Fall+2008+Section+07-PS+Week+7

=Class Discussion For Week 7=

[[image:https://www.google.com/adsense/static/en_US/images/logo_main.gif link="http://www.google.com/adsense"]]
=Earn money from relevant ads on your website= Google AdSense matches ads to your site's content, and you earn money whenever your visitors click on them. AdSense for content automatically crawls the content of your pages and delivers ads (you can choose both text or image ads) that are relevant to your audience and your site content—ads so well-matched, in fact, that your readers will actually find them useful.


 * Facebook

And not only can you get a little revenue from your site you can always use Google to Google ways to have your page be displayed at the top of the list. This would be more beneficial for you as it would 'more than likely' increase traffic to your site, and hopefully, increase the probability in which someone is going to click on an ad embedded in your page.

Another topic of 'Situals discussion was "Captivate Network", a company who has seemingly successfully found useful/profitable ways to fill elevator "dead-time". According to Captivate Newtwork website, each month over 54.5 million impressions are delivered. To see an "example 'Stitual please visit the captivate website below and click "VIEW DEMO'S" on the left side of the page. http://www.captivate.com/

An interesting new concept, building on the idea of matching ads to consumers - The online and offline worlds are becoming increasingly interconnected, as our sister site trendwatching.com recently [|noted]. Now, a new venture from Alcatel-Lucent is using a version of RFID to give consumers the ability to make such connections for themselves. Released into beta earlier this month, [|tikitag] uses short-range, high-frequency RFID to let consumers and third-party application developers connect everyday items to online content or applications. To tap the connection, users of the technology need only touch a compatible device such as a cell phone to an item tagged with a corresponding sticker. Parents, for example, can use tikitag to link their toddler’s teddy bear to an online story about that same bear; museum visitors can wave an enabled mobile phone at a painting to call up the painter’s Wikipedia profile. In a business/logistics setting, meanwhile, a cleaning company could use tikitag to record that a room has been successfully cleaned by touching an enabled mobile phone to a tikitag-linked sticker that has been placed in the room. Such connections are made possible by the tikitag Application Correlation Server, which directs enabled devices (computers or mobile phones) to access the appropriate online content and applications when they touch a tag. Tikitag uses technology known as Near Field Communications (NFC), which operates at 13.56MHz and covers distances less than 4 cm—as opposed to the longer-range, ultra high-frequency RFID used by many retail chains. NFC is already built into several cell phones from Nokia and others, and a tikitag starter kit, available from both tikitag and Amazon.com for USD 49.95, contains one USB-enabled RFID reader and 10 RFID tag smart stickers. Client software for most operating systems is available by download, with a Linux version currently in development. Users of the technology also get access to a community website where they can create, share and rate new and off-the-shelf tikitag applications. Initial examples already available for download include one that lets users link physical souvenirs with online photo albums; another lets them steer an online music services player to perform preprogrammed actions via a tikitagged object. A raft of other ideas are also listed on the site, ready for developers to implement using the product's flexible API. Anthony Belpaire, general manager of Alcatel-Lucent’s tikitag venture, explains: “Over the last few years there has been explosive growth in the range and types of online content—much of it related to real world objects, events or activities. But how do you connect this online content with a person’s business card, for example, or a concert poster, or a work of art? Tikitag provides this missing link." By supplying a constant stream of new ways to connect the online and offline worlds, tikitag may just be the ultimate [|digital lifestyle lubricant]. One to watch—and try out! Website: [|www.tikitag.com] Contact: info@tikitag.com

Viral Marketing
Viral Marketing is based on the assumption that an individual will spread a marketing message that they are exposed to at rate ‘R’. As ‘R’ grows, the greater benefit the company will receive since their marketing will reach a greater number of individuals without additional expenditures. While the initial marketing message can be targeted to a specific target audience, the viral spread of the message will not be under the advertiser’s control, therefore reaching unlikely customers and decreasing the effectiveness of the viral spread of the message. Viral marketing can dramatically increase the number of consumers that a message reaches, and formulating a message that will incite viral spread can benefit the advertiser. As we look at the virtual marketing in the elevators our discussion moved to Google and how can they jump the curve in advertising. Would it not be possible for Google to incorporate the web to develop their own type of “cable” network with station and movies? Google could use the internet as a means to get their ads out there. This would then raise the question at what point do we as people reach a point of information saturation? As we look through the various venues of marketing and we see flashier and more eye catching ads we begin to become numb to the once impressive ads. Once we have reached information saturation we may need to reinvent our marketing ventures due to the fact we may be spending millions on flash which is never really being seen.


 * Accidental Influentials:**
 * Some people think: Social Epidempics are driven by tiny minority of social individuals "influentials"
 * This "importance" comes from an untested theory called "two-step flow of communication"
 * Marketers like this theory, because if they find the "right" people they can influence "everyone"
 * However really "influentials" could be "Accidential" due to factors such as location, timing, etc
 * Also, it could simply be that many "easily influenced" people "influence each other" and a new trend emerges
 * Regardless, it is obvous that sometimes early adoptors are trend setters, and other times they are dubbed simply as rediculous losers.....


