel differently if it was being shared in a more intimate and private space, where all parties were close friends. It might even be fun! 

This is exactly why, despite TikTok's rocketing growth, Facebook will continue to do better in the long run. Because the core of Facebook remains about people and connections while TikTok is all about the algorithm; optimizing your feed based on previous views to produce the endless scroll. That aside, I'm skeptical about whether Mic Drop itself will really compete with Tiktok. Because while the idea of “people and connections” might be timeless, I'm not so sure young users would consider using a Portal over their phone.

Nielsen’s split highlights the importance of marketing

Nielsen announced its plans to break the company up into two parts–Global Media and Global Connect.  This allows the company to focus more on how advertising sells things beyond the packaged-goods industry. This gives a peak into the importance of focusing on the totality of a customer’s needs versus a specific product need.

As a combined company, Nielsen was focused by vertical - CPG. This gives a very narrow access of the consumer, and only constitutes about 9% of total advertising revenue. In other words, Nielsen is a dinosaur in a digital world.

Is it possible for Nielsen to pivot into a digital savvy company? And will the split transform the Global Connect business into a digital savvy platform. Innovator’s Dilemma - Professor Clayton Christensen - cited that innovation’s value accrues in the middle of the S-curve. This is very difficult to justify to a shareholder base that is short term profit oriented. As seen in our digital marketing class, from concept to market ready, there are many advertising service providers entrenched in the process, each giving a niche service that takes a cut of the advertising fee. It remains to be seen whether Nielsen is capable of turning the business around and transform themselves into a hip digital marketing service provider, and expand their customer base beyond CPG.  

Shopify Focusing on Email Marketing

Since parting with Mailchimp earlier this year, Shopify is focusing efforts on its homegrown email marketing tools for customers.  It will pull data from customers' sites to ensure consistency in brand messaging, offers templates and tips, and provides a host of metrics for easy analysis of the campaigns.

https://www.morningbrew.com/retail/stories/2019/11/08/shopifys-new-target-email-marketing

"Innovate or die" is a key mantra for Bob Iger, chairman and chief executive officer of Disney. (Tiffany Hagler-Geard/Bloomberg/Getty Images)


Bob Iger is already very famous but might become even better known soon.  Disney + is about to start on Nov 12th.  What will this do to Netflicks and other streaming services is the question? 

So far Bob has done a great job with taking the brand of Disney to the next level.  But is it just about the brand or the service?  For me, I absolutely love Disney stuff but how much can I watch it? I would assume that after a couple of weeks I would be tired of just watching Disney.  So am I willing to watch other streaming services?  I don't think they have enough for me never to see other stuff.  Or maybe they are just trying to become another added service?

However, it won't be long before we know if this plan by Bob is going to succeed.  I do agree that you must continue to innovate to stay in business these days.  However, with innovation, there is also a lot of risks.  So the question really becomes can you survive a failure?

We cannot wait to see.

By Jeannie Marmol A.K.A Idreamof

website: https://www.cnn.com/2019/11/08/media/disney-bob-iger-risk-takers/index.html