 * [|BUZZ AGENTS - the commercialization of chitchat]** - Business Week - Are We Consumers—or Consumed? June 19, 2008

In one of Walker's most interesting sections, he describes the "fresh frontier of murketing—the commercialization of chitchat." In 2001 a marketer named Dave Balter founded a company called BzzAgent with the idea of developing a network of volunteers who would get points for spreading **"honest word of mouth"** about the new products sold by BzzAgent's corporate clients. The volunteers could cash in their points for all kinds of cool products. It turned out to be pretty easy to recruit "agents." What surprised Balter was how few of them took advantage of the rewards program. Apparently they were satisfied with being considered trendsetters by colleagues, friends, and family. Walker concludes: "The existence of tens of thousands of volunteer marketing agents' raises a surprising possibility—that we have already met the new hidden persuaders, and they are us."

Case Discussion: Charles Schwab Advertising
http://www.youtube.com/watch?v=2xofrLdFoF8&feature=related A few "talk to Chuck" examples for your viewing pleasure.
 * Problem:** Due to deviation from "bargain trade" methodology (as well as infringment of marketshare by discount brokers such as Ameritrade & E*Trade) Charles Schwab & Co experianced flat revenues in 2004 and a net income decline of 39% in less than a year.
 * Solution:** Charles "Chuck" Schwab came out of retirement to reclaim his role as company CEO. "Chuck" initially reduced cost and began a campaign to "restore the brand's percieved value" with the end objective of securing greater percentage of the market share. A major component of this campaign was the "Talk to Chuck" advertisments, implemented and designed by Chief Marketing Officer Becky Saeger. These advertisements offered customers with a "personalized association" with the leader of the investment firm, thus bridging trust. This differentiated advertising technique paid off!http://www.youtube.com/watch?v=wF49DIim6ww

Talk With Chuck targeted "mass affluents" 35-54 years old with between $50,000 and $2 million in investable assets. Financial results improved - during Sept. 2005 after the launch, Schwab saw an increase in net new assets of 10% over the previous month, nearly a $6 billion increase. [|Charles Schwab] Online message "from Chuck" [|Talk With Chuck]

[|Talk with Chuck ad campaign] [|http://justinsomnia.org/images/charles-schwab-talk-to-chuck.jpg]

Charles Schwab was the leader in "retail" investing and was the first to offer on-line trading at a low cost. Due to the growth of the internet, and the advent of other on-line brokers such as Scottrade, Fidelity, eTrade etc, Charles Schwab's market share has been declining. Mr. Schwab decided to take a hands-on approach, and along with his head of Marketing, launched the "Talk to Chuck" commercials featuring average looking people, animated to make them look a bit abstract that allowed for customers and potential customers to feel that Schwab brokers listen and empathize with them. This has been a very effective advertising campaign.

Links to Other Innovative Advertising
"Social nudging" This video is personalized for each of your friends and "nudges" them to vote. It's been sent to over 6.3 million people, and going out to more than 30 new people //per second//. (paid for by MoveOn.org) http://www.cnnbcvideo.com/taf.html I wonder how organizations and products can use the same tactic. I can see a video now that "nudges" me to by a certain brand of water because it is more healthy, or buy a particular cell phone because all MBAs have this phone...very interesting. Seems that it has to have the elements of personalization and maybe even shame. This also relates to the Off Topic post below of political marketing.

Random Quotes
"Customers buy for their reasons, not yours". - Orvel Ray Wilson "If you're trying to persuade people to do something, or buy something, it seems to me you should use their language, the language in which they think". - David Ogilvy "Selling to people who actually want to hear from you is more effective than interrupting strangers who don't". -Seth Godin

I read this article about Portland's Bishops Barbershops, and thought it was very interesting. Bishops is planning on expanding into other locations via franchising. The challenge I see, is being able to take something that is So-Portland-esque (hipster style, loud music, free beer, etc) and make it work in other parts of the country. Here is the article: http://www.oregonbusiness.com/.docs/story_id/34644/pg/453 **//What do you all think about this?//** With all good franchises it is a good idea to start small and build slowly. Rapid expantion doesn't allow the franchise to adapt and see how each new store performs. Most new locations, Grand Openings as it were, will do very well for the first three to six months, and then sales will fall off as the novelty wears off. If you open new stores during this honeymoon period you cannot learn from your mistakes. "I have fears every day," Rivera said. "I wake up scared every day. I don't want to wake up in 20 years and be Supercuts." Then why franchise? I remember when he started Bishops. Regardless of the rock n' roll gimmick, it was a local barbershop. They offered relatively cheap haircuts, and beer (and I am still a customer today). Other options in the core neighborhoods at the time (~10 years ago) were salons, a few high end barbershops (offering pool, beer, cigars.. not the men's salons that we see today on the westside), and the $7 Bucks a Whack on Morrison. Rudy's may be a good example of what Bishops will look like outside of Portland. If you take away the local roots, are you left with the rock n' roll Supercuts? http://www.rudysbarbershop.com/ This article talks about how some Americans watch the polls as a pastime. Polls are a form of market research to gague voter (consumer) opinions and determine the relevance of certain issues (gaps in service, location, price, etc.). It also addresses topics we've discussed in class, such as how political campaigns create a phenomenon of "product/company abassadors" (i.e. getting a tattoo of your favorite company's logo). How could we harrness and duplicate the energy of a political campaign of a candidtae for an advertising campaign of a product? Political "marketing" is service marketing at its best. Here is the article: http://online.wsj.com/article/SB122489244391568761.html **//What do you all think about this?//** http://elections.nytimes.com/2008/president/whos-ahead/key-states/map.html
 * Off Topic: Bishops Barbershop**
 * Off Topic:** The New National Pastime: Poll-Watching